Updated: FTC Amends Fuel Rating Rule | Practical Law

Updated: FTC Amends Fuel Rating Rule | Practical Law

The Federal Trade Commission (FTC) has announced final amendments to its Fuel Rating Rule, which determines the fuel rating that appears on fuel pump labels, how octane levels are calculated, and helps drivers make informed decisions about what fuel to use.

Updated: FTC Amends Fuel Rating Rule

Practical Law Legal Update w-001-1258 (Approx. 3 pages)

Updated: FTC Amends Fuel Rating Rule

by Practical Law Commercial Transactions
Law stated as of 30 Nov 2016 • USA (National/Federal)
The Federal Trade Commission (FTC) has announced final amendments to its Fuel Rating Rule, which determines the fuel rating that appears on fuel pump labels, how octane levels are calculated, and helps drivers make informed decisions about what fuel to use.
This resource was updated on November 30, 2016 to reflect the Federal Trade Commission's new partial exemption to its Fuel Rating Rule labeling requirements (see Fuel Rating Rule Partial Exemption).
On December 28, 2015, the Federal Trade Commission (FTC) announced final amendments to its Fuel Rating Rule, which determines the fuel rating that appears on fuel pump labels, how octane levels are calculated, and helps drivers make informed decisions about what fuel to use (Automotive Fuel Ratings, Certification and Posting, 81 Fed. Reg. 2054-01 (Jan. 14, 2016)).
In response to public comment, as well as recent Environmental Protection Agency decisions on ethanol blends, the FTC final amendments:
  • Require that fuel marketers rate and certify all ethanol blends with ethanol content ranging from above ten percent to eighty-three percent.
  • Require retailers to post labels with ethanol percentage disclosures.
  • Require retailers to include the statement, "Use only in Flex-Fuel Vehicles/May Harm Other Engines" in the posted labels.
  • Do no adopt the alternative method of determining the octane rating of gasoline.
The amendments to the Fuel Rating Rule will become effective six months after publication in the Federal Register.
For more general information on green marketing, see Practice Note, Green Marketing in the US.

Fuel Rating Rule Partial Exemption

The FTC announced on November 29, 2016 that it has granted ethanol flex fuel retailers a partial exemption to its Fuel Rating Rule labeling requirements. The exemption permits retailers to reduce the required label size when disclosing the ethanol content of ethanol flex fuels on the fuel selection buttons on retail pumps.