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1 1 (April 22, 2020)

handle is hein.crs/govdadm0001 and id is 1 raw text is: i% 'N\ r The 2020 Renewable Fuel Standard (RFS): COVID-19 Impacts April 22, 2020 Ongoing COVID-19 ritigation rneasures may impact the Rcenw-iable Fuel Standard (RFS)-a mandate requiring U.S. transportation fuel to contain renewable fuel. Since the beginning of the pandemic, fuel demand has dropped significantly. The RFS is based, in part, on projections of transportation fuel use. Significant deviations from these projections could affect compliance with the 2020 standard. Congress may consider whether to intervene or whether the U.S. Environmental Protection Agency (EPA) should do so; and, if the latter, does the existing statute provide EPA with adequate authority? The Renewable Fuel Standard The RFS is a volume mandate scheduled to ascend over time. The RFS statute specifies minimum annual volume targets. Each year EPA establishes the volume of four renewable fuci categories (renewable fuel, advanced biofuel, cellulosic biofuel, and biomass-based diesel) that will be required for the coming year based on the statutory targets, fuel supply, and other conditions. The total renewable fuel target consists of both conventional biofuel (e.g., corn starch ethanol) and advanced biofuel (e.g., cellulosic ethanol). Under certain conditions, the EPA Administrator has statuto7y amthoity to approve waive s of the RFS riqwircmdnts (in whole or in part) based on particular conditions. For example, although the statute calls for 30 billion gallons of total renewable fuel in 2020, EPA's 2020 final ric calls for 20.09 billion gallons of total renewable fuel. The 2020 final rule corresponds to an 11.56% annual percentage standard for total renewable fuel. Statutory Volumes, Annual Percentages and RVOs The RFS statute specifies annual renewable fuel volumes. EPA converts the statutory RFS volumes-after adjusting for any waivers-into annua percentage standards for each fuel category using an equation which accounts for the projected volumes of gasoline and diesel consumed, renewable fuel consumed, and gasoline and diesel exempted. Obligated parties use the annual percentage standards to compute their renewable volume obligation (RVOs) for each fuel category. The RVO is the obligated party's total Congressional Research Service https://crsreports.congress.gov IN11353 CRS NSMGHT Prepared for Members and Committees ot Congress ...........................................................................................................................................................................................................

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