Iowa drivers could save a lot of money if they had better access to E15. This news release from the Iowa Renewable Fuels Association (IRFA) says a new report from the Iowa Department of Revenue shows that if the higher blend of ethanol was widely available, Iowa drivers could save more than $50 million per year in fuel costs.
In its annual report on retail fuel sales, Iowa Department of Revenue data shows Iowa motorists purchased more than 1.2 billion gallons of E10. E15 is approved for use in model year 2001 and newer passenger vehicles and flex-fuel vehicles (FFVs), representing more than 80 percent of the fuel consumed in the U.S. On average, E15 is typically sold at a 5-cent discount to E10 in Iowa.
An IRFA analysis found that even with abnormally low petroleum prices:
· If only 20 percent of Iowa motorists used E15, Iowans could save $12.7 million per year
· If a modest 50 percent of Iowa motorists used E15, Iowans could save $31.7 million per year.
· If 80 percent of Iowa motorists used E15, Iowans would save $50.7 million per year.
“The economics are simple: the more Iowa motorists that have access to and are able to take advantage of low-cost E15, the more money consumers save,” stated IRFA Executive Director Monte Shaw. “Price is a big motivator when it comes to buying fuel, and cleaner-burning E15 is consistently priced at a discount to E10. If motorists across the state were able to utilize this safe, economical fuel, Iowa drivers would literally save millions of dollars of their hard-earned money, enabling them to spend it elsewhere in the state.”
IRFA reminds drivers that more than 100 million miles have successfully been driven on E15, and the higher blend of the green fuel is approved by the U.S. Environmental Protection Agency (EPA) for use in all 2001 and newer passenger vehicles, as well as flex-fuel vehicles (FFVs).