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EPA grants dozens of SREs to dismay of biofuels industry

September 1, 2026 |

In Washington, the U.S. Environmental Protection Agency has granted dozens of new small refinery exemptions from 2025 Renewable Fuel Standard blending requirements and laid out a proposed plan to restore the lost renewable fuel volume in the near future.

Of the 34 pending exemption petitions, EPA granted full exemptions to 18 and partial (50 percent) exemptions to 11. It also denied three petitions and determined two petitions to be ineligible. This represents a total of 1.76 billion exempted RINs, or renewable fuel blending credits. EPA simultaneously announced it will propose to reallocate 100 percent of the newly exempted renewable fuel volume into the 2026 and 2027 renewable volume obligations before the end of October 2026.

EPA’s own analyses show that RIN costs for all refiners—big and small—are passed along to buyers of refined fuels at the wholesale level, and those costs are offset when lower-cost renewable fuels are blended with gasoline.

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Category: Policy

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