WASHINGTON, D.C. (RFD NEWS) — The Environmental Protection Agency (EPA) granted one full and two partial small-refinery exemptions while establishing a broader approach for future Renewable Fuel Standard petitions. The agency acted on six requests covering the 2023 and 2024 compliance years from four refineries.
Three petitions were ruled ineligible, while none were denied outright. EPA says it may grant 50 percent relief when a refinery demonstrates partial disproportionate economic hardship.
The agency will generally rely on the Department of Energy hardship matrix unless other economic evidence supports a different result. That framework could shape future exemption decisions nationwide.
When an exempted refinery has already retired renewable-fuel credits, EPA plans to return those credits rather than create replacements. The agency says that method should reduce disruption to credit markets and protect future renewable-fuel investment.
The six decisions do not directly reduce national blending requirements, but the new interpretation could influence ethanol, biodiesel, and renewable diesel demand. Producers will watch whether partial exemptions become more common and how returned credits affect market values.
