BIO Applauds President Trump’s Directive to Allow Sales of E15 Fuel Year-Round
WASHINGTON--(BUSINESS WIRE)-- The following statement may be attributed to Brent Erickson, BIO’s Executive Vice President, Industrial and Environmental Section, in response to President Donald Trump’s directive allowing the sale of E15 fuels year-round.
“BIO applauds the Trump Administration’s decision to remove the regulatory barriers preventing the year-round sale of transportation fuel containing 15 percent biofuels (E15). We look forward to working with the U.S. Environmental Protection Agency (EPA) to ensure that the proposed rule is issued and finalized in time to allow the sale of E15 for the 2019 summer driving season. This pro-consumer move will provide greater choice at the pump by allowing more market space for cellulosic biofuels.
“As BIO noted in our comments on EPA’s proposed Renewable Fuel Standard volumes for 2019, approval of year-round use of E15 can greatly benefit U.S. consumers. Gasoline prices typically rise at the start of the summer, as refineries switch to production of summer-grade gasoline. Providing a permanent Reid vapor pressure (RVP) waiver for E15 will lower producer costs and provide relief to U.S. drivers.
“Researchers from the University of Illinois Department of Agricultural and Consumer Economics calculated that increasing the use of ethanol to 10 percent in gasoline saved U.S. consumers $7 billion between 2008 and 2016. Using a similar model – accounting for both the price difference between ethanol and gasoline blendstock and the price difference between ethanol and other octane additives – BIO calculates that the switch from E10 to E15 could save U.S. drivers approximately $9.5 billion per year.
“Allowing E15 to be sold year-round will help unleash the potential of cellulosic biofuels by creating more demand and marked headroom for the next generation of biofuels. Increasing the volume of biofuels in the transportation fuel market gives cellulosic biofuel producers an opportunity to compete for consumers by allowing retailers to provide another choice at the pump.
“In addition to helping consumers, E15 provides major environmental benefits. Our analysis found that summer use of E15 can save between seven million and 10.4 million metric tons of CO2 equivalent GHG emissions – which is equivalent to taking 1.4 to 2.2 million cars off the road over the 10-year period.”
BIO is the world's largest trade association representing biotechnology companies, academic institutions, state biotechnology centers and related organizations across the United States and in more than 30 other nations. BIO members are involved in the research and development of innovative healthcare, agricultural, industrial and environmental biotechnology products. BIO also produces the BIO International Convention, the world’s largest gathering of the biotechnology industry, along with industry-leading investor and partnering meetings held around the world. BIOtechNOW is BIO's blog chronicling “innovations transforming our world” and the BIO Newsletter is the organization’s bi-weekly email newsletter. Subscribe to the BIO Newsletter.
Source: Biotechnology Innovation Organization