VEETC unchanged. They will continue to pay oil companies $o.45 for every gallon of ethanol they add to gas, despite the government mandate to blend 10% ethanol into gas. The oil companies say this money is passed along to the consumer. It is about 4.5 billion dollars a year in subsidies and ethanol makes up about 10% of our fuel. Of course the remaining 90% of our fuel get huge government subsidies which help to make our fuel some of the cheapest in the world.
Ethanol use is bound to increase with cars such as the new Buick Regal designed to run on E-85 with about a 5% decrease in mileage. Engineers expect to increase this mileage to the same as using gas.
