Indiana Corn & Soybean Post - Spring 2022

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ASA’s policy work attempts to protect growing demand for U.S soy BY BLAIR SHIPP ASA State Policy Communications Coordinator It seems you can’t open a news outlet without reading about how the demand for U.S. soy is rising to record levels. While growers begin planting to meet this demand domestically and internationally, the American Soybean Association and its farmer leaders are working to advocate for soy policy priorities at the state and national level that provide growers with the tools to meet market needs. Listed below are just a few of the priorities we’ve been working on recently.

EPA denies backlogged SREs On April 8, the U.S. Environmental Protection Agency (EPA) announced that close to three dozen small refinery exemptions granted by the previous administration in 2019 and later remanded by the U.S. Court of Appeals for D.C. back to EPA have been denied. During the past few years, soy growers and biofuel leaders have repeatedly voiced concerns over the abuse of small refinery waivers and that excessive use of small

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INDIANA CORN & SOYBEAN POST

refinery waivers undercuts the purpose of the RFS. ASA president Brad Doyle, a farmer from Arkansas, commented on behalf of the organization, saying, “We appreciate EPA denying these waivers from 2018. While we wish the SRE petitions were resolved sooner, we are very glad EPA is working to remove the backlog of pending waiver requests and is requiring refineries to comply with more stringent hardship and economic impact reporting requirements.” While the announcement was on face value positive, EPA is allowing an alternative option for the 31 refineries impacted to meet their new 2018 compliance obligation without any further need to procure or redeem additional compliance credits. Those 31 SREs represent roughly 1.3 billion gallons of biofuels, demonstrating that SRE volumes can quickly add up and risk undermining the integrity of the RFS—and why EPA continuing to deny waivers is important to the biofuels industry. The agency is still working through 69 pending SRE requests from refineries dating from 2016 to 2021. The Biden administration is also working to finalize renewable volume obligations under the RFS for 2020, 2021 and 2022 by this summer.


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