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Big Oil and Grocery Giants’ Claim Against Ethanol Denied
By Communications Director

ST. PAUL (January 24, 2013) Tuesday, January 15, Grocery Manufacturers Association, American Fuel & Petrochemical Manufacturers and others petitioned for rehearing of an August 2012 pro-ethanol ruling from the Environmental Protection Agency to raise the 10 percent maximum ethanol/gasoline blend to a 15 percent maximum. These blends are commonly referred to as E10 and E15.

This ruling is proactively working with the Renewable Fuel Standard, which requires qualifying fuel refiners and importers to annually increase the volume of renewable fuel provided to consumers.

The Grocery Manufacturers Association and American Fuel & Petrochemical Manufacturers—which are comprised of members such as grocery and oil industry giants General Mills, Nestlé, and Exxon Mobil—claimed the increase would cause potential automobile damage and increased food costs. These claims were overturned by a three judge panel, who found no cause to reduce ethanol blends with the Renewable Fuels Standard.

“Upholding this ruling denies the negative claims made by the Grocery Manufacturers Association and other petitioners,” said Minnesota Farmers Union President Doug Peterson, “This ruling also sets precedence of judicial support of renewable fuels.”

An April 2011 study by Iowa State University found ethanol reduced prices 25 cents per gallon over the last decade, which actually saved consumers $34.5 billion annually.