It could be a tough road ahead for ethanol producers as the White House prepares to adjust modeling for the corn-based fuel.
According to Reuters, the Biden Administration is set to show ethanol is less effective than previously thought at reducing greenhouse emissions. The adjustment could make it more difficult for producers to use tax credits for sustainable jet fuel.
However, sources who did not want to be identified, say the plan would still allow ethanol producers to partner with corn growers using sustainable farming practices.
EPA administrator Michael Regan will join Ag Secretary Tom Vilsack at next month’s commodity classic where he is expected to make that announcement.
