National Renderers Association

Transcription

1 National Renderers Association October 23, 2014 Anne Steckel Vice President, Federal Affairs National Biodiesel Board

2 About NBB National trade association representing over 250 diverse organizations, including producers, feedstock suppliers, & marketers Advocating & promoting biodiesel and renewable diesel Feedstock neutral, advanced biofuel Goal: grow the U.S. biodiesel industry and make biodiesel and renewable diesel mainstream U.S. fuels

3 U.S. Biodiesel Plants

4 Feedstock Diversity 2013 Biomass-Based Diesel Feedstocks Yellow Grease & Other Recycled Oils 16% Canola Oil 5% Soybean Oil 48% Animal Fats 16% Distillers Corn Oil 15%

5 Impact for Rendering 2013 Biomass-Based Diesel Feedstocks Yellow Grease & Other Recycled Oils 16% Canola Oil 5% Soybean Oil 48% 32% of 1.8 billion gallons Animal Fats 16% 576 million gallons of biodiesel from rendered products Distillers Corn Oil 15% More than 4 billion pounds of rendered products used

6 U.S. Biodiesel Growth

7 RFS Overview 2014 Proposal Vs RFS Original Law Biomass-based Diesel 1.28 billion gallons Flat from 1.28 billion At least 1 billion Cellulosic Biofuel 17 million gallons Growth from 6 million 1.75 billion Total Advanced 2.2 billion gallons Cut from 2.75 billion 3.75 billion Conventional billion gallons Cut from13.80 billion 14.4 billion Total RFS billion gallons Cut from billion billion

8 2014 RFS Proposal Proposal sent from EPA to OMB on August 22; final rule likely to be released after elections NBB continues to advocate for meaningful growth in the biodiesel requirement at least 1.7 billion gallons Election year politics at play 2015 RVO not included in current proposal

9 RFS Where We Stand The EPA looked at what the data said and what Congress wanted. You ll see the numbers will change The EPA is very committed to biofuels and wants to continue their growth. EPA Administrator Gina McCarthy, Sept. 2, 2014 Biofuels are an important part of our all-of-the-above energy strategy, helping to curb our dependence on foreign oil, cut carbon pollution, and drive innovation The Agency s overarching goal is to put the RFS program on a path that supports continued growth in renewable fuels over time. EPA Press Statement, Aug. 22, 2014

10 RFS Where We Stand "I don't know precisely what the [final RFS] rule is going to say, but based on what [EPA Administrator] Gina McCarthy has indicated publicly, the numbers are going to go up," Vilsack said. "I am confident that she and EPA understand the importance of this industry and that there's not going to be a suggestion that this is the end of the line for this industry. USDA Secretary Tom Vilsack, Sept. 16, 2014

11 2014 Monthly Production In Millions of Gallons Jan. Feb. March April May June July Aug. Total YTD Biodiesel Biodiesel & Renewable Diesel BG

12 RFS & Congress Will Congress attempt to rewrite, reform or repeal the RFS? Momentum stalled this year after early discussions, mostly focused on ethanol and blendwall Conventional wisdom that Congress will wait and see what EPA does with RFS rule before deciding next year s approach Advanced Biofuels like biodiesel have strong bipartisan support across regional boundaries, as well as in the Administration making it difficult to change the legislation

13 Biodiesel Tax Incentive Expired Dec. 31, 2013 Tax extenders legislation continues to languish Biodiesel incentive maintains strong support and was included in package passed by Senate Finance Committee in April with bipartisan vote: Two Year Extension retroactively to Jan. 1, 2014 No change in structure remains a blenders credit Possible movement in lame duck session, after elections

14 Congressional Job Approval Only 14% of Americans approve of how Congress is handling its job; one of the lowest in the fall before a midterm election since 1974 Source: Gallup 14

15 Current House Makeup Number of House seats in the 113th Congress, by party 2014 Democrats need a 17-seat gain to win control of the House * Includes two currently vacant Republican seats and two currently vacant Democratic seats 15

16 Battle for the Senate Source: Real Clear Politics

17 Questions?