A biofuels supporter says 2026 could be a rebound year for the industry.
Monte Shaw, executive director of the Iowa Renewable Fuels Association, says the entire biofuels sector is searching for momentum.
“If we look back, 2025 was not a fun year,” he said. “It was tough for biodiesel, not necessarily great for biodiesel, and a lot of policy was stagnated.”
He tells Brownfield the biggest need is federal approval of year-round E15 legislation, which awaits movement from the congressional E15 Rural Domestic Energy Council.
“There’s a window for Congress to act in February,” he said. “And if they don’t, I think it could be years. This is a really vital next couple of months for us.”
The council has until February 15 to develop bills, and the U.S. House is expected to consider the bills no later than February 25.
Shaw says recent guidance from U.S. Treasury on 45Z was good news, but the industry desperately needs the U.S. EPA to finalize Renewable Volume Obligations.
“The proposal that came out in 2025 was good and then it’s sitting there, and it’s sitting there, and it’s sitting there.”
The EPA’s proposed RVOs were announced last June and would set 2026 biomass-based diesel blending requirements at 5.6 billion gallons and 2027 volumes at 5.86 billion gallons.
Shaw noted that the lack of finalized RVOs has caused many biodiesel plants to idle across the Midwest.
He spoke to Brownfield at the 2026 Iowa Renewable Fuels Summit.
