This case addresses allegations that Utah-based Washakie Renewable Energy, LLC violated the Clean Air Act by generating more than 7.2 million invalid renewable fuel credits worth more than $2 million.
From January to October of 2010, Washakie generated more than 7.2 million Renewable Identification Numbers, or RINs, and reported to EPA that it produced biodiesel associated with those RINs at its Plymouth, Utah facility. During that time, however, Washakie did not produce any biodiesel at the Plymouth facility. The biodiesel associated with the 7.2 million RINs would have accounted for a reduction of emissions equivalent to more than 30,000 metric tons of carbon dioxide. Washakie has purchased and retired from the market an equivalent number of RINs, which achieved this reduction of emissions.
Renewable fuel producers and importers generate RINs for each gallon of renewable fuel in the U.S. market that meets greenhouse gas emissions reduction standards established under the Renewable Fuel Standard. Washakie will pay a $3 million penalty under the settlement.
This is the first case under the second Renewable Fuels Standards in which, as a part of a settlement, EPA secured the replacement of invalid RINs by the producer of those RINs. Because Washakie purchased and retired an equal amount of RINs to the number identified as invalid and used for compliance purposes, EPA does not plan to request that the obligated parties who used the invalid RINs replace them. This re