RINs Position Management: The Evolution From Compliance to Opportunity



  • David Snider
  • Published: 29 October 2021


“Warning! May contain up to 10% Ethanol!” – Ever wondered why you see this statement at the gas pump? The short answer is because of the Renewable Fuel Standard. This EPA-administered standard uses Renewable Identification Numbers (RINs) as the mechanism to track compliance with the required amount of renewable fuel that must be blended into the transportation fuel sold in the United States. In 2020, this meant that of the 123.49 billion gallons of motor gasoline consumed in the U.S., about 10% came from ethanol. 

In the 15 years since the advent of the Renewable Fuel Standard, the RIN developed into a mature instrument that reshaped the way transport fuels are modeled and valued. Created as a mechanism to track compliance, the RIN became a valuable tool with a wide reach. Active RINs management can have a direct bottom-line effect for parties throughout the value chain, from renewable supply forecasting to achieving a margin edge at retail pumps. It is important to note the value of an RIN is fundamentally rooted in the cost of compliance. As the U.S. continues pushing toward a more renewable future, the cost of compliance will increase. 

Download this whitepaper to discover the challenges various market participants face with their RIN position management, and how to evolve this capability from a compliance requirement into a P&L opportunity.