Topline:
In the face of the nation’s highest gas prices, California lawmakers approved a bill to ease restrictions on E85 conversion kits — devices that let conventional gasoline cars run on a cheaper, mostly ethanol fuel blend.
Background: The measure is the latest example of Sacramento lawmakers scrambling to respond to gas costs that have soared amidst the Iran-Israel war, which has rattled global oil markets and pushed California pump prices above $6 a gallon. It now heads to the California state Senate and would need Gov. Gavin Newsom’s approval before it becomes law.
What supporters say: “Californians consistently pay more at the pump than drivers from other states, and gas prices are once again climbing across the state,” Assemblymember Rhodesia Ransom said Thursday. “For commuters and working families, [the proposal] offers a practical way to save money.”
What critics say: Environmentally, the fuel is rated cleaner than regular gasoline by California’s Low Carbon Fuel Standard. But that rating has critics. Aaron Smith, a Berkeley economist, said the benefits of ethanol are likely overstated. Official numbers likely understate emissions from land use as rising corn demand for ethanol pushes farmers to clear forested land.
Read on ... for more on the push to offer ethanol as an alternative fuel.
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In the face of the nation's highest gas prices, California lawmakers approved a bill to ease restrictions on E85 conversion kits — devices that let conventional gasoline cars run on a cheaper, mostly ethanol fuel blend.
Assembly Bill 2046, dubbed the “Access to Affordable Gas Act” by its author, Assemblymember Rhodesia Ransom, a Stockton Democrat, advanced through the Assembly on a 59-0 vote with no debate or opposition.
The measure is the latest example of Sacramento lawmakers scrambling to respond to gas costs that have soared amid the Iran-Israel war, which has rattled global oil markets and pushed California pump prices above $6 a gallon. It now heads to the California state Senate and would need Gov. Gavin Newsom’s approval before it becomes law.
“Californians consistently pay more at the pump than drivers from other states, and gas prices are once again climbing across the state,” Ransom said on the Assembly floor Thursday. “For commuters and working families, [the proposal] offers a practical way to save money.”
If approved in its current form, the measure would exempt manufacturers of E85 converter kits from an approval process by the state’s primary climate regulator, the California Air Resources Board, which requires companies to demonstrate the devices do not increase a vehicle's emissions. The bill would leave in place a separate federal certification process run by the Environmental Protection Agency.
“Members in Sacramento are looking for ways to try to reduce costs — or appear to reduce costs of driving — and so this is a way to do that,” said Aaron Smith, a UC Berkeley economist and fuels expert.
The converter kits, which cost between $800 to $1,250, according to a legislative analysis of the bill, would let drivers convert their cars to run on both gasoline and E85 fuel.
E85 is a blend of up to 85% ethanol and 15% gasoline; the share of ethanol typically is between 55% and 85%, said Smith, the Berkeley expert.
Jeff Wilkerson, government affairs manager for Pearson Fuels, the largest E85 fuel provider in the state and a bill supporter, said E85 — much of which is made from Midwest corn — is largely insulated from overseas oil shocks that drive California gas prices. The ethanol blend has sold for $2 or more less per gallon than gasoline during recent price spikes.
While E85 is typically priced lower than gasoline and can reduce petroleum dependence and carbon emissions, it delivers 20% to 30% fewer miles per gallon, according to the air board, meaning drivers only save money when E85 is priced at least 20% to 30% below gasoline.
About 1.3 million vehicles in California can currently use the fuel, which is sold at about 640 stations statewide — just 3% of the state’s more than 15,000 fuel pumps, according to the bill analysis.
Ransom said more E85 pumps would be built if the state loosened restrictions and encouraged demand for the fuel blend. She stressed that her bill would present E85 as an alternative.
“For some people, it may not be a wise choice, but at least now it’s going to be a choice,” she said.
Environmentally, the fuel is rated cleaner than regular gasoline by California's Low Carbon Fuel Standard. But that rating has critics. Smith, the Berkeley economist, said the benefits of ethanol are likely overstated. Official numbers likely understate emissions from land use as rising corn demand for ethanol pushes farmers to clear forested land.
The state’s own certification record offers a cautionary tale. Lindsay Buckley, a spokesperson for the board, said the agency has received only five applications from companies for E85 conversion kits since 2008 and that none has cleared the certification process, which is designed to ensure modified vehicles still meet their original emissions standards. Supporters of the proposal argue the board moves slowly and its regulations are burdensome.
But loosening that standard carries its own risk, cautioned Aaron Kurz, senior consultant on the Assembly Transportation Committee, especially now.
As the federal government has stripped scientific expertise from regulatory decisions, he wrote in his analysis, “this committee should consider if the state should cede authority over an inherently scientific process and set a precedent for transferring approval authority to the federal government.”
