Two major biofuel organizations, Growth Energy and the Renewable Fuels Association (RFA), have expressed support for the U.S. Supreme Court’s decision to review petitions regarding the administration of small refinery exemptions (SREs) under the Renewable Fuel Standard (RFS). In a joint statement, the groups emphasized the importance of the Court's involvement in settling a legal issue that has sparked debate across the U.S. refining and biofuel industries.
"The Fifth Circuit was clearly an improper venue to hear challenges on small refinery exemptions (SREs)," the statement read. "Because the Fifth Circuit opinion set up a clear split with several other Circuit courts on the question of venue, this is precisely the sort of issue that the Supreme Court is meant to resolve."
The RFS program, designed to promote renewable fuel use, has been a focal point for disputes over SREs, which allow certain refineries to avoid compliance with biofuel blending requirements. Biofuel advocates argue that misuse of these exemptions undermines demand for biofuels, negatively impacting both farmers and bioethanol producers.
"The refining community's abuse of small refinery exemptions destroys demand for biofuels nationwide," the groups said. "The decision in this case should strengthen the RFS by giving biofuel producers and their farm partners the certainty they deserve."
The Supreme Court's decision to grant certiorari could lead to a definitive ruling on how SREs are administered, potentially reshaping the balance between refiners and the biofuels industry under the RFS.
