Grassley: SRE rule to reflect Sept. 12 Oval Office agreement

By Erin Voegele | December 10, 2019

Sen. Chuck Grassley, R-Iowa, said on Dec. 10 Trump administration officials have assured him that the U.S. EPA’s rule regarding agency’s plan to reallocate future Renewable Fuel Standard volumes lost to small refinery exemptions (SREs) will be finalized according to the agreement reached in the Oval Office on Sept. 12.

Grassley made the comments during a media call held on Dec. 10. He said he met with President Trump in the Oval Office on Nov. 19 and talked about the EPA’s supplemental notice of proposed rulemaking regarding the reallocation of SREs. National Economic Council Director Larry Kudlow was in attendance at the meeting, Grassley said, while U.S. EPA Administrator Andrew Wheeler was on the phone.

“I reminded the president of the deal that we had on Sept. 12 and the need to account for actual waived gallons to send an unambiguous signal to the marketplace,” Grassley said. “After the meeting I followed up with Director Kudlow and we talked again on the phone last Friday. I believe that Kudlow understands why the market reacted negatively to the proposed rule. That’s because it doesn’t trust the EPA will follow the Department of Energy recommendations. Director Kudlow agreed the rule needs more clarity. And I also OMB Acting Director [Russell] Vought on Friday and he assured me that he’d work to ensure the rule is finalized according to the agreement that was made on Sept. 12, reiterated to us on Nov. 19.”