The ethanol industry, until recently a golden child that got favorable treatment from Washington, is facing a critical decision on its future.

Kevin Moloney for The New York Times
A mixture of yeast, enzymes and urea is poured into a batch of milo grain for fermenting into ethanol at the Reeve plant.
Gov. Rick Perry of Texas is asking the Environmental Protection Agency to temporarily waive regulations requiring the oil industry to blend ever-increasing amounts of ethanol into gasoline. A decision is expected in the next few weeks.