California Urged to Adopt E-15 Ethanol Blend to Lower Gas Prices and Reduce Emissions

In a significant push for cleaner and more affordable fuel options, Aemetis, Inc., a California-based renewable fuels producer, is urging the California Air Resources Board (CARB) to adopt a 15% ethanol blend (E-15) in gasoline. This proposal comes as California grapples with high fuel prices and ambitious climate goals, potentially offering a solution that addresses both economic and environmental concerns.

The call for E-15 implementation comes at a crucial time, as Governor Newsom has convened a special session of the state legislature to address California's persistently high gas prices. Aemetis argues that allowing consumers to purchase E-15 could lead to substantial savings at the pump. A recent study by economists from UC Berkeley and the US Naval Academy suggests that adopting E-15 could save California drivers an estimated $2.7 billion annually, translating to approximately $0.20 per gallon in savings.

The economic benefits of E-15 adoption extend beyond individual savings. For a typical California household, the switch could result in annual savings of about $200 on gasoline expenses. This additional disposable income could be particularly significant for lower-income residents, potentially alleviating financial pressures on necessities such as childcare, groceries, or healthcare.

From an environmental perspective, the adoption of E-15 aligns with California's ambitious climate goals. Ethanol, derived from renewable sources, emits 46% fewer air pollutants than gasoline. This reduction in emissions could play a crucial role in helping California achieve its target of net carbon neutrality by 2045. A study commissioned by CARB itself found that E-15 adoption could lead to reductions in tailpipe pollutants, including particulate matter and carbon monoxide, which have significant implications for air quality and public health.

Eric McAfee, Chairman and CEO of Aemetis, Inc., emphasized the immediacy of the potential benefits, stating, "As the transition to EVs and other zero tailpipe emission vehicles take place over the next decade, California should adopt every tool available – today – to expedite the reduction of harmful fossil fuel emissions." This statement underscores the potential of E-15 as a bridging solution in the state's longer-term transition to zero-emission vehicles.

The adoption of E-15 in California would bring the state in line with the rest of the nation. Currently, California stands alone among the 50 states in not adopting a 15% ethanol blend, despite the US Environmental Protection Agency's approval of E-15 for use in light-duty vehicles in 2011. This lag in adoption raises questions about California's fuel policies and their alignment with both national standards and the state's own environmental goals.

Implementing E-15 in California is not without its challenges. However, Aemetis notes that the necessary steps, including source testing and on-road testing, have already been conducted. With billions of miles driven on E-15 across the United States since 2011, there is a substantial body of real-world data to support its adoption. Aemetis suggests that CARB could adopt new rules allowing E-15 sales in California as soon as 2025.

The potential adoption of E-15 in California represents a significant shift in the state's approach to fuel policy. If implemented, it could serve as a model for other states and regions looking to balance economic concerns with environmental goals. As California continues to lead the way in environmental policy, the decision on E-15 adoption could have far-reaching implications for the future of renewable fuels and climate change mitigation strategies across the United States.