EPA Likely to Propose RFS Volumes Below Industry Expectations

Jun 16, 2025

By Ryan Hanrahan

Reuters’ Stephanie Kelly and Jarrett Renshaw reported Thursday that “the U.S. Environmental Protection Agency on Friday will propose new biofuel blending requirements for oil refiners for the coming two years that will likely include a lower biomass-based diesel mandate than industry groups had requested, according to four sources familiar with the matter.”

“The White House has completed its review of the EPA’s plan and returned it to the EPA for further action, according to the website for the Office of Management and Budget. The EPA is expected to announce the proposal on Friday, the sources said,” according to Kelly and Renshaw’s reporting. “The oil and biofuel industries, both major lobbying powers in Washington, have highly anticipated the release of the proposal, which will determine the fate of billions of dollars in fuel and tradable credit transactions.”

“A U.S. and biofuel coalition led by the American Petroleum Institute advocated in recent months that the EPA propose federal mandates for biomass diesel blending for 2026 at 5.25 billion gallons, which would be a significant increase from previous mandates, Reuters previously reported, citing sources,” according to Kelly and Renshaw’s reporting. “However, sources told Reuters on Thursday that the EPA was expected to propose biomass-based diesel blending quotas lower than 5.25 billion gallons. The EPA had set biomass-based diesel mandates for the 2025 compliance year at 3.35 billion gallons.”

“The agency said it would post the proposal on the EPA’s website once Administrator Lee Zeldin signs it,” Kelly and Renshaw reported.

Source : illinois.edu

Video: Understanding the Basics of the Renewable Fuel Standard

On Friday, April 24, 2026, from 12 noon–1:00 ET, the Penn State Center for Agricultural and Shale Law, alongside the Pennsylvania Department of Agriculture’s (PDA) Agricultural Business Development Center (ABDC), presented this webinar in the Understanding Agricultural Law Educational Series, a course designed to develop subject matter literacy and competence on fundamental issues of agricultural law for attorneys and business advisors who work with or represent agricultural or rural clients but may not necessarily specialize in agricultural law:

“Understanding the Basics of the Renewable Fuel Standard”

The Clean Air Act’s Renewable Fuel Standard (RFS) program requires transportation fuel sold in the United States to contain a minimum volume of renewable fuels such as ethanol, biodiesel, or advanced biofuels. Established by the Energy Policy Act of 2005 and later expanded by the Energy Independence and Security Act of 2007, the RFS is implemented by the U.S. Environmental Protection Agency (EPA) in collaboration with the Department of Energy and the U.S. Department of Agriculture (USDA).

This webinar provides an overview of the legal authority and structure for the RFS program and explain how it works, including the program’s system of Renewable Identification Numbers (RINs) and categories of renewable fuels. Additionally, this webinar addresses EPA annual volume requirement rulemaking and associated recent legal issues.