Mexico establishes policy on ethanolMexico establishes policy on ethanol
Blending and sale of up to 5.8% ethanol in Mexico's fuel supply now allowed outside of the three major metropolitan areas.
August 29, 2016
The Energy Regulatory Commission of Mexico (CRE) published its recently passed fuel regulation (NOM-016-CRE-2016) in Mexico's federal register on Monday, allowing for the blending and sale of up to 5.8% ethanol in the nation’s fuel supply outside of the three major metropolitan areas of Mexico City, Guadalajara and Monterrey.
The fuel specification will become effective 60 days after publication, marking the first time in history that Mexico has established a policy on ethanol. Organizations in the U.S. working to promote the export of U.S.-produced ethanol applauded this development by the close trading partner.
"By approving new fuel standards that allow for ethanol blending at a 5.8% rate throughout much of the country, (CRE) has taken an important step forward in improving the quality of motor fuel provided to its citizens," Emily Skor, chief executive officer of Growth Energy, said.
"These standards aren’t applied universally throughout the entire country, however, so there is certainly more progress to be made," Skor added. "Ethanol is a cleaner-burning fuel additive that increases octane and reduces reliance on toxic, cancer-causing additives. Our collective goal should be greater harmonization across all of North America on fuel regulations that embrace cleaner-burning biofuels like ethanol, because that is in the best interest of every mother, father and child. Growth Energy will continue to work with our public- and private-sector colleagues in Mexico to clearly demonstrate the value of ethanol to their environment, water quality, rural sector and consumers.”
Tom Sleight, president and chief executive officer of the U.S. Grains Council, said, “We are pleased to see Mexico begin to embrace the inclusion of fuel ethanol in their gasoline. The U.S. Grains Council has worked in Mexico for many years and has seen enormous growth in that market’s demand for U.S. products of all types in the past two decades. We welcome this positive development related to ethanol use and what it could mean for furthering of the U.S.-Mexican trade partnership.
"We look forward to continuing to work with our colleagues in the U.S. ethanol industry to provide Mexican regulators, fuel industry officials and the public with information that highlights the proven benefits ethanol can provide for air quality and rural economic development in their country. We are hopeful that all of Mexico will be able to achieve these benefits from ethanol use soon,” Sleight continued.
Renewable Fuels Assn. president and CEO Bob Dinneen noted that CRE "should be commended for recognizing the positive role ethanol can play in advancing that country’s energy, economic and environmental policies. Ethanol-blended gasolines can reduce all criteria pollutants: carbon monoxide, ozone, particulates and toxics. As a result, we believe the commission has erred in excluding ethanol use from the three most populous cities.
"We will continue to work with our partners here and the Mexican government to assure the most up-to-date science is applied, providing the commission with confidence the use of ethanol will help them in their effort to fight ozone pollution and provide a more open and competitive market for the benefit of Mexican consumers," Dinneen said.
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