EPA to Raise Limit on Ethanol Concentration in Gasoline

The government will raise the limit on ethanol concentration in gasoline for some cars.

The Environmental Protection Agency will raise the limit to as much as 15%, from the current 10%, for vehicles made in 2007 or later, Bloomberg News said without naming its sources.

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Ethanol producers have been pushing for a higher limit, while a coalition of groups including automakers, environmentalists and oil companies have resisted the move.

The U.S. has set a target of using 12 billion gallons o renewable fuels next year, compared with 10.5 billion in 2009.

AAA, the country's largest motoring organization, said last year that higher concentrations of ethanol could damage exhaust systems and engines, as well as destroying catalytic convertors.