Fact 3: Growing Demand for Cellulosic Biofuels
The Renewable Fuel Standard states that the US must have a certain amount of fuel come from renewable sources in order to have cleaner air and renewable energy. Each year, the standard has increased its requirement for cellulosic biofuel, which includes renewable natural gas. In 2019, the standard demanded 418 million gallons of cellulosic biofuel. 2020 increased the requirement to 590 million gallons of cellulosic biofuel, a 41% year-over-year increase. The Renewable Fuel Standard and the California Low Carbon Fuel Standard both reward solutions that resolve the shortage of biofuels.
According to the EPA, the San Joaquin Renewables project qualifies for the Renewable Fuel Standard. This is the first cellulosic biofuels project to be approved in five years. The natural gas produced is a cellulosic biofuel because the fuel is made from orchard wood and nut shells in the San Joaquin Valley, so SJR’s natural gas production will help meet the growing demand for cellulosic biofuels.