Skor joins USDA on trade mission to Mexico

By Growth Energy | November 14, 2019

Last week, Growth Energy CEO Emily Skor joined the U.S. Grains Council and 100 agricultural groups in a trade mission to Mexico City, Mexico, led by U.S. Agriculture Secretary Sonny Perdue and Under Secretary for Trade and Foreign Agricultural Affairs Ted McKinney. From Nov. 6-8, Skor and ethanol market development colleagues met with government officials and industry stakeholders to showcase the benefits of E10, a fuel blended with ten percent ethanol, as the government considers its adoption in Mexico’s three largest cities: Mexico City, Monterrey, and Guadalajara. Following the trade mission, Skor issued a statement:

“It was an honor to join USDA and USGC on this important mission to Mexico,” said Growth Energy CEO Emily Skor. “Opening the Mexican fuel market to E10 nationwide would provide significant benefits for the country’s fuel and ag economies, citizens, and the environment. During this trade mission, we were able to further engage in critical discussions with stakeholders to demonstrate the health and economic benefits of replacing toxic additives, such as MTBE, with cleaner-burning and more-affordable ethanol.”

Growth Energy has been a leader in promoting the use of ethanol-blended fuel in the Mexican fuel market, participating in and supporting bilateral trade missions in the U.S. and Mexico. This year, Growth Energy launched a workshop series, alongside USGC and the Mexican Association of Service Station Equipment Providers, to educate Mexico’s fuel retailers on ethanol-blended fuel and how to incorporate it into their fuel offerings.

Background:

Mexico is currently using methyl tert-butyl ether (MTBE) in their fuel. MTBE is an octane additive, however due to groundwater contamination concerns and its impact on human health, it’s been explicitly banned in 26 states in the U.S. and phased out of the U.S. fuel supply.

In 2017, the Mexican government announced that it would increase its blending goal to 10 percent ethanol (E10), from the previous 5.8 percent blend, across the country, excluding it’s three largest cities Mexico City, Monterrey, and Guadalajara. However, in a recent study on five major international cities facing significant air quality issues, Mexico City had the highest potential greenhouse gas emissions reductions at an E10 blend, with 5.1 percent cumulative emissions savings. Additionally, according to a 2018 study by Mexico’s Instituto Mexicano de Petroleo (IMP), ethanol is historically two pesos per liter less expensive than MTBE, while also providing benefits for engine performance and emissions reductions.