It is NAFA’s belief that the 1.28 billion gallons mark is a sharp reduction from this year’s projected production and a potentially devastating proposal for the future of the biodiesel industry.
Princeton, NJ (PRWEB) December 06, 2013
Speaking before the U.S. Environmental Protection Agency (EPA), NAFA Fleet Management Association questioned EPA’s proposal to maintain the biomass-based diesel standard for 2014 and 2015 at the 2013 level of 1.28 billion gallons. It is NAFA’s belief that the 1.28 billion gallons mark is a sharp reduction from this year’s projected production and a potentially devastating proposal for the future of the biodiesel industry. The Association, which represents fleet professionals throughout the United States and Canada, recommends that EPA set a volume requirement at least consistent with this year’s projected production of 1.7 billion gallons.
“The draft proposal is particularly challenging,” explained NAFA’s Executive Director Phillip E. Russo, CAE. “The way it is worded, excess biodiesel production in 2013 can be carried over for compliance into 2014. As a result, the 1.28 billion gallon proposal could mean an effective market closer to 1 billion gallons – a dramatic reduction from current production.”
As significant users of biodiesel, vehicle fleets depend on a strong, viable biodiesel industry. State and utility fleets rely on biodiesel for compliance with the requirements of the Energy Policy Act. In fact, many government agency fleets (including the Department of Defense) are dramatically increasing their usage, as are states such as Minnesota.
“We are particularly concerned that this proposal would result in an immediate and dramatic drop in U.S. biodiesel production and impair the ability of biodiesel producers to meet the demand of fleets,” said Russo. “NAFA urges that EPA set a volume requirement at least consistent with this year’s projected production of 1.7 billion gallons.”
NAFA Treasurer Jeff Jeter, Fleet Manager for the County of Chesterfield, represented the Association before EPA. In addition to speaking on the EPA’s proposal to maintain the same volume for biomass-based diesel for the next two years, Jeter also gave testimony in support of EPA’s proposal to reduce the requirement for ethanol in the renewable fuels standard for 2014. He detailed the fleet industry’s concern over the so called “blendwall” which would mandate E15 as a vehicle fuel. Jeter expressed the concerns of fleet managers that use of E15 will void vehicle warranties, damage engines, and cause damage to underground storage tank systems.
NAFA Fleet Management Association retains legislative counsels in Washington, DC, and Ottawa, Canada to follow issues like these that may affect fleets. Earlier in the year, the Association provided comments to the House Energy and Commerce Committee as background for their review of the Renewal Fuels Standard. The Association is not only committed to providing a voice for the fleet industry within the legislative arena but recently expanded its legislative team in order to do so.
About NAFA Fleet Management Association
NAFA is the world’s premier non-profit association for professionals who manage fleets of sedans, public safety vehicles, trucks, and buses of all types and sizes, and a wide range of military and off-road equipment for organizations across the globe. NAFA is the association for the diverse vehicle fleet management profession regardless of organizational type, geographic location or fleet composition. NAFA’s Full and Associate Members are responsible for the specification, acquisition, maintenance and repair, fueling, risk management, and remarketing of more than 3.5 million vehicles including in excess of 1.1 million trucks of which 350 thousand are medium- and heavy-duty trucks. For more information visit http://www.nafa.org.