No. 158 January 14, 2021 TOP STORY U.S. Farm & Biofuel Leaders Condemn Rumors of Last-Minute RFS Waivers America’s top biofuel and farm advocates called on President Trump to reject last-minute attacks on the Renewable Fuel Standard (RFS) and American farmers throughout the country, a plan reported to be under consideration by Andrew Wheeler, administrator of the Environmental Protection Agency (EPA). The following joint statement was issued by Growth Energy, the Renewable Fuels Association, the National Biodiesel Board, the American Farm Bureau Federation, the National Corn Growers Association, the American Soybean Association, the National Farmers Union, and Fuels America:
“Reports indicate that the EPA is considering a last-minute flood of oil industry waivers, along with other regulatory favors, that would sabotage the rural recovery and shatter this administration’s promises to supporters across the heartland. There is no justification for President Trump, Andrew Wheeler, and their allies to award a massive, short-sighted handout to oil companies at the expense of farm communities. While no one benefits from months of economic uncertainty, if the EPA opts to follow this disastrous course, we would expect the Biden administration to act quickly to reverse the damage and put lost gallons back on the market.”
For more information, please contact Vice President of Government Affairs John Fuher.
WORKING FOR YOU IN GOVERNMENT AFFAIRS Senate Democrats Ask Biden to Address RFS Issues
Biofuels Caucus Sends Sharp Message to President IN MARKET DEVELOPMENT Highlight Reel: "The E15 Expressway: Web Chats with Retailers" IN LEGAL Farm & Biofuel Coalition Rejects EPA’s Excuses for Failing to Comply with 2017 Court Order
Update: SCOTUS Announces 10th Circuit Case Review
Update: D.C. Circuit Court Sets RVP Lawsuit Oral Arguments IN REGULATORY AFFAIRS Agriculture and Food-Related Industry Coalition Sends Letter to President-Elect Biden on Infrastructure Requests IN COMMUNICATIONS Skor Highlights Expectations for Incoming Biden Administration
IN GOVERNMENT AFFAIRS Senate Democrats Ask Biden to Address RFS Issues Six Senate Democrats sent a letter to President-elect Biden requesting strong support of our nation’s farmers and biofuels industry, and to restore the integrity of the Renewable Fuel Standard (RFS). Specifically, the senators called on the Biden Administration to direct the Environmental Protection Agency (EPA) to reject pending Small Refinery Exemptions (SREs) by applying the 10th Circuit Court’s decision nationwide, publish Renewable Volume Obligations (RVO) swiftly, approve pending pathway applications for corn kernel fiber ethanol, update EPA’s biofuels emissions modeling, and include biofuels when reaffirming our nation’s commitment to the Paris Climate Accord.
We applaud these senators for outlining top biofuel industry priorities that the incoming President-elect must address in order to begin fulfilling campaign promises made to rural America. Our Government Affairs team will follow up with President-elect Biden's agriculture, environment, and energy teams once they take office.
Biofuels Caucus Sends Sharp Message to President After news reports indicated the EPA would approve several pending SREs from 2019, Growth Energy assisted 23 members of the Congressional Biofuels Caucus in sending a scathing letter to the Trump Administration, urging the president to stop the devastating decision which will hurt our industry at a particularly difficult time.
In the waning days of Administrator Wheeler's EPA, granting these SREs ignores the 10th Circuit Court decision. We're grateful that our Congressional champions and members of the Congressional Biofuels Caucus acted quickly to condemn this administration's last-minute move. For more information, please contact Vice President of Government Affairs John Fuher.
IN MARKET DEVELOPMENT Highlight Reel: "The E15 Expressway: Web Chats with Retailers" Over the past several weeks, CEO Emily Skor spoke with various retailers to hear how offering higher blends has added to their success and increased options for customers. In each web chat, every retailer shared stories of success fueled by the decision to offer E15 at the pump.
Check out the highlight reel of E15 success stories below or on Youtube.
For more information, please contact Vice President of Market Development Mike O'Brien. IN LEGAL Farm & Biofuel Coalition Rejects EPA’s Excuses for Failing to Comply with 2017 Court Order Last week, a coalition of the nation’s largest biofuels and agricultural trade groups filed its reply in support of its motion in the U.S. Court of Appeals in the District of Columbia. The motion, originally filed on November 23, 2020, asks the court to enforce its 2017 decision requiring the U.S. Environmental Protection Agency (EPA) to address its improper waiver of 500 million gallons of biofuel demand in the 2016 renewable volume obligation (RVO).
The coalition, which includes Growth Energy, Renewable Fuels Association, National Biodiesel Board, American Coalition for Ethanol, National Corn Growers Association, National Farmers Union, and National Sorghum Producers issued a statement following the filing:
“EPA should not be allowed to hide behind claims that restoring 500 million improperly waived gallons is an administrative burden that would inconvenience oil industry interests. What’s at stake is the proper implementation of the RFS and the rural communities that rely on its success for their livelihood. As we have made clear, EPA has had the ability and the authority to do the right thing and remedy these lost gallons immediately and on a definite schedule. EPA’s delay and disregard for the court’s directive for more than three years is inexcusable.”
In the July 2017 ruling of the case Americans for Clean Energy et al. v. EPA et al., the court invalidated the EPA’s improper waiver of 500 million gallons in the 2016 RVO and ordered EPA to revisit the rule. The court held that EPA’s interpretation of the “inadequate domestic supply” waiver provision “runs contrary to how the Renewable Fuel Program is supposed to work.” To date, EPA has failed to open any proceedings to reconsider the 2016 RVO and has not restored the 500 million lost RIN gallons.
In the reply brief filed last week, the coalition reasserts that EPA’s delays in remedying the improper waiver are unreasonable and confirms that the court has the authority to require EPA to issue a 500 million gallon “curative obligation” to make up lost gallons, and to do it now.
Update: SCOTUS to Hear 10th Circuit Case The U.S. Supreme Court has agreed to take up the oil industry's challenge to the 10th Circuit's decision on Small Refinery Exemptions (SREs) that was decided almost a year ago. The Supreme Court review will be limited to the narrow question of whether a refinery must have received an exemption in all prior years as a condition of eligibility for an SRE in any given year. As you may recall, the 10th Circuit held that the term "extension" in the SRE provisions of the Clean Air Act must be read as establishing such a requirement.
It is possible that the case could be heard by the Court as soon as April, with a decision possible by the end of the Court's term in June. While we are disappointed in the Court's decision to hear this case, it does not mean that the outcome of the case is preordained. We will be following the case closely and will update you on any developments and impacts on our SRE litigation.
Update: D.C. Circuit Court Sets RVP Lawsuit Oral Arguments The District of Columbia Circuit Court has set oral argument in the pending Reid Vapor Pressure (RVP) lawsuit for February 19, 2021. As you may remember, EPA's RVP rule, issued in June 2019, extends the RVP waiver to E15 year-round. As intervenors in the RVP lawsuit, Growth Energy, the Renewable Fuels Association, and the National Corn Growers Association will likely have an opportunity to support EPA in its defense of the rule during oral argument. We will keep you updated as the case progresses. For more information, please contact General Counsel Joe Kakesh.
IN REGULATORY AFFAIRS Letter: Ensuring Resiliency of the Food and Agricultural Supply Chain As part of an agriculture and transportation coalition, Growth Energy joined in sending a letter to the incoming Biden Administration asking for the advancement of transportation and infrastructure and policies that would enhance the efficient and cost-effective transport of agricultural and food products.
The letter highlights supply chain disruptions that industries across the country experienced at the early stages of the COVID-19 pandemic. Through these disruptions, the critical importance of a strong transportation infrastructure and flexible transportation policy was reinforced to many, but more needs to be done to institutionalize the lessons learned to ensure resiliency of the food and agricultural supply chain. For more information, please contact Senior Vice President of Regulatory Affairs Chris Bliley.
IN REGULATORY AFFAIRS Skor Highlights Expectations for the Incoming Biden Administration In a recent interview with Farm Journal, CEO Emily Skor highlighted her expectations for the incoming Biden Administration to fulfill campaign promises and restore integrity to the RFS.
"We have high expectations,” says Skor. “Mr. Biden campaigned very strong on the trail on the importance of biofuels, not only for revitalizing the rural economy, but also for addressing climate change. So, he campaigned with very strong statements of support for the Renewable Fuel Standard. He very severely admonished the Trump administration’s EPA for its abuse of the small refinery exemptions. So, certainly within the first 100 days, there's going to be opportunities for the EPA, in particular, to take action to right the ship and restore integrity to the Renewable Fuel Standard. “
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