Iowa lawmaker urges EPA to speed up rule expanding ethanol sales

Sen. Chuck Grassley, R-IA, said the Environmental Protection Agency must act quickly to allow year-round sales of higher ethanol gasoline blends if President Donald Trump aims to keep a campaign promise to corn farmers.

Trump announced during a trip to Iowa his intention was to lift the summertime ban on sales of so-called E15 gasoline to help corn growers stung by slumping prices.

The EPA has since said it will finish deliberations on a proposal to lift the ban by May, a timeline the administration hopes will put the rule in place before summer. But Grassley said that was too slow.

“EPA ought to speed it up. Otherwise it is going to look like the president wasn’t serious in his announcement,” he said in a recent conference call.

“We don’t need a lot of bureaucratic red tape with something that has been discussed in Washington for four to five years, and discussed…specifically with EPA and face-to-face with the president for about a year,” he said.

Trump’s announcement encouraged farmers eager to expand the market for corn-based ethanol, and was seen as a political victory for Trump ahead of congressional elections in November.

The EPA’s ban on summer E15 sales was initially intended to reduce smog, but academic studies have concluded that the ban is ineffective at improving air quality.

Trump’s move, however, is likely to face pushback from the oil industry, which has long opposed the rule change since it would cut into its share of the petroleum market. The industry has threatened to sue over the issue.

Some industry experts say the administration will ultimately need an act of the Congress to change the rule. EPA acting chief Andrew Wheeler, however, rejected that idea in October, saying the agency has the authority to move ahead alone.

In a related story, several farm and pro-ethanol groups have submitted comments to the EPA and National Highway Traffic Safety Administration commenting on the proposed Safer Affordable Fuel-Efficient Vehicles Rule, which would amend existing Corporate Average Fuel Economy and greenhouse gas emissions standards for vehicle model years 2021-26.

The revisions would allow the use of a high-octane, midlevel ethanol fuel blend to meet the future standards, regardless of where they are set.

“As producers of the primary feedstock used for ethanol production, corn farmers have a strong vested interest in the future of transportation fuels,” the National Corn Growers said in a letter to the two agencies. “Ethanol is an affordable, readily available, low-carbon and cleaner-burning source of octane. Automakers must have the tools to meet future emissions and efficiency standards, both cost-effectively and safely for drivers. Octane is an essential tool.

“Without a change in fuel, automakers are reaching the limits on the efficiency gains that can be achieved with technology changes. We urge you to consider fuels and vehicles as a system of high-octane fuel used with optimized engines.

“Using ethanol to meet a higher-octane level would minimize changes in fuel cost, compared to the increased use of costly and harmful hydrocarbon aromatics. While ethanol may not be the only source of fuel octane, it is the lowest cost—and lowest carbon—octane source currently available, and corn ethanol’s carbon footprint is shrinking.”

Growth Energy Vice President of Regulatory Affairs Chris Bliley said, “The science behind the benefits of midlevel ethanol-blended fuels like E25 and E30 is well documented by national laboratories, automobile manufactures and scientific institutions. Stable policies and access to market drivers will enable our industry to provide low-carbon, more affordable, high-performing, sustainable vehicle fuel solutions.”

National Farmers Union President Roger Johnson said in a letter to the agencies, “There is widespread agreement regarding the need to move this country toward high octane fuels to take advantage of improved engine technologies for vehicles,” noting that mid-level ethanol blends ranging from E20 to E40 are the “most economical high-octane fuels available today.”

Johnson emphasized “the availability of high octane fuels is an important step toward better engine technology and, thereby, improved vehicle and fuel efficiency.” This can provide a number of benefits, Johnson said, including “air emissions reductions, better oil conservation, and greater energy security.”

Larry Dreiling can be reached at 785-628-1117 or [email protected].