EPA Locks in Record-High Biofuel Mandates for 2026--2027


   
   HOUSTON, TX (DTN)-- The U.S. Environmental Protection Agency announced its 
Renewable Fuel Standard (RFS) rule for biodiesel and renewable diesel 
production, which increases by more than 60% blending volume requirements for 
2026 and 2027 compared to 2025, setting the highest levels in the program's 
history.

   The final rule sets advanced biofuel requirements at 10.82 billion Renewable 
Identification Numbers (RINs) in 2026, increasing to 10.98 billion RINs in 
2027, according to an EPA statement released late Friday (3/27).

   EPA will maintain the 15 billion conventional biofuel level for 2026 and 
2027, "to provide continued certainty for American corn growers and ethanol 
producers," the agency stated.

   The rule also includes a 70% reallocation of small refinery exemptions 
granted for 2023 through 2025

   EPA estimates that the rule will generate over $10 billion for rural 
economies and create over 100,000 new jobs in the agricultural and 
manufacturing sectors.

   To meet the historic volume levels, EPA estimates that biodiesel and 
renewable diesel production and use will need to increase by more than 60 
percent compared to 2025 volumes -- the final year under the previous 
administration's RFS framework.

   Table: EPA RFS "Set 2" Final Rule 2026 & 2027

   Renewable Fuel Volume Requirements (billion RINs unless noted)


Fuel Category         2026 Volume2027 VolumeNotes                         

Conventional Biofuel  15.00 B    15.00 B    Maintained at statutory cap   
(Corn Ethanol)        gallon     gallon                                   

Biomass-Based Diesel  8.86 B RINs8.95 B RINs~5.4?5.5 bil. gal.; +60% vs.  
(BBD)                                       2025                          

Advanced Biofuel      10.82 B    10.98 B    Includes BBD, cellulosic &    
                      RINs       RINs       other advanced                

Total Renewable Fuel  Highest on Highest on Highest in RFS program history
                      record     record     (20 yrs)                      

SRE Reallocation      70%        70%        Small Refinery Exemption      
(2023?2025)           reallocatedreallocatedvolumes redistributed         


   Source: U.S. EPA, March 27, 2026

   One RIN = one ethanol-equivalent gallon of renewable fuel




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