NEFI URGES EPA TO SUPPORT THE HEATING OIL INDUSTRY
The National Energy & Fuels Institute said it filed“ two major comment letters” with the U. S. Environmental Protection Agency, addressing how heating oil is treated under the Renewable Fuel Standard( RFS) and another dealing with proposed regulatory reforms to expedite natural gas pipeline expansion. The letters follow recent testimony by NEFI President and CEO Jim Collura before the agency and ongoing engagement with senior administration officials, the Institute reported in its newsletter, NEFI Energy Online News. Following is the text of the letters, edited for clarity and length.
The Aug. 8 letter commenting on proposed changes to treatment of heating oil under the RFS, slightly edited for clarity and length, reads in part:
NEFI strongly supports the proposed increase in volumes for biomass-based diesel and advanced biofuels for compliance years 2026 and 2027 under the Renewable Fuel Standard( RFS) program. Our association agrees with EPA’ s assessment that there is ample capacity and more than adequate feedstock availability to meet the proposed volume requirements in the years to come.
In its 2019 Providence Resolution, the heating oil industry voluntarily pledged to reduce emissions through increased use of biofuels to support American farmers, enhance energy diversity and security, and meet consumer demand for cleaner fuels. Several state governments in the Northeast have recognized the benefits of biodiesel-blended heating oil and now require minimum blends statewide. As of July 1, 2025, these requirements are 10 percent in Connecticut and New York and 20 percent in Rhode Island, affecting more than 1.9 million households and requiring around 160 million gallons of biomass-based diesel( BBD) for minimum compliance in an average winter. This does not include retailers who blend above these amounts in these states or that blend on a discretionary basis in states without similar requirements. Note as well that these fuels are used primarily during the winter months, when transportation fuel demand is lowest, providing year-round stability for American feedstock growers and biofuel producers.
The RFS is key to ensuring the availability of these fuels at competitive prices, enabling the heating oil industry to meet its voluntary commitments, comply with state blending requirements, remain competitive in an ever-changing market, and respond to growing demand for cleaner, American-produced fuels from customers – and to do so in a cost-effective manner that benefits small businesses and working families. Given this, NEFI is supportive of the higher renewable volume obligations( RVOs) for BBD.
However, we are deeply concerned with proposed changes that could undermine 15 years of successful policy. EPA’ s proposed changes with respect to the definition of“ heating oil” and the newly proposed definition of“ renewable fuel oil” threaten to impose burdensome and impractical requirements that could harm our mostly small family businesses and increase home heating costs for millions of American families. Congress recognized
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