RFA Continues Push for E15 in California

Gov. Gavin Newsom has until October 12 to sign a bill passed by the California state legislature allowing E15 sales.

NASHVILLE, Tenn. (RFD-TV) — The Renewable Fuels Association (RFA) is continuing its push for broader uses of E15. With a bumper corn crop on the horizon, the industry group has its sights set on California, where drivers use more than a billion gallons of ethanol annually.

“California, as I think most people know, has been 10% ethanol for two decades now, and it’s important to note that they are the second-largest state as far as gasoline consumption, and consumes over a billion-and-a-half gallons of ethanol each year,” explained Robert White, RFA Senior Vice President of Industry Relations & Market Development. “When we look at the opportunity and market opportunity for ethanol to move from 10% to 15%, it’s a huge market. In fact, almost 267 million bushels of corn, or 800 million gallons of ethanol. In fact, last week, a hauler of ethanol said, ‘When can I move another 2 million gallons a day?’”

White said boosting California’s blend to 15 percent would also help utilize more of this year’s large corn harvest.

“When we’re looking at the corn crop we have in the field, or coming out of the field as we speak, and the state of the ethanol industry, and how much we’re looking for another market or market expansion — California is a perfect example of something that’s right in front of us, and we’re just trying to get it to the finish line,” White said.

California Governor Gavin Newsom has until October 12 to sign a bill passed by the state legislature that would allow E15 sales in the state.

Currently, California is the only U.S. State that does not permit the sale of E15 during at least some parts of the year. So far, the EPA has approved eight states for year-round sales of the biofuel.

Related Stories
Strong U.S. yields and steady demand leave most major crops well supplied, keeping price pressure in place unless usage strengthens or weather shifts outlooks.
While agriculture doesn’t predict every recession, the sector’s long history of turning down before the broader economy
ARC-CO delivers the bulk of 2024 support, offering key margin relief as producers manage tight operating conditions.
As economic pressures continue to squeeze agriculture, ag lenders are signaling a more cautious outlook for farm profitability heading into next year, particularly among grain producers facing lower commodity prices and higher operating costs.
USDA released the November WASDE Report on Friday, the first supply-and-demand estimate to drop since September, just before the 43-day government shutdown.
AFBF economist Faith Parum breaks down the potential impact of the proposed policy change to allow year-round sales of E15 biofuel.

LATEST STORIES BY THIS AUTHOR:

Biofuel and corn producers await proposal as Renewable Fuels Association pushes for expanded ethanol access.
Strong corn exports support prices while soybeans lag yearly pace. However, large carryover stocks limit upside despite solid yields.
Lori Stevermer with the National Pork Producers Council reacts to the USDA’s speedline proposal, the new Farm Bill’s fix for California’s Prop-12, and other policy developments impacting the pork industry.
South Texas farmers say water shortages continue despite Mexico’s renewed payments under the 1944 Water Treaty.
Red Flag Warning in effect as high winds fuel fast-moving blaze across Oklahoma, Kansas, and Texas
Bayer’s Monsanto announces $7.25B class settlement for Roundup™ lawsuits alleging Non-Hodgkin lymphoma (NHL), covering claims over 21 years.
Agriculture Shows
Hosted by Scott “The Cow Guy” Shellady and RFD News Markets Specialist Tony St. James, Commodity Talk delivers expert insight into the day’s ag commodity markets just before the CME opens. Only on RFD-TV and Rural Radio SiriusXM Channel 147.
A look at the news, weather and commodities headlines that drove agriculture markets in the past week.
Everything profits from prairie. Soil, air, water — and all kinds of life! Learn how you can improve your land with prairie restoration, cover crops and prairie strips, while growing your bottom line.
Special 3-part series tells the story of the Claas family’s legacy, which changed agriculture forever.