Iowa and Nebraska are currently involved in legislative efforts to impose minimum ethanol content requirements in virtually all gasoline sold in the state. The legislation would, in part, mirror the successful ethanol program underway in Minnesota, which has a 2.7 weight percent oxygen requirement, which means that virtually every gallon of gasoline sold contains ethanol. The Minnesota program has substantially increased ethanol production and use in the state, stimulating rural economic development and decreasing energy imports. The program has met with little to no consumer resistance. Today, Minnesota boasts 13 plants with 165 million gallons of ethanol production capacity.
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Ethanol supporters in Iowa are promoting the "Fuel Quality Standard," which would require that all gasoline contain 3.5 weight percent oxygen, or approximately 10 percent ethanol by volume. Legislation, named the Healthy Environmental and Value-Added Energy Initiative, has been introduced by Senator Merlin Bartz, Chairman of the Iowa Senate Natural Resources Committee. |
"Establishing a Fuel Quality Standard for Iowa is our top priority for 1999," said Kyle Phillips, Iowa Corn Growers Association President. Iowa Governor Tom Vilsack, Vice Chair of the Governors' Ethanol Coalition, announced support for a Fuel Quality Standard in his budget address to the Legislature. Senate Ways and Means Committee Chair JoAnn Johnson has expressed her support. "The Fuel Quality Standard is a good example of adding value to Iowa's products. That's critical to keeping the agriculture sector viable in our state."
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In Nebraska's Unicameral, Legislative Bill 389 would require that by January 1, 2001 half of all gasoline sold in the state contain an oxygen content equal to or greater than 2.875 percent by weight. If this voluntary goal was reached, a mandatory requirement that all gasoline sold in Nebraska have an oxygenated content would not be triggered. The Natural Resources Committee held a hearing on the bill in late January and the bill remains in committee. |
According to the bills sponsors, the 2.875 percent weight standard could be met by use of 7.7 percent ethanol by volume, 15 percent MTBE by volume or 17 percent by volume. The bill excluded aircraft, historical vehicles, motorcycles, boats, snowmobiles and other small engines from the fuel requirement.
For a copy of the bill or to ascertain its current status in the Nebraska Unicameral, visit the legislature's web site at http://www.unicam.state.ne.us/index.htm
