Ethanol Industry Continues To Provide More Spin Then Substance

[xcel]

The real price tells a different story.

Wayne Gerdes - CleanMPG - Aug. 30, 2012

Ethanol added at a cost we are all forced to bear

“Gas Prices Spike, Ethanol Offers Stability and Consumer Savings”

With gas prices in the $4 per gallon range, many Americans are electing to stay home.

According to the ethanol lobby, oil companies are blaming Hurricane Isaac for causing the sudden inflation.

Have they?

Tom Buis, CEO of Growth Energy:

"The oil market is so volatile and ethanol has served as a stabilizing factor that can help control costs by providing a level of certainty. Ethanol currently makes up 10 percent of our nation's fuel supply and it has helped prevent extreme spikes in gas prices. Independent studies have shown that the inclusion of ethanol has saved consumers from $0.17 cents to $1.09 a gallon."

Unfortunately he failed to state the costs of using ethanol (E10) including the 2 to 3% loss of FE costs the entire nation (367.1 million gallons/day *.025 * $3.88/gallon) = $35.6 million USD per day or $13 Billion USD per year.

In addition, these jokesters had the gall to state consumers who drive Flex Fuel vehicles can see substantial savings by filling up with E85!

Really, they said that!

According to E85 Prices – Illinois, the latest entry has E85 costing $2.99 per gallon and gasoline costing $3.99 in Rockford, IL.

To drive the 2012 Ford F-150 3.7L FFV with an EPA rating of 19 mpg combined on gasoline and 14 mpg combined on E85 200 miles with these prices cost $42 for regular unleaded and $42.71 on E85.

On the same site, the IL average cost for E85 is 3.40 to Regular unleaded at $3.94 making the comparison truly onerous.

Buis continued:

"It is the least expensive motor fuel on the market and consumers can trust in a fuel that supports the American economy, powers NASCAR and reduces our dependence on foreign oil. Not to mention that it burns cleaner than conventional gasoline, also improving our environment.

The site he is in charge of Ethanol Retailer provides consumers with the resources to find the nearest flex pumps to fill up and “save” money.

He meant to say cost you money but who are we to say how to save $’s at the pump?

It gets better…

"The ethanol industry is committed to giving consumers with a choice when they fill up – they can choose to support foreign oil, which costs more and sends their hard earned dollars overseas to OPEC, or they can choose to support the American economy and energy independence by filling up with less expensive, home-grown American ethanol, and I am convinced they will choose the latter"

So Ethanol has a positive energy balance but it does not have a consumer savings balance and that is what costs you and I every damn time we turn the key. Unless we use non-ethanol laced fuel, commute on the plug or take public transportation running on diesel.

Did you enjoy my Op Ed?

[08EscapeHybrid]

The ethanol industry is committed to giving consumers with a choice when they fill up – they can choose to support foreign oil, which costs more and sends their hard earned dollars overseas to OPEC, or they can choose to support the American economy and energy independence by filling up with less expensive, home-grown American ethanol, and I am convinced they will choose the latter

CHOICE??? I wish I had the choice. I have to drive at least 40 miles to find an ethanol free station, and I have yet to find a station that sells ethanol free premium for my motorcycle. Give me my supposed choice, and make it so I don't have to drive 40 miles to get it. I was forced to fill with E10 earlier this summer, and it took me about 4 tanks before my mileage recovered to my pre-E10 levels. On my FEH E10 is a 6-8 MPG penalty.

[darrelldb1]

I also have no choice. I can't find unpolluted fuel anywhere near me.

[waltermlee]

The gasohol argument about 3% loss of fuel efficiency is bogus.

The real world fuel efficiency penality for using 10% ethanol is higher.

In older conventional gas cars, many experience a fuel efficiency loss of 7% and more from using 10% ethanol. Even in newer hybrid cars, the fuel efficiency loss from 10% ethanol is still above 5%...

For example,
This summer on PriusChat two 3rd generation Prius were hypermiled
to achieve 800 miles on one tank of gas.

The Prius using 100% gas got 77.5 mpg (mark)
The Prius using 10% ethanol gas got 73.4 mpg (me)

The 10% ethanol gas represents a drop of 4.1 mpg more or drop of 5.29% in fuel efficiency.

btw:
The foriegn oil argument is bogus. The USA is now a net exporter of oil.
The idea that ethanol is a choice is bogus. Since 1996, 10% Ethanol was mandated in metro areas - so cars are required to use 10% ethanol,

On the good side
Since we are a net exporter of oil - higher oil prices will help our overall economy
and reduce our trade deficit with China ( who is one of our main buyer of oil and gas).

On the bad side
Since most of the increase in oil prices occur during commodities futures speculation bidding process, wall street financiers and hedge funds will be main/only beneficiaries to the higher oil and gas prices. The rest of us will just have to suffer until something trickles down our way...

[Bruce]

The cost of the FE drop from E10 is small potatoes compared to the potential for increased maintenance costs, especially for carbureted engines.

[talonts]

Around here, you can buy E0 gas lots of places, as it is needed for boats. It's also more expensive than Premium, so it ends up costing more per mile than buying the E10.

And they're pushing for E15/E20 to be standard. I can't wait for the lawsuits to start on that one. Many vehicles will see obvious, quick damage at those levels.

[08EscapeHybrid]

My favorite E0 station sells E0 for $0.10/gal more (which is still cheaper than E10 in my town) than E10. $0.10/gal for 6-8 MPG more? That's a no-brainer. Unfortunately, I only find myself out that way about every 10 days, so I have to try and make it last.

[saturnsc2]

it is frustrating to have a older car and try to run this crap in it. I too cannot find any premium grade ethanol free gas, only 87 octane. That means my 67 mustang
(weekend car) has to get a mix of 93 octane e10, and 87 non eth. This is the only workable scenario I see. This is the govts way of getting old "clunkers" off the road.
The unfortunate thing is, not all old cars are clunkers, plenty are well maintaned and do not burn oil or cause a safety risk. It's hard on those that have dirtbikes or motorcycles
or older cars as a weekend hobby.

[Jay]

Originally Posted by talonts

...And they're pushing for E15/E20 to be standard. I can't wait for the lawsuits to start on that one. Many vehicles will see obvious, quick damage at those levels.

The politicians have that covered. The oil companies are already protected from such lawsuits.

In CA they don't even mark the gas pumps so that consumers can know which fuels contain ethanol and how much. Nothing to see here...move along.

Write your congresscritter? I've already written the fem dems that rule CA and they are solidly in favor of ethanol contaminated gasoline. And you just can't seem to vote them out for some strange reason.

[civic94coupe206]

pretty much true. at 4 a gallon here, i was planning to drive to portland or from seattle, but I canceled the trip. its going to cost me 55 bucks round trip, I wish I would of drove last month when gas was dropping every week, and it hit 3.20 per gallon. I was hoping that it would be at 2.90 or so, or about 35 bucks.

im unemployed, I just want a getaway for one day out of the year. ill use that 55 dollars for something more productive around here