US has seasonal record volume of ethanol sitting in storage; need to remove E15 barriers: RFA

As tensions in the Middle East create uncertainty and volatility in global fuel markets, the Renewable Fuels Association (RFA) is urging President Trump to move quickly to eliminate burdensome regulatory roadblocks that are preventing broader use of the American-made, lower-cost E15 gasoline blend.

In a letter addressed to the president, RFA President and CEO Geoff Cooper highlighted that the U.S. currently holds high ethanol inventories and underutilized production capacity due to artificial restrictions blocking access to the domestic market. Lifting these barriers and permitting E15 sales through existing infrastructure could help mitigate fuel price increases potentially triggered by the ongoing Middle East conflict, according to the press release.

“Today, the United States has a seasonal record volume of ethanol sitting in storage,” wrote RFA President and CEO Geoff Cooper, also noting that the industry has 130,000 barrels per day of idled production capacity. “Meanwhile, ample domestic grain supplies are available to support expanded ethanol production, and farmers are projected to harvest a record-large corn crop this fall. Unfortunately, however, outdated regulatory barriers are blocking larger volumes of ethanol and fuel blends like E15 from reaching the marketplace. Unwarranted regulatory burdens are preventing American consumers from experiencing the full cost-cutting benefits of ethanol. With your leadership, these barriers can be swiftly removed.”

President Trump expressed in 2024 that fueling stations should be permitted to “use the existing pumps” to dispense E15. Cooper echoed this vision and outlined five key actions the administration can take to enable gas stations to offer the lower-cost E15 blend using their current equipment:

Eliminate E15 Misfueling Mitigation Plan requirements.
Establish a presumption of E15 compatibility for all fuel dispensers, underground storage tank systems, and hanging hardware installed after 1998. Existing equipment should be deemed compliant with applicable compatibility regulations.
Continue issuing emergency fuel waivers through September 15, allowing E15 to be sold throughout the summer.
Provide a safe harbor provision for retailers who act in good faith and follow EPA guidelines on the storage and distribution of E15 in existing equipment.
Provide technical assistance for state and local authorities having jurisdiction to quickly adopt or codify changes that allow E15 to be distributed in existing infrastructure, if required by state or local code.

Cooper concluded his appeal by stating, “Mr. President, now is the time to unlock the full potential of American-made E15. The best way to prevent sudden spikes in gasoline prices nationwide is to expand and diversify the domestic fuel supply, including ethanol produced from our nation’s farms. Removing regulatory barriers and allowing E15 to be stored and sold through existing infrastructure will reduce fuel costs for Americans and bolster the market’s resilience against global supply disruptions.”

 

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