In a rare moment of bipartisan agreement, the House passed legislation this Spring to allow the year-round sale of E15. For those less familiar with ethanol policy, the change lifts longstanding restrictions (due to its higher volatility in warmer weather) that limit E15 sales during the summer months. Supporters, including corn growers and lawmakers, argue the move will strengthen domestic industry and lower costs for consumers. The evidence suggests otherwise.
E15 will not meaningfully address affordability concerns. A more comprehensive look at ethanol policy shows that mandates under the Renewable Fuel Standard raise costs rather than reduce them.
E15 is gasoline blended with roughly 15 percent ethanol. Its use is driven by the Renewable Fuel Standard, which mandates how much ethanol must be blended into the nation’s fuel supply. For corn producers, the primary suppliers of ethanol feedstock, the policy has been a clear win. In the current push to expand E15, proponents have tied the policy to broader concerns about affordability. That argument does not hold up under scrutiny.
Tirzah Duren is the President and CEO of the American Consumer Institute, a nonprofit education and research organization. Follow Tirzah on X @tzduren.