The US Court of Appeals for the Ninth Circuit in San Francisco early this month unanimously affirmed a lower court decision that found California did not preempt federal authority when the state banned the fuel additive methyl tertiary butyl ether.
"We conclude that, in enacting the Clean Air Act, Congress left the states substantial authority to enact legislation governing matters of public health and safety," the appeals court said.
The Renewable Fuels Association, representing fuel ethanol producers, predicted the court's action might encourage other states to ban MTBE. RFA members said they can easily supply refiners with product so states can meet federal reformulated gasoline (RFG) program guidelines, which require either MTBE or ethanol to be added to RFG in the nation's smoggiest cities.
MTBE producers and refiners argue that there is no scientific justification for banning the additive, saying that if policymakers force suppliers to rely on fuel ethanol, it could drive retail gasoline prices as much as 10¢/gal higher than conventional fuel depending on location.
Despite these predictions, New York, Connecticut, and California next year are banning MTBE. Washington state's ban also is scheduled for this year. An earlier MTBE ban in Arizona expired in 2001.
Five other states—Colorado, Nebraska, South Dakota, Minnesota, and Iowa—already have bans on MTBE. Meanwhile, Kansas, Illinois, and Indiana have bans that will activate in 2004.
By 2006, a total of 16 states plan to have bans in place, according to American Petroleum Institute data.
