Ethanol mandate removed by feds

CALIFORNIA – The U.S. government said Wednesday it has formally removed the controversial ethanol mandate, which requires a 5.7 percent ethanol blend in most of the gasoline sold in California.

The action by the Environmental Protection Agency implements a portion of the national energy bill signed into law in August by President Bush. It will take effect in 60 days.

California officials welcomed the news, which won’t end ethanol use in the state but could mean its consumption will decline.

“It gives our refiners the flexibility we’ve been looking for,” said Jerry Martin of the California Air Resources Board.

Sacramento Bee