Renewable fuel mandates for 2026 and 2027 are set; some 2025 targets are waived.

US environmental regulators are setting new targets for renewable fuels like ethanol and biodiesel for 2026 and 2027. They are also reducing the 2025 target for a specific type of fuel called cellulosic biofuel because not enough is being produced. Additionally, renewable electricity will no longer count as a qualifying renewable fuel under this program.

This rule sets the volume requirements for renewable fuels that must be blended into gasoline and diesel. It also removes renewable electricity from the program. This means companies that produce renewable electricity will no longer get credits for it under this specific mandate. The waiver for cellulosic biofuel signals that production targets may be difficult to meet for certain advanced fuels.