Ethanol mandate is delayed
Kylie Saari — Staff WriterFAIRMONT - Ethanol supporters will just have to wait.
That is the message from the U.S. Environmental Protection Agency to a request to boost ethanol content in gasoline. The deadline for the EPA's response was Tuesday.
Growth Energy, representing 54 ethanol producers, submitted the waiver request in March, asking for the ethanol limit in gasoline to be raised to 15 percent, or E15.
The increase would mean a huge boost in ethanol usage - good news for farmers and ethanol plants. There are three ethanol plants operating in the Fairmont area - in Fairmont, Welcome and Winnebago.
In a letter to Growth Energy co-chair
men Jeff Broin and retired Gen. Wesley Clark, assistant administrator of the EPA Gina McCarthy said while it is clear the amount of ethanol in gasoline must increase to meet the renewable fuel requirements by 2022, studies proving its safety in newer vehicles are not complete at this time.
The EPA is required to determine whether E15 would cause the failure of emission-control systems, including catalytic converters, in vehicles. The EPA stated it should have an answer by mid-June, and indicated it is likely that the results will be favorable.
Growth Energy believes this news is good news.
"This announcement is a strong signal that we are preparing to move to E15, a measure that will create 136,000 new U.S. jobs, cut greenhouse gas emissions and lessen America's dependence on imported oil," Clark said.
Growth Energy was formed in November 2008 to support producers by expanding the ethanol market.
In addition to helping producers, the increase to E15 could lower the U.S. dependence on foreign oil by 7 billion gallons per year, based on gasoline consumption data from 2007.
The letter sent by the EPA indicates it is confident enough in the eventual passing of E15 that a committee has been formed to examine gas pump labeling so that when EPA makes a decision it can be implemented quickly.
Despite the positive language used in the letter, not everyone is happy about the delay. Responding to the announcement, Renewable Fuels Association President and CEO Bob Dinneen released the following statement: "This delay threatens to paralyze the continued evolution of America's ethanol industry. As EPA itself indicated, the scientific data to date has demonstrated no ill effects of increased ethanol use in any vehicle currently on the road. Moreover, this delay will chill investment in advanced biofuel technologies at a critical time in their development and commercialization."
Dinneen suggests that since the EPA admitted in its letter to Growth Energy that testing so far has shown no problems with E15, it would be of greater benefit to approve a mid-range increase while tests are continued.
"In order to avoid paralysis by analysis, EPA should immediately approve intermediate ethanol blends, such as E12," he said. "Allowing for a 20 percent increase in ethanol's potential share of the market would provide some breathing room for the industry while EPA finishes its testing on E15."
