WASHINGTON, August 17, 2012 – The American Petroleum Institute (API) was disappointed by a divided decision in the U.S. Circuit Court of Appeals on the Environmental Protection Agency’s (EPA’s) approval of a blend of 15 percent ethanol with 85 percent gasoline (E15) for model year 2001 and newer cars.
“Today’s court decision is a big loss for consumers, for safety and for our environment,” said Bob Greco, API downstream group director. “EPA approved E15 before vehicle testing was complete, and we now know that the fuel may cause significant mechanical problems in millions of cars on the road today.”
E15 may cause significant mechanical problems in millions of cars on the road today, according to a three-year study conducted by the auto and oil industries
. Automobile manufacturers have told Congress
that vehicle warranties will not cover damage due to E15.
“Moreover, EPA approved E15 even though government research showed potential infrastructure concerns to our nation’s gas stations that could lead to serious safety and environmental problems,” Greco said. “EPA’s decision was premature and irresponsible, and consumers could bear the burden.”
Half of all retail station equipment in the country is incompatible with E15, according to a thorough analysis of government and independent research
, conducted for API.
Greco said the court, based on a tenuous legal justification, declined to make a decision on the merits of the case. “It is astounding that the Court does not accept that refiners, who must comply with the ethanol mandate, have standing to bring this case,” he said.
API represents more than 500 oil and natural gas companies, leaders of a technology-driven industry that supplies most of America's energy, supports 9.2 million U.S. jobs and 7.7 percent of the U.S. economy, delivers more than $86 million a day in revenue to our government, and, since 2000, has invested more than $2 trillion in U.S. capital projects to advance all forms of energy, including alternatives