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With smaller-than-expected cuts to the ethanol mandate released on
Monday, the Environmental Protection Agency signaled its willingness to
surpass the ethanol blend wall, spurring many to call for a revamp of
the Renewable Fuel Standard.
While the blend wall - the
theoretical maximum amount of ethanol the U.S. fuel supply can tolerate -
has been pegged at 10 percent pretty much since the RFS was enacted as
part of the Energy Independence and Security Act of 2007, the EPA's finalization of its ethanol requirement numbers pushed that figure to 10.1 percent (18.11 billion gallons) for 2016.
While
that ratio of ethanol to gasoline has never previously pushed past the
10 percent blend wall, it has steadily approached it as of late.
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