EPA Proposes Cellulosic Ethanol Requirement Short of U.S. Goals

Bloomberg Businessweek
July 12, 2010, 3:14 PM EDT
By Kim Chipman and Mario Parker

July 12 (Bloomberg) -- The Environmental Protection Agency proposed requiring less cellulosic ethanol to be blended into gasoline next year than sought under U.S. law because production of the alternative fuel hasn’t reached commercial scale.

The decision is part of the EPA’s proposed standard for renewable fuels of about 14 billion gallons, or 7.95 percent of transportation fuels used in the U.S., the agency said today in a news release. The goal for cellulosic biofuels, based on an analysis of market availability, is 5 million to 17.1 million gallons, or as much as 0.015 percent, according to the agency.

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