[ad_1]
By Stephanie Kelly
NEW YORK, Nov 29 (Reuters) – U.S. senators from Nebraska
and Minnesota introduced legislation on Tuesday that would
expand nationwide sales of E15, a gasoline with a higher blend
of ethanol, after gaining support for the bill from an oil
industry trade group for the first time, Senator Deb Fischer
from Nebraska told Reuters.
The legislation, introduced by Fischer and Senator Amy
Klobuchar from Minnesota and supported by the American Petroleum
Institute (API), would mark a huge win for the ethanol industry
and corn farmers who have repeatedly tried to expand sales of
E15 but have faced hurdles.
While it is unknown if the bill has the support it needs to
pass both the House and Senate to become law, the backing of the
oil industry has lifted a notable political obstacle.
U.S. Environmental Protection Agency (EPA) anti-smog
regulations currently restrict summertime sales of E15, even
though research has shown the higher percentage blend may not
increase smog relative to the 10% blend called E10 that is now
sold year-round.
Reuters reported this month that the API began cooperating
with biofuel industry groups about legislation after governors
from major corn-producing Midwestern states earlier this year
requested the EPA allow for expanded sales of E15 in their own
states. The governors’ proposal raised oil industry concerns
about fuel regulations differing from state to state.
“We have good support,” Fischer told Reuters. “When you look
at the impact it’ll have, especially on the central part of the
United States, the Midwest and part of the south, I think that’s
extremely important.”
Fischer and Klobuchar’s legislation, if passed, would
nullify the governors’ request and avoid patchwork E15
expansion, Fischer said.
“By allowing for the year-round sale of E15 nationwide while
also preserving access to lower ethanol gasoline blends, this
bipartisan legislation strengthens the reliability of the fuel
supply chain and ensures American consumers have access to the
fuels they depend on every day,” said Will Hupman, API’s vice
president of downstream policy.
The legislation also has the support of Senator Kevin Cramer
from North Dakota, a co-sponsor of the bill. Cramer’s support is
significant, as North Dakota is one of the top oil-producing
states, Fischer said.
Organizations including the API, the Renewable Fuels
Association and the National Farmers Union wrote to
congressional leaders this month to urge them to adopt
legislation to expand nationwide E15 sales.
(Reporting by Stephanie Kelly
Editing by Marguerita Choy)
((Stephanie.Kelly@thomsonreuters.com; 646-223-4471; Reuters
Messaging: stephanie.kelly.thomsonreuters.com@reuters.net))
Keywords: USA BIOFUELS/E15 (PIX)
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
[ad_2]
Source link
