D6 RINs support RVO to seventh day of highs
Higher ethanol RINs nudged the Argus Renewable Volume Obligation (RVO) upward today to a fresh all-time high for the seventh straight day.
The Argus RVO rose day on day by 0.08¢/USG to 21.46¢/USG.
Current year ethanol D6 RIN credits rose by 1¢/RIN to 180¢/RIN as biomass-based diesel D4 credits were flat at 186.75¢/RIN. Cellulosic biofuel D3 credits fell by 1.75¢/RIN to 320.75¢/RIN.
Recently, uncertainty over ongoing court battles and no RVO for the ongoing year have led to higher demand, which translated into increasing RIN values.
Strong demand from buyers seeking RINs to cover booked fuel cargoes from Europe with the Colonial Pipeline down because of a ransomware attack provided additional support to the RVO.
The Argus RVO is an assessment of the per-gallon cost to comply with the US Renewable Fuel Standard (RFS), which requires that refiners, importers and certain other companies each year ensure minimum volumes of renewables blend into the gasoline and diesel they add to the US transportation fuel supply.
Obligated parties submit RINs representing each ethanol-equivalent gallon of blended fuel to prove compliance with the mandate.
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