Ethanol bill stalls in Senate committee

July 24, 2017
The US Senate will not vote soon on legislation opposed by oil industry groups that would have permitted elevated concentrations of ethanol in gasoline.

The US Senate will not vote soon on legislation opposed by oil industry groups that would have permitted elevated concentrations of ethanol in gasoline (OGJ Online, June 19, 2017).

Officials of the Environment and Public Works Committee said S. 517 lacked votes needed for movement to the Senate floor for a vote before the August recess.

Whether work on the bill will resume after that is unclear.

The bill would extend volatility waivers for gasoline containing more than 10 vol % ethanol, enabling sales of gasoline with 15% ethanol, or E15.

The American Petroleum Institute and other industry associations oppose the introduction of E15, which they say threatens to damage engines in some vehicles and equipment.

The ethanol industry promotes E15 to enlarge the market for its product. With sales of E85 for flexible-fuel vehicles low, ethanol-market growth depends on gasoline demand at the 10% blending limit.

Oil industry associations have called for repeal or major reform of the Renewable Fuel Standard, which includes mandates for sale of grain ethanol in vehicle fuel.