Instruction For Retailers Motor Fuel Gallons Annual Report - 2014 Page 6

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Biofuel Distribution Percentage
The primary purpose of this report is to provide the information needed to determine the
State’s progress toward replacing 25% of petroleum-based motor fuels with biofuels by
the year 2020. Table 1 provides estimates of the breakdown between petroleum or
diesel and pure biofuel for each fuel type.
For the purpose of measuring progress toward that goal, the following computations
were made to estimate the amount of each type of fuel sold that was pure biofuel:
 For E10 blend gasoline fuel the number of gallons was multiplied by 0.10
 For E15/20 blend gasoline fuel the number of gallons was multiplied by 0.15
 For E85 blend gasoline fuel the number of gallons was multiplied by 0.79
 For B2 blend diesel fuel the number of gallons was multiplied by 0.02
 For B5 blend diesel fuel the number of gallons was multiplied by 0.05
 For B10 blend diesel fuel the number of gallons was multiplied by 0.10
 For B20 blend diesel fuel the number of gallons was multiplied by 0.20
 For other biodiesel blends the number of gallons was multiplied by the average
pure biodiesel share based on the four reported blends (for clear other biodiesel:
0.099 and for dyed other biodiesel 0.052)
These calculations indicate that during 2014 pure ethanol comprised 9.1% of the
volume of total gasoline and ethanol fuel sales. The aggregate ethanol gallonage, which
is the number of pure ethanol gallons sold by retailers during 2014, was 137.1 million
gallons. Pure biodiesel comprised 4.6% of diesel and biodiesel sales. The aggregate
biodiesel gallonage, which is the number of pure biodiesel gallons sold by retailers
during 2014, was 33.3 million gallons. Together, pure ethanol and pure biodiesel
comprised 7.7% of all fuel sales reported by retail locations. However, the formula
specified in Iowa Code 452.31 (8) for the biofuel distribution percentage used to
determine progress toward meeting the 25% biofuels goal does not include diesel fuel in
its denominator. The formula is:
Biofuel Distribution Percentage =
(Pure Ethanol Gallons + Pure Biodiesel Gallons) / Total Gasoline Gallons
Using this formula, during 2014 biofuels accounted for 11.4% of Iowa retail motor fuel
sales. This is an increase from the revised 10.7% calculated for 2013. The revised sales
data for 2013 are presented in the Appendix.
Figure 1 presents the biofuel distribution percentage reported in the 2007 through the
2014 calendar years. Between 2010 and 2013, the State percentage increased 0.5
percentage points each year solely as a result of higher biodiesel usage. The 0.7
percentage point jump to 11.4% in calendar year 2014 reflects in part continued growth
in biodiesel (0.2 percentage points), but mostly an increase in ethanol gasoline sales
(0.5 percentage points).
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