WASHINGTON, D.C. - On Friday, the U.S. Environmental Protection Agency (EPA) waived a limitation on selling gasoline that contains more than 10 percent ethanol for model year (MY) 2001 through 2006 passenger vehicles, including cars, SUVs and light pickup trucks. The waiver applies to fuel that contains up to 15 percent ethanol or E15. EPA Administrator Lisa Jackson made the decision after a review of the Department of Energy€™s thorough testing and other available data on E15€™s effect on emissions from MY 2001 through 2006 cars and light trucks.

"Recently completed testing and data analysis show that E15 does not harm emissions control equipment in newer cars and light trucks," said Jackson in an agency press release. "Wherever sound science and the law support steps to allow more home-grown fuels in America€™s vehicles, this administration takes those steps."

Last October, EPA approved a waiver allowing the use of E15 for MY 2007 and newer cars and light trucks. At that time, EPA denied a request to allow the use of E15 for MY 2000 and older vehicles and postponed its decision on the use of E15 in MY 2001 to 2006 cars and light trucks until DOE completed additional testing for those model years. NACS expressed industry concerns at that time.

Gasoline station owners also have expressed concerns over E15 because not all of the existing infrastructure is certified by the Underwriters Laboratories for the fuel. "The bigger issue is the pipes from the tanks to the dispensers and the materials used to connect them, the gaskets, glues and seals," said John Eichberger, vice president of government relations for NACS. To replace underground storage tanks, "you would have to crack concrete to get to them. Add a decimal point to the price."

NACS is advocating legislation that would reform the certification procedures for equipment and provide some misfueling liability protection for retailers who comply with EPA labeling requirements.

The agency also announced that no waiver is being granted this year for E15 use in any motorcycles, heavy-duty vehicles, or non-road engines because current testing data does not support such a waiver. These waivers represent one of a number of actions that are needed from federal, state and industry to commercialize E15 gasoline blends.

EPA is developing requirements to ensure that E15 is properly labeled at the gas pump. The label will be designed to prevent refueling into vehicles, engines, and equipment not currently approved for the higher ethanol blend. EPA granted the waiver after considering the E15 petition submitted by Growth Energy and 54 ethanol manufacturers in March 2009. In April 2009, EPA sought public comment on the petition and received about 78,000 comments.

The petition was submitted under a Clean Air Act provision that allows EPA to waive the act€™s prohibition against the sale of a significantly altered fuel if the petitioner shows that the new fuel will not cause or contribute to the failure of engine and other emission-related parts that ensure compliance with emission standards.