Ethanol-producing state backs away from E-85

Posted at 10:52 AM on September 9, 2010 by Bob Collins (6 Comments)
Filed under: Energy

If a farm state is turning its back on E-85 gasoline, what is its future?

South Dakota has stopped using E-85 in its state fleet after determining that it costs 13-percent more than the regular gas. Instead, it's going to try E-30.

What's the problem? E-85 doesn't provide particularly good mileage.

Says the Daily Republic:

E-85, a blend of approximately 85 percent ethanol and about 15 percent gasoline, typically is much cheaper in price per gallon in South Dakota than conventional E-10 blend or regular unleaded gasoline.

However, the bureau's study found that the price difference wasn't enough to overcome the substantially lower fuel mileage using E-85.

South Dakota isn't the only corn state to reconsider E-85. In Iowa, E-85 sales are falling, even though the number of vehicles that can use E-85 is increasing.

(h/t: Midwest Energy News)

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Comments (6)

Finally! Ethanol is simply not the answer and it's not shocking that people are starting to figure it out.

While on vacation in the southeast this summer, I saw a huge banner on a gas station that proudly stated "No ethanol sold here".

Here in Illinois, the price of E-85 is only about $0.40 less than regular 87 octane, so I'm guessing that it's not exactly gaining in popularity around here either.

Posted by andy | September 9, 2010 11:18 AM

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I am suprised that the Tea Party crowd, who seem to be so against wealth transfers to bankers, haven't pushed the E-85 issue as being a wealth transfer to farmers. End the subsidies and then you will find out what the whole nation thinks of E-85.

Posted by Matt | September 9, 2010 11:31 AM

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...end the subsidies and ethanol will be nothing but a memory.

Posted by andy | September 9, 2010 11:42 AM

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a memory that leaves behind empty plants and conned countless Minnesotans out of money in the form of "shares" in the company...

Posted by vjacobsen | September 9, 2010 1:44 PM

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The move from E85 to E30 for SD state vehicles is a good thing for the ethanol industry and it should show that ethanol blended fuels have an even brighter future. In Freeborn county, each of the Freeborn County COOP fuel stations have recently installed blender pumps. This allows the consumer to choose different blends of ethanol/gasoline (From E10, E20, E20, E40, or E85). A gallon of E30 sells for about 20 cents less than 87 unleaded gasoline (which in MN is already E10). In my vehicle, which is a non-flexible fuel vehicle, I get maybe 1-2mpg less on E30 vs. regular unleaded. Been using E30 from the pump for almost a full year (20,000 miles) and have not had one issue in my 2002 Ford Escort with 187,000 miles on it. In my opinion the price break is worth the negligible drop in mileage. University of Minnesota Mankato has done quite a bit of research on the effects of mileage drop in ethanol blended fuels and also vehicle maintenance issues as well. See the two links for more info.

www.ethanol.org/pdf/contentmgmt/E30_Final_Report.pdf

http://www.ethanol.org/news/index.php?newsid=30

Posted by Josh | September 9, 2010 3:56 PM

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The best balance between cost and mileage, at least for my own 2005 Dodge Stratus Flex-Fuel car, occurs around E45. That's the sweet spot that gets me the best VALUE of miles per dollar.

I usually burn E85, but splash in five gallons of E10 gasoline every once in a while.

That's what works best for me. Better than gasoline alone, better than E85.

E45 works best.

Posted by JIm_E85 | September 12, 2010 9:04 AM

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