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Ethanol plant at Nevada, Iowa.
CORN STOVER: New owner plans to convert this Iowa cellulosic ethanol plant to produce renewable natural gas made from corn stover and crop biomass.

Farm groups praise EPA's E15 proposal, but . . .

. . . concerned about putting E15 and RIN changes in same rule.

The U.S. Environmental Protection Agency issued a proposed rule March 12 that allows for the year-round sale of E15, or gasoline blended with 15% ethanol. Sales of E15 are now prohibited during the summer in many states.

Related: Trump administration plan expands market for ethanol

“The Iowa Corn Growers Association is excited to hear the EPA released the proposed rule of permitting year-around sales of E15,” says Curt Mether, ICGA president. “This moves the rule in the right direction in hopes it is ready by the summer driving season beginning June 1. Year-round E15 sales would be a win for Iowa corn farmers and Iowa drivers.”

 “Allowing year-round sales of higher blends of ethanol not only grows a domestic market for farmers, but E15 gives consumers more choice at the pump, a lower price option and greater environmental benefits from a cleaner fuel,” said National Corn Growers Association President Lynn Chrisp. “It’s time to remove the barrier to all of these benefits.”

“As our country has worked to break our dependence on foreign oil, our farmers have played a major role in helping us become more energy independent,” said American Farm Bureau Federation President Zippy Duvall. “After years of declining farm income, opening up markets to additional fuel choices will help create new demand that farmers desperately need.”

“Moving forward, we need to build on this achievement by expanding use of E30 gasoline,” said National Farmers Union President Roger Johnson. “The result would be a necessary boon for farm families stuck with low prices in a struggling farm economy and rural communities that are in need of economic rejuvenation. It would also lead to cheaper gasoline prices, better performing engines, and significant climate gains for consumers. NFU urges federal policymakers to remove barriers to higher level blends of ethanol and work to encourage the continued growth of the American biofuels industry.”

RINs too

The EPA proposal also changes the renewable identification number market.

According to Ethanol Producer Magazine, the changes include:

  • Requiring public disclosure when RIN holdings exceed a certain threshold,
  • Limiting hold long non-obligated parties can hold RINs, and
  • Prohibiting certain entities from purchasing separated RINs.

The Renewable Fuels Association and American Coalition for Ethanol want the EPA to separate RIN reforms from the E15 rule.

Source: NCGA, NFU, Iowa Corn Growers Association, AFBF, which is solely responsible for the information provided and is wholly owned by the source. Informa Business Media and all its subsidiaries are not responsible for any of the content contained in this information asset.

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