Majority Leader John Thune States Year-Round E15 Requires Compromise with Small Oil Refiners
Majority Leader John Thune, R-South Dakota, has indicated that the year-round sale of E15, a higher ethanol-blended gasoline, lacks sufficient votes in the U.S. Senate unless concessions are made for small oil refineries. Thune made these remarks during the Midwest Agricultural Export Summit in Sioux Falls, responding to a question from Walter Wendland, president of the South Dakota Ethanol Producers Association. A lower E10 blend is currently available year-round, and proponents of E15 argue it would bolster the farm economy and enhance energy independence. However, without specific legislation, summertime E15 sales necessitate a federal waiver. The dispute primarily revolves around the Renewable Fuel Standard, which mandates oil refiners to blend a minimum amount of renewable fuels or purchase compliance credits. Small refineries, defined as those processing 75,000 or fewer barrels daily, can seek exemptions if they demonstrate that compliance would cause them “disproportionate economic hardship.” The Ho...