Section 1 Short title
This Act may be cited as the “Cleaner Biofuels Act of 2024”.
Cleaner Biofuels Act of 2024
A BILL
To direct the Administrator of the Environmental Protection Agency to amend certain regulations for purposes of the renewable fuel program, and for other purposes.
Sec. 2 Revised definition of advanced biofuel
Sec. 3 Supplemental rin generation for certain renewable fuel
In general— Not later than one year after the date of enactment of this Act, the Administrator of the Environmental Protection Agency shall promulgate, after notice and opportunity for comment, a final rule—
revising the regulations for carrying out the Renewable Fuel Program to add to the product of the formula for determining the number of gallon-RINs generated for a batch of renewable fuel under Section 80.1426(f), title 40, Code of Federal Regulations Supplemental gallon-RINs according to the provisions under (A) and (B), subject to the limitations under (C), when
the renewable fuel produced is ethanol derived from cornstarch, with lifecycle greenhouse gas emissions that are at least—
50 percent less than baseline greenhouse gas emissions, multiply the product of the formula by 0.3; or
60 percent less than baseline greenhouse gas emissions, multiply the product of the formula by 0.4;
the renewable fuel produced is an advanced biofuel with lifecycle greenhouse gas emissions that are at least—
70 percent less than baseline greenhouse gas emissions, multiply the product of the formula by 0.5;
80 percent less than baseline greenhouse gas emissions, multiply the product of the formula by 0.6;
90 percent less than baseline greenhouse gas emissions, multiply the product of the formula by 0.7; or
100 percent or greater than baseline greenhouse gas emissions, multiply the product of the formula by 1 times; and
ensuring the resulting number of supplemental gallon-RINs in (A) and (B) are awarded in the same D code as the qualifying fuel, are calculated separately then added to the total RINs calculated in 80.1426(f), and are limited by the percentage portion attributable to the renewable biomass per batch;
identifying applicability of supplemental RIN generation to renewable fuels including types of renewable fuels from—
renewable biomass produced on eligible acres, as verified by the Administrator;
production processes certified by the Administrator; or
other processes or activities resulting in lifecycle greenhouse gas reductions the Administrator considers appropriate when used in the production of such renewable fuel from renewable biomass;
ensuring the renewable fuel obligation determined by the Administrator accounts for the increased availability of advanced biofuel RINs as a result of subparagraphs (1) and (2) in order to maintain the requirement of section 211(o)(2)(B)(i)(II) of the Clean Air Act (42 U.S.C. 7545(o)(2)) by—
based on data reported as of 9/30, adjusting upward the subsequent year’s RVO, as determined by 211(o)(2)(B)(ii)–(iii), by adding to the applicable Annual Volume of advanced biofuel the result of—
the total number of Supplemental RINs calculated under 3(a)(1)(A)–(B) and limited by (C), divided by
the Equivalence Value of the fuel produced;
publishing an amended RVO for the following year by 11/30 if more than X percent change from previously published RVO; and
ensuring that designated Supplemental RINs meet eligibility requirements by using third-party auditors to complete Quality Assurance Plan audits for feedstocks, fuels, and processes; and
formalizing timelines for the pathway petition review and approval process by—
setting mandatory timeframes for petition reviews and determinations of approvals/denials, including a mandatory approval process and timeframe if there is EPA inaction on a pathway petition for more than X 180 days;
publishing and making transparent the lifecycle calculation methodologies, models, and tools used to make pathway petition determinations; and
creating an Expanded Efficient Producer Petition Process (EEPPP) by completing the necessary lifecycle analyses and updating the Efficient Producer Petition Process’ administrative pathway tools to include additional feedstocks, fuels, processes, and activities including carbon oxide sequestration and other processes, including those identified in 3(a)(2)(A)–(C).
Applicability— The revisions required by subsection (a) shall apply beginning the first calendar year that begins after the date of enactment of this Act.
Sec. 4 Responsibilities of the administrator
In general— In carrying out Section 3 of this Act, the Administrator shall—
report annually to Congress on greenhouse gas emissions impacts as a result of actions taken to carry out this Act, including—
the greenhouse gas emissions reductions from processes and activities identified in 3(a)(2)(A)–(C) including—
the type and number of geological sequestration mechanisms used in the production of renewable fuel as certified by the Administrator;
the number of verified eligible acres of agricultural land by region; and
greenhouse gas emissions reductions from farming on verified eligible acres as compared to greenhouse gas emissions from traditional farming practices; and
the impact of the Supplemental RINs on the Renewable Fuel Program including analysis of the Supplemental RINs generated and status of the RIN bank and market;
In carrying out Section 3(a)(2) of this Act the Administrator shall—
confirm the eligibility of renewable fuels by certifying the processes used to produce the renewable fuel from renewable biomass (2) confirm the eligibility of renewable fuels using carbon oxide geological sequestration in a class VI well, in accordance with the permitting, monitoring, recordkeeping, and other requirements applicable to underground injection under part C of the Safe Drinking Water Act (42 U.S.C. 300h et seq.);
verify eligible acres implementing farming practices upon application by a producer in coordination with the Secretary of Agriculture; and
prohibit a RIN generator from generating Supplemental RINs by double counting across domestic carbon programs the GHG benefits from verified eligible acres implementing farming practices;
In carrying out Section 3(a)(3) of this Act, the Administrator shall—
make required adjustments to administrative systems EMTS to designate and identify Supplemental RINs as distinct from other RINs; and
publish timely monthly reports to provide accurate totals of Supplemental RINs awarded; and
In carrying out Section 3(a)(4) of this Act, the Administrator shall—
allow ethanol producers using the Supplemental RIN generation described in 3(a)(1)(A) to submit an Expanded Efficient Producer Pathway Petition as defined by the Administrator in 3(a)(4)(C); and
allow advanced fuel producers using the Supplemental RIN generation described in 3(a)(1)(B) to submit an Expanded Efficient Producer Pathway Petition as defined by the Administrator in 3(a)(4)(C).
Coordination— As part of the Administrator’s responsibilities under (a), the Administrator in coordination with the Secretary of Agriculture shall—
identify a verification system for eligible acres of agricultural land producing renewable biomass qualified for inclusion under 3(a)(2)(A);
establish criteria for identifying, determining, and assessing farming practices that reduce greenhouse gas emissions associated with agricultural production per acre of agricultural land;
identify tools for the quantification of the effects of farming practices that reduce the greenhouse gas emissions of agricultural land including the total acres on which those practices are being implemented; and
establish a method for calculating the carbon intensity score for agricultural land and processes that lower the greenhouse gas emissions associated with agricultural practices based in Argonne National Laboratory’s Research & Development Greenhouse gases, Regulated Emissions, and Energy use in Technologies (GREET) lifecycle model and associated Feedstock Carbon Intensity Calculator (FD–CIC).
Regulations— Not later than one year after the date of enactment of this Act, the Administrator shall promulgate, after notice and opportunity for comment, a final rule to carry out this section.
Applicability— The final rule promulgated pursuant to subsection (a) shall apply beginning the first calendar year that begins after the date of enactment of this Act.
Sec. 5 Definitions
In this Act:
Administrator— The term “Administrator” means the Administrator of the Environmental Protection Agency.
Baseline lifecycle greenhouse gas emissions— The term “baseline lifecycle greenhouse gas emissions” has the meaning given to such term in section 211(o)(1) of the Clean Air Act (42 U.S.C. 7545(o)(1)).
Batch of renewable fuel— The term “batch of renewable fuel” has the meaning given to such term in Section 80.1426(d) of title 40, Code of Federal Regulations.
Carbon intensity score— The term “carbon intensity score” means a score to be assigned by the Administrator using Argonne National Laboratory’s Research & Development Greenhouse gases, Regulated Emissions, and Energy use in Technologies (GREET) lifecycle model and associated Feedstock Carbon Intensity Calculator (FD–CIC) for calculating such scores established under Section 4(e)(2), and attributable to an acre of agricultural land representing the amount of carbon dioxide emissions avoided with respect to such acre per year, based on the farming practices implemented on such land, which may take into consideration the geographic region in which the farming practice is implemented.
Eligible acre— The term “eligible acre” means an acre of agricultural land on which farming practices, meeting the criteria established under Section 4(b), are implemented that result in reduced greenhouse gas emissions associated with that acre of agricultural land.
Gallon-rin— The term “Gallon-RIN” has the meaning given to such term in Section 80.1401 of title 40, Code of Federal Regulations.
Lifecycle greenhouse gas emissions—
In general— Subject to (B), the term “lifecycle greenhouse gas emissions” has the meaning given to such term in section 211(o)(1) of the Clean Air Act (42 U.S.C. 7545(o)(1)).
Greet model— The lifecycle greenhouse gas emissions shall be based on the most recent determinations under Argonne National Laboratory’s Research & Development Greenhouse gases, Regulated Emissions, and Energy use in Technologies (GREET) lifecycle model and associated Feedstock Carbon Intensity Calculator (FD–CIC), or a successor model.
Percentage portion—
In general— Subject to 3(a)(C), the term “percentage portion” means the volume or mass of renewable biomass from verified eligible acres or other qualifying process or activity in a batch of renewable fuel as compared to the total volume or mass of renewable biomass in that batch of renewable fuel.
Calculation— the percentage portion shall be based on the ratio of renewable biomass generated from verified eligible acres or other qualifying process or activity reported for the batch of renewable fuel to all renewable biomass reported for that batch and applied after determining all applicable calculations under Code of Federal Regulations Section 80.1426(f) of title 40, to determine the total number of gallon-RINs that shall be generated for the batch.
Renewable biomass— The term “renewable biomass” has the meaning given to such term in section 211(o)(1) of the Clean Air Act (42 U.S.C. 7545(o)(1)).
Renewable fuel— The term “renewable fuel” has the meaning given to such term in section 211(o)(1) of the Clean Air Act (42 U.S.C.7545(o)(1)).
Renewable fuel program— The term “Renewable Fuel Program” means the Renewable Fuel Program under section 211(o) of the Clean Air Act (42 U.S.C. 7545(o)).
Renewable identification number (rin)— The term “Renewable Identification Number” has the meaning given to such term in Section 80.1401 of title 40, Code of Federal Regulations.