California Governor Gavin Newsom today signed legislation that could help bring down the cost of gasoline in California, making way for lower cost 15 percent ethanol fuel (E15) to be made available for the first time in the state.
Renewable Fuels Association President and CEO Geoff Cooper says California was the only remaining state to not permit sales of E15. “Many other states have already seen the benefits of E15—healthier air, better engine performance, and cost savings at the pump. Now, California drivers are about to experience those same advantages for themselves, and we thank Gov. Newsom for voicing his support for E15 throughout the legislative process,” said Cooper.
The Governor signed Assembly Bill 30, which passed unanimously out of both the Assembly and Senate, allowing E15 to be sold immediately in the state while the Air Resources Board (CARB) completes its ongoing work to study whether the additional blend can meet the state’s clean air requirements.
Last October, the Governor directed CARB to accelerate studying how California could increase ethanol blending in gasoline while maintaining environmental protections. Authorizing the use of this alternative gasoline fuel blend reduces the state’s dependence on petroleum and further diversifies the state fuel supply, helping to avoid gasoline price spikes and costs to consumers at the pump.
RFA has been helping California retailers prepare for this moment in earnest over the past month, holding E15 workshops all over the state, starting in San Diego at the California Fuels and Convenience Alliance trade show.
RFA Senior Vice President of Industry Relations and Market Development Robert White says they have received tremendous response. “We believe that E15 value proposition is going to be even stronger than it is here in the Midwest and parts of the East Coast and Southeast so that when one retailer starts to do that blending we think it’ll take hold a little bit faster than we’ve seen in other areas,” said White. “So here’s this strange scenario where the last state to legalize E15 could really become the poster child for the rest of the country.”
RFA has set up a website to provide information about selling E15 in California called E15forCA.com.
Listen to White’s interview here.
Robert White, RFA - E15 for CA (12:35)