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EPA approves E15 for newer vehicles

EPA has approved the use of an E15 ethanol blend for newer vehicles.

EPA says that cars manufactured since 2007 are able to handle the higher ethanol content.  The agency will make a second decision on E15 for vehicles manufactured between 2001 and 2006 after testing is completed at the end of November.

AUDIO: Announcement by Gina McCarthy, EPA Asst. Administrator for Air and Radiation (5:30 MP3)

Reaction to the announcement has been mixed.  The National Corn Growers Association called it a good start, but incomplete.  “We’re disappointed in the very limited scope of this approval, but pleased the EPA has finally taken action to partially approve the waiver request to allow higher blends of ethanol in some motor vehicles,” said NCGA President Bart Schott.  “We believe this bifurcation of the approval process, and the labels that are expected to be placed on higher-blend fuel pumps, can lead to general consumer confusion and therefore act counter to the original intent.”

The National Pork Producers Council says it is very concerned with the effect the move could have on America’s pork producers.  “NPPC is withholding comment on raising the blend rate to E15 from its current E10 until we can consult with our economists. But any upward pressure on corn prices will have a negative effect on producers,” says NPPC ethanol task force chairman Randy Spronk. “Given that the U.S. Department of Agriculture’s Oct. 8 crop report revised down the expected yield and ending stocks of corn, we’re already seeing corn prices and the cost of raising a hog heading up.”

The American Coalition for Ethanol called on EPA to act swiftly to approve the use of E15 in all vehicles.   “While some will portray this partial E15 waiver as a major victory and others will suggest it is completely unworkable, the truth lies somewhere in between,” says ACE executive vice president Brian Jennings.  “Based on our discussions with fuel marketers and retailers, we are concerned about how they will weigh this restricted approval of E15 and the potential unnecessary confusion for motorists that may be created by the EPA labeling requirements.  To be sure, some special interests are already lobbying EPA to design a label that will discourage even the few motorists who will be able to use E15 from doing so.”

The National Cattlemen’s Beef Association called the announcement “a step in the wrong direction.”  NCBA president Steve Foglesong said  “NCBA’s members strongly oppose mandated production and increasing government intervention that artificially inflates the cost of feed ingredients. This waiver is a step closer to more government mandates. U.S. renewable energy policies need to be evaluated carefully in order to determine the potential consequences the policies could have on all corn end-users from importers to livestock producers.”