The EPA pointed to “President Trump’s promise” in ending its summertime ban on the sale of E15, a richer blend of corn ethanol into gasoline than the traditional blend of 10 percent. The oil industry, hinting at a possible lawsuit, said the government had exceeded its statutory authority to satisfy a Farm Belt demand for a larger share of the fuel market for cars and light trucks.
The biofuel trade group Growth Energy, thanking Trump “for delivering on his promise,” said year-round sales of E15 “will generate over a billion new gallons of ethanol demand in the next five years. Over time, demand for E15 could boost the market for American grain by an additional two billion bushels.” The Renewable Fuel Standard calls for mixing 15 billion gallons of corn ethanol into gasoline this year.
The American Petroleum Institute, speaking for the oil industry, said the EPA “rushed through the rulemaking process in order to meet an arbitrary deadline” of June 1, the start of the summer driving season, for approval of year-round sales. The API is a longtime opponent of the ethanol mandate.
As part of refereeing a months-long fight between the oil industry and ethanol makers, Trump said last fall that he would end the summertime ban on E15, a boost for the ethanol industry, and revise the rules on the trading of the so-called RINs that oil companies must purchase to show compliance with the RFS if they don’t blend enough ethanol.
“Following President Trump’s leadership, today’s action is a step forward in expanding the market for biofuels and managing this important program responsibly,” said EPA administrator Andrew Wheeler in announcing final action on E15 and preventing the manipulation of RIN prices.
The EPA rule is available here.