Thursday, July 10, 2014

Ethanol supporters cry foul

The Renewable Fuels Association in the United States is accusing major oil companies of using contracts to discourage the sale of ethanol at levels of 15 per cent per gallon (E15) and 85 per cent per gallon (E85) at retail stations.

The association says the oil-company distribution contracts make it expensive or nearly impossible for franchises to offer the blends.

Senators Amy Klobuchar, a Democrat from Minnesota, and Chuck Grassley, a Republican from Iowa, said Wednesday the report bolstered the case for the U.S. Federal Trade Commission (FTC) to evaluate whether the oil industry has engaged in anti-competitive practices.


“This new report underscores the need for the FTC to look into these allegations, and I will continue pushing to ensure that consumers have access to the cheaper, cleaner fuels they deserve,” Klobuchar, who chairs the Senate judiciary committee’s antitrust panel, said in a statement.