POET fighting to have E15 fuel mix in summer months

Published 7:37 pm Wednesday, March 14, 2018

POET Biorefining is looking to increase the amount of ethanol in fuel mixes during the summer months, a move the company said would benefit the Freeborn County area.

The company’s CEO, South Dakota-based Jeff Broin, recently discussed the issue with President Donald Trump, two congressional proponents of the plan from Iowa, Sen. Chuck Grassley and Sen. Joni Ernst; and two opponents of the proposal, Sen. Pat Toomey, R-Pennsylvania, and Sen. Ted Cruz, R-Texas.

The company is proposing to overturn a regulation that non-flex-fuel vehicles cannot use E15 ethanol mixes for 3 1/2 months during the summer. The E15 designation means ethanol constitutes 15 percent of the fuel blend, more than the 10 percent typical blend. 

Email newsletter signup

POET Regional General Manager Chris Hanson said the issue is “huge for the Albert Lea area,” because of the major role agriculture has in the local economy. He said in the last few years, an artificial cap has been reached on the amount of ethanol, resulting in the leveling off of grain use, causing land values to drop. 

“Right now, a lot of farmers are selling their crop below the price of production,” Hanson said.

He predicted a farming crisis similar to the one in the early 1980s could take place if farm prices continue to fall, and said the only solution to the problem is to open more corn markets, which Hanson said would happen if the regulation was changed.

“Demand drives prices,” he said. “Farmers need this.”

Hanson said he understands Trump was interested in the idea and understood the importance of the E15 blend.

“He got it,” Hanson said, adding he believes Trump is holding up his campaign promises to support Midwestern biofuels and build a stronger economy.

Hanson said ethanol lowers carcinogen levels and expressed hope Trump would direct the Environmental Protection Agency to allow year-round E15 sales, a move he said is supported by agriculture producers and gas station owners but not by oil refiners.

To Hanson, adding more biofuels to the market would take the place of more expensive, higher-toxin carcinogens. 

Freeborn County farmer Jerry Demmer said he supports lifting the regulation.

“I’ve always been on board with changing that so we can use E15 year-round,” he said.

“We’ve been fighting this battle for years.”

Demmer said the E15 blend results in lower prices and cleaner, renewable energy, saving customers money and resulting in less imported oil from the Middle East.

“A clean, renewable resource right here in the United States,” Demmer said. “Let’s utilize it.”

About Sam Wilmes

Sam Wilmes covers crime, courts and government for the Albert Lea Tribune.

email author More by Sam