Fuel industry groups prepare for second round of debate on ethanol bill

Governor Kim Reynolds is trying once again to require gas stations to offer gasoline with a higher blend of ethanol, after a broader proposal last year fell victim to battles between fuel retailers, transportation groups and providers of renewable fuels.

“Iowans deserve to have cheaper, cleaner fuel, grown and made here,” Reynolds, a Republican, told a crowd of hundreds Tuesday at the Iowa Renewable Fuel Summit in Des Moines.

Its new legislation, House Study Bill 594, advanced through a subcommittee meeting at Iowa House on Tuesday after lawmakers heard a range of objections from transportation groups, gas stations and others, as well as praise from producers of renewable fuels.

Despite the objections, key lawmakers say the two sides are much closer to agreeing on language that both can accept, in contrast to the wide chasm that was evident last year.

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