June 10, 2026
When you have a client dinner expense, do you struggle with submitting it under Meals or Entertainment? Neither option is wrong, exactly, but choosing the right one aligns the expense with the budget, makes the review process faster, and complies with accounting standards.
Think of RIN Separation Reasons like the options for submitting business expense report. You could probably make a case for a client dinner under Meals or Entertainment. Choosing the right separation reason probably leaves the person transacting RINs feel the same way.
Separation reasons tell EPA why a RIN is being separated from its associated volume of renewable fuel, and selecting the most accurate one keeps your transaction history straightforward.
What is RIN Separation?
Under the Renewable Fuel Standard (RFS), RINs are generated as Assigned RINs attached to a volume of renewable fuel. When the renewable fuel is blended with gasoline or diesel, or used for other defined purposes under the RFS, it must be converted to a Separated RIN – a freely transferable compliance credit. What causes the RIN to be separated must be reported to EPA using the corresponding separation reason.
The Simplest Way to Pick the Right Reason
Start with one question: How is the renewable fuel used? Then pick the best reason that matches the use from the list below.
RIN Separation Reasons
- Blended to Produce a Transportation Fuel: Renewable fuel is blended with non-renewable fuels to produce a finished transportation fuel.
- Used as Heating Oil or Jet Fuel: Renewable fuel is blended with non-renewable fuel to produce heating oil or jet fuel.
- Used in a Non-Road Engine or Vehicle: Renewable fuel is used in a non-road engine or vehicle, such as locomotives, marine diesel engines and certain construction equipment.
- Designated as Transportation Fuel, Used Without Further Blending: Renewable fuel is used directly as a transportation fuel without a blending step, such as neat renewable diesel (R100).
- Designation of Renewable Fuel and Used Without Further Blending as Heating Oil or Jet Fuel: Renewable fuel used directly as heating oil or jet fuel without a blending step.
- Used as Transportation Fuel: This reason is relatively new, and is used to separate RNG RINs when converted to compressed or liquid natural gas (CNG/LNG) for transportation fuel.
- Export of Renewable Fuel: Renewable fuel is being exported out of the contiguous United States. The associated RINs must be separated and then retired.
- Receipt of Renewable Fuel by Obligated Party: An obligated party receives renewable fuel and separates the RINs at the point of receipt.
- Upstream Delegation for Blending: An obligated party has formally delegated its blending obligations upstream.
Questions About Which Reason is Right for Your Situation?
If you’re ever uncertain, the safest path is to check with your compliance team. It’s much easier to select the right reason upfront than to fix a RIN transaction later.
And while we can’t help you determine how to expense your next client lunch, RINAlliance helps clients navigate separation transactions with our RIN management platform.
Get in touch to schedule a consult or demo.