The Trump Administration has released a plan to boost an unspecified amount of ethanol that oil refineries must add to their fuel starting in 2020.
The Environmental Protection Agency says the rules would ensure that more than 15 billion gallons of ethanol be blended into the fuel supply. Bradley Schad with the Missouri Corn Growers Association is pleased with the package.
“We are very pleased that what has been done to make sure that 15 Billion gallons are out there. But, we really, really appreciate the president doing right for farmers and the ethanol industry with this announcement,” he says.
The plan also aims to remove further barriers to the sale of higher-ethanol blends of fuel like E15.
“This is exactly what we were hoping for and expecting. The oil industry is a very powerful industry,” Schad says. “It doesn’t matter which administration is in power. They have a lot of lobbying and a lot of money to go after their enemies.”
The announcement follows President Trump giving waivers to big oil companies that reduce the demand for ethanol and lower the value of corn – causing outrage among farmers, the ethanol industry and lawmakers. The proposal would account for future small refinery exemptions – not gallons already lost through waivers to more than 85 big oil refineries since 2017.