RFA: Year-Round E15 Justified by Iran War Oil Price Spike


   
SECAUCUS, NJ (DTN) -- The Renewable Fuels Association (RFA) on Tuesday (3/3) 
renewed its call for year-round U.S. legislation of E15, saying gasoline with 
15% ethanol will help consumers alleviate higher fuel costs likely from the 
Iran war-triggered oil price spike.
"We need to take every action we can to insulate our nation from these 
geopolitically induced price spikes at the pump, and an easy solution is to 
increase our use of domestically produced ethanol," RFA President and CEO Geoff 
Cooper said in a statement.
Crude oil prices hit multi-month highs this week on disruptions to Middle East 
supplies in the wake of the Iran conflict. The RFA noted that 314 million bbl 
of oil consumed by the U.S. last year was from OPEC countries, a volume it 
argued could be halved by national E15 adoption.
Year-round E15 legislation seeks to permanently remove summertime volatility 
restrictions that currently ban the 15% blend in most of the U.S. due to 
concerns that higher Reid Vapor Pressure contributes to smog.
While there is bipartisan support in Congress to approve year-round use of E15, 
the Environmental Protection Agency has struggled to balance the demands of 
Midwestern states for regional autonomy against refiners' concerns over the 
potential for localized fuel supply disruptions and increased infrastructure 
costs.

Barani Krishnan
DTN Refined Fuels Market Reporter




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