1. Looks like Trump Admin did not appeal Tenth Circuit SRE ruling. Unless the last second hail Mary legal move by a refiner to seek an "en banc" hearing succeeds, then the Pruitt-SRE program is effectively dead.
2. Key thing to consider is that Federal courts have now twice confirmed that the North Star of the RFS really is the North Star. That is, the RFS is a MARKET FORCING LAW intended to increase the use of biofuels in transportation fuel supply of the US.
3. See the #FDD article last week for a discussion of the North Star of Congressional intent when they passed the RFS. farmdocdaily.illinois.edu/2020/03/epa-an… Love it or hate it, this is the law of the land.
4. What will follow? I think only a brief pause in the #RFSwars while refiners and their allies in the EPA consider their next moves. Expect a major move to put in a RIN price cap justified some way, maybe the current CV emergency. But be sure they will be back.
5. If refiners are boxed in legally (but never under-estimate the creativity of their highly paid lawyers), then the state of play may be back to Congress. This would be much more favorable for ag.
6. My view is that the first priority for ag is to preserve the reallocation of expected SRE gallons in the final 2020 rulemaking. Don't be surprised if first move by refiners is to go after this. EPA would have to redo final 2020 rulemaking.
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