We did a post 18 months ago about the EPA’s requirement that refiners blend a specific amount of celluosic ethanol into gasoline. If they didn’t blend the required amount, the refiners could obtain a “waiver” by paying the federal government $1.13 for every gallon of celluosic ethanol they didn’t consume.
For 2012 refiners had to blend 8.7 million gallons of celluosic ethanol into gasoline, There was only one problem…celluosic ethanol didn’t exist then, and still doesn’t. Undaunted by that mere technicality, the EPA continued to demand refiners purchase “waivers”.
Last week, sanity prevailed. But not because the EPA realized the stupidity of its rule.
The United States Circuit Court for the District of Columbia (the same court that ruled on Friday that President Obama’s “recess” appointments to the NLRB were void) had to enforce sanity.
The court ordered the EPA to reevaluate the 2012 cellulosic standards and have a more realistic mandate in future years. Since no cellulosic was commercially produced in 2012, API [American Petroleum Institute] contends the mandate for 2012 should be set at zero. For 2013 and beyond, API has asked that EPA base projections on at least two months of actual production, rather than “wishful thinking.”
Could someone please explain to me why it took a Federal Circuit Court of Appeals to order sanity?