Michigan announces E85 incentive program

February 5, 2008

BY Timothy Charles Holmseth

Web exclusive posted Feb. 26, 2008, at 2:55 p.m. CST

Gas station and public fleet owners in Michigan now have an extra incentive to convert their equipment to offer E85 dispensing capability.

The Michigan Department of Labor and Economic Growth awarded $110,000 to the Michigan Clean Energy Coalition to assist interested facilities in adding E85 pumps. The grant will cover 50 percent of the conversion costs—up to $5,000 per site—and projects must be completed and dispensing E85 by Sept. 30.

"These incentives will benefit Michigan farmers, help diversify our economy, reduce harmful emissions and reduce dependence of foreign oil," said DLEG Director Keith Cooley. "With gas prices rising to record levels, it is critical for Michigan to expand our alternative fuel infrastructure, so E85 is readily available to everyone who wants it."

Michigan Gov. Jennifer Granholm strongly supports the push toward E85, pointing out that the state presently has more than 243,000 flexible-fuel vehicles in operation.

According to the National Ethanol Vehicle Coalition, there are 59 Michigan fuel stations either currently offering E85 or planning to provide it.

Michigan's E85 program is funded by a grant from the state Department of Energy and administered by the DLEG.

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