BILL ANALYSIS

HR9827

BULLISH

To amend the Clean Air Act to modify the definition of renewable biomass for purposes of the renewable fuel standard, and for other purposes.

HR9827 (To amend the Clean Air Act to modify the definition of renewable biomass for purposes of the renewable fuel standard, and for other purposes.) has been assessed with a bullish outlook for investors. The primary sectors impacted are Energy and Agriculture. View the full bill text on Congress.gov.

bullish

Market Sentiment

4/10

Impact Score

Sectors Impacted

Key Takeaways for Investors

HR9827 expands RFS feedstock eligibility, lowering input costs for renewable diesel and biodiesel producers.

Bipartisan sponsorship (11 cosponsors) provides legislative momentum, but the bill is in early committee stage.

Pure-play renewable fuel producers ($CLMT, $DK, $DINO, $GPRE) are structural beneficiaries; broad energy sector impact is minimal.

No appropriation involved; impact is regulatory and dependent on EPA implementation.

Timeline uncertain; passage likely requires multiple sessions and potential Senate companion.

How HR9827 Affects the Market

The bill is currently a low-impact legislative signal, but if it advances, it could improve margin outlooks for renewable fuel producers. $CLMT, $DK, $DINO, and $GPRE are most exposed, as feedstock costs represent 60-80% of operating expenses for renewable diesel. Larger integrated refiners ($VLO, $PSX) are also obligated parties and would benefit from lower RIN prices, but their renewable segments are smaller relative to total revenue. No real market data is provided, so price impact is not estimable. Investors should watch for committee markups and any Senate companion bill as triggers for sector revaluation.

Bill Details

Metric	Value
Bill Number	HR9827
Market Sentiment	bullish
Event Date	July 22, 2026
Affected Sectors	Energy, Agriculture
Source	View on Congress.gov →

Summary

HR9827, a bipartisan bill to expand the definition of renewable biomass under the Clean Air Act's Renewable Fuel Standard, was introduced and referred to the House Energy and Commerce Committee. If enacted, it would increase eligible feedstocks for advanced biofuels, lowering input costs for producers of renewable diesel and biodiesel. The bill is in early stages with no funding attached, but its broad bipartisan sponsorship signals potential legislative traction. Key beneficiaries include pure-play renewable fuel producers like Calumet ($CLMT), Delek ($DK), HF Sinclair ($DINO), and Green Plains ($GPRE).

Full AI Market Analysis

On July 22, 2026, Rep. Cliff Bentz (R-OR) introduced HR9827, a bill to amend the Clean Air Act to modify the definition of renewable biomass for the Renewable Fuel Standard (RFS). The bill has 11 original cosponsors spanning both parties, including Reps. Thompson (D-MS), Westerman (R-AR), and Latta (R-OH). It was referred to the House Committee on Energy and Commerce, the primary panel for energy and environmental legislation. The bill is in an early stage; no further action has occurred, and no companion Senate bill has been introduced. No funding amount is specified — the bill changes eligibility rules, not direct appropriations. The mechanism is regulatory: expanding the definition of 'renewable biomass' to include additional feedstocks such as forestry residues, agricultural residues, and waste oils. This would make more feedstocks eligible for generating RIN (Renewable Identification Number) credits under the RFS, thereby increasing supply and lowering costs for producers of advanced biofuels, biomass-based diesel, and cellulosic ethanol. Obligated parties (refiners) would benefit from greater compliance flexibility and potentially lower RIN prices. For renewable fuel producers, the primary impact is on feedstock procurement: more eligible feedstocks reduce input costs and production risk. Pure-play producers of renewable diesel and biodiesel — such as Calumet ($CLMT), Delek US ($DK), HF Sinclair ($DINO), and Green Plains ($GPRE) — are the most directly exposed. These companies have dedicated renewable fuel facilities that can capitalize on cheaper, diverse feedstock streams. Corn ethanol producers are less affected, as corn is already eligible. The timeline is uncertain: committee hearings, markup, and floor votes are needed, and the 119th Congress runs through 2027. Passage probability is moderate given bipartisan support but early stage. No convergence from related signals is available in the provided data.