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Posts tagged ethanol industry
Report: Big Oil warns Supreme Court of ‘broken-down cars and high repair bills’ in E15 fight
Jun 8th
Filed under: Ethanol, Legislation and Policy, USA
The battle lines on the ethanol in the national gasoline supply debate are getting more and more defined, or at least more legal. The fight between the ethanol industry and Big Oil (represented by the American Petroleum Institute, an association of 500 oil and natural gas companies) has bee winding through the courts, but now API is telling the Supreme Court just how bad E15 is bad for engines.
Here’s the recap. The Environmental Protection Agency gave the okay to up the level from E10 (10 percent ethanol mixed with 90 percent gasoline) to E15 for 2007 and newer vehicles back in 2010. Quickly, nine food and farm groups, along with the API, sued the EPA over the decision. The first drops were sold to the public at Midwestern gas stations last summer and, last August, the US Court of Appeals for the District of Columbia decided that the broad coalition could not challenge E15. So, the API appealed the case to the Supreme Court in February.
“E15 could leave millions of consumers with broken-down cars and high repair bills” – American Petroleum Institute.
Here’s the latest. This week, the API filed a legal brief filed with the Supreme Court, describing how E15 can damage cars and trucks. Bob Greco, API’s director of downstream and industry operations, told the Des Moines Register that, “E15 could leave millions of consumers with broken-down cars and high repair bills. It could also put motorists in harm’s way when vehicles break down in the middle of a busy highway.” Let’s call it corn anxiety.
Ethanol, made most often from corn, can be contentious across the US, with both Maine and Florida taking legislative stands against the biofuel recently. The AFI fight over E15 is the biggest, though, and will likely have wide-ranging consequences for the biofuel’s future in the US.
Big Oil warns Supreme Court of ‘broken-down cars and high repair bills’ in E15 fight originally appeared on Autoblog Green on Fri, 07 Jun 2013 11:30:00 EST. Please see our terms for use of feeds.
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Official: Broad coalition working against ethanol, says it’s "worse than tar sands"
Feb 7th
Filed under: Ethanol, Legislation and Policy, Oil Sands
Another round of fighting has started over whether E15 – a blend of ethanol (15 percent) and gasoline (85 percent) – should be adopted nationwide. The latest jab comes from Scott Faber, a lobbyist for Environmental Working Group, who says that, as far as greenhouse gasses go, ethanol is “worse than Canadian tar sands.”
Ethanol has destroyed more wetlands and grassland in the last four years than were wrecked in the last 40, as far as greenhouse gas emissions go, Faber says. That argument touches a nerve, since about 40 percent of the US corn crop goes to ethanol and an ongoing Midwest drought has contributed to high corn prices. The price spike has been encouraging farmers to plow marginal virgin land, releasing stored carbon into the atmosphere. Fertilizer and pesticides used for corn get washed into rivers.
The anti-E15 coalition is getting pretty big. Oil industry, environmentalists, taxpayer groups, livestock owners and foreign aid groups want to see Congress repeal the 15-percent ethanol blend mandate. Ethanol industry groups like the Renewable Fuels Association have been leading the counter attack, and so far the US Environmental Protection Agency is not backing down.
“The American public should be outraged this thing is still on the books,” said Charlie Drevna of the American Fuel & Petrochemical Manufacturers (AFPM) group. The AFPM has been joined by powerhouse American Petroleum Institute to wage an all-out war against the ethanol mandate.
It is an odd coalition opposing E15, and the Canadian tar sands comment doesn’t exactly clarify things. The fight will continue in Congress and the White House, and could easily prompt another federal lawsuit.
Broad coalition working against ethanol, says it’s “worse than tar sands” originally appeared on Autoblog Green on Thu, 07 Feb 2013 14:02:00 EST. Please see our terms for use of feeds.
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E15 brings many questions, no consensus on widespread use
May 3rd
Filed under: Ethanol, Legislation and Policy, USA
For some drivers, ethanol-blended fuels such as E15 and E85 generate the same kind of confusion as stalactites and stalagmites do for high school geography students. Now, E15, which is fuel sold with a 15 percent blend of ethanol, is creating confusion all on its own.
That’s what the Minneapolis Star Tribune is reporting now that many gas stations are on the verge of adding so-called “blender pumps” that can distribute E15. While the pumps will have a government warning saying E15 can be used for cars made after the 2000 model year, automakers aren’t so clear. Toyota, for example, says on its model-year 2012 gas caps that E15 shouldn’t be used, and Ford is also warning its customers against using E15.
Iowa and Kansas are states where E15 may be sold as soon as this month, Bob Dinneen, the CEO of ethanol trade group Renewable Fuels Association, told the Tribune. Dinneen called E15, “probably the single most studied fuel in the history of EPA waivers.” But then there’s the Alliance of Automobile Manufacturers, which represents Ford, General Motors and Chrysler, among other automakers and says E15 hasn’t been adequately tested.
Last month, the U.S. Environmental Protection Agency (EPA), as expected, approved the first applications to produce E15, which can be made with as much as 50 percent more ethanol than standard fuel, which so far has been limited to 10 percent ethanol. Automakers and recreation vehicle makers are among the entities that have fought against allowing widespread use of E15, claiming that the higher alcohol content may damage engines and fuel systems. Still, the government continues to push ethanol as a way to cut foreign-oil dependence, even though last year U.S. Congress terminated a 30-year tax subsidy on corn-based ethanol. The ethanol industry received an estimated $45 billion in subsidies since 1980.
E15 brings many questions, no consensus on widespread use originally appeared on AutoblogGreen on Thu, 03 May 2012 10:05:00 EST. Please see our terms for use of feeds.
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Official: EPA gives E15 go-ahead despite objections, approves production applications
Apr 2nd
Filed under: Etc., Government/Legal
As predicted and expected, the Environmental Protection Agency today approved the first applications to make E15, a blend of gasoline with 15 percent ethanol in it. This means that E15 is now a “significant step” closer to production and sale in America.
For decades, gasoline in the U.S. has had up to 10 percent ethanol in it, but the extra five points were enough to generate resistance. The Outdoor Power Equipment Institute and the Science Committee in the House of Representatives both took steps to prevent E15 from entering the national supply. Even the EPA admits not every vehicle should use the new blend, saying it is approved only for Model Year 2001 vehicles and newer.
Many automakers have been hesitant about E15, fearing fuel system and engine damage, so a number of them joined a lawsuit against it in 2010 through the Auto Alliance. Some have even gone so far as to say that any older vehicles that use E15 will have their warranties voided. The EPA’s rules say that any pump dispensing E15 must be clearly labeled. The EPA is not requiring any station to sell E15 in any way, but the Obama Administration does want to encourage its use, and thus wants to help get 10,000 blender pumps installed in the U.S. over the next 5 years.
In late 2011, the U.S. Congress ended a 30-year tax subsidy on corn-based ethanol while also stopping tariffs on ethanol imported from Brazil. Since 1980, the ethanol industry has received an estimated $45 billion in subsidies. Check out the official EPA press release for further details after the jump.
Continue reading EPA gives E15 go-ahead despite objections, approves production applications
EPA gives E15 go-ahead despite objections, approves production applications originally appeared on Autoblog on Mon, 02 Apr 2012 17:29:00 EST. Please see our terms for use of feeds.
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EPA gives E15 go-ahead despite objections, approves production applications
Apr 2nd
Filed under: Ethanol, Legislation and Policy
As predicted and expected, the Environmental Protection Agency today approved the first applications to make E15, a blend of gasoline with 15 percent ethanol in it. This means that E15 is now a “significant step” closer to production and sale in America.
For decades, gasoline in the U.S. has had up to 10 percent ethanol in it, but the extra five points were enough to generate resistance. The Outdoor Power Equipment Institute and the Science Committee in the House of Representatives both took steps to prevent E15 from entering the national supply. Even the EPA admits not every vehicle should use the new blend, saying it is approved only for Model Year 2001 vehicles and newer.
Many automakers have been hesitant about E15, fearing fuel system and engine damage, so a number of them joined a lawsuit against it in 2010 through the Auto Alliance. Some have even gone so far as to say that any older vehicles that use E15 will have their warranties voided. The EPA’s rules say that any pump dispensing E15 must be clearly labeled. The EPA is not requiring any station to sell E15 in any way, but the Obama Administration does want to encourage its use, and thus wants to help get 10,000 blender pumps installed in the U.S. over the next 5 years.
In late 2011, the U.S. Congress ended a 30-year tax subsidy on corn-based ethanol while also stopping tariffs on ethanol imported from Brazil. Since 1980, the ethanol industry has received an estimated $45 billion in subsidies. Check out the official EPA press release for further details after the jump.
Continue reading EPA gives E15 go-ahead despite objections, approves production applications
EPA gives E15 go-ahead despite objections, approves production applications originally appeared on AutoblogGreen on Mon, 02 Apr 2012 16:31:00 EST. Please see our terms for use of feeds.
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E15 may be cleared for commercial sales by summer, advocates say
Feb 22nd
Filed under: Ethanol, Legislation and Policy, USA
E15, which is gasoline with a blend of 15 percent ethanol, may be cleared by the U.S. Environmental Protection Agency (EPA) to be sold as commercial gasoline in time for the busy summer driving season, website DomesticFuel.com reports, citing statements by ethanol advocates Renewable Fuels Association (RFA) and Growth Energy.
EPA’s investigation into E15 testing by the two groups “clears the way for the final steps in registering E15 as a fuel and offering it in the marketplace,” the website said. E15 would be legalized for vehicles that have been made since the 2001 model year.
Ethanol advocates are pushing E15 as a way to both cut dependency on foreign oil and reduce gas prices, especially as fuel prices have spiked in the past year. Ethanol sells for about 20 percent less a gallon than gasoline, the website said, citing Growth Energy CEO Tom Buis.
Still, others have opposed commercializing E15. Earlier this month, the House of Representatives’ Science Committee approved a bill that would stop the EPA from clearing E15 for commercial use without conducting more studies. Among those pushing for a deeper look at E15 were the Alliance of Automobile Manufacturers, the American Petroleum Institute, the Friends of the Earth, the Milk Producers Council, the American Bakers Association and the National Turkey Federation.
Late last year, the U.S. Congress ended a 30-year tax subsidy on corn-based ethanol and stopped tariffs on the fuel imported from Brazil. The ethanol industry had received an estimated $45 billion in subsidies since 1980.
E15 may be cleared for commercial sales by summer, advocates say originally appeared on AutoblogGreen on Wed, 22 Feb 2012 11:53:00 EST. Please see our terms for use of feeds.
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House panel blocks sale of E15
Feb 9th
Filed under: Ethanol, Legislation and Policy, USA
The Science Committee in the House of Representatives has a approved a bill that would prevent the Environmental Protection Agency from allowing the use of gasoline with a higher ethanol content without additional study.
According to The Detroit News, the bill was sponsored by Rep. James Sensenbrenner, R-Wisconsin and passed 19-7 along party lines after numerous groups spoke out against E15. The Alliance of Automobile Manufacturers, the American Petroleum Institute, the Friends of the Earth, the Milk Producers Council, the American Bakers Association and the National Turkey Federation all pushed for further E15 study.
Last year, the government estimated more domestic corn was used for ethanol than to feed farm animals, and opponents of ethanol argue E15 would only lead to steeper food prices across the country.
Congress just recently ended a 30-year tax subsidy on corn-based ethanol and put a stop to tariffs on the fuel imported from Brazil. The subsidy alone reportedly cost taxpayers $6 billion annually. All told, Congress has awarded the ethanol industry $45 billion in subsidies since 1980.
House panel blocks sale of E15 originally appeared on AutoblogGreen on Thu, 09 Feb 2012 09:57:00 EST. Please see our terms for use of feeds.
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Report: House panel blocks sale of E15
Feb 9th
Filed under: Etc., Government/Legal
The Science Committee in the House of Representatives has a approved a bill that would prevent the Environmental Protection Agency from allowing the use of gasoline with a higher ethanol content without additional study.
According to The Detroit News, the bill was sponsored by Rep. James Sensenbrenner, R-Wisconsin and passed 19-7 along party lines after numerous groups spoke out against E15. The Alliance of Automobile Manufacturers, the American Petroleum Institute, the Friends of the Earth, the Milk Producers Council, the American Bakers Association and the National Turkey Federation all pushed for further E15 study.
Last year, the government estimated more domestic corn was used for ethanol than to feed farm animals, and opponents of ethanol argue E15 would only lead to steeper food prices across the country.
Congress just recently ended a 30-year tax subsidy on corn-based ethanol and put a stop to tariffs on the fuel imported from Brazil. The subsidy alone reportedly cost taxpayers $6 billion annually. All told, Congress has awarded the ethanol industry $45 billion in subsidies since 1980.
House panel blocks sale of E15 originally appeared on Autoblog on Thu, 09 Feb 2012 07:28:00 EST. Please see our terms for use of feeds.
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Wait, you mean E85 isn’t already an alternative fuel?
Nov 23rd
Filed under: Ethanol, Legislation and Policy, USA
You would think something like defining a biofuel as an alternative to gasoline – something that seems so obvious a few years ago – would be a simple process. Turns out it’s not. Did you know that E85, a blend of 15 percent gasoline and 85 percent ethanol, is not technically an alternative fuel? At least, it’s not according to the tax code as defined by the Internal Revenue Service, and that’s something that the Coalition for E85 is working to change.
The reason the Coalition is getting together now and growing (The Society of Independent Gasoline Marketers of America is a new member) is that the Volumetric Ethanol Excise Tax Credit (VEETC, a per-gallon subsidy) is set to expire at the end of the year. Since ethanol producers were getting a tax benefit through VEETC, the IRS did not want producers “double-dipping” into the alternative fuel tax benefits. That makes an odd sort of sense. Once the VEETC expires, the ethanol industry wants to make sure it can still get some federal money – just for the next five years, apparently – to keep making corn ethanol.
Speaking with Domestic Fuel, a tax code specialist who is working with the Coalition, Jeff Trinca, said, “What we’re basically saying is we would like E85 to be included in the definition of alternative fuels with propane, natural gas and others so there’s a level playing field.”
Read more about the coalition’s efforts here.
Wait, you mean E85 isn’t already an alternative fuel? originally appeared on AutoblogGreen on Wed, 23 Nov 2011 12:38:00 EST. Please see our terms for use of feeds.
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Ethanol industry claims victory as McCain withdraws amendment against blender pump subsidies
Oct 21st
Filed under: Ethanol, Legislation and Policy, USA
The ethanol industry is claiming victory with its stoppage of John McCain’s (R-AZ) amendment to an agriculture appropriations bill that would’ve prevented the government from subsidizing E85 blender pumps.
Senator McCain proposed the amendment on October 17, but quickly withdrew it on October 19 due to “timing issues”, according to Brian Rogers, a spokesman for McCain.
The ethanol industry calls that a win, with Brian Jennings, executive vice president of the American Coalition for Ethanol, stating:
Now we can continue to encourage Congress to focus on forward-thinking energy policy such as promoting more blender pumps, flexible fuel vehicles and consumer fuel choice.
Meanwhile, Tom Buis, chief executive officer of Growth Energy, called McCain’s amendment “ill-conceived” and says the passage of any law that restricts federal funding of the U.S. ethanol infrastructure would strengthen the role of foreign oil.
This marks the second time McCain has proposed the elimination of ethanol blender pump subsidies. It seems quite likely that McCain, who’s not a fan of ethanol subsidies in any form, will revisit this topic. A McCain spokesman said, “It’s an issue that’ll be addressed going forward.”
Ethanol industry claims victory as McCain withdraws amendment against blender pump subsidies originally appeared on AutoblogGreen on Fri, 21 Oct 2011 18:43:00 EST. Please see our terms for use of feeds.
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