Biofuels And Rural Economic Development

Impact dates

1. Jul 4, 2009

   EPA public comment period on Notice of Proposed Rulemaking for renewable fuel standards

2. Jun 4, 2009

   Secretary of Agriculture to provide loan guarantees, expedited funding, and program expansion under Food, Conservation, and Energy Act of 2008 authorities

Key directives

• Establish Biofuels Interagency Working Group co-chaired by Secretaries of Agriculture and Energy and EPA Administrator
• Working Group to develop comprehensive biofuel market development program
• Working Group to coordinate infrastructure policies for biofuel supply, transport, and distribution
• Working Group to identify policy options for environmental sustainability of biofuels feedstock production
• Secretary of Agriculture to immediately begin restructuring existing renewable fuel investments
• Secretary of Agriculture to provide within 30 days: loan guarantees for commercial-scale biorefineries, grants for demonstration-scale biorefineries, expedited funding for biomass energy systems, expedited funding for next-generation biofuels, expansion of Rural Energy for America Program, and guidance for biomass collection/transportation assistance

Who is ordered

• Secretary of Agriculture · Department of Agriculture
• Secretary of Energy · Department of Energy
• Administrator of the Environmental Protection Agency · Environmental Protection Agency

Timeline

Risks & tensions

• Tension between accelerating biofuel production and limiting environmental impact
• Land use and habitat conservation concerns in feedstock production
• Coordination challenges across three agencies with potentially competing priorities
• Reliance on 'extent permitted by law' qualifier for Secretary of Agriculture actions
• Lifecycle greenhouse gas assessment controversies may affect policy implementation