Argentine Senate approves preliminary biofuel regulation

The Argentine Senate has granted partial sanction to a new regulatory framework for biofuels, which now moves to the Chamber of Deputies. The legislation aims to increase mandatory blending requirements: bioethanol in gasoline will rise from 12% to 15%, and biodiesel in diesel will increase from 7.5% to 10%. These changes are scheduled to take effect 12 months after the law's final passage.

Regional leaders have expressed strong support for the measure. Tucumán Governor Osvaldo Jaldo highlighted that the law provides legal certainty for the sugar cane industry and replaces discretionary presidential decrees with a stable regulatory framework. Similarly, officials from Santa Fe, a major biodiesel hub, noted that the law promotes market transparency, protects investments for non-integrated companies, and encourages competition.

The project also includes measures to prevent market concentration, such as limiting any single company to 20% of the bioethanol volume. The new rules are expected to stimulate production and investment in second-generation biofuels, including sustainable aviation fuel (SAF).