In a ruling announced June 25, the U.S. Supreme Court delivered an opinion
in HollyFrontier Cheyenne Refining, LLC v.
Renewable Fuels Association, which overturned by a vote of 6 to 3 the 10th Circuit Court of Appeals’ decision that in order to qualify for a hardship exemption under the Renewable Fuel Standard, a small refinery must have received uninterrupted, continuous hardship exemptions for every year since 2011.
Although it does allow for refiners to apply to extend RFS exemptions that have lapsed, it does not change the 10th Circuit decision components of the 10th Circuit’s ruling that refiners must still prove economic harm directly related to compliance with the RFS and that EPA cannot use RIN costs as a cause of economic harm while simultaneously admitting RIN costs are recovered in the refiner’s crack spread.`
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