Why did AFPM sue the EPA over the 2026–2027 RFS rules, and what is the core legal and economic argument?

AFPM sued the EPA because it deems the 2026–2027 RFS第二批细则 'the most costly version of the Renewable Fuel Standard in U.S. history' and 'the most expensive regulatory rule issued by the current administration.' The core argument is that the rule imposes historically unprecedented compliance costs—exceeding $106 billion industry-wide over two years—with per-gallon compliance costs for gasoline and diesel ranging from $0.26 to $0.35, and reaching over $0.35 per gallon for refined products overall. AFPM’s CEO Chet Thompson stated these costs are unsustainable because the rule is 'neither lawful nor practicable,' violating statutory and procedural requirements, and shifting the full financial burden—including an EPA-estimated $20 billion annual economic cost—to refiners and consumers, while delivering only $4 billion annually in environmental and societal benefits.

What are the estimated total compliance costs of the 2026–2027 RFS rules, and how are those costs distributed across the fuel supply chain?

The total compliance cost for implementing the 2026–2027 RFS rules is projected to exceed $106 billion over the two-year period, with the EPA estimating an annual economic burden of over $20 billion. These costs are borne entirely by refiners and end consumers, as stated explicitly in the text: 'costs ultimately fall fully on refiners and end consumers.' Per-gallon compliance costs are quantified at $0.26 to $0.35 for gasoline and diesel, and the text notes that 'refined product compliance costs have exceeded 35 cents per gallon for the first time in history.' No cost-sharing, subsidies, or mitigation mechanisms are mentioned—the burden is described as absolute and unilateral.

AFPM Sues EPA Over Costly 2026-2027 RFS Rules

Jun 10, 2026

The American Fuel & Petrochemical Manufacturers Association sued the EPA over 2026-2027 Renewable Fuel Standard rules, citing compliance costs exceeding $106 billion and $0.35 per gallon for refiners.

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AFPM Sues EPA Over Costly 2026-2027 RFS Rules

AFPM Sues EPA Over Costly 2026-2027 RFS Rules

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