Producers skeptical of new ethanol mandate

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Local News

October 4, 2019 - 5:39 PM

The East Kansas Agri Energy ethanol plant at Garnett. FACEBOOK

A new plan released by the Trump Administration on Friday — which was short on details, or an explanation of how it would work — promises to restore the demand for ethanol that has been lost due to waivers granted to oil refineries.

The Environmental Protection Agency has granted a total of 85 waivers to oil refineries in the last three years, including 31 in August, allowing them to avoid regulations that require them to blend ethanol into the fuel supply under the Renewable Fuel Standard.

Ethanol plants around the country have been halting production or closing their doors because of the lack of demand for their product. This hits farmers even harder, who are already struggling to sell their commodities due to the trade war with China.

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