Iowa Program Assists Retailers Wishing to Offer E15
Source: By Michael Schneider, OPIS • Posted: Thursday, August 13, 2015
IRFA led a coalition of ethanol supporters in the passage of legislation this year to expand eligibility for the state infrastructure program, it said, allowing retailers to receive financial assistance to install or upgrade fuel- dispensing equipment to offer E15.
“The E15 infrastructure component of the state’s grant program officially went into effect July 1,” IRFA Managing Director Lucy Norton told OPIS. “Applications are now being accepted by the Renewable Fuels Infrastructure Board for review at their next meeting on Sept. 2.”
Norton said that adding E15 to the state RFIP “provides a missing link to expanding mid-level ethanol blends” and provides “another low-cost fuel option to more than 80% of the vehicles on the road today.”
“We already have retailers lining up to take advantage of this new eligibility because they have customers asking for cleaner-burning E15,” she added. “Iowa retailers want to provide economical fuel choices to their customers, and E15 is the lowest-cost fuel on the market for the majority of vehicles on the road, so it’s getting a lot of attention.”
Since 2007, the Iowa RFIP has provided cost-share grants to increase the accessibility of higher ethanol and biodiesel blends. The program provides monetary assistance for the installation of blender pumps and E85 and biodiesel dispensing equipment, as well as bulk biodiesel terminal storage tanks.
Qualifying projects are eligible for up to 70% of the installation costs, or a maximum of $50,000 per retail location.
Iowa leads the nation with 34 fueling stations offering E15 to 2001 and newer vehicles, according to IRFA. The organization says it works with retailers wishing to apply for RFIP grants and ensures that they comply with all federal and state E15 regulations.
Those interested in the grant application can visit www.iowaagriculture.gov/agMarketing/IRFIP.asp.
Iowa has 42 ethanol refineries capable of producing more than 3.8 billion gal annually, including 22 million gal of annual cellulosic ethanol production capacity and one cellulosic ethanol facility currently under construction. In addition, Iowa has 12 biodiesel facilities with the capacity to produce nearly
315 million gal annually.