The U.S. Environmental Protection Agency has unveiled a proposal for unprecedented Renewable Fuel Standard (RFS) volume requirements for 2026 and 2027, drawing praise from agricultural and biofuel industry leaders. The proposal includes an implied obligation of 15 billion gallons for conventional biofuels and an effective target of 5.61 billion gallons for biomass-based diesel.
Devin Mogler, President and CEO of the National Oilseed Processors Association, commended the administration's approach: "We applaud the administration for recognizing the need to reduce the RIN value for biofuels made from imports of tallow and so-called 'used cooking oil' which have been displacing U.S. soybean oil – harming farmers and biofuel producers alike for years."
The proposal aims to strengthen American energy security by reducing reliance on foreign sources of oil and promoting domestic biofuel production. EPA Administrator Lee Zeldin emphasized the creation of a new system benefiting American farmers while mitigating impacts on gas prices.
Emily Skor, CEO of Growth Energy, highlighted the economic impact: "Today's proposed RVOs secure an economic lifeline for the nation's farmers and ethanol producers. EPA's proposal will unlock investments, create jobs, and support growth in rural America."
The plan introduces a novel approach by assigning only 50% of the value to foreign biofuels and feedstocks compared to domestic sources. This move is expected to decrease reliance on imports and enhance American energy security.
Geoff Cooper, President and CEO of the Renewable Fuels Association, stated: "Today's proposal is an important step toward achieving President Trump's vision of lower gas prices, a stronger agriculture industry, and American energy dominance."
The proposal has been well-received by various industry stakeholders, with many viewing it as a crucial step in supporting domestic agriculture and renewable energy production. Kenneth Hartman Jr., President of the National Corn Growers Association, expressed gratitude for the timely release of "robust RVO numbers," noting the importance of a stable biofuels industry for corn farmers nationwide.
