# Who is paying for the biofuels mandate?

> A McKinsey analysis states that RFS compliance costs have become a major expense for US refiners because of higher mandate volumes and rising RIN prices. The average basic ethanol RIN was about 70 cents per gallon in 2017 and fell to about 36 cents in April. The article says refiners still see these costs as a major concern.

- Date: 2018-05-18 · published 2018-05-18T12:00:00.000Z
- Category: policy · region US · magnitude low
- Page: https://feedsoft.ai/events/64924-who-is-paying-for-the-biofuels-mandate
- Commodities: [Soybean Oil](https://feedsoft.ai/c/SBO.md), [Soybeans](https://feedsoft.ai/c/SOY.md)

## Why it matters

Lower RIN prices reduce refiner compliance costs and can ease pressure on refiners to cut biofuel demand. The analysis is a market and cost overview, with no direct new supply or demand shock for grains or meal.

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| SBO | 2025-06-04 | [The latest 45Z update marks a new lap for U.S. biofuels](https://feedsoft.ai/events/10950-the-latest-45z-update-marks-a-new-lap-for-u-s-biofuels.md) | +1.8% | +11.2% |
| SBO | 2019-05-24 | [The Future of Biofuels](https://feedsoft.ai/events/58974-the-future-of-biofuels.md) | +3.0% | +6.2% |
| SBO | 2023-12-21 | [What could be slowing the growth of biofuels?](https://feedsoft.ai/events/15251-what-could-be-slowing-the-growth-of-biofuels.md) | -2.6% | -3.6% |
| SBO | 2025-12-31 | [Biofuel mandates redraw the soybean oil map in South America](https://feedsoft.ai/events/21598-biofuel-mandates-redraw-the-soybean-oil-map-in-south-america.md) | -0.9% | +7.4% |
| SBO | 2019-10-31 | [Biofuel forecast may prop up prices \| The Western Producer](https://feedsoft.ai/events/56664-biofuel-forecast-may-prop-up-prices-the-western-producer.md) | +2.5% | -2.0% |
| SOY | 2019-05-24 | [The Future of Biofuels](https://feedsoft.ai/events/58974-the-future-of-biofuels.md) | +6.8% | +9.9% |
| SOY | 2022-01-11 | [Explainer: What is at stake for the U.S. biofuel blending law in 2022 and beyond \| Reuters](https://feedsoft.ai/events/15426-explainer-what-is-at-stake-for-the-u-s-biofuel-blending-law-in-2022-and-beyond.md) | -1.0% | +14.1% |
| SOY | 2021-05-20 | [The race for green fuel is on](https://feedsoft.ai/events/46967-the-race-for-green-fuel-is-on.md) | -2.3% | -13.6% |

## Sources

- mckinsey.com: https://www.mckinsey.com/industries/oil-and-gas/our-insights/oil-and-gas-blog/who-is-paying-for-the-biofuels-mandate

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