U.S. Sen. Chuck Grassley (R-Iowa) welcomed on Mar. 27 the Environmental Protection Agency’s announcement to raise the Renewable Fuel Standard volume requirements for biomass-based diesel and advanced biofuels to record levels for 2026 and 2027. The EPA also plans to encourage domestic feedstocks over foreign imports and ensure only liquid fuels are included in the program, not electricity.
The decision is expected to have a significant economic impact, with EPA estimating it will generate more than $10 billion for rural economies and create over 100,000 new jobs in agriculture and manufacturing sectors.
“Four biodiesel plants in Iowa closed or idled after the Biden administration set RVOs too low. With today’s announcement, President Trump and Administrator Zeldin are bringing relief for Iowa farmers and biofuel producers and for every consumer who wants lower prices at the pump. Biofuels drive economic growth in rural communities and strengthen U.S. energy independence. That’s why I’m working so hard to get year-round, nationwide E15 enacted into permanent law,” Grassley said.
As part of these changes, starting in 2028 foreign fuels and feedstocks will receive half the Renewable Fuel Standard compliance value compared to American-made products, giving domestic producers an advantage as they prepare for this transition period. Last year, Grassley led more than 45 Senate and House colleagues urging EPA to finalize this policy.
EPA also announced a partial reallocation of previously exempted volumes from small refinery exemptions during compliance years 2023–2025; seventy percent of these volumes will be added back into requirements for 2026 and 2027 after advocacy by Grassley alongside U.S. Sen. Amy Klobuchar (D-Minn.).
Grassley has played a key role since helping establish the Renewable Fuel Standard through legislation such as the Energy Policy Act of 2005, according to his official website. He also supported measures like the Energy Independence Security Act of 2007 which mandated increased use of biofuels by fuel producers by setting a goal of at least thirty-six billion gallons by 2022.
In addition to his legislative work on renewable fuels policy, Grassley actively raises corn and soybeans in Butler County as one of only two farmers currently serving in the Senate according to his official website. He assists Iowans with federal agency matters including whistleblower cases according to his official website, brings experience from previous roles such as state legislator between 1958-1974 according to his official website, factory worker, husband since 1954 with five children according to his official website, political science graduate from University of Northern Iowa according to his official website, Iowa’s longest-serving senator who focuses on bipartisan collaboration according to his official website.
