EPA Ditches Electric Fuels While Boosting Plant Power for 2026
Published Date: 6/17/2025
Proposed Rule
Summary
The EPA is setting new fuel rules for 2026 and 2027 to boost cleaner, renewable fuels like biofuels and biomass diesel. They’re also easing 2025’s cellulosic biofuel goals because there’s not enough fuel being made. Plus, they’re changing how some imported and electric renewable fuels count, which could affect fuel producers and sellers starting soon.
Analyzed Economic Effects
4 provisions identified: 1 benefits, 3 costs, 0 mixed.
2026–2027 Renewable Fuel Targets
The EPA is proposing new volume and percentage standards for 2026 and 2027 for cellulosic biofuel, biomass-based diesel (BBD), advanced biofuel, and total renewable fuel. The proposal is intended to boost cleaner renewable fuels for those years and would set new obligations that fuel producers and sellers must meet.
Partial Waiver of 2025 Cellulosic Volume
EPA is proposing to partially waive the 2025 cellulosic biofuel volume requirement and to revise the associated percentage standard because cellulosic biofuel production is short of the statutory amount. This proposal would reduce the 2025 cellulosic blending obligation compared with the original requirement.
Fewer RINs for Imported/Foreign Fuels
EPA is proposing to reduce the number of Renewable Identification Numbers (RINs) generated for imported renewable fuel and for renewable fuel produced from foreign feedstocks. That change would affect how many compliance credits importers and foreign-feedstock producers can claim.
eRINs Removed from RFS Program
EPA is proposing to remove renewable electricity (eRINs) as a qualifying renewable fuel under the RFS program. Companies that planned to use or generate eRINs for RFS compliance would no longer be able to count renewable electricity toward RFS volumes under this proposal.
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