South Dakota Opens Applications for E15 Fuel Tax Refund Program
PIERRE, S.D. – January 2, 2026 – The South Dakota Governor’s Office of Economic Development (GOED) has officially opened the application period for the E15 Fuel Tax Refund Program. This initiative aims to promote the use of ethanol blended gasoline across South Dakota, offering significant financial incentives to fuel marketers within the state.
The E15 Fuel Tax Refund Program is a forward-thinking approach designed to reinforce South Dakota’s commitment to alternative energy sources and fuel efficiency. Applications for this program are being accepted from January 1 to January 30, 2026. Through this program, the GOED is providing a refund of up to 5 cents per gallon for ethanol blended gasoline classified as E15. This refund is applicable to E15 gallons sold and dispensed throughout South Dakota during the previous calendar year, with eligibility spanning from 2025 through 2029.
The refund is an incentive available to licensed marketers, empowering them to embrace alternative fuel options and support the state’s agricultural achievements in ethanol production—a sector where South Dakota plays a key role. Qualified marketers must meet the alternative fuel compatibility requirements established by the South Dakota Department of Agriculture and Natural Resources. More detailed program information and the necessary application materials can be accessed at the official GOED website.
South Dakota, known for its vast plains and agricultural prowess, has a longstanding tradition of leadership in renewable energy production. Ethanol, derived primarily from corn, is one of the state’s key agricultural outputs, contributing significantly to the local economy. By incentivizing the use of ethanol blends like E15, the state not only supports local farmers but also works towards reducing greenhouse gas emissions.

South Dakota Governor’s Office of Economic Development
Ethanol production is widely supported by South Dakota’s agrarian communities. The fuel’s production uses up significant portions of the state’s corn crops, thereby bolstering the incomes of South Dakota farmers. This program enhances economic opportunities for marketers to embrace clean fuel technologies and support local economies.
The South Dakota Department of Agriculture and Natural Resources plays a vital role in guiding compatibility standards for this initiative. These standards ensure that marketers aligning with the E15 Tax Refund Program are well-equipped to handle changes associated with alternative fuel management, thus promoting efficiency and sustainability in fuel distribution across the region.

South Dakota Department of Agriculture and Natural Resources
The initiative is not only a step towards improving air quality but also aligns with the global shift towards renewable energy sources. By providing financial incentives to fuel marketers, South Dakota is paving the way for a cleaner, more sustainable future, emphasizing the state’s strategic approach in managing natural resources wisely.
Local marketers like John Smith from Rapid City express optimism about the program. “This kind of support is crucial for us. It enables marketers to invest in infrastructure that supports ethanol sales, contributing to a sustainable future for all,” he shares.
For more insights and to access application forms, interested parties can visit the South Dakota GOED website. This program represents an important opportunity for fuel marketers to be at the forefront of energy innovation and environmental stewardship in South Dakota.
The Governor’s Office encourages all eligible marketers to participate in this program and contribute to advancing South Dakota’s leadership in renewable energy. As the world shifts towards sustainable energy solutions, South Dakota remains committed to being a leader in these initiatives, aligning local developments with global trends in renewable energy.

E15 Fuel Tax Refund Program
The E15 Fuel Tax Refund Program is more than a policy; it’s a testament to South Dakota’s vision for a sustainable future and an investment in its people and their resources.