US energy groups are readying a last-minute push for Congress to authorize year-round sales of a higher-ethanol gasoline blend, including a meeting at the White House today.
The American Petroleum Institute (API) and ethanol groups agreed on the framework for a sweeping biofuel policy bill earlier this month and have lobbied lawmakers to include the deal in larger legislation to fund the government after 30 January, multiple people familiar with the deal told Argus. But oil refiners that would lose the ability to bid for exemptions from annual biofuel blend quotas have pushed back aggressively.
Supporters of the deal will head to the White House today for a meeting today to lobby for President Donald's Trump support, according to three people familiar with the matter. API will attend the meeting along with farm and ethanol advocates. The White House did not immediately respond to a request for comment.
US representative Zach Nunn (R-Iowa) proposed an amendment to the spending package this week to include the deal hashed out by the oil group and farm interests. The deal would immediately authorize year-round sales of 15pc ethanol gasoline (E15) and would, starting in 2028, prevent larger companies from seeking exemptions from annual biofuel blend mandates while offering some small refiners that remain eligible annual 75pc exemptions.
The US House Rules Committee is holding a meeting on Wednesday to decide whether to allow a vote on the Nunn amendment during eventual floor debate on the spending package. Any deal would have to be added to the House legislation and then confirmed by the Senate too before heading to Trump's desk.
Unlocking permanent access to E15 would be a major victory for ethanol producers, who have long claimed wider access to the typically-cheaper blend would benefit farmers and drivers alike. Oil majors have grown more comfortable with E15 too unlike some of their smaller refining rivals, preferring consistent nationwide rules to costly workarounds like a looming shift in the midcontinent to a boutique fuel blend that would allow more ethanol.
