The EPA’s delay in setting biofuel use targets for 2014 has put a severe strain on biodiesel manufacturers unable to sell their product, Reuters reports. Refiners and blenders are holding off on purchasing biodiesel until the EPA releases its 2014 Renewable Fuel Standard, causing downward pressure on prices. Reuters cites figures from the National Biodiesel Board revealing 80% of producers have cut back their output this year and more than half shut down plants or idled production.
The EPA could set its targets next month, but the agency is already nine months behind schedule. Last November the EPA proposed a biodiesel target more than 400 million gallons than what producers requested.
SEE ALSO: EPA extends compliance deadline for 2013 biofuel mandate
