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Wednesday, March 3, 2021

USDA's Vilsack Predicts Far Less Use Of Small Refinery Exemptions

Biofuel policy is already a focal point for USDA Secretary Tom Vilsack, with the USDA chief telling the National Farmers Union (NFU) Monday he has already been working with Michael Regan, nominated to be Environmental Protection Agency (EPA) administrator, to strengthen America's ethanol industry and address the issue of small refinery exemptions (SREs), a politically charged issue during the Trump administration.

“We're not going to see the kind of liberal use of waivers that were granted in the previous administration,” Vilsack predicted. He added that USDA will work closely with EPA to ensure the RFS “is enforced and implemented appropriately,” adding that EPA needs to implement the Renewable Fuel Standard in a way that is “enforced and respected” throughout the administration.

With EPA already stating it backs the 10th Circuit Court of Appeals decision on SREs, it is clear that potentially far fewer of those exemptions will be granted ahead. But the formal action on that front is awaiting a Supreme Court review of the 10th Circuit decision and the conclusion there is not expected until sometime this summer.