Big Setback for E15: API Withdraws Support for Biofuel Expansion, Citing Market Shifts

API said it stands ready to work with Congress to develop a balanced approach to E15 legislation that promotes fuel choice, supports investment certainty, and contributes to a stable and fair marketplace for American consumers.

NASHVILLE, Tenn. (RFD-TV) — The American Petroleum Institute (API) signals that its support of E15 is waning, just as the push for year-round sales was beginning to pick up steam, and offers corn growers a glimmer of hope for greater market expansion for biofuel as they face low prices and harvest record crops. In a letter to Congress, the group cited shifting refinery regulations and market uncertainty as reasons for withdrawing its endorsement of the Nationwide Consumer and Fuel Retailer Choice Act of 2025.

The API released a letter to U.S. House and Senate leaders today (PDF version) saying, in part:

“When the Nationwide Consumer and Fuel Retailer Choice Act of 2025 was introduced, it reflected a set of assumptions about the biofuels and liquid fuels marketplace that have since changed dramatically. Over the past eight months, legislative, regulatory, and market developments have created a substantially different operating environment for refiners and fuel suppliers. These changes have led API to reassess its position and, ultimately, oppose advancement of the Nationwide Consumer and Fuel Retailer Choice Act of 2025 in its current form.”

According to the API, over the past eight months, legislative, regulatory, and market developments have created a substantially different operating environment for refiners and fuel suppliers. These changes led API to reassess its position and, ultimately, oppose the advancement of the Nationwide Consumer and Fuel Retailer Choice Act of 2025 in its current form.

“Recent EPA action on RFS Small Refinery Exemption (SRE) petitions and pending action on potential reallocation of volumes from SREs disrupts established market dynamics by effectively rewarding certain small refineries that have not invested in RFS compliance while punishing those who have,” the API said.

API continues, saying: “Refiners are now navigating shifting federal compliance structures, a patchwork of state mandates, and a biofuels marketplace that is uncertain. As such, any legislative consideration of year-round E15 should reflect today’s realities and not those of prior years. This means adopting a more holistic approach to E15 within a policy framework that considers the needs and challenges of liquid fuels market participants, including those who have made substantial investments in making the RFS function as intended and continue to supply affordable, reliable liquid fuels to American consumers.”

API said it stands ready to work with Congress to develop a balanced approach to E15 legislation that promotes fuel choice, supports investment certainty, and contributes to a stable and fair marketplace for American consumers.

This is a developing story. RFD-TV News will bring you more coverage on this story during Market Day Report and the Rural Evening News.

Related Stories
ASFMRA’s Luke Worrell joined us to discuss farmland market trends, insights from the Illinois Land Values Conference, changing buyer and seller demographics, and the latest outlook on planting progress.
Roger McEowen joins us to explain the USDA appeals process and how farmers should navigate adverse decisions and crop insurance disputes.
EPA’s approval gives citrus growers a new disease-fighting tool against greening at a time when production losses remain severe.
Vermicompost business helps boost soil health from the ground up.
The House is moving forward with debate on the Farm Bill after a lengthy session in the House Rules Committee cleared the legislation for floor consideration.
Data center growth can bring opportunities, but competition for land, water, and power will matter more in rural areas.

LATEST STORIES BY THIS AUTHOR:

New farm bill amendment renames the 1890 National Scholars Program after Rep. David Scott, highlighting support for HBCU ag education.
Kubota Tractor Company President and Army National Guard Veteran Alex Woods discusses the company’s Military Appreciation Month initiatives and long-term support programs for veterans in agriculture.
Dr. Jeffrey Gold explains how springtime brings seasonal changes to agricultural operations and, with them, renewed concerns about safety, allergies, and mental health this week on Rural Health Matters.
ASFMRA’s Dennis Reyman joined us to discuss planting progress, crop trends, grain movement, and farmland market activity in Iowa.
RealAg Radio host Shaun Haney joins us to discuss Canada’s advisory committee and the upcoming USMCA review and its potential impact on agriculture.