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Rick Worthington Ethanol Gas Blends Rule Change
by Rick Worthington, click here for bio

Program: Farm and Ranch Report
Date: March 25, 2019

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Farmers see a fresh crop on the rise with the federal government's proposal to allow ethanol-blended gasoline to be sold year-round.

Farmers Union representative Mark Watne says the proposal would be good for farmers.

"This would create more demand and it would convert more corn into ethanol, maybe help the corn prices,” Watne explains. “And then, of course, if we could even take that further up to E30, we'd get a much better blend, a lot cleaner emissions and then that would be a huge demand increase that would really help farmers."

Farmers unions are hoping the rule can be finalized in time for the summer driving season.

The ethanol blending ban goes into place on June 1 and lasts through Sept. 15.

Watney says - adopting this rule would be especially good far farmers effected by the trade war.

"And then we have this huge trade war that's going on,” he points out. “It's not resolved with Canada and Mexico yet. We have a huge one with China. And even though we talk about soybeans, with the price of soybeans being down, it drags the price of corn, wheat and all our other commodities down."

The Environmental Protection Agency is proposing a rule change that would lift the summertime prohibition on use of E15, or gasoline blended with 15 percent ethanol.

The ban was put into place because of concerns that the blends contribute to smog.

Comments on the proposal must be submitted to the EPA by April 29. The agency will hold a public meeting on the proposal on March 29 in Michigan.

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