The Biden administration on Thursday unveiled a three-year proposal to expand the U.S. biofuels policy with bigger volume mandates and - for the first time - include a pathway for electric vehicle manufacturers to generate lucrative credits.
The proposal reflects President Joe Biden's agenda to fight climate change by reducing fossil fuel use in America's transport sector, currently the source of around a quarter of the country's greenhouse gases.
The U.S. government estimates that the lifecycle greenhouse gas emissions from biofuels can be more than 40% lower than straight gasoline, meaning adding them to the fuel mix can help in combating climate change. He said the proposal could help "unleash years of pent-up innovation in advanced and cellulosic biofuels."
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