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EPA Seeks Biofuels Litigation Delay Amid Federal Shutdown, Refiner Opposes

Todd Neeley
By  Todd Neeley , DTN Environmental Editor
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The U.S. Environmental Protection Agency has asked at least one federal court to hold biofuels cases in abeyance during the current government shutdown. (DTN file photo by Joel Reichenberger)

LINCOLN, Neb. (DTN) -- Because of the federal government shutdown the U.S. Environmental Protection Agency filed multiple requests to hold biofuels litigation in abeyance in at least one federal court.

The EPA filed a motion in multiple biofuels cases on Wednesday before the U.S. Court of Appeals for the District Columbia Circuit, and in at least one of those cases the plaintiffs are opposing the agency's motion.

"At the end of the day on Sept. 30, 2025, the appropriations act that had been funding the Department of Justice expired and those appropriations to the department lapsed," the EPA says in the motions.

"The same is true for the majority of other executive agencies, including EPA. The department does not know when such funding will be restored by Congress. Absent an appropriation, Department of Justice attorneys and employees of EPA are prohibited from working, even on a voluntary basis, except in very limited circumstances, including 'emergencies involving the safety of human life or the protection of property.'"

The motion said that if a stay is granted in cases that make a variety of challenges to the Renewable Fuel Standard, then government counsel would notify the court when funds are restored.

"Therefore, although we greatly regret any disruption caused to the court and the other litigants, the government hereby moves for an abeyance of these consolidated cases until Department of Justice attorneys are permitted to resume their usual civil litigation functions," the motion said.

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One refiner petitioner, Alon Refining Krotz Springs, Inc., owned by Delek U.S. Holdings Inc., filed a motion with the DC Circuit Court the same day of the EPA motion, opposing holding that case in abeyance.

"To begin with, there is no legal impediment to EPA meeting its deadlines," the company said.

"As DOJ's plan recognizes, if a court denies a request for a stay, 'the government will comply with the court's order, which would constitute express legal authorization for the activity to continue.'"

The DC Circuit Court announced on Wednesday that it "will continue normal operations" during the shutdown and that "parties remain obligated to meet all scheduled deadlines for filing."

The company said the court had "materially identical contingency plans" during shutdowns in 2013 and 2019.

"So, absent agreement from the parties, the court did not grant 'a single motion seeking a stay' of oral argument 'during the 2013 shutdown' and extended the 'same' 'practice' to motions to stay briefing during the 2019 shutdown," the company said.

In a lawsuit filed by Clean Fuels Alliance and Growth Energy against the EPA in the U.S. District Court for the District of Columbia, so far the agency has not asked the court to place that litigation in abeyance.

In that case the groups sued to press the agency to finalize Renewable Fuel Standard volumes. The groups told that court that all sides could reach a consent decree in the case to finalize the latest RFS volumes by Dec. 31, 2025.

Read more on DTN:

"Fed Shutdown Slows RFS, WOTUS Rules," https://www.dtnpf.com/…

"Renewable Fuel Standard Volumes Rule Likely to Face Delay Because of Reallocation Proposal," https://www.dtnpf.com/…

Todd Neeley can be reached at todd.neeley@dtn.com

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