The biofuels industry is awaiting the U.S. EPA’s final rule for blending requirements for 2026 and 2027.
The U.S. EPA has proposed setting 2026 biomass-based diesel blending requirements at 5.6 billion gallons and 2027 volumes at 5.86 billion gallons. Kurt Kovarik with Clean Fuels Alliance America says it’s a significant increase from previous years and more than the biofuels industry requested.
“Which is unbelievable and outstanding,” he says. “If we are in that neighborhood, I think we’ll see immediate reaction in the commodity price and margin opportunity for a biodiesel producer.”
Blending requirements were expected to be finalized by the end of November, but there have been delays due to technical and legal issues, along with a government shutdown.
The EPA tells Brownfield it still plans to finalize its 2026/2027 blending requirements in the first quarter of the year. Kovarik says he was hoping for news by now, but “I think we’re extremely close.”
