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Corn Ethanol Ruling To Be Watched Closely

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Ethanol graphic
Ethanol graphic

UNDATED (WTVB) - Farmers in Branch County and across Michigan are talking about a U.S.appeals court ruling on Friday. The appellate judges upheld the mandate of a federal agency that new fuel blends include up to 15-percent ethanol made from corn. It’s a touchy subject in light of the summer drought, the shrinking corn crop and rising prices for food and gasoline. In their 2-to-1 ruling, the court said food makers, automakers and oil refiners had failed to prove they'd be harmed if the amount of ethanol in gas was raised from the current ten-percent to 15-percent, a bump recently approved by the Environmental Protection Agency.  Food makers contend the increased amount of ethanol in gasoline would result in higher food prices and automakers are afraid of being sued if the modified fuel leads to engine problems. The so called E15, a 15-percent blend of ethanol with gasoline, has been approved by the EPA for use in cars and light trucks made since 2011.  Vehicles produced before then will continue to use fuel with 10-percent ethanol.  Very few gas stations have pumps dispensing E15 so actual sales aren't expected to be impacted by the ruling in the short term.

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