A map showing the more than 2,100 retail locations selling E15 fuel across the nation. CREDIT GROWTH ENERGY
By CBJ News Staff
news@corridorbusiness.com
Iowa’s First District Representative Abby Finkenauer today introduced a new bill that would provide $500 million over five years to retailers installing and converting their fuel pump infrastructure to deliver higher blends of ethanol and biodiesel.
The bill, named the Clean Fuels Deployment Act of 2020, aims to accelerate the deployment of new fueling innovations, expand the geographic area where ethanol and biodiesel is sold, and support biofuel and sustainable aviation fuel markets, according to a release from Ms. Finkenauer’s office. It is co-sponsored by Reps. Angie Craig (D-Minnesota), Don Bacon (R-Nebraksa) and Roger Marshall (R-Kansas).
“The time is now to further diversify our fuel supply and move more biofuels into the market,” Ms. Finkenauer said in the release. “Biofuels offer a proven path to reducing greenhouse gas emissions, decarbonizing the transportation sector, driving economic growth and creating jobs. … Cleaner fuels are good for our economy and our environment, and we’re going to keep fighting for them.”
In addition to supporting the distribution of higher ethanol and biodiesel blends at fueling stations, the program could also be used to enhance pipelines and terminals to blend and carry ethanol and biodiesel. Funding from the Clean Fuels grant program could be used to incentivize the deployment of ethanol and biodiesel fueling infrastructure and convert existing infrastructure to deliver ethanol blends greater than 10% and biodiesel blends greater than 20%.
According to Growth Energy, a trade group representing U.S. ethanol producers, E15 – unleaded gasoline mixed with 15% ethanol – is now offered at more than 190 terminal locations and sold in 2,100 locations as far west as Colorado. It has been approved by the U.S. Environmental Protection Agency for use in cars 2001 and newer, covering more than 90% of the vehicles on the road today, the group adds.
The bill was cheered by groups representing Iowa farmers and biofuel producers, who are facing the dual threat of a massive drop in demand due to the COVID-19 pandemic and a presidential administration that routinely seesaws in its support of biofuels. ADM last week announced it will idle ethanol production at its corn dry mill facilities in both Cedar Rapids and Columbus, Nebraska, while POET, one of the nation’s largest ethanol producers, recently announced it would idle production at three plants and postpone the opening of a fourth, IPR reported.
“We commend Rep. Finkenauer for her leadership in the effort to accelerate consumer access to biofuels like biodiesel,” said Grant Kimberley, executive director of the Iowa Biodiesel Board and the Iowa Soybean Association’s director of market development, in a statement. “We support incentivizing terminals and taking other steps to help increase the market penetration of this greenhouse gas-reducing fuel. This will also drive economic growth – an urgent need in America.” CBJ
