US House committee passes bill to repeal E15 fuel waiver

Washington (Platts)--11Apr2013/427 pm EDT/2027 GMT

A bill to prevent the sale of E15 gasoline, which has 15% blend of ethanol, until a new scientific study of mid-blend fuels in done, passed a House committee Thursday.

The bill, sponsored by Jim Sensenbrenner, Republican-Wisconsin, would block the Environmental Protection Agency from approving any blends of motor fuel above E10 until a group appointed by the National Academy of Sciences completes a study of the fuel's effect on car engines and pollution control systems.

The bill would also require the independent panel to investigate the best methods to prevent consumers from mistakenly adding E15 or higher blends to engines not approved for its use and to evaluate the adequacy of the misfueling mitigation plans approved for use by the EPA.

"We believe there was not proper scientific input in the decision the EPA made," when it approved a waiver allowing the sale of E15, Sensenbrenner said during a meeting of the House Science, Space and Technology Committee.

In response to a comment by Representative Alan Grayson, Democrat-Florida, that the bill was a "stalling tactic," Sensenbrenner said he considered the legislation a "time out" for additional study.

The bill, which must still be considered by the House Energy and Commerce Committee before going to the full House, is one of several expected this year to repeal E15 and to make changes to the Renewable Fuels Standard, which requires the blending of an increasing amount of biofuels into the nation's transportation fuel supply.

The passage of the bill in committee sparked strong opposition from renewable fuel groups.

Tom Buis, CEO of ethanol backers Growth Energy, called the bill a "legislative tactic to delay, and ultimately repeal approval of E15. This is truly unfortunate as E15 is the most tested fuel to date and all the ethanol industry is asking for is the chance to compete in a free marketplace, where market share is not blocked and consumers and retailers have the opportunity to make the voluntary choice of the fuel they wish to use," Buis said in a statement.

The EPA approved a waiver allowing E15 for light-duty vehicles made in 2001 or later. The fuel is not approved for small engines, such as power lawn mowers and chainsaws, or in marine engines.

Despite the approval of the fuel, it has yet to catch on in the marketplace. Retailers have hesitated to invest in new storage tanks and blender pumps needed to offer the fuel. And retails continue to be concerned about liability issues that might arise if consumers use the fuel in engines for which it is not approved.

--Gary Gentile, gary_gentile@platts.com

 --Edited by Richard Rubin, richard_rubin@platts.com

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