Posted March 24, 2014
Ethanol groups recently petitioned the U.S. Supreme Court, asking the Court to determine whether California’s low-carbon fuel standard (LCFS) violates the dormant commerce clause of the U.S. Constitution, according to an article by Bloomberg BNA available here.
The Renewable Fuels Association (RFS) and Growth Energy filed the petition on March 20, challenging the Ninth Circuit Court of Appeals decision in Rocky Mountain Farmers Union v. Corey. The petition is available here. The Ninth Circuit found that the LCFS does not discriminate against out-of-state commerce and is not an extraterritorial regulation.
The plaintiffs argue that “California, through adoption of the LCFS, has violated the most basic structural features of interstate federalism,” the groups said in a March 20 written statement announcing the filing. The groups continued, “LCFS not only discriminates against out-of-state commerce, but it seeks to regulate conduct in other States in direct contravention of our constitutional structures and at the direct expense of Midwestern farmers and ethanol producers.” A joint statement is available here.
Under the LCFS, state regulators assess different fuels – “from gasoline to ethanol made from corn, sugar or cellulosic materials – and assign each a carbon intensity “score,” according to an Agri-Pulse article available here.
Carbon intensity is measured “from the well to the wheel,” measuring the entire life cycle of the fuel. The purpose of the LCFS is to “push the oil industry to invest in new technology and cleaner fuels like electricity, biofuels, hydrogen and natural gas.”
For more information on renewable energy, please visit the National Agricultural Law Center’s website here.
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