EPA Promises Full Reallocation After Refinery Exemptions Expand

The decisions remove about 1.76 billion Renewable Identification Numbers, or RINs, from 2025 compliance obligations.

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WASHINGTON, D.C. (RFD NEWS) — The Environmental Protection Agency (EPA) granted a new round of 2025 small refinery exemptions but says it intends to restore the resulting lost renewable fuel demand through supplemental 2026 and 2027 blending requirements, a move closely watched by corn and soybean producers.

The agency acted on 34 petitions, granting 18 full exemptions and 11 partial exemptions. It denied three and deemed two ineligible. The decisions remove about 1.76 billion Renewable Identification Numbers, or RINs, from 2025 compliance obligations.

EPA had previously anticipated about 990 million RINs of exemptions. The additional roughly 770 million RINs are expected to be addressed through supplemental rulemaking before the end of October.

Farm and biofuel groups support full reallocation, arguing that it protects demand for ethanol, biodiesel and renewable diesel. Independent refiners counter that shifting obligations raises compliance costs and increases pressure in the RIN market.

Until the supplemental rule is finalized, however, full reallocation remains an announced policy direction rather than a completed regulatory action.

Farm-Level Takeaway: A full reallocation would protect biofuel feedstock demand, but producers still face uncertainty until the EPA completes the supplemental rule.
Tony St. James, RFD News Markets Specialist

Tony St. James joined the RFD-TV talent team in August 2024, bringing a wealth of experience and a fresh perspective to RFD-TV and Rural Radio Channel 147 Sirius XM. In addition to his role as Market Specialist (collaborating with Scott “The Cow Guy” Shellady to provide radio and TV audiences with the latest updates on ag commodity markets), he hosts “Rural America Live” and serves as talent for trade shows.

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