U.S. According to the Renewable Energy Standard, refiners are required to add biofuels such as grain-based ethanol to their fuel blends or to purchase commercial credits known as RINs.
The U.S. has asked whether the use of renewable fuels to charge electric vehicle fees should generate commercial credits under the country’s biofuel plan. The White House has told the Environmental Protection Agency that two groups familiar with the talks told Reuters.
The project is aimed at the growing US. It will be very beneficial for the electric vehicle industry because it will bring new benefits and new revenue. New actors like Tesla Inc. are already being introduced into a project that severely divides the oil and grain industries.
U.S. According to the Renewable Energy Standard, refiners are required to add biofuels such as grain-based ethanol to their fuel blends or to purchase commercial credits known as RINs. The project was launched a decade ago to help farmers and reduce petroleum imports.
If the plan is expanded to include EVs, RINs will come by charging the vehicle with electricity generated by a methane renewable energy source, i.e. gas released from landslides or dairy activities. Many such fuels are available: According to EPA data, US agriculture accounts for 10% of greenhouse gas emissions and livestock more than a third, according to EPA data.
However, an important question is how to find credit-worthy biogas from its source to the car battery and who can get profitable credits in that supply chain.
RIN has taken control of the fact that there will be a big fight between biomass manufacturers, station operators and EV car manufacturers like Tesla. The White House and the EPA declined to comment. The current RFS project is already a lightning rod in the oil and grain industries.
Refiners say compliance with the regulations will make them lucky, and traders and biofuel manufacturers need a plan to stay in business. New sources have told Reuters that Tesla, which makes cars and charging stations, is campaigning with Biden Management. Credits can be generated and sold when the new plan leaves the land. Tesla did not respond to a request for comment.
Climate aspiration
Biden Management’s priority is to boost the electric vehicle market as it seeks to decarbonize the country’s economy to cope with climate change by 2050. According to the EPA, the main source of greenhouse gas emissions is the U.S. Groups such as the Biomass Power Association have put pressure on the federal government to create a pathway to power generators that generate RNN from qualified renewable feeds.
The group, which includes biofuel companies and associations, wrote a letter to the Biden Transformation Committee in December as part of the RFS Power Alliance, urging it to act expeditiously.
“When you transfer power online from an RFS-qualified feed and go to drive an electric vehicle, the electrician ethanol manufacturer can produce as many RINs as he can,” says Gary Anand, the Director of the Biomass Power Association.
The RINs thus generated can be classified as D3 “advanced” biofuel credits, and the EPA is working to expand this type in the near future.
Some oil refiners, such as Carl Icon of CVR Energy, have been critical of the D3 market, with some calling them “Unicorn” fuels due to scarcity.