Renewable Fuel Standard (RFS2), Clean Air Act §211(o)
EPA sets annual volume obligations for total renewable fuel, advanced biofuel, cellulosic biofuel and biomass-based diesel.
Timeline
- 2005 / 2007
Programme created by the Energy Policy Act and expanded by the Energy Independence and Security Act.
- 2023–2025
First multi-year 'set' rule establishing volumes beyond the statutory table.
- 2026–2027
Second set rulemaking establishing annual volumes, including the eRIN question.
- Annual
Compliance demonstration each 31 March for the preceding calendar year.
Requirements
- Obligated parties are refiners and importers of gasoline and diesel; each receives a percentage renewable volume obligation applied to its production.
- Four nested categories: total renewable fuel, advanced biofuel, cellulosic biofuel and biomass-based diesel, each with its own D-code.
- Fuel must meet lifecycle GHG-reduction thresholds for its category (20% conventional, 50% advanced/biomass-based diesel, 60% cellulosic).
- Up to 20% of an annual obligation may be met with RINs carried over from the prior year.
Compliance status & enforcement
- Administrator
- US Environmental Protection Agency
- How compliance is shown
- Renewable Identification Numbers (RINs) are generated at production, tracked in the EPA Moderated Transaction System (EMTS) and retired against the annual obligation each March.
- Penalty for shortfall
- Civil penalties per day of violation under the Clean Air Act, plus mandatory retirement of replacement RINs; cellulosic waiver credits may substitute for cellulosic RINs.
- Tradable unit
- Renewable Identification Number (RIN)