New RFS proposal could hurt corn demand

The EPA's new Renewable Fuel Standard (RFS2), announced on May 5, established the first mandatory greenhouse gas reduction thresholds for renewable fuels. This could cause problems for fuels with heavier carbon footprints, such as corn-based ethanol.

Under the proposal, emissions will be evaluated over the full lifecycle of the fuel, including production and transport of feedstock; land use change; production, distribution, and blending of the fuel; and end use. Renewable fuels from facilities bu