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New EPA, new decision on RFS
Biden EPA supports Renewable Fuel Standard small refinery provisions.
National Hog Farmer Staff
February 22, 2021
4 Min Read
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The EPA announced today, Feb. 22, that it supports the court's interpretation of the renewable fuel standard small-refinery provisions.
Big news: #EPA announces its support for the Tenth Circuit's interpretation of small refinery exemptions. EPA agrees that the exemption was intended to operate as a temporary measure. SCOTUS will ultimately decide the issue later this year. #RFShttps://t.co/AV02BE6fYT
— Corey Lavinsky (@coreymizzou) February 22, 2021
EPA signals MAJOR change on SREs. This is fantastic news for America’s #biofuel producers, farmers, and consumers. We're grateful the new leadership at @EPA took the time to thoroughly review and carefully assess the 10th Circuit Court’s decision. ... https://t.co/PcRD7aYjiw
— Renewable Fuels Association (@EthanolRFA) February 22, 2021
... We strongly agree with EPA’s conclusion that the SRE was intended to be a temporary measure and are pleased to see the Agency confirming that only previously existing exemptions may be extended.
— Renewable Fuels Association (@EthanolRFA) February 22, 2021
Congress created the RFS program to expand the nation's renewable fuels sector while reducing dependence on foreign oil. It was authorized under the Energy Policy Act of 2005 and expanded under the Energy Independence and Security Act of 2007.
In enacting the RFS program, Congress recognized the need to allow small refineries (those with aggregate crude oil throughput less than or equal to 75,000 barrels per day) to transition into the program. Small refineries were exempted from the RFS program in its earliest years, 2006-2010, after which a small refinery could petition EPA for and receive an extension of its exemption if it could demonstrate the refinery would suffer “disproportionate economic hardship” as a result of complying with its RFS obligations.
In calendar year 2017 (largely for the 2016 RFS compliance year), EPA began granting a large number of petitions for extensions of Small Refinery Exemptions (SREs). By 2018, the number of SREs issued for the 2017 compliance year was more than quadruple the number issued for the 2015 compliance year.
Today, @EPA announces support for 10th Circuit ruling on #RFS – “fantastic news for America’s biofuel producers, farmers, and consumers,” says #biofuel coalition. https://t.co/x8jepfcvZG
— Fuels America (@FuelsAmerica) February 22, 2021
Related: Small refinery waivers knock biodiesel backwards
On January 8, 2021, the U.S. Supreme Court granted the small refineries’ petition for a writ of certiorari asking the Court to review the Tenth Circuit’s holding regarding the SRE eligibility of small refineries that lack an existing exemption. HollyFrontier Cheyenne Refining, LLC, et al. v. Renewable Fuels Assn., et al., United States Supreme Court, Case No. 20-472.
Related: Biofuels coalition challenges EPA’s refinery exemptions
this is good news and I hope the @EPA honors their word on demand killing #RFS SRE waivers. The RFS Integrity Act is still needed to ensure transparency in the small refinery waivers process.https://t.co/fPasWUUyts
— Rep. Dusty Johnson (@RepDustyJohnson) February 22, 2021
Related: Trump denies 'gap-year' refinery exemptions
This is a BIG win for #biofuels. I’ve repeatedly urged the EPA to restore the integrity of the #RFS. I’m glad the EPA finally listened. The Biden administration must uphold the integrity of our biofuel laws & forget about issuing exemptions that mess with the #RFS. https://t.co/HHGzsNtKVk
— Grassley Works (@GrassleyWorks) February 22, 2021
Related: EPA signals new position on small refinery exemptions
IRFA Executive Director Monte Shaw: "Hopefully this signals an end to the dark days of undermining the #RFS through illegal exemptions...and we can look forward to the law being applied in a way that actually grows demand for ethanol and biodiesel blends as was always intended."
— Iowa RFA (@iowafuel) February 22, 2021
Related: Ethanol small refinery exemptions dilemma left to Biden
The EPA is pivoting on renewable fuel policy, saying it agrees with a 10th Circuit Court of Appeals ruling that sharply limits what oil refineries qualify for waivers from biofuel-blending requirements. More on @business. #RFS
— Jennifer A. Dlouhy (@jendlouhyhc) February 22, 2021
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