Copperhead
Veteran Member
I can concede that one may lose some mpg on E10, but the inflated amount of mpg lose does not square with the numbers. From the numbers I posted direct from recognized data on BTU content of E0 and E10, there is only a 2% BTU loss between the fuels. For mpg loss to exceed 5% seems like something else is going on that is not related to the fuel. Conceding 5% loss is generous, to concede that there is more loss, I would have to see some serious data.
It is not a federally imposed subsidy because the ethanol producers do not sell the fuel to retailers or the government. It is sold on the commodity market just like any other fuel. The government can only mandate the use, not the price or even the availability of the product. If it cannot be made profitably on the market, then there is no reason to make it. Ethanol producers are not going to continue to operate at a loss. They are private entities, not government entities. The Feds can mandate all they want, but they cannot make anyone brew the stuff or what the commodities exchange prices it at, and if no one does make the stuff, the government is just going to have to open their own ethanol plants. The only reason that anyone makes the stuff is to make a profit. The profit is determined by the commodities market. If the market will not pay more for it than what it can be made for, then the ethanol producers restrict or stop production. Again, simple economics.
Well, there is one way... if it were to become unprofitable to make the stuff here, then someone would make a profit by importing it. But there again, the government cannot mandate anyone import anything.
It is not a federally imposed subsidy because the ethanol producers do not sell the fuel to retailers or the government. It is sold on the commodity market just like any other fuel. The government can only mandate the use, not the price or even the availability of the product. If it cannot be made profitably on the market, then there is no reason to make it. Ethanol producers are not going to continue to operate at a loss. They are private entities, not government entities. The Feds can mandate all they want, but they cannot make anyone brew the stuff or what the commodities exchange prices it at, and if no one does make the stuff, the government is just going to have to open their own ethanol plants. The only reason that anyone makes the stuff is to make a profit. The profit is determined by the commodities market. If the market will not pay more for it than what it can be made for, then the ethanol producers restrict or stop production. Again, simple economics.
Well, there is one way... if it were to become unprofitable to make the stuff here, then someone would make a profit by importing it. But there again, the government cannot mandate anyone import anything.
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