Texas

POPULATION (2015): 27,469,114

REGISTERED CARS & LIGHT TRUCKS: 20,329,786

ANNUAL GAS CONSUMPTION (2014): 13.3 Billion GPY

TOTAL RETAIL STATIONS: 11,113

Maximum E85 use:2.6 Billion GPY
FFVs in use:2,247,473
E85 stations:207
Flex Station implied demand:+1,589
Maximum E15 use:10.6 Billion GPY
EPA approved E15 vehicles:16,263,828
E15 Station implied demand:+8,890

Fuel specifications

Gasoline:

Retailers in the Houston and Dallas metro areas use
Southern-grade RFG. These areas include the counties of Brazoria, Chambers, Fort Bend, Galveston, Harris, Liberty, Montgomery and Waller. The counties of Collin, Dallas, Denton and Tarrant have opted in.

Reid Vapor Pressure:

7.8 psi RVP gasoline is sold from May 1-October 1 in the following counties: Anderson, Angelina, Aransas, Atascosa, Austin, Bastrop, Bee, Bell, Bexar, Bosque, Bowie, Brazos, Burleson, Caldwell, Calhoun, Camp, Cass, Cherokee, Colorado, Comal, Cooke, Coryell, De Witt, Delta, Ellis, Falls, Fannin, Fayette, Franklin, Freestone, Goliad, Gonzales, Grayson, Gregg, Grimes, Guadalupe, Harrison, Hays, Henderson, Hill, Hood, Hopkins, Houston, Hunt, Jackson, Jasper, Johnson, Karnes, Kaufman, Lamar, Lavaca, Lee, Leon, Limestone, Live Oak, Madison, Marion, Matagorda, McLennan, Milam, Morris, Nacogdoches, Navarro, Newton, Nucese, Panola, Parker, Polk, Rains, Red River, Refugio, Robertson, Rockwall, Rusk, Sabine, San Jacinto, San Patricio, San Augustine, Shelby, Smith, Somervell, Titus, Travis, Trinity, Tyler, Upshur, Van Zandt, Victoria, Walker, Washington, Wharton, Williamson, Wilson, Wise and Wood.  Retailers in Hardin, Jefferson and Orange counties are prohibited from selling gasoline with a maximum RVP exceeding 7.8 psi from June 1-September 15. El Paso County requires 7.0 psi gasoline from May 1-September 15.

Contact information for key state regulatory agencies

Department of Weights and Measures, 512-463-7401

State Laws & Incentives

Fuel Dispenser Labeling Requirement
All equipment used to dispense motor fuel containing at least 1% ethanol or methanol must be clearly labeled to inform customers that the fuel contains ethanol or methanol. (Reference Texas Statutes, Agriculture Code 17.051)                                                                                                                                                                                 

Renewable Fuel Promotion                                                                                                                The Texas Bioenergy Policy Council and the Texas Bioenergy Research Committee were established to promote the goal of making biofuels a significant part of the energy industry in Texas by January 1, 2019. The Policy Council is tasked with the following:

  • Provide a vision(PDF) for unifying the state's agricultural, energy, and research strengths in a successful launch of a cellulosic biofuel and bioenergy industry;
  • Foster development of cellulosic and bio-based fuels;
  • Pursue the creation of a next-generation biofuels energy research program at a university in the state;
  • Pursue federal and other funding to position the state as a bioenergy leader;
  • Study the feasibility and economic development effect of a blending requirement for biodiesel or cellulosic fuels;
  • Pursue the development and use of thermochemical process technologies to produce alternative chemical feedstocks; and
  • Study the feasibility and economic development of the requirements for renewable natural gas.

(Reference Texas Statutes, Agriculture Code 50D)

Federal Incentives

Alternative Fuel Infrastructure Tax Credit
(Originally expired 12/31/13 - retroactively extended through 12/31/16, by H.R. 2029) Fueling equipment for E85 installed between January 1, 2014, and December 31, 2016, is eligible for a tax credit of 30% of the cost, not to exceed $30,000. Station owners with multiple locations can use the credit towards each site. For more information about claiming the credit, see IRS Form 8911.

Ethanol Infrastructure Grants and Loan Guarantees
The Rural Energy for America Program (REAP) provides grants and loan guarantees to rural (population less than 50K) small businesses to purchase renewable energy systems or make energy efficiency improvements. Eligible renewable energy systems include equipment used to distribute flexible fuels. The maximum grant funding is 25% of project costs and the maximum loan guarantee is $25 million. The program is funded through fiscal year 2018 but is subject to congressional appropriations thereafter. For more information, see the REAP website.

Point of Contact
Office of Rural Development, Business and Cooperative Programs
U.S. Department of Agriculture
Phone: (202) 690-4730
http://www.rurdev.usda.gov/

Ethanol plant direct E85/ethanol sales

Click here for a complete list of domestic ethanol producers and sales contacts for E85/direct ethanol sales

E15/Flex Fuel Profit Estimate
line
Texas
AVG STATION (99,600 GPM)
Average Retailer:
New gallons/$$/Mo E15 & Flex: 18,400 $3,100
New Customers/Mo:+2,045 
Additional Merch. Margin from above:$6,000
RINs not applied to reduce price:$890
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TOTAL NEW PROFIT/MO  $9,990
Top Performing Retailer:
New gallons/$$/Mo E15 & Flex:43,600$7,300
New Customers/Mo:+4,849 
Additional Merch. Margin from above:$14
RINs not applied to reduce price:$2,500
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TOTAL NEW PROFIT/MO  $9,814

Want to see what E15/Flex fuels could do for your operation?

Try out the E15/Flex fuel profit Estimator
A Roadmap for Ethanol cover

a roadmap for ethanol

You’re thinking about adding or switching to a new fuel grade on your product slate, and you’ve considered premium and diesel, because those are the fuels all station owners consider. But today, the market is different, and you’re curious about what E15, E85, and other flex fuels could do for your business. Good move.

Download the Full Guide