The Proposed Renewables Enhancement and Growth Support (REGS) Rule makes changes to the RFS and other fuel regulations that are intended to support growth of ethanol and other renewable fuels, the Environmental Protection Agency (EPA) said in a statement when it announced the rule October 3.
One part of the proposed rule would allow fuel blends of 16% to 83% ethanol to not be fully subject to gasoline quality standards, EPA said. Instead it would put in place other standards for the quality and environmental performance of the higher ethanol blends. "EPA believes this will clear the way for the expanded production and use of high ethanol fuel blends at a lower cost, and thereby the opportunity for increasing demand," the agency said in a statement.
However, the proposed rule does not provide regulatory relief for E15. E15 sales are prohibited in some markets from June 1 to September 15 to reduce evaporative emissions from gasoline that contribute to ground-level ozone. Ethanol producers want to expand use of ethanol using E15 blends -- which EPA has cleared for use in model year 2001 or newer automobiles.
The rule would leave E15 as the only ethanol-blended fuel that does not have relief from the volatility measurement, or Reid Vapor Pressure (RVP), according to Growth Energy CEO Emily Skor. "It is imperative that E15 be given the same volatility treatment as regular E10 gasoline," she said. "The current RVP waiver for E10 was granted in 1990, and it is time we update our fuel regulations to match the market realities of the 21st century. E15 burns cleaner, has reduced tailpipe emissions and particulate matter and reduces smog and other harmful emissions."
Expanding the RVP waiver to cover E15 is "the biggest thing we're looking for," Growth Energy spokesman Michael Frohlich told Bloomberg BNA, adding "that's the last big roadblock we see in terms of E15 expansion."