The Trump administration is accelerating the rollout of winter-blend gasoline to lower fuel costs and ease supply concerns heightened by the war with Iran.
The US Environmental Protection Agency announced on Thursday that it is relaxing its usual summer gasoline requirements. The regulatory change, which typically takes place in mid-September, permits the earlier use of winter-blend fuel that produces more emissions.
Starting September 1, the waiver will allow the sale of gasoline containing 10 percent ethanol. This mixture evaporates faster than the fuel conventionally sold during the summer months. Winter-blend gasoline is designed to ignite more easily in cold engines, but its higher volatility contributes to ground-level ozone and smog in warmer weather.
The government stated that the move will boost the domestic gasoline supply by hundreds of thousands of barrels a day. By effectively ending the summer blend mandate early, officials expect to provide Americans with greater financial relief at the gas pump.
According to a press release cited by Bloomberg, EPA Administrator Lee Zeldin said President Donald Trump has made it a priority to ensure American families have access to affordable gasoline and energy.
The actual impact on fuel prices may depend on how quickly individual states respond to the change in federal policy, as some maintain their own independent gasoline requirements.
Record prices at the pump
Average gasoline prices in the United States have remained above $4 per gallon since mid-July, according to the American Automobile Association, which tracks national fuel costs. This is approximately $1 per gallon higher than when the war with Iran began, marking the highest price American drivers have ever paid this late in the calendar year.
The EPA took the action in consultation with the Department of Energy. Energy Secretary Chris Wright said the decision serves as another example of the administration cutting red tape to increase gasoline supplies and reduce pump prices.
The Energy Department expects prices to remain elevated through the end of the year. The department recently revised its monthly price forecast upward because the US and Iran have failed to reach an agreement to end the conflict and reopen the Strait of Hormuz, a critical maritime choke point that connects the Persian Gulf to the open ocean.
Smog regulations eased
The environmental waiver allows fuel refiners and distributors to transition to the winter blend earlier in regions of the country prone to smog. Low-volatility gasoline is required to limit air pollution during the warmer summer months across much of the US, but it requires more expensive components to blend.
The early shift to winter gasoline follows other measures the administration has taken to reduce fuel prices. These include granting permission for foreign merchant ships to transport oil between US ports, temporarily lifting restrictions meant to protect the domestic shipping industry. The government has also approved a wider distribution of E15 gasoline, which contains a higher concentration of ethanol, during the summer.
