Are Renewable Fuels Losing Popularity?

E85 ethanol

Renewable fuels, like E85 Ethanol, were once a big deal, but lately—Farm Journal’s Pam Fretwell notes—they seem to be losing their popularity. Changes are underway, but will they benefit consumers or the oil companies?

“The oil companies don’t like competition much,” says Bob Dinneen, president and CEO of the Renewable Fuels Association.

 The oil companies are squealing, Dinneen says, because they don’t want to use more than 10% of ethanol in their fuel. This is causing Congress to contemplate rolling back a government program that requires greater volumes of ethanol to be used.

Ultimately, it’s the consumers who lose, Dinneen says.

Currently, petroleum prices have come down, but will it last? The world demand for petroleum is on the rise and renewable fuels are an important part of keeping up with demand.

All sources of fuel have environmental consequences but ethanol has lower carbon emissions than other sources.

Bob Dinneen explains:

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