Pillen signs bill to expand access to higher ethanol blends

LINCOLN, Neb. — As the 2023 legislative session comes to a close, Governor Jim Pillen signs a bill important to agriculture.

Nebraska's the second leading ethanol producer but far down the list for consumption. Now comes an effort to expand access to E15

Pillen said “it's a great day for agriculture” as he signed the bill into law.

It requires fuel retailers to sell 15 percent ethanol from at least half of pumps starting next year if they build a new fuel site or replace infrastructure.

Instead of viewing it as an ethanol mandate, a Gothenburg farmer says it's about cutting into the oil industry's share with a product made in Nebraska and encouraging more Nebraskans to use it.

Scott McPheeters said, “We need to do much better. We're toward the bottom end in terms of states on our inclusion rate so we make a couple billion gallons and only include 80 million in our fuel we use in Nebraska so we need to do much better.”

McPheeters says ethanol has been a big boost to rural communities by creating a local market for corn.

E15 is approved for all vehicles made since 2001.

The bill also increases tax credits for retailers who offer higher ethanol blends.