Legislation which would permit year-round sales of E15 gasoline blends through the Renewable Fuel Standard (RFS) has been excluded from the latest appropriations package approved by the House. Corn growers and ethanol producers are upset; small and mid-size refiners are relieved.
RFS is riddled with economic and environmental problems. Allowing year-round E15 would merely exacerbate some and precipitate others.
E15 is a fuel blend consisting of 10.5 to 15 percent ethanol mixed with gasoline, sold at more than 3,000 stations in 31 states, and typically found in the Mid-west. Currently sales are restricted during the summer months because the 15 percent ethanol blend has higher volatility in warmer weather, potentially increasing evaporative emissions and smog formation.
Once regulators clear the way for E15 all year, the pressure on retailers—especially small, independent stations—intensifies, as most stations are not equipped for that shift. Converting pumps, tanks, and labeling to handle E15 safely can cost tens of thousands of dollars per site.
Studies indicate that the RFS already raises gas prices by approximately 30 cents a gallon, affecting consumers directly at the pump as well as through inflated costs on goods that must be transported long distances. E15 expansion will incorporate more ethanol into gasoline tanks, further constraining fuel economy and costing consumers more money.
While E15 is approved for most cars built after 2001, millions of older vehicles remain on the road. Small engines like lawn equipment, boats, and generators are not designed for E15 at all. Misfuelling is not a hypothetical risk; it’s almost a certainty when a higher‑ethanol blend becomes more common and more confusing.
More blended fuel will put additional strain on food supply and prices. Approximately 40 percent of annual corn production is now used to make biofuels. Shifting corn crops to renewable fuel production—rather than food or feed—has resulted in significantly higher corn prices. Diverting an ever-growing amount of food for fuel will continue to cause price increases across the board for a variety of products.
Despite promising emissions reductions and other environmental benefits, biofuels have “caused environmental degradation greater than the fossil fuels they were purported to replace.” Corn ethanol’s carbon intensity is 24 percent higher than gasoline. Deforestation, water contamination, and air pollution have resulted because of the upsurge in corn and soy cultivation and production. Higher ethanol content in gasoline will amplify these negative impacts.
It will also hit small independent refineries harder, which already have difficulty complying. Lacking the capacity to blend fuels, they are required to purchase compliance credits called Renewable Identification Numbers (RIN). Surging RIN prices have forced many refiners to spend more on RINs than all other operating costs combined; several refineries have had to permanently close their doors. More blending requirements equals more hardship for many of our small refineries, and potentially more closures. Refinery closures mean lost jobs and tax revenue in addition to reducing U.S. petroleum production.
E15 does nothing to address the structural issues in the RFS, which continues to distort markets, inflate compliance costs for refiners, create volatility in the RIN credit system, and raise costs for consumers. Year‑round E15 is a political patch, not a reform.
The country deserves a fuel strategy grounded in transparency, consumer protection, and genuine environmental benefit.
Kristen Walker is Senior Policy Analyst and Manager for Energy and Transportation with the American Consumer Institute, a nonprofit education and research organization. Follow us on X @ConsumerPal.