# EPA’s 3.5% solution

> EPA finalized Renewable Fuel Standard volumes for 2023, 2024 and 2025 with an unexpected change: it raised EIA's projections of obligated gasoline and diesel by 3.5 percent annually. The adjustment is tied to past discrepancies between projected and reported obligated volumes, and it works like small refinery exemptions granted after the final rule.

- Date: 2023-08-14 · published 2023-08-14T12:00:00.000Z
- Category: policy · region US · magnitude medium
- Page: https://feedsoft.ai/events/15282-epa-s-3-5-solution
- Commodities: [Soybean Oil](https://feedsoft.ai/c/SBO.md)

## Why it matters

Higher obligated fuel volumes raise the required renewable volume, which supports biomass-based diesel demand and soybean oil use. That is supportive for soybean oil prices.

## Read by commodity

- SBO: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| SBO | 2018-06-26 | [Reaction to EPA's proposed new RFS quotas](https://feedsoft.ai/events/64403-reaction-to-epa-s-proposed-new-rfs-quotas.md) | -0.6% | -2.4% |
| SBO | 2016-11-23 | [EPA Releases 2017-18 RFS Volumes - American Soybean Association](https://feedsoft.ai/events/73743-epa-releases-2017-18-rfs-volumes-american-soybean-association.md) | +6.7% | +4.5% |
| SBO | 2018-07-19 | [Soy Growers to EPA: Turn Up the Volume - American Soybean Association](https://feedsoft.ai/events/63921-soy-growers-to-epa-turn-up-the-volume-american-soybean-association.md) | +1.2% | -0.7% |
| SBO | 2018-06-26 | [EPA Increases Proposed RFS Volumes - American Soybean Association](https://feedsoft.ai/events/64402-epa-increases-proposed-rfs-volumes-american-soybean-association.md) | -0.6% | -2.4% |
| SBO | 2018-10-19 | [Biodiesel board says EPA needs to end biodiesel 'demand destruction'](https://feedsoft.ai/events/62410-biodiesel-board-says-epa-needs-to-end-biodiesel-demand-destruction.md) | -2.2% | -4.6% |

## Sources

- biobased-diesel.com: https://www.biobased-diesel.com/post/epa-s-3-5-solution

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.