Ohio lawmakers consider ethanol retailer rebate to boost corn market

The Ohio Senate Agriculture and Natural Resources Committee convened on May 14, 2025, to discuss key agricultural initiatives, particularly focusing on a proposed state budget that aims to support Ohio's farmers and enhance market access for biofuels.

Tad Nicholson, representing the Ohio Corn and Wheat Growers Association, emphasized the importance of maintaining funding for the H2Ohio program, which is designed to improve water quality in the Western Lake Erie Basin. He urged the committee to uphold the current funding level of $60.6 million to ensure continued progress in agricultural sustainability.

A significant highlight of the meeting was the discussion surrounding the proposed ethanol retailer rebate program. Nicholson advocated for a one-time allocation of $10 million to incentivize gas stations to offer higher blends of ethanol, specifically E15, which is approved for most vehicles. He noted that while Ohio ranks seventh nationally in corn and ethanol production, it lags in retail access to E15, with only 166 locations statewide. The rebate program aims to level the playing field for fuel retailers, allowing them to invest in necessary infrastructure and ultimately provide cost savings for consumers.

Regis Cherry, from the Ohio Ethanol Producers Association, echoed Nicholson's sentiments, praising the potential economic benefits of increased E15 access. He highlighted that the rebate program would not only save consumers money at the pump but also stimulate the rural economy by increasing farm incomes and generating additional tax revenue.

Both Nicholson and Cherry underscored the importance of the proposed measures in fostering a competitive marketplace for biofuels, which they believe will lead to greater consumer choice and economic growth in Ohio.

The committee's discussions reflect a concerted effort to support Ohio's agricultural sector while promoting environmentally friendly fuel options. As the proposed budget moves forward, the outcomes of these discussions could have lasting implications for farmers, consumers, and the state's economy.