With ethanol trading for nearly a dollar less than gasoline at the rack, motorists can capture those savings at the pump by choosing ethanol-blended fuel. The savings over the recent Memorial Day holiday were significant.According to fuel price data* published May 24, the E10 blend is an average 9.5 cents per gallon lower than straight gasoline right now. Based on AAA’s expected travel distances** for the holiday weekend and a national average gas price of $2.85 per gallon, this 9.5 cent discount for E10 could have equaled $95.8 million in savings nationwide.
The savings on E15 would be nearly 14 cents per gallon. If the E15 blend was available nationwide, the total savings for motorists this holiday weekend could reach $138 million. The U.S. Environmental Protection Agency is expected to make its ruling this summer on whether to allow all consumers access to the 15 percent ethanol blend.
At the current ethanol price, the E30 blend is 28.5 cents per gallon less than gasoline, and E85 is 75 cents less per gallon.
“Every little bit of cost savings helps in a tight economy, and American families are saving money at the pump thanks to the availability of ethanol,” said Ron Lamberty, Vice President / Market Development for the American Coalition for Ethanol (ACE), the nation’s largest grassroots ethanol association. “With the wide spread right now between ethanol and gasoline prices, the higher the ethanol content per gallon of your fuel, the higher the savings.”
“Motorists deserve to have access to these cost-effective fuels at the pump instead of just being limited by government red tape and Big Oil’s grip on the market,” said Brian Jennings, Executive Vice President of ACE. “We need to give consumers the power to choose whatever fuel is most affordable by making flexible fuel vehicles and blender pumps more widely available.”
* Source: Oil Price Information Service (OPIS) Chicago Average Rack Price for the week ending May 21, 2010
** Source: AAA Memorial Day 2010 Travel Forecast, May 20, 2010