Illinois

POPULATION (2015): 12,859,995

REGISTERED CARS & LIGHT TRUCKS: 10,011,322

ANNUAL GAS CONSUMPTION (2014): 14.6 Billion GPY

TOTAL RETAIL STATIONS: 3,854

Maximum E85 use:665 Million GPY
FFVs in use:942,667
E85 stations:264
Flex Station implied demand:+176
Maximum E15 use:3.7 Billion GPY
EPA approved E15 vehicles:8,009,058
E15 Station implied demand:+3,083

Fuel specifications

Gasoline:

Northern-grade RFG is required in Chicago area counties including Cook, Du Page, Grundy (Aux Sable and Goose Lake Townships only), Kane, Kendall (Oswego Township only), Lake, McHenry, and Will, and East St. Louis area counties of Jersey, Madison, Monroe and St. Clair. Conventional gasoline is sold in remaining counties in the state.

Reid Vapor Pressure:

Counties not in RFG program areas require 9.0 psi RVP gasoline June 1-September 15. Madison, Monroe and St. Clair counties use 7.2 psi RVP gasoline from June 1-September 15.  These three counties plus Jersey County opted into the RFG program in 2007. Illinois’ most recent State Implementation Plan removed the 7.2 psi RVP requirement from those areas, but EPA has not approved the SIP as of the date of this publication.

Contact information for key state regulatory agencies

Department of Agriculture (Weights and Measures), 217-524-6858

State Laws & Incentives

 Biofuels Tax Exemption

Sales and use taxes apply to 80% of the proceeds from the sale of fuel blends containing between 1% and 10% biodiesel and the sale of fuels containing 10% ethanol (E10) made between July 1, 2003, and July 1, 2017. If at any time these taxes are imposed at a rate of 1.25%, the tax on biodiesel blends and E10 will apply to 100% of the proceeds of sales. These taxes do not apply to the proceeds from the sale of biodiesel blends containing more than 10% biodiesel up to 99% biodiesel or fuels containing between 70% and 90% ethanol (E70-E90) sold between July 1, 2003, and December 31, 2023. Taxes will apply to 100% of the proceeds from biodiesel and ethanol fuel blend sales made after December 31, 2023. (Reference Senate Bill 9, 2017, and 35 Illinois Compiled Statutes 120/2-10, 105/3-10, and 105/3-44)

Alternative Fuels Labeling Requirement

Retailers must display ratings on fueling pumps that are consistent with the percentage by volume of the alternative fuel being dispensed. The labels must be affixed to the front panel of the pump in a position that is clearly visible to the vehicle driver. The labeling must follow established labeling specifications. (Reference 815 Illinois Compiled Statutes 370/4.1)

Biofuels Education and Promotion

The Promote Illinois Ethanol and Biodiesel Act requires state agencies, including state-supported universities and colleges, to provide links from their websites to sites containing information on ethanol and biodiesel fuels. The links must connect to websites maintained and operated by state agencies and may also include links to private websites. (Reference 505 Illinois Compiled Statutes 150/5)

Advanced Vehicle Acquisition and Biodiesel Fuel Use Requirement

All gasoline-powered vehicles purchased with state funds must be flex fuel vehicles (FFVs) or fuel-efficient hybrid electric vehicles (HEVs). FFVs are defined as automobiles or light trucks that operate on either gasoline or 85% ethanol (E85) fuel. Fuel-efficient HEVs are defined as automobiles or light trucks that use a gasoline or diesel engine and an electric motor to provide power and that gain at least a 20% increase in combined U.S. Environmental Protection Agency city-highway fuel economy over the equivalent or most-similar conventionally-powered model. Furthermore, any vehicle purchased with state funds that is fueled with diesel fuel must be certified by the manufacturer to run on 5% biodiesel (B5) fuel.

15% of all vehicles purchased with state funds must be fueled by electricity, natural gas, or liquefied petroleum gas (propane), with the exception of Department of Corrections, Department of State Police patrol, and Secretary of State vehicles (except mid-sized sedans).

The Chief Procurement Officer may determine that certain vehicle procurements are exempt from these requirements based on intended use or other reasonable considerations such as health and safety of Illinois citizens.

(Reference 30 Illinois Compiled Statutes 500/25-75)

Biofuels Preference for State Vehicle Procurement

When awarding contracts that require vehicle procurement, state agencies may give preference to an otherwise qualified bidder who will fulfill the contract through the use of vehicles powered by ethanol produced from Illinois corn or biodiesel produced from Illinois soybeans. (Reference 30 Illinois Compiled Statutes 500/45-60)

Federal Incentives

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

Current ACE members that offer E85/direct ethanol sales in this state include:

Adkins Energy, LLC (Lena)
Eric Lockart, Phone: 815-494-7990

 

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

E15/Flex Fuel Profit Estimate
line
Illinois
AVG STATION (100,000 GPM)
Average Retailer:
New gallons/$$/Mo E15 & Flex: 18,500 $3,100
New Customers/Mo:+2,054 
Additional Merch. Margin from above:$6,000
RINs not applied to reduce price:$890
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TOTAL NEW PROFIT/MO  $9,990
Top Performing Retailer:
New gallons/$$/Mo E15 & Flex:43,900$7,300
New Customers/Mo:+4,871 
Additional Merch. Margin from above:$14,200
RINs not applied to reduce price:$2,500
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TOTAL NEW PROFIT/MO  $24,000

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