SourceLine News & Insights

Could E15 fuel sales rival or replace sales of E10? Several recent developments suggest increasing adoption and sales of E15 could be on the horizon.

Revised U.S. Environmental
Protection Agency Regulations

Amendments to UST equipment compatibility regulation and dispenser labeling requirements could encourage more customers to consider purchasing E15. (See related story.)

For years, labels at the pump have warned motorists that E15 can damage incompatible vehicles. The new changes proposed by the U.S. Environmental Protection Agency would relax the labeling requirement as well as rules for UST compatibility.

Pro E15 Federal Legislation

Fuel retailers who need to make improvements to meet E15 requirements could be on the receiving end of millions of dollars in federal assistance.

The Renewable Fuel Infrastructure Investment and Market Expansion Act reintroduced by two U.S. senators would authorize a $500 million grant program for fuel marketers over five years. If adopted, the bill would also finalize the dispenser labeling and UST changes proposed by the EPA.

Other signs renewable fuels are making inroads include a reversal by the EPA in a lawsuit over biofuel waivers granted to oil refineries that will head to the U.S. Supreme Court this spring.

State Support for E15

The support for ethanol is gaining ground in individual states as well.

Iowa is considering a bill to establish a renewable fuel standard that would require C-stores to offer fuel with higher levels of ethanol and biodiesel.

Minnesota has introduced a proposal that would raise ethanol standards from 10% to 15%.

Florida approved legislation to ensure compatibility with ethanol or biodiesel.

If the EPA does approve changes to its UST biofuel compatibility regulations, UST operators will likely be facing some hidden costs. To learn more about this, watch Fuels Market News for an upcoming article from Source North America.