By Blake Jackson
The Wisconsin Soybean Association (WSA) is calling the administration to oppose a proposed expansion of small refinery exemptions under the Renewable Fuel Standard (RFS).
Reports suggest exemptions for the 2025 compliance year could surpass 1.8 billion Renewable Identification Number credits. That figure is nearly double the level anticipated by the Environmental Protection Agency when it established renewable fuel requirements for 2026-27.
The American Soybean Association estimates that exemptions of this scale could reduce biomass-based diesel demand by about 500 million gallons and potentially cost U.S. soybean farmers nearly $1 billion in lost revenue.
“The American biofuels industry is responsible for immense economic gain to Wisconsin soybean farmers,” said ASA Treasurer and Wisconsin farmer Tanner Johnson.
“Cutting volumes now would set farmers and the biofuels industry back a great deal and only help the oil refiners at a time when they’re experiencing record profits,” Johnson added.
WSA acknowledges that small refineries can qualify for exemptions when they demonstrate disproportionate economic hardship. However, the association argues that widespread exemptions could undermine the RFS and reduce demand created through required blending levels.
“We strongly support an all-of-the-above energy strategy that includes American-grown biofuels,” said WSA Vice President Matt Rehberg. “Soy-based biodiesel and renewable diesel support farmers, rural jobs and domestic energy production. The administration should stand with American agriculture and protect the biofuel demand it worked to create.”
WSA is encouraging Wisconsin soybean producers to contact federal officials through the Soy Action Center and share how lower soybean and biofuel demand could affect their farms and communities.
Photo Credit: wisconsin-soybean-marketing-board
Categories: Wisconsin, Crops, Soybeans, Government & Policy