EPA Issues Temporary Waiver for E15 Gasoline Sales Amid Price Surge
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 4 days ago
0mins
Source: seekingalpha
- Gas Price Relief Measure: The EPA issued a temporary waiver allowing nationwide sales of E15 ethanol gasoline to address surging prices due to the Middle East conflict, expected to provide consumers with cheaper fuel options and alleviate economic pressure.
- Waiver Duration and Extension: Effective May 1 for 20 days, the waiver can be extended if necessary, enabling retailers to sell typically prohibited 15% ethanol blends during warmer months, thereby increasing market supply.
- E10 Gasoline Sales Loosened: The EPA's action removes all federal barriers to E10 gasoline sales, particularly in seven Midwestern states that previously required mixing with more expensive blendstocks, thus reducing costs for retailers.
- Price Expectations and Market Impact: Analysts suggest this move could lower retail prices by several cents per gallon, with the current U.S. average for regular gasoline exceeding $3.98 per gallon, up over a dollar from a month ago, highlighting the policy's direct impact on consumers.
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Analyst Views on VLO
Wall Street analysts forecast VLO stock price to fall
17 Analyst Rating
11 Buy
6 Hold
0 Sell
Moderate Buy
Current: 254.320
Low
149.00
Averages
186.56
High
223.00
Current: 254.320
Low
149.00
Averages
186.56
High
223.00
About VLO
Valero Energy Corporation, through its subsidiaries, is a multinational manufacturer and marketer of petroleum-based and low-carbon liquid transportation fuels and petrochemical products. The Company sells its products primarily in the United States, Canada, the United Kingdom, Ireland and Latin America. Its segments include Refining, Renewable Diesel, and Ethanol. The Refining segment includes the operations of its petroleum refineries, the associated activities to market its refined petroleum products, and the logistics assets that support its refining operations. The Renewable Diesel segment represents the operations of Diamond Green Diesel (DGD), and the associated activities to market renewable diesel, renewable naphtha, and neat SAF. The Ethanol segment includes the operations of its ethanol plants and the associated activities to market its ethanol and co-products. It owns 15 petroleum refineries located in the United States, Canada and the United Kingdom.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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