Push for E100 Engines
September 23, 2010
BY Bill Farrah
What is needed to assure the growth and stability of the ethanol industry is to make E100 (98/2, ethanol/iso-propanol) a primary motor fuel in the U.S. To do that, the E100 Ethanol Group believes a government mandate on engines, not the fuel, is necessary. We suggest ethanol producers use their influence in Congress to achieve the following amendments to proposed bills:
4At least 50 percent of new vehicle inventory in the U.S. be E100 capable by the end of 2016 with a minimum of 30 miles per gallon (mpg) mileage in highway use for small and mid-size vehicles and 24 mpg highway for larger vehicles when running in E100 mode.
>No retail franchise agreement may prohibit a gasoline retailer from purchasing E100 from any source.
>No retail franchise agreement may prohibit a gasoline retailer from selling E100 under a branded canopy.
These steps would eliminate the main problems with E85—poor mileage and higher cost per mile—that are a disincentive for consumers to buy it. AVL Powertrain, HP2g, Saab, Nissan, Sturman Industries, Ricardo and others have demonstrated competitive engine technology that can get good mileage with ethanol, yet still run on gasoline, even though performance on gasoline may be sacrificed. That is precisely what ethanol producers need—an engine that provides an incentive for drivers to purchase E100 instead of gasoline, a reversal of what we have today with E85 engines.
An engine mandate is necessary. Historically, the automotive industry does not make changes without a mandate. E85 (CAFE regulations), seat belts, air bags, high mount brake lights and unleaded gasoline were all mandated.
Ethanol producers would be able to sell E100 directly to a retail distribution system bypassing the oil companies pricing mechanisms and take the "blender credit" of 45 cents per gal for themselves on every gallon of E100 sold.
The E100 Ethanol Group believes it is madness to continue using 140 billion gallons per year of gasoline to power our light-duty cars and trucks. The ethanol industry could lower this to 70 billion gallons per year in short order if the above were adopted.
Bill Farrah, CEO, and Don Siekes, executive director
E100 Ethanol Group
Reach them at donsiefkes@aol.com
4At least 50 percent of new vehicle inventory in the U.S. be E100 capable by the end of 2016 with a minimum of 30 miles per gallon (mpg) mileage in highway use for small and mid-size vehicles and 24 mpg highway for larger vehicles when running in E100 mode.
>No retail franchise agreement may prohibit a gasoline retailer from purchasing E100 from any source.
>No retail franchise agreement may prohibit a gasoline retailer from selling E100 under a branded canopy.
These steps would eliminate the main problems with E85—poor mileage and higher cost per mile—that are a disincentive for consumers to buy it. AVL Powertrain, HP2g, Saab, Nissan, Sturman Industries, Ricardo and others have demonstrated competitive engine technology that can get good mileage with ethanol, yet still run on gasoline, even though performance on gasoline may be sacrificed. That is precisely what ethanol producers need—an engine that provides an incentive for drivers to purchase E100 instead of gasoline, a reversal of what we have today with E85 engines.
An engine mandate is necessary. Historically, the automotive industry does not make changes without a mandate. E85 (CAFE regulations), seat belts, air bags, high mount brake lights and unleaded gasoline were all mandated.
Ethanol producers would be able to sell E100 directly to a retail distribution system bypassing the oil companies pricing mechanisms and take the "blender credit" of 45 cents per gal for themselves on every gallon of E100 sold.
The E100 Ethanol Group believes it is madness to continue using 140 billion gallons per year of gasoline to power our light-duty cars and trucks. The ethanol industry could lower this to 70 billion gallons per year in short order if the above were adopted.
Bill Farrah, CEO, and Don Siekes, executive director
E100 Ethanol Group
Reach them at donsiefkes@aol.com
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