Governors continue to advocate for summer 2023 E15 sales

March 21, 2023

BY Erin Voegele

Iowa Gov. Kim Reynolds, Nebraska Gov. Jim Pillen, Minnesota Gov. Tim Walz, and South Dakota Gov. Kristi Noem on March 21 sent U.S. EPA Administrator Michael Regan a letter urging the agency to allow E15 sales during the 2023 summer driving season.

The letter references the petitions filed by several Midwest governors in April 2022 requesting a regulatory change to allow year-round E15 sales within their states. Under statute, the EPA was required to respond to the petition within 90 days, but failed to take action on the requests until March 2023. “Postponing implementation of our petition could result in higher prices at the pump during the summer 2023 driving season, as consumers would lose access to lower-cost, cleaner-burning E15,” the governors wrote.

Last year, the EPA issued an emergency waiver allowing E15 sales to continue through the summer 2022 driving season as part of the Biden administration’s effort to combat high fuel prices caused by Russia’s invasion of Ukraine. Reynolds, Pillen, Walz and Noem are urging the EPA to take similar action prior to the summer 2023 driving season.

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According to the governors, continued availability of E15 through the summer of 2022 extended fuel supplies, helped avert potential shortages, and saved American’s at least $57 million in fuel costs. Drivers that fueled with E15 last summer saved an average of 23 cents per gallon.

“The market conditions that justified emergency action last summer still exist today; indeed, fuel supplies are even tighter than they were a year ago and there is greater risk of disruption heading into summer,” the governors wrote. “U.S. inventories of crude oil and petroleum products recently hit a 19-year low, and nationwide gasoline stocks are 3 percent lower than a year ago. Gasoline futures prices are up roughly 15 percent in just the last two weeks; and with a larger-than-usual amount of refining capacity offline for maintenance, supplies and prices could experience greater pressure as summer approaches. These are the same sort of circumstances that led EPA to issue emergency waivers last year.

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“Consumers, fuel retailers, ethanol producers, and farmers need certainty,” they continued. “We urge the EPA to act immediately to ensure lower-cost E15 remains available in the marketplace this summer. We thank you again for granting our proposal and appreciate your consideration of our request.”

The Renewable Fuels Association is applauding the governors for continuing to press for E15 availability this summer. “We applaud the efforts of these governors to secure year-round access to E15 for consumers in their states,” said Geoff Cooper, president and CEO of the RFA. “We agree with the governors that EPA still has time to implement their petition in time for this summer. But if EPA fails to do that, the governors have made a strong case that EPA could and should use its authority to issue emergency waivers, just as it did last year. The governors’ letter underscores the point that year-round access to E15 saved consumers more than 20 cents per gallon last summer, or about $3 to $5 per fill-up. Those savings are in jeopardy this summer unless EPA acts quickly.”

Growth Energy is also thanking the governors for their continued support of E15. “Without an emergency waiver, the summer of 2023 would become the first time since 2019 that American drivers didn’t have access to E15, a fuel blend that’s less expensive, better for the environment, and usable in 96 percent of all cars on the road today,” said Emily Skor, CEO of Growth Energy. “We applaud this bipartisan group of governors for urging EPA to do the right thing and issue a waiver that would keep this lower-cost, lower-carbon fuel option on the market for American consumers this summer.”

 

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