Chair Shink,
Thanks for the chance to supply testimony on SB 1171. Development Power is the world’s largest affiliation of biofuel producers, representing 97 U.S. crops—together with two crops in Michigan—that produce greater than 9 billion gallons of renewable gas yearly; 123 companies related to the manufacturing course of; and tens of hundreds of biofuel supporters nationwide. Collectively, we’re working to carry shoppers higher and extra reasonably priced decisions on the gas pump, enhance air high quality, and defend the setting for future generations. We stay dedicated to serving to diversify our nation’s power portfolio, develop extra power jobs, decarbonize our nation’s power combine, maintain household farms, and drive down the prices of transportation fuels for shoppers.
Development Power helps SB 1171, which offers sure updates to the Motor Fuels High quality Act of 1984. As a accomplice with gas retailers throughout the nation, we work to make sure statutory and regulatory certainty within the gas retail market so that buyers have entry to fuels with greater blends of ethanol, which can assist them lower your expenses on the pump whereas utilizing a decrease carbon gas.
We recognize the efforts in SB 1171 to streamline Michigan’s statute with federal laws relating to dispenser labeling for retailers providing E15. E15 is a mix consisting of 15 p.c bioethanol, has been accredited to be used by the EPA in all passenger automobiles mannequin yr 2001 and newer, greater than 96 p.c of the automobiles on the street at the moment. It’s now on the market at greater than 3,400 areas in 32 states.
Provisions in SB 1171 make sure the federal label required by the U.S. Environmental Safety Company in 40 CFR 1090.1510 for retailers providing E15 is enough for the state and offers shoppers the reassurance they’re filling their tank with a extra reasonably priced gas possibility that’s protected for his or her engines. The EPA label is the usual for E15 dispensers and constant for gas retailers throughout the nation.
In line with current information from Environmental Well being and Engineering, at the moment’s bioethanol reduces greenhouse gases (GHG) by almost 50 p.c in comparison with gasoline and may present even additional GHG reductions with further available applied sciences. A nationwide evaluation confirmed a discount of 580,000 tons of GHGs yearly in Michigan if E15 changed E10 gasoline. That is the GHG discount equal of eradicating greater than 126,000 automobiles from Michigan’s roads with out impacting a single driver simply by utilizing a better ethanol-blend gas. These emissions reductions additionally include significant client cost-savings. Throughout the summer season of 2023, E15 was offered at 15 cents much less per gallon the place out there on common nationwide.
We thank Chair Shink for introducing this invoice, recognize the collaboration with the Division of Agriculture and Rural Growth, and urge all members of the committee to help the invoice.