Understanding the complex regulatory landscape governing renewable fuels is paramount for investors, producers, and off-takers. Building upon the insights provided by Ramboll’s prior comprehensive analysis of EU regulatory requirements, this article deep dives into renewable fuels regulations in the United States. The article explores the nuances of federal and state-level policies, including tax credits, renewable energy standards, low carbon fuel standards, and emissions regulations.
Like in the EU, the US regulations are complex to navigate and the details matter. Policies are rarely aligned across different frameworks and likely to evolve as markets mature, including guidelines for methodology behind carbon intensity calculations. These potential changes in turn impact applicability, cost of compliance, and potential to generate credits. Moreover, investors and developers need to comply with multiple requirements and methodologies across countries, and in some cases, states.
Below we explore key US frameworks for renewable fuels at federal and state level, and how the underlying requirements differ, depending on whether you want to receive tax credit incentives or make sure you comply with fuel standard requirements - and areas to watch for future developments.
For more about the US renewable fuels regulatory framework and how to manage it read the full article