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Strong Domestic Consumption Contradicts Ethanol “Demand Destruction” Claims

The latest U.S. Energy Information Administration data again shows ethanol blending and consumption in the U.S. remain steady and strong compared to previous years. This disproves claims that U.S. ethanol demand has been decimated by hardship waivers exempting small refineries facing that are facing hardship from their Renewable Fuel Standard blending obligations.

Ethanol “Demand” Is Higher Than Ever

As we progress through 2019, one thing that has remained consistent is that U.S. ethanol consumption and blending are higher this year than they have ever been — a sign that small-refinery hardship waivers exempting some qualified facilities from Renewable Fuel Standard (RFS) blending obligations have not destroyed demand for ethanol.