Illinois reaches B20 milestone

Clean Fuels Alliance America applauded Illinois for moving to a B20 biodiesel-blend requirement, a major milestone that strengthens the state’s leadership in expanding the use of cleaner, domestically produced fuels. 

Effective April 1, the minimum biodiesel blend required to qualify for Illinois’ state sales-tax exemption increases from B17 to B20, representing the final phase of landmark bipartisan legislation passed in 2022.  

The policy exempts qualifying biodiesel blends from the state’s 6.25 percent sales tax, creating a powerful market incentive to drive adoption. 

“This is a clear example of how smart, consistent state policy can accelerate clean-fuel use while delivering real economic benefits,” said Jeff Earl, the director of state governmental affairs at Clean Fuels. “Illinois has created a model that supports farmers, strengthens fuel markets and improves air quality all at the same time.” 

According to the GlobalData study “Economic Impact of Biodiesel on the U.S. Economy 2024,” the biodiesel industry generates $3.2 billion in annual economic activity in Illinois and supports 8,100 jobs across the state.  

Increased adoption of higher biodiesel blends is expected to further strengthen these economic benefits. 

The legislation was spearheaded and guided through the legislative process by the Illinois Soybean Association, with support from Clean Fuels and several of its member companies.  

The policy underscores the critical role of soybean growers and the broader agricultural sector in advancing low-carbon fuel solutions. 

“Illinois’ leadership demonstrates what’s possible when policymakers, farmers and industry work together,” Earl added. “This B20 milestone is not just a win for clean fuels, it’s a win for rural communities, the environment and energy security.”