Ethanol stations coming online as gas prices sit well below E85
By the end of February, there will be 29 new E85 ethanol stations open near Sacramento, CA. These stations are part of a $3.5 million project by the state to make the relatively scarce alternative fuel more available to drivers. The intent of the plan was to create an “ethanol island” where enough E85 would be regionally available to encourage drivers to use flex-fuel cars and fill up with E85.
However, now that these E85 pumps are opening, the price of gas has plummeted below ethanol and station owners are concerned that drivers will opt for the less expensive choice. With ethanol nearly twice as expensive as gas right now, it is unlikely drivers will choose to fill their flex-fuel cars with E85.
The original intent of the government program was to help reduce greenhouse gases and dependency on foreign oil. Of course, even under ideal price conditions, the former is debatable and the latter is unrealistic– since it is unclear whether ethanol is actually good for the environment, and without advancements in cellulosic techniques, we’re replacing one unsustainable situation with another.
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