Ethanol Permit – Requirements for Ethanol Production

Ethanol fuel, one of the many forms of ethanol alcohol, is now widely used as an alternative biofuel to help curb the environmental pollution caused by the greenhouse gases emitted by gasoline.

Ethanol fuel come in different blends, but the most common are E10 and E85. E10 ethanol fuel is made up of 10% ethanol mixed with 90% gasoline. Since it is still predominantly gasoline, it can be used by most cars and motorcycles. E85 is a higher blend of ethanol fuel as it contains 85% of ethanol and 15% of gasoline. Due to its higher level of ethanol, it requires some modifications in automobile’s fuel systems. E85 ethanol fuel can only be used by cars that have been converted to flex fuel systems.

As Ethanol fuel becomes more and more rampant, many ethanol suppliers are also cropping up. However, those who use ethanol gas still have to drive greater distances before they come across gas stations that offer ethanol blends. Thus, many ethanol fuel users produce their own ethanol.

To produce your own ethanol, the only ingredient you’ll need is an organic fuel or feedstock. Look for a dealer that can provide you with a regular supply of feedstock.

Is Ethanol Production Safe?

The process of producing ethanol is safe and does not pose risks of dangerous combustion. The organic waste ingredients used in producing bioethanol fuel through fermentation and distillation are also non-toxic. Thus, there are no major safety issues when it comes to producing your own ethanol.

Like production, storing ethanol at home is also safe, as long as sufficient care is taken to keep ethanol away from flames and other sources of extreme heat.

Another concern about ethanol production is the cost. To sustain your ethanol production, you will probably need around 3 KWh of electricity to produce 1 gallon of E100 ethanol.

Do I Need An Ethanol Permit?

Producing ethanol at home is legal in the United States and in most countries. Many Americans have been manufacturing DIY ethanol for a long time now.

However, for you to be able to produce ethanol at home, you will first need a permit, which you can obtain from the U.S. Department of Treasury. The permit is free for all small property owners who produce ethanol not exceeding 10,000 gallons per year. Medium sized plants are those that produce more than 10,000 gallons but not more than 500,000 gallons per year, while large plants produce more than 500,000 gallons per year. Medium and large plants may be asked to pay for the permit.

Be sure to check your local and state requirements as well since your state or city might have additional ethanol license requirements.

Ethanol License Requirements

To get a permit to produce ethanol at home, you will need to complete the ethanol permit application process.

The first requirement to obtain a permit to produce ethanol at home is the federal form, which is available at

The form has to be prepared in triplicate and should be supplemented by a diagram of the manufacturing plant you are planning to establish. Incomplete or incorrect application forms will delay the issuance of your ethanol permit.

Once you obtain your ethanol permit, you can start producing ethanol within your own premises. The U.S. federal government offers a 50% tax credit to producers of alternative fuels, under the IRS Form 8911, Alternative Fuel Vehicle Refueling Property Credit. Many states also provide an additional rebate of as much as 20%.