The E15 designation will appear at more and more gas pumps across Iowa in the coming months, and that’s a good thing.
E15, of course, is the common name for ethanol which is 15% corn alcohol and 85% gasoline.
E15 fuel will be sold at all Iowa gas stations thanks to a new law that passed the state’s Senate and House of Representatives with huge margins and was recently signed into law by Governor Kim. Reynolds. The law obliges service stations to offer E15 at 50% of their gas pumps. The law comes into force on January 1, 2023.
Requiring a different type of fuel at Iowa gas stations might not seem like a big deal to residents, but there is a financial benefit for them. E15 is generally less expensive than traditional E10 ethanol and regular gasoline. This new law likely won’t make a dent in today’s high gasoline prices, but as more E15 enters the market, consumers will benefit.
Requiring E15 is a very big deal for farmers and ethanol producers in Iowa. The alcohol portion of E15 comes from corn, which means farmers will have more opportunities to sell their corn at a good price. And the state’s ethanol plants will ramp up to produce the extra E15, which means they’ll not only retain employees, but possibly even add more. The income of farmers and ethanol plant workers is a major driver of the economy in rural areas of the state.
Using more ethanol made from Iowa-grown corn will over time reduce the amount of foreign oil the United States has to buy. Considering the fact that many oil exporting countries don’t like the United States or Americans, it makes no sense to keep giving them our money to buy their oil. Giving our money to Iowa farmers and ethanol producers to buy their products makes a lot of sense, and this new law will inspire us to do just that.
This new law will give drivers another cheaper option at the pump, provide more revenue for farmers and ethanol producers, and reduce oil purchases from hostile foreign countries. We say it’s a winner.