E85 (85 percent ethanol, 15 percent gasoline) sales in Iowa remain strong with the Iowa Renewable Fuels Association (IRFA) announcing that third quarter sales were the second highest on record, doubling first quarter 2013 numbers. Iowans purchased more than 3.61 million gallons of E85 in the third quarter, nearly double the 1.83 million gallons purchased in the first quarter. The data was released by the Iowa Department of Revenue.
“These astounding third quarter sales numbers prove the federal Renewable Fuel Standard (RFS) was working, but now the EPA is trying to pull the rug out from underneath us,” said IRFA Executive Director Monte Shaw. “During the third quarter, Iowa motorists using E85 routinely saved $1.00 per gallon compared to regular gasoline. But when the EPA announced their proposal to gut the 2014 RFS numbers, they gutted the incentive for retailers to promote low-cost E85. We saw the E85 price savings pull back, and it won’t be surprising if fourth quarter E85 sales taper off as well.”
The IRFA recently launched a wholesale E85 price reporting service with wholesale E85 prices posted every Tuesday, to promote greater transparency for retailers and distributors of E85 in order to aid retailers in supplying their customers with the lowest-cost E85 available.