News
Ethanol blended gasoline saves motorists money
An ethanol industry spokesman says the price difference between ethanol and gasoline favors motorists who use ethanol blends. Renewable Fuels Association vice-president Robert White tells Brownfield a 30-cent to 40-cent spread between ethanol and gasoline, plus a blenders’ credit, has created what he calls a “perfect storm” for consumers.
“So you’re seeing E-85 right now in states like Iowa, Ohio, Kentucky and Illinois at more than a $1 a gallon discount,” White told Brownfield Ag News. “We’ve seen some at a $1.20 discount, we even have stations in California now where E-85 is a $1.70 a gallon cheaper than regular unleaded.”
White says savings for ethanol blends vary by location, but are the general rule at any blend rate, from E-10 on up.
“So this is true no matter what blend you use,” he said, “but if you break the blends down, E-85 per mile is still the cheapest.”
Much of the U.S. ethanol supply is distilled from corn.
AUDIO: Robert White (5 min. MP3)
A retail fueling customer gets to choose when an alternative fuel is available and customers love choices. It’s a choice and win for the retailer as well depending on the supply agreement and more importantly reliable supply and availability for the dealer marketing the fuel.
It’s all about margin on the posted street price at the retail fueling site.