The Renewable Fuel Standard law as passed in 2005 mandated refiners blend a minimum of 7.5 billion gallons of renewable fuels by 2012. In 2007 the law was updated to mandate a minimum of 36 billion gallons by 2036. In 2011 the refiners were approximately 1 billion gallons in excess of the mandate for which they get credit.
As long as they are in excess of the mandate they do not need to blend renewable fuel (ethanol) with their gasoline. They are free to sell straight non-ethanol gasoline as long as they meet their mandate, after which the EPA is authorized to in force the fine.
The law has been updated since 2007 however I believe many/most refiners are still in excess of the mandate. So, no state law just a Ferderal mandate (minmumm) that needs to be met to avoid a fine. As I understand it refiners could actually sell all straight gasoline if they choose to pay the fine. That would suggest that if ethanol price rose significantly above that of gasoline, refiners could pay the fine and still sell straight gasoline at a lower cost than blended.
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Today's Featured Article - Earthmaster Project Progress Just a little update on my Earthmaster......it's back from the dead! I pulled the head, and soaked the stuck valves with mystery oil overnight, re-installed the head, and bingo, the compression returned. But alas, my carb foiled me again, it would fire a second then flood out. After numerous dead ends for a replacement carb, I went to work fixing mine.I soldered new floats on the float arm, they came from an old motorcycle carb, replaced the packing on the throttle shaft with o-rings, cut new ga
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