date:May 16, 2012
ings of $1.69 a gallon in the Midwest, where most ethanol is produced and where ethanol transportation costs would be lowest, to 73 a gallon in the Gulf Coast.
Ethanol has lower energy content, but taking that into account the savings of a 10% blend of ethanol over gasoline is reduced by only about 9 a gallon, using a gasoline price of $3.50 per gallon.
In the past, some critics of ethanol have considered the cost of ethanol tax credits to consumers to debunk ethanols savings.