Vilsack Wants Quick EPA Decision on Ethanol Blend Rate


Agriculture Secretary Tom Vilsack wants the Environmental Protection Agency to quickly make a decision on raising the ethanol blend rate in gasoline from the current level of 10 percent.

On Wednesday, Vilsack and other USDA officials said unless the rate is increased soon, production growth ethanol could halt because demand for it won’t be able to expand. The American Farm Bureau Federation supports raising the ethanol blend level to up to 15 percent.

USDA Chief Economist Joe Glauber said he expects ethanol production this year to reach about 13 billion gallons, and there is not much room for expansion beyond that. Glauber said the “blend wall,” or the maximum amount of ethanol that can be produced to meet demand, will be about 15 billion gallons per year.

Agriculture Secretary Tom Vilsack wants the Environmental Protection Agency to quickly make a decision on raising the ethanol blend rate in gasoline from the current level of 10 percent.

On Wednesday, Vilsack and other USDA officials said unless the rate is increased soon, production growth ethanol could halt because demand for it won’t be able to expand. The American Farm Bureau Federation supports raising the ethanol blend level to up to 15 percent.

USDA Chief Economist Joe Glauber said he expects ethanol production this year to reach about 13 billion gallons, and there is not much room for expansion beyond that. Glauber said the “blend wall,” or the maximum amount of ethanol that can be produced to meet demand, will be about 15 billion gallons per year.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: