E-15 Available Locally for the Summer

Today the EPA announced it is exercising emergency powers to grant a volatility waiver for E15, blends of gasoline and 15 percent ethanol. As a result, consumers will continue to have access to the fuel option that is usually 10 to 20 cents per gallon less than E10. Without today’s action, fuel suppliers would have restricted distribution on May 1 and retailers would have been forced to stop selling E15 during the summer beginning on June 1.

“With high fuel prices and recent OPEC oil cuts, ensuring E15 remains available for consumers is great news,” stated Iowa Renewable Fuels Association (IRFA) Executive Director Monte Shaw. “We appreciate all the retailers, consumers, farmers and elected officials who raised their voices in support of E15, and we are glad that EPA listened. E15 sales in Iowa and around that country have greatly increased as consumers become more familiar with its cost-savings and performance. In Iowa we are clearly on the path where E15 will be the ‘new normal’ in a few years.”

Today’s action means that E10 and E15 will have the same volatility limit for the summer driving season that runs from June 1 to September 30. With the same volatility limit, the same gasoline blendstock can be used for both 10 and 15 percent ethanol blends. This prevents oil refiners from gaming the system by supplying only the E10 blendstock and, thereby, freezing E15 out of the market.

Shaw continued: “Given action by Governor Reynolds to use her authority under the Clean Air Act to permanently equalize the volatility regulations for E10 and E15, this should have been moot. However, EPA proposed to begin enacting the equal volatility provisions in 2024, so we really needed today’s news to bridge the gap. Now retailers and consumers know there is a consistent, year-round road ahead for E15.”

EPA has the authority to issue emergency provisions based on the supply of fuel. Today’s gasoline stocks are below 2022 levels when a similar emergency action was taken. In addition to restrictions on Russian oil and the impact of the war in Ukraine, this year OPEC also recently enacted supply reductions that have spiked fuel prices.

Gov. Kim Reynolds released the following statement in response to the Biden EPA granting Iowa and Midwest states’ request for an emergency waiver for the nationwide, summer sale of E-15:

“I am thrilled that the EPA has granted our request to sell E-15 nationwide this summer. This is a huge win for Iowa farmers and our ethanol industry and proves that even our biggest adversaries can’t ignore the advantage biofuels brings to our country’s economy and national security. Now all Americans will have access to cheaper, cleaner-burning fuel this summer!”

Iowa Secretary of Agriculture Mike Naig released the following statement today after the Biden Administration issued an emergency waiver to allow uninterrupted sales of E15 during the 2023 summer driving season:

“As the nation’s leader in ethanol production and the first state to adopt an E15 standard, Iowans have long recognized the importance of biofuels for reducing costs at the pump, building demand for our corn, creating good jobs in rural Iowa, being a cleaner choice for the environment and making America energy independent. At a time when fuel prices are still too high and the fantasy of foreign-sourced EVs continues to attract far too much focus, E15 remains the lowest-cost and lowest carbon fuel option for over 96 percent of the vehicles on the road today. While I am pleased that the Administration is moving forward with this long overdue waiver, we need permanent year-round access to E15 that removes this year-to-year uncertainty.”

U.S. Rep. Randy Feenstra (R-Hull) issued the following statement after the Biden Administration formally authorized an emergency waiver to allow for the sale of E-15 this summer:

“Representing the top ethanol-producing district in the nation, I am glad that President Biden finally approved E-15 sales this summer. I’ve repeatedly elevated the importance of this decision for Iowa, and just last week, I urged EPA Administrator Michael Regan to expedite the final verdict. I’m thrilled that my concerns were heard.

While this is welcome news for our farmers and families, the Biden Administration delayed this announcement for far too long when a swift approval would have provided certainty and relief for Iowans and Americans everywhere. E-15 lowers gas prices for our families, supports our farmers, eases our reliance on foreign oil, and powers our economy in rural Iowa. In Congress, I will continue to advocate for homegrown Iowa biofuels just as my constituents expect and deserve.”