April 28, 2023
BY Erin Voegele
The U.S. EPA on April 28 issued an emergency waiver that will allow E15 sales to continue through the summer 2023 driving season nationwide. Representatives of the U.S. ethanol industry are applauding the agency’s decision.
The EPA said the waiver will provide Americans with relief at the pump from ongoing market supply issues created by Russia’s invasion of Ukraine by increasing fuel supply and offering consumers more choices at the pump. According to the agency, the waiver will help protect Americans from fuel supply crises by reducing our reliance on imported fossil fuels, building U.S. energy independence, and supporting American agriculture and manufacturing. Current estimates indicate that on average, E15 is about 25 cents per gallon cheaper than E10.
The Clean Air Act allows the U.S. EPA in consultation with the U.S. Department of Energy to temporarily waive certain fuel requirements to address shortages. As a result of the ongoing war in Ukraine, EPA Administrator Michael Regan determined that extreme and unusual fuel supply circumstances exist and has granted a temporary waiver to help ensure that an adequate supply of gasoline is available. As required by law, EPA and DOE evaluated the situation and determined that granting the waiver was in the public interest.
“The Biden-Harris Administration is committed to protecting Americans from fuel supply challenges resulting from the ongoing war in Ukraine by ensuring consumers have more choices at the pump,” Regan said. “Allowing E15 sales during the summer driving season will not only help increase fuel supply, but support American farmers, strengthen U.S. energy security, and provide relief to drivers across the country.”
This is the second consecutive year the EPA has issued an emergency waiver allowing E15 sales to continue through the summer driving season. A waiver for last summer was formally issued on April 29, 2022.
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The emergency E15 waivers are separate from the pending Midwest E15 petition, which aims to create permanent summertime access to E15 within the states of Illinois, Iowa, Minnesota, Missouri, Nebraska, Ohio, South Dakota, and Wisconsin. The Midwest petitions were filed by the governors of those eight affected states in April 2022. The EPA issued a proposed rule in response the petitions in March and is expected to finalize regulations implementing the requested regulatory changes before the summer 2024 driving season.
The use of E15 fuel is not new. The fuel blend has been available for use in many non-flex fuel vehicles for more than a decade. The U.S. EPA first granted a partial waiver allowing E15 to be used in model year (MY) 2007 and newer light-duty vehicles in 2010. The agency expanded that waiver to include MY 2001 and newer vehicles the following year. The fuel blend, however, could not be sold in most markets during the summer driving season, from June 1 through Sept. 15. A June 2019 rulemaking changed that, extending the 1-psi RVP waiver to E15 and allowing the fuel to be sold during the summer driving season. The EPA’s rule was challenged by oil groups and in June 2021 the D.C. Circuit Court of Appeals vacated the portion of the June 2019 related to E15, overturning the ability of most fuel retailers to sell E15 during the summer driving season. Despite the vacated rule, E15 has continued to remain available during the summer 2022 and 2023 driving seasons via EPA’s emergency waivers.
The Renewable Fuels Association is welcoming the emergency E15 waiver. “We join consumers across the nation in thanking EPA Administrator Regan for taking action to combat potential fuel shortages and higher gas prices this summer,” said Geoff Cooper, president and CEO of the RFA. “U.S. gasoline inventories are even tighter than they were a year ago, and Putin’s war on Ukraine continues to wreak havoc on global fuel supplies. EPA’s action allowing summertime E15 will help extend gasoline supplies, prevent fuel shortages, protect air quality and reduce carbon emissions. We thank EPA, USDA, DOE, and the entire Biden administration for ensuring drivers across the country will continue to have access to lower-cost, lower-carbon E15 all summer long.”
Growth Energy is applauding the agency’s action. “Today’s announcement is a win for drivers across the nation, who can rest easier knowing that they'll have access to savings on lower-carbon E15 this coming summer,” said Emily Skor, CEO of Growth Energy. “We're grateful to EPA Administrator Michael Regan for granting this waiver, to our industry partners, and to the thousands of Americans who supported our campaign to press for action by EPA.
“Last summer, E15 saved drivers $0.16 per gallon on average, and up to a dollar per gallon in some regions. It delivered those savings while reducing carbon emissions and smog-forming pollution,” she continued. “America's biofuel producers are ready to meet the demand for cleaner, more affordable choices at the pump so more drivers can enjoy those same benefits in the months ahead.
“In addition to Administrator Regan, we’d also like to thank our bipartisan champions in Congress, Midwest governors, President Biden, and U.S. Department of Agriculture Secretary Vilsack for their continued attention to higher biofuel blends,” Skor added. “We urge them to keep up the momentum by acting swiftly on a permanent fix for E15, so that we can avoid needless uncertainty around last-minute waivers in the years ahead.”
The American Coalition for Ethanol is thanking the EPA for answering the call for E15 this summer. “ACE thanks EPA Administrator Michael Regan for responding to our requests by issuing a national emergency waiver for E15 this summer, a step which will save motorists considerable money at the pump and reduce pollution from vehicles,” said Brian Jennings, CEO of ACE.
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“We are grateful EPA intends to issue new waivers effectively covering the 2023 summer season as it did in 2022, but a permanent remedy to expand consumer access for E15 long term is still necessary.
"This annual drama of threatened summertime E15 sales, followed by last-minute reprieves, has got to end. It's wearing on retailers selling E15 today and is a major reason more marketers aren't offering it,” Jennings added. “Consumers could be saving 5 to 15 cents per gallon and emissions could be reduced if Congress would fix the problem and pass legislation making E15 legal year-round."
Poet said the waiver will keep E15 flowing when Americans need it most. “The Biden administration’s decision will keep E15 flowing when Americans need it most,” Joshua Shields, senior vice president of corporate affairs at Poet. “With tight fuel supplies, rising prices, and poor air quality looming this summer, continued access to E15 puts a cleaner and more affordable fuel option within reach. We’re grateful to President Biden, EPA Administrator Regan, and House and Senate biofuel champions for working together to protect America’s fuel supply, ensure continued savings at the pump, and promote cleaner air for all.”
“Boosting the nation’s available fuel supply with E15 is better for consumers, the environment, and the economy,” Shields continued. “E15 can help shield Americans from gasoline supply shortages and price spikes. In addition, E15 reduces smog-forming emissions, which can mean cleaner air in congested urban areas most impacted by air pollution. E15 also supports jobs, creates value for family farmers, and drives economic growth in rural communities across America.”
The USDA on April 14 announced the cancellation of its Partnerships for Climate-Smart Commodities program. Select projects that meet certain requirements may continue under a new Advancing Markets for Producers initiative.
The governors of Iowa, Nebraska, South Dakota and Missouri on April 10 sent a letter to U.S. EPA Administrator Lee Zeldin urging the agency to set higher Renewable Fuel Standard renewable volume obligations (RVOs).
President Donald Trump on April 8 issued an executive order that aims to protect oil, natural gas, coal, hydropower, geothermal, biofuel, critical mineral, and nuclear energy resources from state overreach.
Growth Energy and Clean Fuels Alliance America on April 14 filed a reply brief in a case challenging the U.S. EPA for its failure to reallocate gallons lost due to SREs granted after RVOs have been issued under the Renewable Fuel Standard.
The Michigan Advanced Biofuels Coalition and Green Marine are partnering to accelerating adoption of sustainable biofuels to improve air quality and reduce GHG emissions in Michigan and across the Great Lakes and St. Lawrence Seaway.