Farm Industry News Blog

American Fuel & Petrochemical Manufacturers disputes ethanol study findings

The American Fuel & Petrochemical Manufacturers contends that a study (released yesterday) about ethanol's impact on reducing gas prices is erroneous. AFPM argues that because it reduces fuel efficiency, ethanol is more costly than gas.


Charles Drevna, president, American Fuel & Petrochemical Manufacturers (AFPM), responded to the study by the Center for Agricultural and Rural Development (featured in yesterday’s blog) that claims ethanol reduced wholesale gasoline prices by an average of $1.09 a gallon in 2011.


"This is a flawed study based on false assumptions that distorts statistics to reach the predetermined and erroneous conclusion that adding more ethanol to gasoline saves consumers at the pump,” Drevna said.


"Increased amounts of ethanol in gasoline will likely lead to consumers paying even more at the pump,” Drevna added. He pointed to the AAA daily fuel gauge report (, noting that E85 decreases fuel economy and is more expensive than gasoline on a miles-per-gallon basis due to its lower energy content.


"The best products always come out on top when consumers are allowed to make purchasing choices in the free market,” Drevna said. “If ethanol and other biofuels are such superior products, producers should join petroleum refiners in calling for an end to the Renewable Fuel Standard. The American people will benefit most from fair and open competition on a level playing field."


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