Today, Gov. Kim Reynolds signed into law HF2128, the Biofuels Bill. This bill was a top priority of hers, which she introduced to the legislature earlier this year and received strong bipartisan support.
Stations that sell less than 300,000 gallons of gasoline annually or have older tanks and pumping systems that are not compatible with ethanol can apply for waivers, but the rest will have to start selling E-15 by 2026.
The law also requires most retailers that sell diesel to start selling B-20, diesel with 20% of a soybean-based additive. Reynolds signed the bill on a farm near Prairie City. Representatives of the biofuels industry and farm groups as well as several legislators were there.
The law requires any gas stations that are built after January 1st of 2023 to sell E-15 immediately. The plan also includes additional state grants for stations that install blender pumps and equipment that can handle higher concentrations of ethanol and biodiesel. Tax credits for fuel retailers are in the legislation and it also doubles the biodiesel production tax credit.
HF2128 passed the Iowa House with a final vote of 81-13 and passed the Iowa Senate 42-3.
