Hopes grow for higher ethanol blend with inclusion in US Senate farm bill

South Dakota’s congressional delegation is hopeful that year-round, nationwide approval of E15 — a gasoline blend with 15% ethanol — will clear Congress this year, bolstered by its inclusion in the latest Senate version of the farm bill.

Ethanol is a fuel additive made primarily from corn, and a lower E10 blend is already available year-round. Supporters of year-round E15 availability say it would strengthen the farm economy and make the country more energy independent. Without a law authorizing year-round E15, summertime sales require a federal waiver.

Opponents point to research showing emissions from higher blends could worsen summer smog while encouraging the conversion of grasslands for corn farming. Some lawmakers from oil-producing and refining states also oppose the expansion.

The House pulled year-round E15 from its version of the farm bill earlier this year, instead approving it as separate legislation amending the Clean Air Act. 

The farm bill is multi-year legislation that determines federal agriculture, food and nutrition policies. Rep. Dusty Johnson, R-South Dakota, voted in favor of both bills.

The Senate Agriculture Committee included year-round E15 when it released its version of the farm bill last week ahead of the committee’s hearing this Thursday. The House’s standalone E15 bill awaits a hearing in another Senate committee.

The last farm bill was signed into law in 2018 and has been extended after Congress failed to pass a new version. Johnson spoke to South Dakota Searchlight on Wednesday at the Sioux Empire Fair in Sioux Falls about the legislation’s progress, including the Senate version. 

“In general, I don’t think the House is going to love this version compared to what we passed, but at some point we’ll figure out a way to get to yes, collectively,” Johnson said. “We need to. This is really important if we care about American energy dominance, and we just can’t get there without E15.”

Year-round E15 sales have been a longstanding goal of the ethanol industry. Ethanol plants process more than half of South Dakota-grown corn.

Rising gas prices this summer and the ongoing war with Iran have drawn attention to the United States’ continued reliance on liquid fuels in cars and airplanes — and its entanglement in Middle East oil markets, Johnson said.  

“I would rather wake up every morning worried about the price of corn in a South Dakota field than worried about the price of oil in an Iranian oil field,” said Johnson, who will leave Congress in January after his failed run for governor.

Senate Majority Leader John Thune, R-South Dakota, said in a statement that year-round E15 is a boost for agriculture and rural communities across South Dakota and the country.

“I remain committed to getting the farm bill and E15 to the president’s desk to secure these critical wins for South Dakota’s farmers and ranchers,” Thune said.

South Dakota Republican Sen. Mike Rounds has also spoken in support of year-round E15.