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White House reviewing RFS blending mandates from EPA

Houston β€” The White House Office of Management and Budget is reviewing the final blending mandates for 2017 under the Renewable Fuel Standards, according to the OMB's website.

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The mandates -- proposed by the US Environmental Protection Agency in May -- set quotas for how much renewable fuel must be blended into petroleum-based fuel supplies used for transportation, aviation and heating, and they must be finalized by the end of November under federal statute.

The EPA proposed increasing the amount of renewable fuel to 18.8 billion gallons in 2017 from 18.11 billion gallons in 2016. In its proposal, the EPA said blending would rise from 10.10% of US fuel supplies in 2016 to 10.44% in 2017.

Under the proposed mandates, 14.8 billion gallons of corn-based ethanol would be blended into gasoline stocks. The proposed advanced biofuels mandates -- which include advanced biofuels, biodiesel and cellulosic biofuels -- calls for 4 billion gallons to be blended in 2017.

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The OMB could revise the proposals before issuing them by the end of November. In 2015, the agency revised the 2016 proposals upward, from 17.4 billion gallons of biofuel to the final 18.11 billion gallons.

--Wes Swift, wesley.swift@spglobal.com

--Edited by Derek Sands, derek.sands@spglobal.com