The Trump Administration has chosen not to appeal a 10th Circuit Court of Appeals ruling which would sharply reduce the use of waivers exempting refineries from biofuel requirements laid out in the U.S. Renewable Fuel Standard (RFS), reports Reuters.

Small refineries, such as CVR Refining, LP refinery in Wynnewood, Okla., and the HollyFrontier refineries in Cheyenne, Wyo., and Woods Cross, Utah, face being put out of business by the decision, according to Oil & Gas Journal.

RFS mandates that oil refineries are required to either blend billions of gallons of ethanol into their gasoline every year, or purchase credits in leu of the biofuel. Smaller refineries often op to purchase credits to avoid the large expenses of making the biofuel themselves, reports Oil & Gas Journal.

Meanwhile, Renewable Fuels Association argues that biofuel waivers erode demand for corn-based ethanol and harm American farmers.

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