White House Seeks to Ease Ethanol Limits

The Trump administration aims to relax limits on the U.S. sale of E15, a gasoline blend that contains 15% ethanol. The White House is expected to announce the move today.

Blending ethanol, which contains oxygen, with gasoline reduces exhaust emissions. But it also lowers fuel efficiency, since ethanol contains less energy per gallon than pure gasoline.

Refiners already sell a 10% ethanol blend (E10) year-round. The Environmental Protection Agency currently bans the sale of E15 during the summer because its higher evaporation rate in hot weather can contribute to air pollution.

The White House proposes to drop the summertime ban on E15 beginning next year. The policy change would fulfill a campaign promise to Midwest farmers by President Donald Trump to hike demand for plant-based ethanol, which is made from corn.

Easing rules on E15 has raised the ire of the oil industry. It, like some carmakers, contends that the higher corrosiveness of E15 compared with E10 could harm the fuel systems of older cars.