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
Dr. Michael Langemeier with Purdue University provided perspective on the improving farmer sentiment and the trends shaping the agricultural economy moving forward.
The sugar policy debate affects prices, trade, and farm stability.
Cattle producers face mounting pressure as U.S.-Mexico trade talks resume, but expanding drought, rising input costs, and policy work to improve the long-term industry outlook.

LATEST STORIES BY THIS AUTHOR:

Delays on year-round E15 keep potential corn demand and fuel savings in limbo.
Three junior heifer exhibitors continue their trek through the Texas Swing at the San Antonio Stock Show, balancing competition, friendship, and life on the road.
Lynn County 4-H students showcase robotics and STEM skills at the San Antonio Stock Show, highlighting how ag education programs are preparing the next generation in agritech.
University of Nebraska President Dr. Jeffrey Gold discusses lingering winter illnesses, shares strategies to boost immunity, and advises rural communities on when to seek medical care on Rural Health Matters.
Nick Westgerdes of the American Society of Farm Managers & Rural Appraisers breaks down farmland values, rental rates, and sales trends in Illinois, while previewing the upcoming land values conference for 2026.
As National FFA Week continues, Ag Teacher Appreciation Day serves as a reminder of the lasting impact ag educators have on students, communities, and the future of American agriculture.