BREAKING: EPA Approves E15 Gasoline Emergency Waiver as Gas Prices Spike 30% Amid Iran Conflict

The U.S. Environmental Protection Agency issued an emergency waiver on March 25, 2026, temporarily lifting summer restrictions on E15 gasoline in direct response to soaring fuel prices triggered by the Iran war. With the Strait of Hormuz effectively closed—cutting off roughly 20% of global oil supply—the national average gas price has surged to $3.98 per gallon, marking a more than 30% increase in a single month.

E15 Gasoline Price And Gas Prices Rising Under Trump

Why Gas Prices Are Rising Right Now

Gas prices rising more than 30 percent since the conflict started, according to AAA data, and diesel is up more than 40 percent to $5.37 per gallon right now. California drivers are paying $5.83 a gallon, while Oklahoma and Kansas sit near the bottom at around $3.27 and $3.28 respectively. The E15 gasoline Trump administration response came, in part, because of how fast this all escalated — war started, Hormuz closed, and gas prices rising at the pump within days.

What the E15 Gasoline Trump Waiver Actually Does

E15 gasoline mixes in 15 percent ethanol, which also makes it typically cheaper — the Renewable Fuels Association puts the savings at somewhere between 10 and 40 cents per gallon compared to standard fuel. Under the Clean Air Act, the EPA restricts E15 gasoline sales in roughly half the country from June through September, because of smog concerns. The waiver runs from May 1 through May 20, and the EPA can extend it as needed. The agency also issued a separate waiver for E10, the standard blend. The E15 gasoline price advantage, combined with the ethanol lobby’s long push to make this permanent, made this one of the easier calls for the administration.

EPA Administrator Lee Zeldin stated:

“EPA waivers will work to prevent disruption in America’s fuel supply by keeping E15 and E10 on the market and giving Americans more fuel options.”

Agriculture Secretary Brooke Rollins said:

“President Trump is unleashing American Energy Dominance, and today’s action will directly lower prices at the pump and gives a clear demand signal to our domestic biofuels producers.”

Not A Long-Term Fix

With the Strait of Hormuz still largely blocked, the waiver will very likely be extended past May 20. The E15 gasoline Trump policy also drew bipartisan support — Sen. Amy Klobuchar of Minnesota had already urged the administration to act, while the Renewable Fuels Association praised the move publicly. Several lawmakers flagged the obvious limitation right away, though.

Sen. Deb Fischer (R-Neb.) stated:

“This is not a long-term solution, and it is far past time for Congress to make this permanent.”

Brian Jennings, CEO of the American Coalition for Ethanol, had this to say:

“If ever there were justifiable conditions to merit an emergency waiver for E15, it would be now as fuel prices have skyrocketed from war with Iran and a historical oil market disruption in the Strait of Hormuz.”

The E15 gasoline price debate isn’t going anywhere. Everyone understands why gas prices are rising — the question now is whether Congress steps in and makes the fix permanent, or whether the administration just keeps issuing waivers each summer.