E15 refers to gasoline blended with 15 percent ethanol, as opposed to more common E10 gasoline, which is blended with only 10 percent ethanol. E15 has long been promoted by farm groups as a way to expand ethanol demand, support rural economies, and provide consumers with lower-cost fuel options.

“Passage of this bill is essential to the success of corn farmers and rural communities, particularly as our growers face their fourth year of net losses and struggle with high input costs. It would also help drivers across the country who could save 10 to 30 cents per gallon on gas as fuel prices continue to rise,” said Jed Bower, an Ohio farmer and president of the National Corn Growers Association.

The measure, which advanced on a bipartisan 218-203 vote, now goes to the Senate for consideration. Throughout the cooler months, E15 gas is offered at over 3,000 gas stations around the U.S., where it serves as a more affordable choice. But it has long required  to sell during the summer because of concerns it could worsen smog when temperatures are higher. (The EPA had already granted a waiver for 2026.)

Iowa Secretary of Agriculture Mike Naig said, “The bipartisan passage of nationwide year-round E15 is a major win for drivers, farmers, biofuel producers, and rural communities across the country. At a time when gas prices are rising and families are looking for relief, expanding access to E15 will help lower fuel costs while strengthening America’s domestic energy supply.”

The current national average gas price is $4.534 per gallon, while 2026 started with the average at $2.81. Western states are seeing the highest prices, with California sitting at $6.147 and Washington at $5.774.

“We’re very happy with today’s vote, but the job is not finished,” said Eric Tipton, president of the Ohio Corn & Wheat Growers Association. “The U.S. Senate needs to act quickly and pass this bill with no changes.”

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Supporters argue expanded E15 access could strengthen the domestic biofuels market and benefit consumers, farmers, and fuel suppliers—especially in corn-producing states like Iowa. However, some small and mid-sized refining advocates warn the related exemption changes could hurt refinery economics.

Lawmakers have so far declined to attach the E15 provisions to a federal spending bill. Instead, they approved a measure establishing a rural domestic energy council to study the issue, delaying action on broader legislation. The delay has prompted criticism from farm and biofuel groups that have long pushed to expand ethanol market access.

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Under the Clean Air Act, the EPA administrator, in consultation with the U.S. Department of Energy, may temporarily waive fuel requirements in response to supply concerns. Due to ongoing gasoline shortages, the EPA has determined extreme conditions exist and granted a waiver to ensure availability.

E15 sales are typically restricted starting May 1 at terminals and June 1 at retail stations. The waiver extends the 1-psi Reid Vapor Pressure (RVP) exemption, allowing continued sales. Additionally, the EPA has addressed requests from multiple states regarding E10 fuel standards, ensuring fair treatment of both E10 and E15 blends.

The EPA expects the waiver to stabilize fuel availability and may extend it if shortages persist. The agency will monitor fuel markets alongside industry and government partners.

This emergency action supports supply reliability and offers consumers broader fuel choices while complying with federal regulations.

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The tax credit offers up to $1.25 per gallon for fuels reducing carbon emissions by 50% compared to conventional jet fuel, with a maximum of $1.75 for higher reductions. The Treasury Department decided to use a modified version of the GREET (Greenhouse gases, Regulated Emissions, and Energy use in Technology) model for emissions calculations, favored by the agricultural industry.

Agriculture Secretary Tom Vilsack sees this as recognition of farmers’ role in reducing greenhouse gases through biofuel production. However, ethanol industry groups worry that requiring farmers to adopt at least three climate-smart practices may make it hard for some producers to qualify. Senator Chuck Grassley (R-Iowa) mentioned that verifying practices like reduced tillage could be challenging because crops are often mixed at ethanol plants.

Environmental groups had advocated for the CORSIA (Carbon Offsetting and Reduction Scheme for International Aviation) model, which they claim better accounts for land-use changes and other environmental impacts.

The tax credit applies to sustainable aviation fuel produced in 2023 and 2024. A separate formula for 2025 is in development. Despite concerns, the American Coalition for Ethanol sees this as an “important tailwind” for biofuels in the clean energy transition.

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The National Corn Growers Association and state corn grower organizations, which have , praised the decision. 

“We appreciate Administrator Regan’s timely action to prevent a disruption in E15 availability,” said National Corn Growers Association President Tom Haag. “EPA’s action will help address fuel supply constraints and ensure drivers continue to have access to a lower-cost fuel choice that cuts emissions.” 

The fuel market conditions that warranted EPA taking the same successful step last year continue today, Haag noted, and he said corn growers are proud to contribute to an energy and environmental solution that saves consumers money at the pump. 

Continued access to E15 during the summer months will help relieve ongoing energy supply pressures. When EPA took similar action last year, drivers saved nearly a dollar per gallon in some locations and an average of 23 cents per gallon during the summer months, according to data from the Minnesota Department of Commerce. E15 continues to save consumers significantly at the pump. 

Moreover, allowing uninterrupted E15 sales keeps a lower-emission fuel in the marketplace. In addition to being lower in carbon emissions, E15 has lower volatility than regular fuel, which is a 10% ethanol blend, and using E15 results in lower evaporative and exhaust emissions, important during the summer driving season.

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In addition, the survey found that registered voters don’t support mandates to expand electric vehicle use.

The Renewable Fuel Standard (RFA) on Monday released the results of a December 2022 online survey of 1,999 registered voters, with 65% of respondents indicating they support the RFS and 15% oppose it. The survey has a 2-point margin of error, according to an RFA news release.

When it comes to ethanol, the survey found a “favorable opinion” among 64% of respondents compared to 18% “unfavorable.”

The RFA survey explored voter attitudes about electric vehicles (EVs) and biofuels.

Fifty percent of respondents said they were not interested in buying or leasing an EV during the next three years, while 42% expressed interest.

Seventy-seven percent of survey respondents said it was important for automakers to disclose to potential buyers the emissions effects of electricity used to power electric vehicles.

“As the new Congress settles in and begins to consider the future of our nation’s energy policy, these polling results demonstrate that Americans strongly support expanded use of lower-cost, lower-carbon renewable fuels like ethanol,” RFA President and CEO Geoff Cooper said in a news release.

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“We really haven’t sold a gallon since sometime in early March,” said Mike Jerke, CEO of Southwest Iowa Renewable Energy. Jerke said all of the product is being stored.

USDA’s new $19 billion aid plan doesn’t include any money for ethanol, despite an all-out push by the industry and its allies in Congress to get a slice of the funding. Agriculture Secretary Sonny Perdue said there simply wasn’t enough money to go around with so many sectors pleading for help.

Instead, RFA President Geoff Cooper said he thinks the next major economic rescue package will include some help for ethanol producers.

“We think a fourth stimulus package is the more likely vehicle for that program,” he said.

Source: Politico

The court ruling stems from a May 2018 challenge brought against the EPA by the National Corn Growers Association, National Farmers Union, Renewable Fuels Association, and the American Coalition for Ethanol.

“The Court has affirmed our long-held position that EPA’s recent practices and policies regarding small refinery exemption extensions were completely unlawful,” said RFA President and CEO Geoff Cooper. “And while the decision addresses three specific exemptions, the statutory interpretation issues resolved by the court apply much more broadly.”

Among other findings, the court held that the EPA cannot extend exemptions to any small refineries whose earlier, temporary exemptions had lapsed.

EPA’s data show that a maximum of only seven small refineries could have received continuous extensions of their previously existing exemptions. Yet the agency recently has granted as many as 35 exemptions in a single year.

“The Court’s decision is welcome news for corn growers,” said National Corn Growers Association President Kevin Ross. “Ethanol is an incredibly important value-added market for corn farmers, and EPA’s waivers have reduced RFS volume requirements by more than 4 billion gallons over the past three years, impacting corn demand. We are optimistic this decision will finally put an end to the demand destruction caused by waivers and get the RFS back on track.”

Source: AGDAILY

“EPA’s proposal does not ensure sufficiently accurate projections for waived
gallons and, therefore, will continue to shortchange the RFS when waivers are granted,” NCGA President Kevin Ross wrote.

The conclusion of the comments period kicks off a review that is expected to result in a final rule this winter, the EPA said. The proposed rule would use a three-year average of Department of Energy (DOE) recommended waivers rather than address the impact of waived renewable fuel gallons based on exemptions granted, NCGA said. By using DOE recommendations,
not actual waived gallons, EPA’s proposal to redistribute any future waived
gallons is half of what President Trump committed to farm-state senators.

Former Iowa governor and current ambassador to China Terry Branstad
met with Trump recently to lay out the industry’s concerns. Sen. Chuck Grassley (R-Iowa) has also been consulted.

Sources: NCGA, Politico

Farmers expressed outrage in late summer after the EPA announced it was granting 31 waivers to small refineries, exempting them from blending ethanol into gasoline. They were reassured this month when the administration said it would require other larger refineries to add those exempted gallons into their fuels.

But last week, the EPA released the fine print, and the proposed rule would call on those larger refineries to add ethanol based on projections rather than the actual number of gallons exempted. This is angering ethanol groups that had praised the policy a week earlier.

“President Trump made a commitment to farmers and instructed the EPA to follow the law,” said National Corn Growers Association President Kevin Ross, “but this proposal appears to come up short again.”

Geoff Cooper, president and CEO with the Renewable Fuels Association, said that “if the Oct. 4 announcement from EPA was a big step forward, today’s supplemental proposal is a step backward.”

The Iowa Corn Growers Association said in a statement that it was “outraged the Environmental Protection Agency did not implement the details that were presented and outlined by the president only eleven days ago.”

Ethanol producers worry there will be a disconnect between the actual number of gallons of ethanol that are not blended into the fuel supply after the EPA doles out waivers and the number of gallons the government projects will be exempted.

The proposal faces a 30-day comment period, and the EPA expects to finalize a new policy by the end of the year.

Neil Caskey, vice president of communications for the NCGA, will speak at the Marketing & Distribution Convention in in St. Louis next month. He will discuss the state of the ag industry and what’s ahead.

Source: The Hill