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Apart from being the world’s largest producer of ethanol, the US is also the world’s largest consumer. Most American cars are built to run on a blend of 10 percent ethanol. Cars are now being designed with a greater percentage in mind.
In January 2008, three states -- Missouri, Minnesota and Hawaii -- made it mandatory for ethanol to be blended with gasoline motor fuel. Many other cities have called for blended fuel to meet federal air quality goals.
The California Air Resources Board approved certain specific rules and carbon intensity reference values for the California Low-Carbon Fuel Standard. This was approved in April 2009 to come into effect on January 1, 2011.
In May, 2009 the U.S. Environmental Protection Agency served notice of its proposed legislation for the new Renewable Energy Standard. The draft has been released for public comment within 60 days.
President Obama has also signed a Presidential Directive toward advancing biofuels research, and improvement in its commercial utilization. A working group comprising the EPA and Departments of Agriculture and Energy has been formed. The group is mandated to shape a plan toward promoting the use of flexible fuel vehicles and in improvement of retail marketing efforts. The group will evolve policy ideas to increase investment in next-generation fuels that includes corn-based ethanol.
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