EPA approves sale of higher-ethanol fuel in bid to lower gas prices

Key Points:

• The US Environmental Protection Agency (EPA) announced a temporary waiver allowing widespread sales of a higher-ethanol gas blend (E15) during summer to help reduce rising fuel prices linked to the Iran war.
• The summer waiver for E15, which has been common in recent years and allowed year-round in some states, aims to boost domestic biofuel demand and lower pump prices, with support from some politicians across parties.
• Critics warn that E15 may not significantly lower prices due to limited availability and infrastructure, and could pose risks to older vehicles and increase grocery costs by diverting corn from animal feed to ethanol production.
• Environmental and health concerns include potential worsening of smog and respiratory issues due to higher ethanol levels in summer fuel blends, with experts cautioning about increased ozone-related health risks.
• While the oil industry has generally opposed E15 expansion, the American Petroleum Institute expressed conditional support, emphasizing the move's role in maintaining affordable and reliable energy access for consumers.