March 27, 2026
Today, the U.S. Environmental Protection Agency (EPA) announced the final Renewable Fuel Standard (RFS) “Set 2” rule, establishing the renewable fuel volume requirements (RVOs) for 2026 and 2027 at the highest levels in the program’s history. In its release, the Trump Administration stated the rule “realigns the program with Congress’ original intent –increasing the use of homegrown American fuels.”
2026 and 2027 RVOs. The final rule maintains conventional biofuel volumes at 15 billion gallons for both years while significantly increasing requirements for advanced biofuels, including biodiesel and renewable diesel. EPA estimates production and use of biodiesel and renewable diesel will need to grow by more than 60% compared to 2025 levels.
2026 and 2027 Renewable Fuel Volume Requirements, SRE Reallocation Volumes, and Total Applicable Volumes (billion RINs)
While the Administration has announced the RVOs, the details of the final rule have not been published. This missing information is necessary to translate the volumes into the RVO percentages and assess the overall impact. News sources anticipate these details later today or early next week.
SRE Allocations. The rule also includes a 70% reallocation of the small refinery exemptions (SREs) for 2023-2025 into the 2026 and 2027 obligations, aiming to balance biofuel demand and with RIN credit stability.
Renewable Electricity and Half RINs. Additional changes include removing renewable electricity from the RFS program and introducing a policy beginning in 2028 that assigns half RINs to non-domestic renewable fuels and renewable fuels made from non-domestic feedstocks.
Overall, the policy supports the Trump Administration’s America first and energy independence agendas.