Indiana’s ethanol industry awaits EPA renewable fuel details

ethanol-plant

photo of Ethanol plant from heartland.org 

Indiana’s ethanol producers are warning their industry could face a long-lasting “chilling effect” if the federal government lowers the amount of ethanol blended into the nation’s fuel supply.

The U.S. Environmental Protection Agency must announce by Monday draft oil industry rules spelling out specific renewable fuel volumes that must be blended into the U.S. gasoline supply during 2016.

Indiana Ethanol Producers Association secretary-treasurer Dave Hudak said Thursday that if the EPA cuts the amount of ethanol in the nation’s gas supply, it would impact thousands of Indiana farmers whose corn is made into ethanol.

Hudak says that would have a long-lasting “chilling effect” on Indiana’s ethanol industry.

Indiana produces nearly 1 billion gallons of ethanol each year, ranking fourth in the nation behind Iowa, Nebraska and Illinois.