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Iowans buy more E85 fuel

DES MOINES, Iowa (AP)--More Iowans filled up with E85 last year, with sales increasing nearly 200 percent.

Retailers in 2006 sold almost 2 million gallons of E85, a blend of 85 percent corn-based ethanol and 15 percent gasoline, according to the Iowa Renewable Fuels Association. That's up from 668,595 gallons sold in 2005.

The association based its findings on figures compiled by the Iowa Department of Revenue.

Monte Shaw, the association's executive director, credited the increase to a doubling of pumps that can dispense E85 in Iowa. Still, there are only 58 E85 pumps in the state, he said.

Installation of E85 pumps has been hampered by questions over the certification of pumps that can dispense the higher blend of ethanol. Also, some retailers believe there are not enough flexible fuel vehicles that can burn E85, Shaw said.

Iowa is the leading ethanol producing state with 26 ethanol refineries with the capacity to produce more than 1.7 billion gallons annually. Another 21 ethanol refineries are either under construction or expansion and will add 1.6 billion gallons of annual capacity when completed.

6 Star Midwest Ag

3/26/07

10

B

Date: 3/21/07


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