The Trump administration announced a record increase to the renewable fuels mandate, increasing the Renewable Volume Obligation (RVO) oil refineries are required to blend - from 22.33 billion gallons to 25.98 billion gallons. (Photo courtesy of SDFU)
SOUTH DAKOTA FARMERS UNION: March 27 the Trump administration announced a record increase to the renewable fuels mandate which could have a positive impact on South Dakota’s corn and soybean farmers because the crops are used to produce ethanol and biodiesel.
The mandate increases the Renewable Volume Obligation (RVO) oil refineries are required to blend – from 22.33 billion gallons to 25.98 billion gallons.
“Family farmers have not had a lot of good news in the marketplace lately, so this increase to a domestic demand for corn and soybeans so that oil refineries can meet their Renewable Volume Obligation (RVO) by blending more ethanol and biodiesel gives us some hope as we go into the 2026 planting season,” said Doug Sombke, President of South Dakota Farmers Union.
Motivated by the war in Iran, the increase to the RVO also gives consumers the opportunity to buy U.S. produced fuel, the fourth-generation Brown County corn and soybean farmer explained.
“This gives people the choice,” Sombke said. “Do you want to use a homegrown fuel that’s renewable, or do you want to use a fuel produced outside of the U.S. that is bad for the environment?”
The mandate goes into effect in 2027. To learn more about how South Dakota Farmers Union advocates for renewable fuels, visit www.sdfu.org.
