Nebraska lawmakers to vote on ethanol label bill

Motorists may notice fewer ethanol signs at Nebraska gas pumps if lawmakers pass a proposal that would allow stations to remove labels for blends containing less than 11 percent of the additive.

Lawmakers are slated to vote Tuesday on a measure that would repeal the state's current law, which requires labeling if the mixture contains at least 1 percent ethanol.

The bill by Sen. Mark Christensen, of Imperial, would eliminate all ethanol labeling requirements. An amendment proposed by the Legislature's Agriculture Committee would limit the labeling requirement to gas with more than 11 percent ethanol, such as the E-15 blend.

Nebraska is one of 19 states nationally that impose labeling requirements for blends with 1 percent ethanol or more. Ron Lamberty, a vice president the American Coalition for Ethanol, said labels often create the mistaken impression ethanol can damage engines.

"We've found that, over the years, it's been viewed by most consumers as a warning label," Lamberty said. "There's all kinds of stuff in gasoline, but they're not required to label all of it."

Lamberty said retailers should have the option to label their pumps, so they could cater to drivers who want to pay less at the pump or who view ethanol as important to rural economies.

The bill must clear three floor votes before it advances to Gov. Dave Heineman.

Supporters include the Association of Nebraska Ethanol Producers, but the bill is opposed by the Nebraska Petroleum Marketers and Convenience Store Association.

"What we didn't want to do is jeopardize that really solid majority of fuel users who look for ethanol when they drive into a gas station," said John K. Hansen, president of the Nebraska Farmers Union. "We have a lot of members who, if they don't see an ethanol label clearly posted, will drive on to the next station."

Hansen said his group, which supports family farms, now endorses the bill with the committee amendment.

Nebraska is the nation's second-largest ethanol producer, behind Iowa, with 1.7 billion gallons refined each year. Its share accounts for 13 percent of the nation's capacity, according to the Washington, D.C.-based Renewable Fuels Association.

The Environmental Protection Agency has approved the E-15 blend for use in certain vehicles dating to 2001, but has not yet developed labeling guidelines. Federal law imposes no labeling requirements for gasoline with 10 percent ethanol or less.

Loran Schmit, president of the Association of Nebraska Ethanol Producers, said the labeling requirement feeds a "purely wrong" belief that ethanol is dangerous.

"It's pure nonsense," Schmit said. "There isn't a make and model that I know of in Nebraska today that doesn't operate on E-10."

source: BW