Lawmakers introduced legislation on Wednesday that would permit the sale of E15 year-round nationwide.
The proposal also requires the Environmental Protection Agency to finalize pending rulemaking, recognizing that E15 is compatible with existing infrastructure and equipment.
Additionally, the proposed amendment to the House Farm Bill, introduced by the lawmakers that make up the E15 Rural Domestic Energy Council, reforms the Renewable Fuel Standard refinery exemption process by clarifying who qualifies as a "small" refiner beginning in 2028, the Iowa Renewable Fuels Association said in a statement.
Refiners meeting the new standard would receive an automatic 75% reduction in their RFS obligations.
Larger refiners could petition for RFS exemptions on an emergency basis. Going forward, RFS exemptions would not be reallocated, IRFA said.
"IRFA is thrilled to finally see this compromise legislation introduced," said IRFA Executive Director Monte Shaw. Our message is simple: get this to the President's desk immediately so that he can sign it into law."
Geoff Cooper, President of the Renewable Fuels Association, said the amendment strikes the right balance for the many stakeholders who came to the table and engaged in good faith with the House council over the past several months.
"We believe it is broadly supportable by agriculture, oil refining, biofuels, and fuel retail interests," Cooper said.
In January, lawmakers removed year-round E15 from a funding bill and instead formed the E15 Rural Domestic Energy Council to study the issue and introduce legislation in February.
The Fueling American Jobs Coalition, a coalition of union workers and independent American oil refiners, opposed the measures.
"It has been made abundantly clear that the ethanol industry has no interest in a year-round E-15 compromise that would rein in the volatile regulatory costs of the Renewable Fuel Standard," FAJC leadership stated in a press release.