Viewpoint

Among the biofuels developments this summer, I have been most keenly interested in the steps toward adoption of E85, the mix of 85% ethanol and 15% gasoline that can power more than 5 million Flexible Fuel Vehicles (FFVs) on U.S. roads.

Kudos to DaimlerChrysler Corporation, Ford Motor Company

Yet, at this point, only about 800 of the 170,000 gas stations in the nation sell E85. We have a long way to go.

Toward that goal, Ford is partnering with VeraSun, the nation's second-largest ethanol producer, to increase E85 retail outlets along an "ethanol corridor" between Kansas City, Mo., and Chicago by one-third.

GM is creating partnerships in California, South Dakota, Minnesota, Illinois, Indiana, Michigan and Texas with oil companies, ethanol suppliers and distribution outlets to add more than 140 new E85 pumps to the nation's total. GM is educating consumers with its "Live Green, Go Yellow" advertising campaign and Web site. DaimlerChrysler is joining GM in using a yellow gas cap to mark their FFV models.

When testifying before the House Agriculture Committee, Mary Beth Stanek, manager of GM strategic initiatives, called for E85 pumps at 20% of gas stations in a few years.

A new Iowa law viewed as the most aggressive renewable fuels policy in the U.S., provides a 25 cents/gal. retail tax credit for E85. The law also provides $13 million over three years to help wholesalers and retailers offset the expenses of bringing E85 and biodiesel blends to consumers.

The most exciting federal legislation is a bipartisan bill cosponsored by senators Richard Lugar (R-Ind.) and Tom Harkin (D-Iowa). It would require all vehicles marketed in the U.S. to be FFV compliant by 2016. It would also require the major U.S. petroleum companies to sell E85 at 50% of their gas stations by 2016. A companion bill would increase tax credits for gas stations that convert their pumps to E85.

The Biofuels Security Act would raise the current renewable fuels standard of 7.5 billion gallons by 2012 to 10 billion gallons by 2010, 30 billion gallons by 2020 and 60 billion gallons by 2030. The nation would go beyond corn and soybeans as feedstocks to convert other products into biofuels. A focus of an aggressive national biofuels strategy should be more FFVs and E85 stations. All of us should push for state and federal legislation and to get the major oil companies on board.

Letters

Helpline Fan

For the past few years, I have read all of Jonathan Finck's "Helpline" articles in Farm Journal.

As a 59-year-old male who has experienced many business and human relationships, I must say that he does a fantastic job of covering diverse subjects. He has a gift for seeing the big picture and writing his valuable thoughts on paper in a clear and concise way. That enables everyone to gain valuable knowledge and insight from his efforts.

All of the above is true because I've been helped and steadied by his expertise. He's making a positive difference in many lives. Keep up the good work!

-John Wick, Missouri

Ethanol Pro and Con

I appreciated your enlightening article "Straight Talk About Ethanol" [Spring 2006 Viewpoint].

-Burrell Hammond, Ohio

Your article was factually incorrect on occasion and not terribly informative.

-Mike Nolan, New York

Correction

The Spring 2006 Viewpoint should have read: "This rapid conversion from MTBE to ethanol is challenging the marketplace."