Pricing Right at the Pump
9 Comments
Posted by Cindy Zimmerman – April 22nd, 2006
This article in the Billings (MT) Gazette offers a refreshingly positive look at ethanol compared to many stories in the mainstream media this week. While acknowledging some of the concerns, such as negative publicity regarding the fuel’s energy balance and the lack of flex-fuel vehicles and E85 pumps, it notes that ethanol in Montana is being priced right.
Sherrie Allyn, manager of the Quealy Sinclair gas station in Laramie, said E85 was selling at $1.89 per gallon Friday, compared with $2.59 for regular unleaded. That’s a 27 percent savings, which more than makes up for a nearly 10 percent loss in fuel efficiency that new flex-fuel vehicles will have while running E85 instead of gas. “It seems to be picking up. More and more people are using it,” said Allyn, whose station is one of only three in the state selling E85.
The article also points out that the availability of flex-fuel cars and E85 pumps is increasing dramaticially and new technologies on the horizon offer even more-efficient methods for producing ethanol.
9 Comments
Bradley Looferman
Sherrie Allyn, manager of the Quealy Sinclair gas station in Laramie, said E85 was selling at $1.89 per gallon Friday, compared with $2.59 for regular unleaded. That’s a 27 percent savings, which more than makes up for a nearly 10 percent loss in fuel efficiency that new flex-fuel vehicles will have while running E85 instead of gas.
Whoa there, Sherrie doesn’t have her facts straight. Still not a bargain. The equal value price point of E85 compared to regular is 72%. If gasoline is at $2.59, E85 should cost no more than $1.86 per gallon to be a deal.
E85 has much more than a 10% loss in fuel efficiency. If she will look at the expected mileage figures the US Government publishes each year, she will find expected mileage with E85 is typically 70-75% of what to expect with straight gasoline.
Their price for E85 is almost at the break-even point, but it’s not there yet.
Michael Lancaster
Wow $1.89 for E85…I just found out that I have a 1999 ford Ranger 3.0 Flex fuel motor…but no fuel in Oregon. Help….
Cindy
Sadly, you are right, Michael. The only E85 pump in Oregon is a private facilty at the Booneville Power Administration in Portland. There are also no plant plans for the state that I am aware of, and there is no corn growers association in the state. My advice to you is – make some noise at your local gas station, with your state lawmakers, even at your car dealer. Tell them you would use it if they will supply it.
Robert
Bradley,
I don’t know about you but I would pay $4.00 a gallon for fuel if I knew it was made completely in the US. Between corn-ethanol and what Brazil is doing with sugarcane based fuels, I don’t see any reason we should be sending any of our money overseas for fuel.
I am in the Alexandria/D.C. area and the only Flex-Fuel pumps here seem to be on military bases where regular civilians can’t go to buy.
The infrastructure is there, the delivery system is there- we should have an ethanol pump at every station in place of one of the Super pumps.
I agree with Cindy- make noise! Tell them we will pay them for this product if they would just sell it.
mike
What’s to say this E85 won’t equal or surpass the price of gas? Right now it’s about the same as gas when the loss of efficiency is factored in.
Seems we need something more efficient that will blow up the oil dependency for good.
Suzanne
I agree with Robert. There needs to be an ethanol pump at every station. I am all for keeping our money here in the US. If we have the technology, let’s use it. Who do we make noise to?
jeff
You would think with all the money lost,and all the fear that the middle east brings.We could have as a country take the contol out of the oil business.
Bob
Bradley please stop with your comments. Ethanol is good for the environment, good for the national economy, good for the automobiles, and good for the dad gum farmers.
Cindy
Bob,
Just want you to know that I limit the number of comments I allow on the blog from Bradley – and his alter egos like Chuck Easton. We suspect that these comments are the work of one person who seems to have a vendetta against ethanol. Constructive comments pointing out areas where ethanol could use improvement are welcome – continuous harping on the same points are not.
cz
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