Viewpoint: RIN Market Awaits US Policy Clarity
US renewable fuel credits have traded in a narrow range for months but are likely to break out soon, when President Donald Trump's administration provides more clarity on incentives in the new year.
Under the Renewable Fuel Standard, US oil refiners and importers must annually blend different types of biofuels or buy Renewable Identification Number (RIN) credits from those that do. The RIN market is closely watched by producers and marketers of biofuels such as ethanol, biodiesel and renewable natural gas, since higher credit prices make blending economics more attractive.