Tidbits, Biofuel, Commodity Futures Trading Rules 6/1/26
- Wright team
- 2 hours ago
- 5 min read
Tidbits
Renewable fuel credits for 2026 hit record levels on Thursday and continued their run on Friday, driven by stronger Environmental Protection Agency biofuel mandates and widening price gaps between biodiesel and conventional diesel.
Credits tied to biodiesel and renewable diesel blending, known as D4 Renewable Identification Numbers (RINs), rose to a record $2.32 on Friday. Before the EPA's mandates were announced on March 27, they were trading at around $1.50. The EPA has set biomass-based diesel requirements at 9.07 billion RINs. Each gallon of biodiesel generates about 1.5 D4 RINs, while renewable diesel generates about 1.7, according to the EPA.
Ethanol blending credits for 2026, known as D6 RINs, also hit a record, rising to $2.22 on Thursday.
The primary support for higher prices is the strong EPA mandate. Increased demand has pushed up the cost for producing biodiesel and its key feedstock, soybean oil. Soy oil prices have risen about 27% since late February.
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