The United States Environmental Protection Agency recently announced that its decision whether to approve a waiver to allow E15 (a 15% ethanol fuel blend) in all vehicles would likely be made this fall. Previously, EPA had previously indicated that a decision would be made this summer. In early July, Gina McCarthy, Assistant Administrator for Air and Radiation told a renewable energy conference audience that EPA was "very confident" that E15 was suitable for newer vehicles, but was less certain concerning older ones. Department of Energy testing on model year 2007 (and newer) cars is scheduled to be complete by mid-September. Tests on 2001 and newer vehicles are supposed to be complete by November 301.
However, on July 20, 2010, Henry Waxman, Chairman of the House Committee on Energy and Commerce, Edward Markey, Chairman of the Subcommittee on Energy and Environment, and Republicans Joe Barton, Ranking Member of the Committee, and Fred Upton, Ranking Member of the Subcommittee, wrote to Jackson urging caution with the waiver decision. The Congressmen requested information concerning what plans EPA has developed to ensure that increasing the permissible level of ethanol in gasoline is accomplished in a way that does not present any potential harm to air quality, consumers' investments in cars, trucks and other engines and equipment, or small business owners' investments in retail gasoline outlets.
The letter indicated there was some preliminary information which indicated that E15 may cause durability or operability problems or increased air pollution. As to these issues the letter concluded that EPA should not approve E15 until the agency had sufficient test results to allow it to assure consumers that the use of E15 would not harm vehicles or engines. The letter also appeared to question whether EPA had the authority to grant a partial waiver for certain vehicles and engines and not others.
The Congressmen attached a list of 16 questions to EPA. The first series of questions asked EPA to address whether it could currently assure consumers that E15 would not adversely affect vehicles' operability, durability, safety and pollution control equipment for different classes and models of vehicles. EPA was asked to provide: any support for EPA's response including studies or other information; information on the effect of the use of E15 on newer or older vehicles; a description of testing being conducted by the Department of Energy; and the percentage of the vehicle fleet which is comprised of that particular class of vehicle. The letter also asked EPA whether it has the authority to grant a partial, as opposed to a universal, waiver for E15 and the basis for that authority.
The Congressman asked whether any warranties for existing cars, trucks and non-road engines would be voided by the use of E15; what changes in gas mileage a consumer could expect when using E15; and whether EPA was developing a plan to avoid or minimize misfueling of E15. The letter also questioned how many tanks and pumps at retail outlets were certified for use of E15 and what consequences there were for retail outlet owners using E15 in a tank or pump that is not certified. Finally, the Congressman asked whether EPA conducted any modeling to determine whether an approval of E15 would affect states' abilities to obtain and maintain national ambient air quality standards.
This article was authored by James R. Snyder, Jackson Kelly PLLC. For more information on the author see here.
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1 EPA's delay and indication that any waiver may only apply to newer cars has caused ethanol industry groups to push for an immediate interim step of approving E12 for all vehicles. In a letter to EPA Administrator Lisa Jackson, the American Coalition for Ethanol, the National Corn Growers Association and the Renewable Fuels Association urged EPA to approve E12 for use in all vehicles claiming that EPA has already approved fuels with equivalent oxygen content.
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