In March, the Renewable Fuels Association (RFA) and Growth Energy went before the Supreme Court alongside the Environmental Protection Agency (EPA) to challenge the ability of refineries to file lawsuits concerning Small Refinery Exemptions (SREs) in different federal courts. This tactic—known as “forum shopping”—was often used to seek favorable rulings and had led to legal inconsistencies and confusion. In response, Congress clarified that all SRE cases should be heard exclusively by the U.S. Court of Appeals for the D.C. Circuit.
The Supreme Court took up the case after an outlier ruling by the U.S. Court of Appeals for the Fifth Circuit, allowing SRE litigation outside the D.C. Circuit. This ruling caused some disagreement among the circuits, and the Supreme Court ultimately ruled that all SRE litigation must be handled by the D.C. Circuit, ending forum shopping by refineries.
After the decision, RFA and Growth Energy expressed strong support, calling it “a victory for the American biofuels industry and the rural communities that depend on a strong Renewable Fuel Standard.” They emphasized the importance of consistent jurisdiction for SRE cases, noting that allowing 12 different federal courts to take cases would “result in a fractured and inconsistent body of law, causing chaos and confusion in the marketplace.” The groups added that the ruling “gives farmers and ethanol producers much greater certainty about SRE litigation under the RFS.” They reiterated their support for the Renewable Fuel Standard, stating that it is “one of the nation’s most successful clean energy programs.”
