Author: Jarrett Renshaw
March 18 (Reuters) – The Trump administration is expected to announce soon that it will temporarily lift federal smog-cutting restrictions on summer blend gasoline in an effort to curb rising energy prices stemming from the conflict with Iran, three people familiar with the matter said.
The move would make standard gasoline more affordable by not forcing refiners and retailers to switch to more expensive summer blends, while also allowing fuel retailers to continue selling gasoline containing 15 percent ethanol (known as E15) throughout the summer driving season, while stricter rules typically limit its use in much of the country.
The United States typically switches to summer blends of gasoline to reduce air pollution by reducing fuel evaporation in warm weather. These blends have lower volatility (as measured by Reed vapor pressure) to limit evaporating fuel that can cause smog.
Oil and gasoline prices surged as the Iran conflict disrupted global supplies. U.S. crude oil prices topped $100 a barrel for the first time since the Russia-Ukraine shock in 2022. U.S. gasoline prices are at their highest levels since late 2023.
(Reporting by Jarrett Renshaw; Editing by Richard Valdemanis and Nick Ziminski)