By KEVIN WALKER
Michigan Correspondent

WASHINGTON, D.C. — The U.S. Environmental Protection Agency (EPA) announced late last week it was putting off a decision until this fall on whether it would approve a higher blend of ethanol and gasoline.

The announcement, issued last Thursday, stated that the U.S. Dept. of Energy (DOE) is on schedule to complete tests designed to determine the impact of higher ethanol blends on vehicles built after 2007, by the end of September.

It also said the DOE is testing some vehicles built before 2007, as well as other fuel handling equipment to see how they might be affected by E15. E15 is a blend of 15 percent ethanol to 85 percent gasoline. Currently, the maximum allowable blend is E10.

“While results from the tests conducted to-date look good, the EPA will not make a final decision until DOE completes its current comprehensive testing of the newer vehicles,” the statement reads. “EPA is taking steps to ensure the appropriate pieces are in place should the results of the complete set of tests be positive. Based on DOE’s schedule, EPA believes it will be able to make a final determination on whether to approve the use of higher ethanol blends this fall.”

U.S. Agriculture Secretary Tom Vilsack greeted the announcement with praise last week, stating that the news is a positive development for ethanol producers.

“With this green light, USDA is surging ahead on our work to provide support to feedstock producers, biofuel refiners and infrastructure installers, such as blender pumps, to ensure that all the pieces of the ethanol supply chain are ready to supply the market demand,” Vilsack said in a published report late last week.

The people at the Renewable Fuels Assoc. (RFA), an ethanol advocacy group, didn’t see it that way, however. Bob Dineen, president of the RFA, said in a statement the EPA is “dropping the ball, and for no scientifically-justified reason.”

Dineen blasted the agency, saying its plan “borders on shameful,” and accused it of “confusing the market” and helping to ensure that no more ethanol will be sold under the new arrangement than what is being sold now.

In a follow-up interview Matt Hartwig, a spokesman for the RFA, said the agency is working on approving E15 for just 2007 and newer vehicles in September, though he said even that isn’t a sure thing.

“Decisions on older vehicles, though EPA failed to say how much older, will come later in the fall, again maybe,” he said.

He went on to say that EPA has previously indicated it is only considering 2001 and newer vehicles for approval. Hartwig said it’s unlikely retailers would be willing to offer both an E15 blend for newer model vehicles and E10 or less for older models.

“This scenario could effectively result in no increase in ethanol use, despite an approval of higher level blends,” he said.

Other industries are pleased with the delay. The Engine Manufacturers Assoc. (EMA), for example, is worried about the impending approval of E15.

“We have a lot of concerns about mid-level ethanol blends, like E15,” said Joe Suchecki, a spokesman for the EMA. “It’s really based on the fact that there are significant emission and performance problems with small engines. We’re pleased that they haven’t gone ahead and approved E15.”

Suchecki wants to make sure that consumers don’t get confused and put E15 into a lawn mower, for example.

“There has to be a mechanism to prevent that,” he said.
Likewise the American Petroleum Institute (API), which represents various segments of oil and natural gas industries, was pleased with the EPA’s action.

“API is pleased with EPA’s decision to delay approval of the use of higher levels of ethanol in gasoline,” an API statement read.