US production of biomass-based diesel in June surged 4.42 million gallons from May to a 2014-high of 149.079 million gallons, US Environmental Protection Agency data showed Friday. Biomass-based diesel production totaled 779.9 million gallons through the first half of 2014, compared with 706.43 million gallons across the same period of 2013.
The average monthly production of US biomass-based diesel in 2014 is at 129.99 million gallons -- still well below the 2013 average of 149.4 million gallons, without the $1/gal biodiesel tax credit from 2013, which expired on December 31.
US biomass-based diesel production had reached record levels in 2013, spurred by the return of the biodiesel blending tax credit, alongside a 10 cents/gal credit for agricultural biodiesel producers.
In total, 1.79 billion gallons of biomass-based diesel were produced in 2013, smashing the 1.28 billion gallons threshold mandated by the EPA.
The EPA has yet to finalize its 2014 biomass-based diesel blending targets, adding further uncertainty for producers.
