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Thursday, June 27, 2013

Supreme Court decides not to block sales of E15 fuel blend

Oil industry, automakers and others claim the fuel blend causes engine damage in older cars, while advocates say it’s cleaner and cheaper.

E15 warning. Image by Renewable Fuels Association.Despite opposition by a diverse group of detractors led by the oil industry, the U.S. Supreme Court on Monday declined to block sales of vehicle fuel that’s a blend of gas and 15 percent ethanol.

Oil companies and automakers have claimed that switching to the higher ethanol blend, known as E15, and making it available nationwide can potentially damage older cars and motorcycles and increase the price of food.

Along with the auto industry, food producers, restaurants and environmental groups, oil industry lobbyists are fighting government efforts to require increasing ethanol levels over the next few years.

In December 2011, Congress let a 30-year ethanol subsidy expire, but the government still requires increasing levels of ethanol production every year through 2022, when the mandate calls for 36 billion gallons. 

Advocates maintain that the cleaner-burning fuel gives consumers a less expensive choice, is better for the environment and creates U.S. jobs.

The Supreme Court’s decision upheld an earlier federal appeals court ruling that also dismissed efforts by the oil industry lobbying group, the American Petroleum Institute (API), as well as trade associations representing automakers, car owners, food producers, restaurants and others to halt E15 sales.

autos.msn.com

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