Working to Boost Access to Lower Cost Fuels in Michigan

Michigan farm and biofuel advocates recently sent a letter to Michigan House and Senate leaders urging swift action on legislation that would boost access to lower-cost fuel blends produced with renewable energy from Michigan farms.

State Sen. Kevin Daley, Chairman of the Senate Ag Committee, introduced SB 814 earlier this year. Michigan Corn Executive Director Jim Zook explains what the bill would do.

“So, what this particular bill would do is allow some credits to retailers. When they put in the infrastructure that’s necessary at that particular station, that would actually provide them a little bit of relief that for putting in that infrastructure because it is somewhat costly to actually do that.”

Specifically, the bill would offer qualifying retailers a tax credit for every gallon sold of higher ethanol blends, including $0.05 per gallon of E15, or unleaded 88, and $0.085 per gallon of E85. This would provide more access to these lower-cost fuels for consumers.

Now, not everyone has a flex fuel vehicle that can take E85, but there hasn’t been a vehicle manufactured in over 20 years that won’t take unleaded 88, or E15.

“Every vehicle that’s been built since 2002 has been tested on blends up to 15 percent ethanol and there have been no issues. No issues whatsoever.”

And Zook stresses “no issues” because there are always rumors out there about how E15 is bad for your car. He says this is absolutely not true.

“And then when mechanics don’t understand this aspect of it, that would be one that I would question my mechanic because they’re looking for an easy out of things that they’ve heard from the public. The reality of it is, fuels with ethanol in it, the ethanol is not [the cause for] issues within the fuel system.”

Hear my full interview with Zook on these issues below.

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