Posted by JimEvans on April 15, 2016 at 19:05:15 from (66.211.5.63):
For the people that don't quite understand, there are no federal subsidies for ethanol. There are some credits for the gas stations, like Iowa gives you a nickle a gallon if you sell so much E10.
The other thing that people do not understand is that ethanol is the cheapest source of octane available today. If the RFS mandate disappeared, there would be very little difference in the amount of blending. Without ethanol, the oil companies would have to sell you real gasoline which costs $.50 or more per gallon more than ethanol and the 83 octane swill that they mix the ethanol with.
I believe most people's problems with E10 is the base stock gasoline is junk. But the oil companies will gladly keep blaming their problems on the ethanol.
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