EPA’s Renewable Fuel Proposal Boosts Volumes

Jul 08, 2025

By Faith Parum

The Environmental Protection Agency (EPA) published a Notice of Proposed Rulemaking (NPRM) on June 13 to increase Renewable Fuel Standard (RFS) volumes. Renewable fuels are produced from feedstocks — raw materials such as corn, soybeans, used cooking oil, and animal fats.

The NPRM includes higher volume targets for advanced fuels like cellulosic biofuel, which is made from crop residue, and biomass-based diesel, which is derived from soybean oil or animal fats. The proposal would also limit the use of imported materials to generate Renewable Identification Numbers (RINs), which are credits used to track compliance with RFS requirements. This change is intended to make U.S.-grown crops more competitive.

Overall, the proposal would help preserve demand for American feedstocks and expand market opportunities for U.S. farmers. This Market Intel outlines the proposed changes to the Renewable Fuel Standard and examines their potential impact on agriculture.

Renewable Fuel Standard Background

Created in the Energy Policy Act of 2005 to reduce greenhouse gas (GHG) emissions, reduce reliance on imported oil and grow the nation’s renewable fuels sector – and the domestic feedstocks that go into it, like corn and soybeans – the RFS program requires specific volumes of renewable fuel, called Renewable Volume Obligations (RVOs), to be blended into U.S. transportation fuel each year.

EPA sets these RVOs across four categories: total renewable fuel, advanced biofuel, cellulosic biofuel and biomass-based diesel.

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