The Environmental Protection Agency proposed Friday only a minimal increase in U.S. biofuel usage, reflecting modest growth in production of next-generation cellulosic ethanol, and the decision was immediately slammed by biodiesel producers.
Ethanol producers are hopeful for an increase in year-round E15 gasoline sales after the Trump administration okayed its summertime sale, but consumer demand will likely be modest due to fears of litigation, a lack of blender pumps, and challenges posed by some state regulations.
President Donald Trump heads to Iowa this week to shore up his rural base and promote the U.S.-Mexico-Canada agreement, fresh from dropping a threat to impose new tariffs that farm groups and lawmakers feared could jeopardize congressional approval of the North American trade pact.
The Environmental Protection Agency is lifting restrictions on summer sales of E15, checking off a top policy priority for corn growers and the biofuel industry but kicking off a new chapter as the battle likely heads to the courts.
Ethanol industry groups welcomed the Environmental Protection Agency’s proposed rule that would allow for year-around sale of E15, but refiners were divided over accompanying proposals to reform the biofuel credit market.