E15 Debate Continues as Farm Bill Stalls

By Scout Nelson

Year-round E15 continues to be an important issue in discussions over the Farm Bill, according to South Dakota leaders speaking at the 2026 Midwest Agricultural Export Summit.

U.S. Sen. John Thune and Rep. Dusty Johnson discussed agriculture, ethanol, exports, energy and Farm Bill policies during a panel at the event. Their comments focused on efforts that could affect farmers and rural communities.

E15 is gasoline containing 15% ethanol. Producers and the ethanol industry support year-round sales because greater use of ethanol can increase demand for corn. Federal rules have traditionally limited E15 sales during warmer months because of air pollution concerns. However, emergency waivers have allowed summer E15 sales in recent years.

The House has passed legislation supporting year-round E15 sales. The measure also changes exemptions for small refineries.

The Senate Farm Bill remains stalled after lawmakers voted against moving it forward. The bill includes E15 provisions and changes involving small refineries.

“We battered it around a lot. We came up with a solution that represented a middle ground. The large refineries, oil companies aren’t going to like it," Thune said. "But, at some point we’ve got to get to this done, and I think at some point it becomes a decision of ‘what can you get the votes to do.’ And try as we did on the House passed version of it, we weren’t going to get there. It was the small refiner issue.”

Ethanol is especially important to South Dakota agriculture because more than half of the state’s corn crop is used for ethanol.

The lawmakers also discuss soybean markets and trade with China. Johnson says farmers need more markets for soybeans and stronger domestic demand.

“I think it’s why we want to diversify markets for our beans and other products and why we also want more domestic uses. It’s why biofuels, why John Thune and I for decades have had religious fervor for biofuels," Johnson said. "I mean why wouldn’t we want to care more about what is being grown in a South Dakota cornfield than what’s going on in an Iranian oil field. I just think that’s key. You cannot have American energy dominance if you don’t have biofuels running on all cylinders.”

Photo Credit: gettyimages-bunyarit