The partial wavier improperly authorizes an increase in ethanol content of gasoline from 10% to 15% only for use in 2007 and newer model year cars and light-duty trucks, the group said. The EPA's decision lacks statutory authority and comes prior to the completion of thorough testing to ensure the safety, performance and environmental impacts of the new fuel for consumers, API said.
API's director of downstream operations, Bob Greco, said, "The EPA's partial waiver is premature, lacks statutory authority and puts consumers at risk. Ongoing testing by our industry, auto makers and the Department of Energy to determine whether E15 is safe has not been completed. Results so far have revealed potential safety and performance problems that could affect consumers and the investments they've made in their automobiles."
He added, "The U.S. oil and natural gas industry is the biggest consumer of ethanol and other biofuels and remains committed to the use of renewable fuels in our energy mix. We support a realistic and workable Renewable Fuel Standard and the responsible introduction of increased biofuels in a manner that protects consumers. However, rushing to allow more ethanol before we know it is safe could be disastrous for consumers and could jeopardize the future of renewable fuels."Petitioners in the suit, which was filed with the U.S. Court of Appeals for the District of Columbia Circuit, include the Grocery Manufacturers Association, the American Meat Institute, the National Council of Chain Restaurants, the National Meat Association, the National Turkey Federation, the National Chicken Council, the National Pork Producers Council, the Snack Food Association and the American Frozen Food Institute.
The coalition objects to the EPA's decision on the grounds that granting a "partial waiver" of the Clean Air Act allowing E15 to be used only in cars built after model year 2006 is not within the agency's legal authority. The petitioners argue that under the Clean Air Act, the EPA administrator may only grant a waiver for a new fuel additive if it "will not cause or contribute to a failure of any emission control device or system."
"In approving E15, which is compatible only with certain, later-model automobile and other types of engines, the EPA has clearly exceeded its authority under the Clean Air Act," the collation said. "The EPA has unlawfully interpreted the statute to achieve a particular outcome. The agency has a legal obligation to adhere to the letter and spirit of the Clean Air Act and, in this case, has failed to do so. We are confident that the court will agree and require the EPA to reverse course."
Grocery Manufacturers Association vice president for federal affairs Scott Faber said, "We were disappointed in the administration's decision to allow more ethanol in gasoline before truly sustainable advanced biofuels are commercially available. Not only will this decision adversely affect millions of consumers who don't drive brand new cars, but also countless Americans who are struggling to feed their families in a recovering economy. Recent spikes in corn prices due to supply concerns will only be exacerbated by this decision. This legal action will give EPA a second chance to get this important decision right."
American Meat Institute president and CEO J. Patrick Boyle added, "Corn prices have increased since USDA released estimates that corn production for this year was going to be 3.4% less than 2009. This will put pressure on the meat and poultry supply, which will lead to higher food prices for consumers. For those consumers worried about climbing food prices, this decision will increase the amount of corn being diverted to our gas tanks and away from meat and poultry production. It's unfortunate that EPA acted hastily and approved the use of E15, and now the American consumer will pay for it at the grocery store."
National Council of Chain Restaurants vice president Scott Vinson said, "This challenge to the EPA's decision is necessary to reduce the strain that ethanol production from corn has placed on U.S. agriculture. The EPA's decision will lead to an ever higher proportion of the nation's corn crop being diverted to fuel use, raising prices for participants in the food chain and consumers. Already supported by market-distorting mandates, tax credits and import tariffs, ethanol demand for corn has been singled out as the preferred use for U.S. agricultural production long enough. Corn is an extremely important commodity used in feeding the world, and it's about time we reverse the trend of burning more and more of it as fuel."
National Turkey Federation president Joel Brandenberger added, "In trying so hard to rush out an E15 rule before Election Day, EPA completely disregarded the legitimate scientific concerns surrounding E15 and the potentially disastrous impact of diverting even more corn from food and feed to fuel. We believe the agency ignored the law as well, and we are confident the court will agree."
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