EIA data shows blend wall broken in 2016 with production at 15.33 billion gallons

In Washington, the U.S. ethanol production set a new record of 15.33 billion gallons (bg) in 2016, according to data released today by the Energy Information Administration (EIA), as analyzed by the Renewable Fuels Association. The EIA data also show that the average gallon of gasoline likely contained slightly more than 10.0% ethanol in 2016.

Total ethanol production in 2016 was up 3.5% from the previous high of 14.81 billion gallons in 2015. The data also suggest domestic ethanol disappearance of 14.4 billion gallons in 2016 (14.06 bg of input by blenders/refiners and 340 mg of “supply adjustments”), along with exports of 1.05 bg.

U.S. gasoline consumption totaled 143.37 bg, up 1.9% from 2015 and a new all-time record. The data imply an average ethanol blend rate across the U.S. of 10.04%, meaning higher level blends like E15 and E85 saw increased market penetration.

EIA also reported that a new monthly production record was established in December, with output averaging 1.047 million barrels per day.