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Adams, NE | if you tell the same lies long enough they become truths to many (and some to the majority of the masses). Just keep saying it, over and over and over and over and over and over and over and over and over.
Subsidies, corrosive, harmful to engines, worse than gasoline for environment, blah, blah, blah, blah.
Refineries are nearly maxxed out on production of finished fuels. If ethanol was NOT part of the fuel mix, gasoline prices would easily be 50 cents per gallon higher. Where would that extra 10% of gasoline demand going to come from? refineries that have to push their MAXXED out catalytic crack higher because they have to make 87 octane? HA!
I asked a few experts (guys managing terminals and refineries) a simple question. At what price does ethanol have to be relative to gasoline for you to change your operations not including RFS obligations? One told me ethanol would have to be $2/gallon above RBOB for at least a year. Another told me the value of ethanol is 5 cents per octane point or at least $1.50/gallon above RBOB for an extended period. Another told me price is not even a consideration today.
Octane is needed for the world's fuel system. We need complete and TIMELY combustion of motor fuel. Octane and Oxygenate is allows that to happen at today's refinery run rates. We keep oil this cheap, we need more ethanol in the world not less as demand will grow FAST.
Ethanol is cheapest octane in the world by FAR.
If ethanol was not fighting oligopolies and their practices, id be all for no mandate. Try putting in a blender pump some time (especially under a big oil canopy). Its like running head first into a brick wall, time and time and time again. Free market access for ethanol does not exist today, hence the mandate. But hey, that does not fit in today's sound bite world. | |
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More ethanol bashing..........
