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EPA rule an issue pitting oil producers against corn farmers

EPA rule an issue pitting oil producers against corn farmers

March 13th, 2019 in Business

WASHINGTON (AP) — The Trump administration is proposing to allow year-round sales of gasoline mixed with 15 percent ethanol, seeking to calm a dispute between the oil industry and corn farmers.

The proposal Tuesday by the Environmental Protection Agency fulfills a pledge that President Donald Trump made to U.S. corn farmers, who see ethanol as an important driver of demand for their crops. Oil refineries have been seeking exemptions from government requirements to include ethanol in their fuel mixes.

The dispute between the industry and farmers and lawmakers from Midwest states sparked a billboard campaign and at least one tractor rally in the Midwest last year.

Beyond increasing the amount of ethanol allowed in vehicle fuel, the EPA is proposing regulatory changes in the ethanol program.

Environmental groups said they expect court challenges.