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News Apr 29, 2026

Corn Belt Lawmakers Push Year-Round E15 and Tighter RFS Waivers as High Gas Prices Pressure Farm Bill

As U.S. gasoline prices climb to levels not seen since the start of the Iran war, a bipartisan group of Corn Belt lawmakers is advancing an amendment to the Farm Bill to permit year-round sales of E15 and to limit small-refinery exemptions under the Renewable Fuel Standard. Supporters say the changes would lower pump prices and provide regulatory certainty for energy and agriculture; critics argue they primarily benefit the ethanol industry and saddle consumers and taxpayers with higher costs.

By Jeff Luse 919 views
Corn Belt Lawmakers Push Year-Round E15 and Tighter RFS Waivers as High Gas Prices Pressure Farm Bill
With U.S. gasoline prices climbing to their highest levels since the start of the Iran war, a group of bipartisan Corn Belt lawmakers is attempting to use the Farm Bill as a vehicle to expand market access for ethanol and to tighten exemptions for refiners under the Renewable Fuel Standard (RFS). The amendment under negotiation, which could be voted on by the House of Representatives this week, would authorize year-round sales of E15—gasoline blended with up to 15 percent ethanol—and curb blending exemptions that some refiners currently use to avoid RFS compliance.

E15 is typically restricted during the summer months because its higher volatility can increase evaporative emissions and worsen smog. The Trump administration last month issued a waiver allowing E15 to be sold this summer, citing high pump prices. Supporters of the new Farm Bill amendment argue that making E15 available year-round would help lower fuel costs for consumers while providing regulatory clarity to producers and refiners.

"At a time when consumers are acutely sensitive to energy prices, this amendment represents a pragmatic solution that balances energy affordability, rural economic strength, and regulatory certainty," a coalition of agricultural and energy groups wrote in a support letter for the measure. The coalition also contended that reforms to RFS exemptions "will help restore transparency and predictability for all parties subject" to the law.

Not everyone agrees that the changes would serve the broader public interest. The National Corn Growers Association issued a press release last week denouncing what it described as a campaign by "oil corporations" to block legislation intended to lower fuel prices. "There is a tiny minority of major energy corporations – like Delek U.S. Inc., Cenovus Energy, CVR Energy, HF Sinclair, Parr Pacific Holdings and Suncor Energy Inc. – that are masquerading as small refineries to get Renewable Fuel Standard exemptions they don't need," said the association's president, Jed Bower. "Their greedy actions are holding up legislation that would help farmers who are struggling during tough economic times."

The extent and financial impact of RFS waivers granted to refiners is difficult to quantify publicly because the Environmental Protection Agency does not disclose which companies receive them. Nevertheless, industry lobbying against reducing exemptions suggests the cost of RFS compliance relief may be substantial. Ben Lieberman, an energy expert at the Competitive Enterprise Institute, said the vigorous opposition indicates the savings are "very likely significant." Refining firms named by the corn lobby did not respond to requests for comment.

Critics beyond the ethanol lobby argue that expanded E15 access and tighter RFS waivers primarily benefit corn growers and ethanol producers rather than consumers. E15 is often priced 5 to 10 cents less per gallon than lower-ethanol blends, but it contains less energy per gallon, which can reduce fuel economy and negate some or all of the savings at the pump. Moreover, not all vehicle manufacturers have adopted the parts needed to accommodate higher-ethanol fuels, potentially limiting consumer choice.

Taxpayers have already provided substantial support to the ethanol industry through mandates and subsidies, analysts note. Turner, Mason & Company estimates that complying with the RFS will cost refiners roughly $70 million in both 2026 and 2027. From 2009 to 2020, the Agriculture Department provided the sector with more than $60 million aimed at developing next-generation biofuels; much of that funding, according to Taxpayers for Common Sense, ended up supporting existing corn ethanol production. Further, the Inflation Reduction Act and subsequent Treasury rule changes expanded tax credits and eligibility for ethanol facilities—measures the Treasury Department now estimates will cost taxpayers $53.1 billion through fiscal year 2035.

Some analysts advocate for deeper reform than the current amendment offers. Joshua Sewell, director of research and policy at Taxpayers for Common Sense, said, "The sale of E15 year-round would help the ethanol industry and no one else. It isn't about consumer choice, it's about using the heavy hand of the federal government to force more consumption of corn." Sewell suggested that ending tariffs he attributes to the Trump administration would do more to stabilize farm incomes by lowering input costs, while others have proposed scrapping the RFS entirely. Rep. Scott Perry (R–Pa.) has introduced an amendment to the House Farm Bill that would repeal the RFS; proponents say that would save consumers billions and benefit the environment, though that proposal appears unlikely to pass.

As debate over the Farm Bill continues, a faction of House Republicans is already threatening to withhold support over unrelated pesticide provisions, raising the stakes for negotiators. Given the long history of taxpayer support for corn ethanol and the disputed benefits of expanded E15 sales, the proposed carveouts in the bill could become another point of contention for members weighing whether to support final passage.

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