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Mexico to allow ethanol-blended gasoline

Mexico’s energy regulatory authority has approved ethanol to be blended in that country’s gasoline supply.  The Energy Regulatory Commission of Mexico will allow blending up to 5.8 percent ethanol in the nation’s fuel supply.

“Such a detailed number; 5.8 percent’s very precise,” said Mike Dwyer with the US Grains Council, “That’s essentially the blend rate of ethanol that would replace MTBE in the fuel.”

MTBE, what Mexico is currently blending with its gasoline, is a fossil fuel-based octane enhancer and helps to clean up exhaust emissions from gasoline burning engines, however Dwyer tells Brownfield that MTBE is very toxic to ground water should tanks leak.

The exceptions to the allowance of ethanol blends are Mexico City, Guadalajara and Monterrey.

The fuel specification is effective in 60 days, marking the first time Mexico has established a policy on ethanol.  U.S. organizations that have worked on U.S.-produced ethanol being exported to Mexico are happy about the development.

Growth Energy CEO Emily Skor says the move will improve the quality of motor fuel for Mexican citizens.  US Grains Council CEO Tom Sleight says Mexican regulators will soon see how ethanol blends improve air quality and economic development.  Renewable Fuels Association CEO Bob Dinneen says regulators should be commended, but at the same time he says it’s a mistake to exclude Mexico’s three largest cities.