A Supreme Court ruling Friday left the biofuels industry disappointed. The Supreme Court overturned a 2020 appellate court ruling that struck down three small refinery exemptions granted by previous Environmental Protection Agency administrators.
The decision stems from a May 2018 challenge brought against EPA in the U.S. Court of Appeals for the Tenth Circuit by the coalition. The petitioners argued that the small refinery exemptions were granted in direct contradiction to the statutory text and purpose of the Renewable Fuels Standard.
However, because certain elements of the appellate court ruling were left unchallenged and were not reviewed by the Supreme Court, the groups remain optimistic that the Biden administration will discontinue the past administration’s “flagrant abuse” of the refinery exemption program.
A coalition, including the Renewable Fuels Association, National Farmers Union, National Corn Growers Association, and the American Coalition for Ethanol, responded, “we will not stop fighting for America’s farmers and renewable fuel producers.”
Kevin Scott, soybean farmer from Valley Springs, South Dakota, and American Soybean Association president said, “This just means that the Biden administration needs to administer the RFS in a stable and predictable manner that achieves the biofuel-blending, greenhouse gas-reducing benefits that Congress intended when it passed the RFS.”
“SREs should be issued to small refiners only when the economic viability of a refiner is threatened solely because of the RFS, and any gallons exempted can be spread out among others to ensure that biofuel blending targets truly are met,” he adds.
Increased use of biodiesel and other renewable diesels reduce greenhouse gas emissions by an average of 74% compared to petroleum diesel, providing a proven and immediately available method to take meaningful steps to address climate change. ASA urges the Biden administration to significantly increase renewable fuel obligations for 2021, 2022, and beyond.
NAFB News, ASA Press Release
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