After reading this story about a topless woman, I noticed the link to another article about the increasing interest in ethanol as a fuel.
E85 is a blend that is 85% ethanol and 15% gasoline. The article notes that many of today’s cars can run on this blend. Furthermore, it notes that per gallon you save about 45 cents.
Of course, E85 isn’t taxed at 18.4 cents per gallon like gasoline.
Of course, 44 cents of every gallon is subsidized by the government.
Of course, ethanol doesn’t work well in cold environments.
Of course, you can expect to lose 5 to 15% fuel efficiency (or maybe more) using the blend.
Of course, most states don’t tax E85 like gasoline.
Using the average gasoline price of $2.24 provided in the article, and the 45 cent savings E85 is $1.79 per gallon. I’ll assume that state gas taxes are part of the actual cost of a gallon of gasoline and that there is an average 10% efficiency loss. Correcting for the other factors I listed above, gas is $2.056/gallon and E85 is $2.48/gallon.
Of course, since road funding comes from gas taxes, E85 will have to eventually be taxed instead of surplused.
Of course, I imagine most of the corn being used to produce the E85 is the leftover that no one wants to eat and is very cheap. So a huge increase of demand will make it even more expensive.
I’ll add onto and update this post later tonight as I should be preparing for a 2 o’clock meeting right now. I managed to dig up more interesting information on this alternative fuel source and its side effects that I’d like to summarize for you, my loyal readers.
Add-OnsFrom the World of Molecules
Critics contend that it is economically absurd to consider ethanol from grain as a replacement for petroleum, when industrial ethanol is made from petroleum feedstocks because it is far cheaper than fermented ethanol.

