Energy Marketers of America Urges EPA to Delay Implementation of E10 Volatility Summertime Fuel Waiver for Eight Midwest States

Regulatory Alert

Energy Marketers of America Urges EPA to Delay Implementation of E10 Volatility Summertime Fuel Waiver for Eight Midwest States

EMA Regulatory Contacts: Jeff Leiter, Jorge Roman and Rob Underwood

Wednesday, February 12, 2025 – Today, the Energy Marketers of America (EMA) sent a letter to the Trump administration, urging the EPA to delay until at least April 2026 the implementation of the decision that granted the petition of eight Midwestern state governors (Illinois, Iowa, Minnesota, Missouri, Nebraska, Ohio, South Dakota, and Wisconsin) to remove the one pound per square inch (psi) Reid vapor pressure (RVP) volatility waiver for E10 blends in their states. The Biden administration decision permits the summertime sale of E15 in the eight states, which was authorized under a provision in the Clean Air Act (CAA). The CAA allows governors to request an exclusion from the 1 psi waiver for E10 if they substantiate that the higher RVP limit will increase air emissions in that state. EMA is concerned that the 1 psi exclusion waiver will create a boutique fuel market exclusive to the petitioning states, thus limiting gasoline supply to the entire Midwest region and other regions of the country.

The ability to adapt to the 9.0 psi standard depends on refiners’ willingness to invest in infrastructure necessary to produce low-RVP E10 for the eight-state region. Site specific limitations, such as space to add extra storage capacity and the variety of crude oil types processed, will also determine whether a refinery can switch to low-RVP E10 production. The EPA acknowledged these serious concerns in its final rule, recognizing that removing the 1-psi RVP waiver for E10 gasoline would lead to an “insufficient supply of gasoline” in Midwestern states in 2024. The EPA also recognized the critical role energy marketers play in the motor fuels supply chain. The underlying market dynamics have not changed and thus warrant another extension to mitigate the risk of gasoline supply inadequacy through 2026.

“EMA does not oppose legislation to exempt E15 gasoline from the RVP volatility requirements that effectively block sales during the summertime driving season. EMA believes that an extension of the opt-out deadline into 2026 provides the necessary time for Congress, industry, and the Trump administration to develop an effective biofuels policy that balances environmental, energy, cost, and infrastructure realities. In doing so, the Trump Administration can support small business energy marketers’ competitiveness by providing additional funding for the U.S. Department of Agriculture’s Higher Blend Infrastructure Incentive Program (HBIIP), which will allow small business energy marketers can legally and safely sell E10 gasoline and B20 plus biodiesel blends,” the letter states.

Click here to read the letter.

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