Corn Growers 'Disgusted' as Congress Scraps E15 Biofuel Provision

WASHINGTON, D.C. – January 23, 2026 – The nation’s corn growers are expressing outrage after a critical provision to allow the year-round, nationwide sale of E15 fuel was stripped from a major congressional funding bill this week, a move agricultural leaders are calling a betrayal that inflicts real economic harm on rural America.

The decision represents a significant legislative defeat for the biofuel industry and its advocates, who believed they were on the verge of securing a long-sought permanent fix for the higher-ethanol blend. Instead, they were met with a last-minute political maneuver that replaced the provision with a new council tasked with studying the issue further.

“Corn growers are disgusted, disappointed, and disillusioned by the weak and offensive outcome of the E15 legislative process in the House,” said Jed Bower, an Ohio farmer and president of the National Corn Growers Association (NCGA), in a sharply worded statement. The failure to pass the language, he argued, comes as farmers face what some are calling the worst farm crisis in 40 years, with commodity prices falling below the cost of production.

A Deal Undone: The Political Battle in the Capitol

The provision’s demise was the culmination of an intense lobbying battle that pitted the nation's agricultural sector against powerful elements of the oil and gas industry. The language, which advocates described as a “simple technical fix,” was introduced as an amendment by Representative Zach Nunn of Iowa to a fiscal 2026 spending package. Its goal was to eliminate seasonal restrictions that prevent the sale of E15—a gasoline blend containing 15% ethanol—during summer months in many parts of the country due to decades-old air quality regulations.

For six consecutive years, the Environmental Protection Agency (EPA) has issued temporary emergency waivers to permit summer sales, creating a cycle of uncertainty for fuel retailers, ethanol producers, and farmers. While the EPA has finalized a rule to permanently allow year-round E15 in eight Midwestern states starting in 2025, a nationwide solution has remained elusive.

Sources familiar with the negotiations indicate that a compromise deal had been carefully brokered, earning broad support from farm groups, biofuel producers, and even some large, integrated oil companies. However, the deal collapsed under pressure from a faction of mid-sized and independent oil refiners, including some foreign-owned companies, who argued the measure would impose unfair costs. The American Fuel and Petrochemical Manufacturers (AFPM) also lobbied heavily against the provision. This opposition was amplified by a group of 27 House Republicans, primarily from oil-producing states, who reportedly pressured House leadership to kill the measure.

"Kicking the Can Down the Road"

In place of the legislative fix, House leadership announced the formation of an “E-15 Rural Domestic Energy Council.” Co-chaired by Representatives Randy Feenstra of Iowa and Stephanie Bice of Oklahoma, the council is tasked with investigating the issue and developing legislative solutions by February 15, with a potential floor vote by February 25. The council's mandate is broad, covering everything from E15 sales and refinery capacity to the federal Renewable Fuel Standard (RFS) program.

This move was met with immediate and widespread derision from biofuel and farm advocates, who labeled it a transparent delay tactic. “We are extremely disappointed that after months of negotiations and compromise, Congress has once again kicked the can down the road on a permanent fix for year-round E15,” said Geoff Cooper, President and CEO of the Renewable Fuels Association (RFA). He called the new council a “process-ridden task force” designed to stall a solution that was already on the table.

That sentiment was echoed across the industry. Emily Skor, CEO of Growth Energy, called the decision a “travesty,” asserting that “Congress picked foreign refiners over American farmers and drivers today.” The frustration was palpable even among congressional staff, with the House Agriculture Committee’s Democratic staff publicly stating, “Farmers don't need us to 'study' E15.”

Economic Crisis in the Heartland

The political setback in Washington lands a direct economic blow on an already struggling agricultural sector. With a current surplus of more than two billion bushels of corn, farmers are contending with persistently low prices that have fallen below their production costs. Proponents of year-round E15 saw it as a ready-made solution to boost domestic demand for corn, providing a much-needed financial lifeline.

According to the NCGA, a nationwide E15 standard could increase the price of corn by as much as 94 cents per bushel, a significant jump that could pull many farm operations back into profitability. Dr. Faith Parum, an economist with the American Farm Bureau Federation, had previously described the E15 provision as an “easy button for Congress” to help stabilize farm markets.

The failure to pass the measure is now expected to depress prices further and stifle investment in the biofuel sector. Agricultural leaders warn of a ripple effect that will extend beyond the farm gate, impacting ethanol plants, equipment suppliers, and the broader economies of rural communities that depend on a healthy farm economy.

The Enduring Energy Divide

This week’s legislative drama is the latest chapter in the long-running conflict between biofuels and fossil fuels for a share of the American energy market. The core of the E15 issue lies in regulations concerning Reid Vapor Pressure (RVP), a measure of fuel volatility. Ethanol blends can evaporate more quickly in hot weather, a characteristic that led to the summer sales ban decades ago. However, biofuel advocates argue that E15's volatility is comparable to or better than standard E10 gasoline, which is sold year-round, and that the science supports a permanent regulatory fix.

The repeated need for temporary EPA waivers highlights the fragility of the current system. While the regional fix for eight Midwestern states offers some stability, it also risks creating a fractured market with different fuel rules across state lines, a headache for the nation's fuel supply chain. With the clock ticking toward the 2026 summer driving season, farm and biofuel groups are vowing to continue their push for a legislative solution, though the path forward is now more uncertain than ever.