Micah Walter/Bloomberg News
A survey by the National Biodiesel Board found that nearly 80% of biodiesel producers have scaled back production this year, and more than half have idled production, due in part to what it called a “weak” renewable fuel standard proposal in Washington.
Two-thirds of producers said they have reduced or anticipate reducing their workforce as a result of the downturn, which the group says follows “a weak [RFS] proposal” from the Environmental Protection Agency and Congress’ failure to extend a biodiesel tax incentive.
“Inconsistency in Washington is wreaking havoc on the U.S. biodiesel industry,” Anne Steckel, the group’s vice president of federal affairs, said in a statement.
“It’s not just hurting these producers. It is a setback for local economies where these plants operate, for our environment, for our national energy security and for drivers who are tired of ever-increasing fuel prices that result from the petroleum industry’s monopoly at the pump,” Steckel said.