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The Demand for Ethanol in Our Gas Tank

Why Aren’t More People Choosing “E85”?

MILWAUKEE, July 15, 2015 - Estimates show Americans will use a whopping 130 billion gallons of gasoline this year. But despite the increased demand for environmentally-friendly options and the surge in “Flex Fuel” vehicles, the vast majority of that gas has no more than 10% Ethanol.

So is something keeping drivers from filling up with “E85” gas? That is just part of what’s explored in “Econometric Analysis of Motorists’ Preference for Ethanol in Motor Fuel”, a project by Kenneth A. Liao of Iowa State University.

Liao surveyed drivers this spring and found a “general lack of awareness” when it comes to fuel options.

“[People] have a little flex fuel badge on the back of their car and they just ignore it,” Liao said. “There needs to be more education because a lot of people don’t know what [E85] is yet.”

Liao found there are other issues at play, especially in California where “Flex Fuel Drivers” are getting tax breaks. It’s part of his presentation July 27th during the 2015 AAEA & WAEA Joint Annual Meeting at the San Francisco Marriott Marquis.

  • Interviews will be available before the meeting and on-site via phone and Skype

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Contact:
Jay Saunders
AAEA Communications Manager
(414) 918-3190
jsaunders@aaea.org