Retail prices for E85 are already a good deal compared to regular gas, but according to the Iowa Renewable Fuels Association (IowaRFA), wholesale prices for E85 are currently as low as eight cents per gallon, with the highest price listed at only one dollar, which makes it a huge deal for owners of flexible fuel vehicles (FFVs).
FFVs are designed to run on any fuel blend from no ethanol up to E85, which contains up to 85 percent ethanol. Wholesale prices do not include federal and state taxes, transportation costs, and markups for things like credit card fees, depreciation and retailer margins.
“As a trade association, we never tell anyone how to price a product at any point in the supply chain,” said Iowa RFA Executive Director Monte Shaw. “But the public data shows that E85 should be an amazing bargain for FFV owners right now. So, we do encourage all parts of the supply chain to pass along these savings to consumers.”
Only General Motors currently sells new FFVs but there are over 20 million FFVs on the road in the United States and there is renewed interest in conversion kits to make regular vehicles capable of using up to 85% ethanol-blended fuel.
According to E85Prices.com, the current national average price spread between E85 and regular gasoline (E10) is approximately 30%, or roughly $1.00–$1.26 per gallon less for E85. Some of the biggest price spreads now are being seen in Indiana, with the cheapest price per gallon for E85 at just 85 cents – or a price spread of 76 percent. California is at 62% with the lowest price at $1.99.













