The association of state agriculture commissioners called for the US to more closely scrutinize imported used cooking oil (UCO), a biofuel feedstock that farm groups fear is curbing demand for domestic crops.
The National Association of State Departments of Agriculture adopted a resolution at its policy meeting Wednesday calling for federal biofuel policy that both "gives preference to the usage of domestic feedstocks" and sets "appropriate testing, verification, and recordkeeping requirements for imported UCO feedstocks." The 43 state leaders that were present at the meeting all voted in favor, according to the association.
The organization represents the bipartisan leaders of state agriculture departments, influential voices on farm policy that are often in touch with federal officials.
A background document provided to members on the proposal says that "such an approach would make US feedstocks more competitive, increase demand, and stimulate investments into rural economies." State agriculture departments have an obvious interest in helping farmers, though the organization had not set any specific policy around feedstock imports in prior years.
Feedstock imports have surged to meet demand from new renewable diesel and sustainable aviation fuel plants, with Chinese UCO exports rising from just 100,000 lbs in 2022 to 2.8bn lbs last year according to US customs data. State clean fuel programs treat first-generation crop feedstocks as higher-carbon than wastes like UCO.
Some farm-state lawmakers have called for more scrutiny, saying that federal agencies' process for vetting imports is opaque and that fuels from all foreign feedstocks — not just UCO — should be ineligible for a new federal tax credit for alternative fuels.
A government model for tracking emissions and claiming that new credit excludes fuels made from foreign UCO, though former president Joe Biden's administration signaled that the US could eventually design recordkeeping requirements that allow more fuels to qualify. There is also a workaround that allows aviation fuel producers to use an alternative emissions model. Tax credit guidance has not been finalized, and President Donald Trump could take a more restrictive approach.
It is unclear what testing methods exist that could differentiate between used and virgin oil. The California Air Resources Board, which runs the state's low-carbon fuel standard, solicited information last year on potential ways to distinguish the two. The agency said at the time that the request was a "general market survey" rather than a signal of future plans.
There are risks to heightened scrutiny of UCO, especially for refiners that say existing recordkeeping requirements are burdensome and that feedstock flexibility is essential for running their facilities. A more muscular federal response — requiring interagency collaboration between agriculture, trade, and environmental officials — is also made harder by President Donald Trump's efforts to cut the federal workforce and slash spending.
