EPA faces lawsuit over biofuel mandate


The U.S. Environmental Protection Agency is being sued by the American Petroleum Institute over its biodiesel mandate. The Associated Press reported the oil and gas industry's main lobbying group has called the mandate "unworkable" and "overzealous" and could cause the costs of making diesel fuel to increase.

The EPA mandate calls for 1.28 billion gallons of biodiesel to be used in 2013 - a nearly 30 percent increase from the agency's 2011 requirement, according to the article. A number of state governors have urged the EPA to waive the mandate requiring the use of renewable fuels, but the agency reported that no severe "economic harm" would be caused by its ruling. The API and other trade groups disagree.

"The Obama EPA shows little concern for the hardships being faced by American consumers, and the denial of the governors’ request signals four more years of regulatory burdens, bureaucratic indifference, and politicized rule-making from this administration," said Thomas Pyle, president of the American Energy Alliance, in the article. "As long as government mandates trump the free market, Americans will continue to suffer."

MarketWatch reported the lawsuit from API was filed in the U.S. Court of Appeals for the District of Columbia on November 26.

PennEnergy's research area offers details on the U.S. biodiesel market.

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