Ethanol consumption shatters blend wall in 2016

by | Apr 21, 2017 | 5 Ag Stories, News

World of Agriculture 4-24-17

Gasoline consumed in the United States in 2016 contained more than 10 percent ethanol on average for the first time ever. This is according to an analysis of U.S. Energy Information Administration (EIA) data.

Rachel Gantz is spokesperson for the Renewable Fuels Association in Washington, D.C. She says the EIA info demonstrates the term “blend wall” is not a real constraint on ethanol consumption.

?We?ve been saying all along there is not blend wall which is the myth that 10 percent ethanol is the marketplace limit for ethanol content in U.S. gasoline. That narrative is only used to mislead consumers and under-mind support for the RFS. The EIA info definitely shows the ethanol blend wall is a myth just like the tooth fairy or bigfoot.?

RFA analyzed EIA data in a report earlier this week. Gantz says they found gas consumed in the U.S. last year contained over 10 percent ethanol on average for the first time.

?Specifically, that number was 10.04 percent. Diving deeper into the numbers, the national average ethanol content was 10 percent or higher in six of the last seven months of 2016. It reached a record high rate of 10.3 percent in December. That trend continued into this year with a weekly record of 10.41 percent reached in early January 2017,? Gantz says.

Gantz adds this proves there is no reason why the Environmental Protection Agency shouldn?t require the production target for corn-based ethanol at 15 billion gallons. EPA plans to release proposed 2018 Renewable Fuel Standard volume requirements in the next month or so. They will release the final number by November 30th.