The Biden administration has issued a waiver allowing fuel with a higher ethanol content to be sold during summer when gasoline prices typically rise.
This fuel blend, or E15, contains 15 percent ethanol and is estimated to be $0.25 cheaper than the standard E10 fuel, which includes 10 percent ethanol. The waiver will take effect on May 1, allowing gas stations in eight states – Iowa, Illinois, Missouri, Minnesota, Nebraska, Ohio, South Dakota, and Wisconsin – to sell E15 on June 1.
This move comes as gas prices are expected to increase due to rising demand during the summer months and geopolitical tensions in the Middle East, which could further drive up prices.
The Environmental Protection Agency (EPA), which announced the waiver, has also issued a final rule to make E15 available year-round beginning in 2025. However, representatives from the affected states have introduced legislation allowing year-round availability starting this year.
The Renewable Fuels Association (RFA), the leading trade group for ethanol and other biofuels, has praised the move, stating that it will help extend gasoline supplies, prevent fuel shortages, protect air quality, and reduce carbon emissions. The move has also received bipartisan approval from members of Congress representing the affected states.
Senator Sherrod Brown (D-Ohio), considered one of the most vulnerable Democratic incumbents in the upcoming election cycle, stated that relying on American farmers for clean, reliable biofuels like E15 is a better energy solution than depending on foreign competitors.
He also noted that expanding the use of E15 will help lower energy prices throughout the summer while expanding markets for Ohio farmers.
Senator Joni Ernst (R-Iowa) also supported the move, stating Americans should have access to higher ethanol blends like E15 year-round rather than waiting for the administration to issue a last-minute waiver. Both Brown and Ernst have cosponsored legislation that would make E15 available year-round.