More cheap ethanol, this time in Iowa
As the average gas price for a gallon in America drops to under $3, ethanol promoters went ahead and sold E85 for $1.85 or so at some Iowa fuel stations yesterday (other stations sold the biofuel at 85 cents below the normal price). The reason for the sale is the upcoming Iowa Corn Indy 250 in Newton on Sunday. There were also E10 promotions yesterday and today. So, with so many ethanol promotions going on (Minnesota just had some), do you think there's a chance that people won't take ethanol seriously? Hear me out. For some reason, it seems that brand name items with inflated costs are what people in our culture gravitate to (e.g., Starbucks charges $3 for a cup of coffee but that certainly doesn't hold back sales). Does ethanol, because it's a vehicle fuel, somehow escape this slightly-higher-price-is-better analysis? Is ethanol too new and misunderstood for me to worry about this stuff yet? Are the temporary low prices are just the right thing for ethanol promotion and education? Do you want ethanol to be seen as disreputable?
Just curious about what readers think about this stuff. Fire away.
[Source: Domestic Fuel]
Reader Comments (Page 1 of 1)
philmcneal 8:34PM (6/22/2007)
There was a term used for ethanol that was developed by non fossil fuels. That I'm for, but for ethanol to have a lower energy content than gasoline yeilds less distance for the same gallon for gallon. (e100 vs octane87)
The energy invested to create the e85, would be nice, however, to make cars simply compatible rather than taken advantage of the high octane content of ethanol yeilds a sad face on my behalf.
As well I'm sure its going to be awhile before ethanol hits our pumps up at the Canadian rockies.
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Mike Z 11:05PM (6/22/2007)
If you figure that Ethanol gets 2/3 the MPG as normal gasoline the true gas equivalent prices of $1.85 E-85 is $2.80/gal. Given that the average gas price in Iowa is $2.90 that whole $1.85 shindig is a whooping ten cent savings!
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NIRMALSINH 12:59AM (6/23/2007)
CELLULOSE ETHANOL WILL END ALL DEBATES WHETHET ETHANOL IS ACTUALLY SAVES ON LOT OF GREEN HOUSE GASES. FOR COUNTRIES LIKE INDIA AND CHINA THERE IS NOT ENOUGH INDIGENIOUS OIL AND OIL IS TOO POLLUTING. SO WE NEED TO BYPASS THE OIL BASED INFRASTRUCTURE AND MOVE TO GREEN FUELS.
FOR REST OF THE WORLD AMERICANS USING 20 MPG IS TOO MUCH OF BURDEN ON THE EARTH. MOST OF OUR CARS GIVE 16KMS PER LITRE. IF AMERICA ADOPTED SUCH CARS THEIR PERTOL CONSUPMTION WOULD COME DOWN BY 400 MILLION TONS PER YEAR.
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Tim 8:22AM (6/23/2007)
I want hard numbers!! Has anyone calculated the actual cost of corn ethanol including subsidies, fertilizers, water, petroleum, and BTU reduction and compared it to cellosic ethanol (no fertilizer or water), cellulosic butanol (higher energy content) or biodiesel?
I bet we're actually paying MUCH more for corn ethanol than anyone realizes. Then again, by the time you factor in petroleum subsidies including military costs, (money, life and suffering) and interest on out $ Trillion debt to Communist China, petroleum’s no deal either. Should we celebrate and just keep buying SUVs while the poor can’t afford gas to go to work or corn to feed their families? Why do so many liberals love corn ethanol? Are they stupid?
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GreyFlcn 10:57AM (6/23/2007)
--I bet we're actually paying MUCH more for corn ethanol than anyone realizes.--
You would be correct sir.
http://greyfalcon.net/truecostofethanol.png
(Note: EtOH is the chemical name for Ethanol)
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GreyFlcn 11:29AM (6/23/2007)
Even the Ethanol Sellers figure they HATE selling ethanol as E85, since they have to decrease the price a lot.
They'd much prefer to sell it in E10-E6 blends, where it brings a higher cost because it's manditory.
Thats why 99% of US Ethanol is sold as low blend.
http://www.autobloggreen.com/2007/06/12/gao-says-doe-lacks-biofuels-strategic-approach/
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Bill 9:24PM (6/23/2007)
Cellulosic ethanol is the biggest vaporware scam since ZAP's latest press release.
A relatively small quantity of ethanol from cellulose has been produced in the laboratory, not in any commercially-sized plant.
Because of the cost of enzymes involved it is substantially MORE expensive than ethanol from corn (more difficult to crack cellulose into sugar than starch into sugar)
Also, plants aren't just cellulose, but have other components such as hemicellulose.
IIRC, you can get xylose from hemicellulose, but there's no commercially available yeast to turn that sugar into ethanol.
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Bob from ALAMN 4:19PM (6/26/2007)
With 63 E85 stations in the entire state, Iowa has a ways to go before it becomes a "mature market" that can charge a "Starbucks price" for E85.
Besides, I'm not sure that's a good idea -- we believe that E85 should remain cheaper than regular unleaded whenever possible.
Bob Moffitt
Communications Director
American Lung Association of Upper Midwest
Clean Air Choice program
http://www.CleanAirChoice.org
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