NCGA Applauds Decision on 2014-16 Renewable Volume Obligations

The U.S. Court of Appeals for the District of Columbia Circuit ruled today in favor of the National Corn Growers Association and other renewable fuels advocates, agreeing with the petitioners that the Environmental Protection Agency (EPA) erred in how it interpreted and used the “inadequate domestic supply” waiver in the Renewable Fuel Standard law in setting renewable fuel volumes for 2014-2016.  

In Americans for Clean Energy et al v. Environmental Protection Agency, the Court vacated EPA’s decision to reduce the total renewable fuel volume requirement in 2016 and remanded the rule to EPA for further consideration.

The following is a statement from the National Corn Growers Association:

“Today’s court decision is a win for farmers, the biofuels industry, and consumers. This ruling affirms our view that the EPA did not follow the law when it reduced the 2014-2016 renewable fuel volumes below levels intended by Congress. The court held that EPA was wrong to interpret the phrase ‘inadequate domestic supply’ to mean ‘inadequate domestic supply and demand.’ We agree with the Court that effectively adding words to the law through this interpretation simply exceeds EPA’s authority.

“We appreciate the Court honoring Congress’ intent. Congress created the Renewable Fuel Standard to help increase American energy independence and provide cleaner fuel choices for consumers by opening a closed fuel market and forcing the oil industry to allow competition in. Whether there is an adequate supply of renewable fuel to meet volume standards is not the same as how much fuel is used. Or, in the Court’s own words, ‘The fact that a person is on a diet does not mean there is an inadequate supply of food in the refrigerator.’

“Corn farmers have done our part to help expand the supply of renewable fuel, as well as help support use of renewable fuels with retailers and consumers. We look forward to working with the EPA to ensure that going forward, the Agency follows the law when implementing the RFS.”