May 1, 2012

EPA to Rule on Whether Greenhouse-Gas-Emitting Palm Oils Can be Used as Biofuel

There’s been a great deal of buzz lately about palm oil — the edible oil largely sourced in Indonesia and Malaysia from the fruit of the oil palm, which can also be used to make biofuels. The Environmental Protection Agency recently refused to designate it as a biofuel, as it does not meet the agency’s greenhouse gas requirements laid out in the 2007 Renewable Fuel Standard. Indeed, the release of carbon dioxide from the process of oil palm farming and oil extraction has placed Indonesia as the world’s third largest emitter of greenhouse gases. But the American Legislative Exchange Council (ALEC) and agencies representing Indonesian and Malaysian palm oil interests are lobbying the EPA to reverse its decision on palm oil derived biofuels. Meanwhile the Washington Post cited claims from some opponents that the palm oil biofuel ruling could be the “EPA’s most important climate-change decision of the year.”

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