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Sens. Chuck Grassley (R-Iowa) and John Cornyn (R-Texas) today introduced legislation to preserve the integrity of the Renewable Fuels Standard, which is at risk of being diluted by the Biden administration’s aggressive electric vehicle (EV) agenda. The No Fuel Credits for Batteries Act nullifies a proposed Environmental Protection Agency rule that would prop up the EV industry while devaluing incentives for ethanol and biodiesel expansion.


“The EPA’s proposed E-RINS rule would reduce demand for cleaner, cheaper biofuels for the vast majority of vehicles on the roadway and create a brand new cash stream for electric vehicle manufacturers. My bill would preserve the integrity of the Renewable Fuel Standard by preventing electric vehicle makers from generating credits that, under law, are reserved for renewable fuel producers,” Grassley said.


“The Biden administration is determined to subsidize the electric vehicle industry by any means necessary, and their latest proposal proves that. Our bill would put a stop to this rule and ensure only transportation fuels are covered under the Renewable Fuels Standard, and I’m glad to support it,” Cornyn said.


The Renewable Fuels Standard (RFS) establishes a minimum volume of biofuels to be blended with transportation fuel. A Renewable Identification Number, or RIN, is generated for each gallon of biofuel created. Blenders or refiners who fall short of their blend volume obligations can purchase RINs as credits in the open marketplace to comply with the RFS. The EPA’s proposed rule would, for the first time, allow EV manufacturers to also generate and sell similar credits called E-RINS. This would reduce the value of each RIN and distort the market for biofuels in transportation fuel, while also establishing a new income stream for EV manufacturers.


The No Fuel Credits for Batteries Act preserves the current incentive structure for cleaner burning biofuels and eliminates participation in the RFS by EV manufacturers.


Text of the No Fuel Credits for Batteries Act is available HERE.


The Biden administration continues to pull all levers of federal policy to bolster the EV industry as a one-size-fits-all shift in transportation. President Biden’s Federal Sustainability Plan mandates federal agencies transition to all electric by acquiring 100 percent light-duty fleets by 2027 and acquiring 100 percent medium- and heavy-duty fleets by 2035.


The so-called Inflation Reduction Act included a $7,500 tax credit for EVs and a 30 percent tax credit for EV chargers. Even with this credit, the average price of an EV exceeds the average Iowa household income.


Most recently, the EPA has proposed rules that would mandate that 67 percent of all new cars sold be electric by 2032. Less than 6 percent of new cars sold and less than 2 percent of trucks sold last year were electric.

Author: Press Release


  1. If biofuels were any good, they wouldn’t need government help. Ethanol is a horrible product, but Iowa politicians are owned by the lobby. The free market should decide what is best, not government mandates or subsidies.


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