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Aug 25, 2013Explorer
Snowman9000 wrote:
Re-reading this, I see where a thinking person might ask "What money? Gas with ethanol is cheaper." Yes, but only because of tax breaks. At the refinery level before taxes, 100% gas is cheaper than 100% ethanol. The 90-10 mix is more expensive than pure gas, before the tax breaks.
The tax breaks are all gone-----they ended a year or two ago.
What ethanol does allow the refiners to do is refine lower grade gas and then up the octane rating with the addition of ethanol.
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