Iowa Biodiesel Production Sets Record in Second Quarter 2013

Press Contact: T.J. Page


Policy Uncertainty Clouds 2014 Outlook

JOHNSTON, IA – The Iowa Renewable Fuels Association (IRFA) today announced that the combination of a strong federal Renewable Fuel Standard (RFS) and reinstatement of the federal biodiesel blenders tax credit has led to Iowa biodiesel plants producing a record 56.7 million gallons of biodiesel during the second quarter of 2013.  The 99.5 million gallons of Iowa biodiesel production during the first six months is also a record for the first half of any year.  According to the Iowa Department of Revenue, nine of the state’s 12 biodiesel plants reported production.

“Record biodiesel production this quarter is providing a noticeable boost to Iowa soybean farmers and livestock producers,” stated IRFA Communications Director T.J. Page. “With a strong RFS and the biodiesel tax incentive helping to level the playing field against long standing petroleum subsidies, biodiesel is successfully competing in the marketplace.  More locations are offering higher blends of biodiesel than ever before. We expect robust biodiesel production throughout 2013.”

The industry is working hard to expand biodiesel distribution and to promote higher biodiesel blends in order to sustain the growth pattern.  Yet, there are challenges on the horizon.  Unlike petroleum’s permanent incentives, the biodiesel blenders tax credit is set to expire at the end of 2013.  In addition, the petroleum industry is lobbying both Congress and the EPA to lower or eliminate the RFS.

“Given petroleum’s advantages in current federal policy, we have to protect the RFS and extend the biodiesel tax credit,” added Page.  “Provided a fair chance, Iowa’s biodiesel produces can continue to set records and provide consumers with a clean, homegrown fueling option.”

Biodiesel production boosts farmers’ bottom lines by increasing the value of soybeans, lowering feed costs, and raising the value of animal fats for Iowa’s livestock producers. To learn more about how biodiesel benefits Iowa’s farmers, please visit  Farmers can also sign up for a chance to win $1,000 in biodiesel.

Iowa is the leader in renewable fuels production. Iowa has 12 biodiesel facilities with the capacity to produce nearly 315 million gallons annually. In addition, Iowa has 41 ethanol refineries capable of producing over 3.7 billion gallons annually, with one wet mill and three cellulosic ethanol facilities currently under construction.

The Iowa Renewable Fuels Association was formed in 2002 to represent the state’s liquid renewable fuels industry. The trade group fosters the development and growth of the renewable fuels industry in Iowa through education, promotion, legislation and infrastructure development.