Sea Stachura's feature Do we buy ethanol (in Minnesota) because we have to? opens with the following:
You're at this Wisconsin gas station. You're scanning the pumps -- octane 87, octane 93. One pump offers an ethanol blend, E-10, which is gas with 10 percent ethanol. The other pumps contain just gasoline...
...Typically, the gas with ethanol is cheaper because it's subsidized. So which do you pick?
Which one would you buy? Why?
Stachura's report highlights (on a high level) Minnesota, Indiana, Missouri, and Wisconsin's approach to ethanol use. There's a line between encouragement and requirement, and I wonder if we even notice, or care. Is the price per gallon the true bottom line for you?
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Julia Schrenkler
Interactive Producer
Minnesota Public Radio
American Public Media
Objects in Mirror


Comments: 16
Just this morning I noticed that a station I often go to now has E85 so it must be available all over the state.
I have looked in my owners manual and put in the recommended gas. If I don't do what is best for my vehicle, it will cost more in repairs and possible shorten the life of my vehicle and end up costing more...
If you ask me, there is no winning answer to the gas situation other then walking!
Richard, can you elaborate on why you wouldn't want to use E-85? Is it that you don't have a flex-fuel engine or is there another reason, like horsepower?
Although I live in Texas, but we are trying to move back to Minnesota.
To my knowledge Chevy's 2004 line - except for select trucks - wasn't flex-fuel ready. But hey, move back here anyway!
I also have read articles that ethanol lowers the gas milage a vehicle gets, as well as potentially harming the ozone layer. Good one way, bad another; seems there is no completely right thing to do so to speak.
John, you've hit on the give and take. Good on one hand, bum on the other... You're in Arizona? How stable are gas prices there?
I do know that most of the gas we get comes from Texas by pipeline, and some from California. Every time something happens there we are affected while they patch pipes or fix refineries etc.; driving the price up more for a while besides the normal rip-off, ha ha.
This is not an accurate statement.
It should not be a shock to realize that subsidized Ethanol is cheaper than unsubsidized Ethanol, but E10 is still cheaper than gasoline with other additives because Ethanol is cheaper than gasoline to produce.
While it is true that Ethanol is subsidized, the subsidy does not account for the difference in price between a gallon of Ethanol and gasoline. Producers in Minnesota sell Ethanol for somewhere between $1.30 and $1.60 a gallon which computes out to less than $65/barrel. Oil sells for close to $100/barrel.
There are two subsidies for Ethanol, one is the corn subsidy, averaging less than 30 cents per gallon, and the other is a blender tax credit of 50 cents per gallon of Ethanol.
For a gallon of E10 that computes to a 3 cent corn subsidy and a 5 cent blender credit.
Take away the subsidies and Minnesota can still produce a barrel of Ethanol cheaper than the Saudi's are willing to sell a barrel of oil.
The reasoning is follows the scientific fact that gasoline contains more energy per volume than Ethanol.
While this is true in the labratory, it is not true on the road. A vehicle running 100% gasoline get less miles per gallon than the same vehicle running E10. The reason is that gasoline needs additives to burn optimally in a combustion engine. It literally needs additives to slow down the explosion and feed oxygen to the combustion process. In the past things like lead were added to gasoline to do this, but lead was found to pollute the environment.
E10 causes a motor to run cleaner, and to produce more power. There is a point of diminishing returns where adding Ethanol to gasoline produces poorer mileage. With each motor it is slightly different.
http://www.consumerreports.org/cro/cars/new-cars/ethanol-10-06/overview/1006_ethanol_ov1_1.htm
The way I'd put it is this, if you want the Oglala aquifer to disappear, keep using ethanol.
Type Ethanol into your search engine and learn all about it. It can not be used in just any vehicle and in some places it is more expensive than gas.