President Donald Trump has announced he is moving forward on plans to allow the year-round sale of 15 percent ethanol fuel blends (E-15).
Iowa Senator Joni Ernst says President Trump delivered, "Granting E15 year-round means that Iowans will see an increase in farm income, increased ethanol production and consumption and a boost in our economy."
E-15 is allowed for three months of the year on all 16 year-old or newer vehicles. But gas stations have been hesitant to implement pumps when they would have to turn them off during summer. Ethanol groups say year-round E-15 would incentivize more infrastructure.
Oil groups claim to be preparing lawsuits.
Iowa Secretary of Agriculture Mike Naig says the announcement great news and a win for agriculture.
He points out giving greater access to 15 percent ethanol from 10 percent, also ups the need for Iowa's corn, "It gives us opportunity in the industry to make 50 percent more ethanol, which means we'll need 50 percent more corn to make that ethanol and so that's good for those ethanol producers. It's good for farmers who are selling corn to those plants. It's good for consumers as well, if you pull up to the gas station today you'll note that E-15 is about 5-10 cents cheaper than E-10."
Democrat Candidate for Iowa Secretary of Agriculture Tim Gannon released a statement praising the idea of year-round E-15, "However, my fellow farmers and producers can only fully celebrate this announcement once the Administration re-allocates the destroyed demand of over 2 billion gallons of ethanol and 300 million gallons of biodiesel, stops issuing hardship waivers and exemptions to already profitable oil refiners, and commits to expanding markets for homegrown, renewable energy sources like ethanol, biodiesel, and wind energy."
Gannon adds the rule making process needs to end before next summer and they will be on the lookout for oil interests or loopholes.