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EPA to OK more ethanol in gasoline

An oil well sits in the middle of a corn field near New Haven, Ill. Higher levels of ethanol for gasoline are to be allowed in newer cars.

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TEXT OF INTERVIEW

BILL RADKE: The EPA today is expected to announce an increase
in the amount of ethanol allowed in motor fuel. Environmentalists and some others oppose that increase. Reporter Janet Babin joins us live. Good morning, Janet.

JANET BABIN: Good morning, Bill.

RADKE: First of all, how much of an ethanol increase are we talking about here?

BABIN: 10 to 15 percent in cars manufactured since 2007. The ethanol industry says this kind of a jump is not going to harm engine performance in newer cars. But oil refiners are concerned that this may leave them exposed to liability for possible engine damage. Ethanol is a solvent that some say can harm things like catalytic converters.

RADKE: And I would think this would be a victory for environmental groups?

BABIN: You would think, but it's actually just the opposite. Many are upset about this. They say increased production of ethanol can make less land available for wildlife habitat and harm water quality. It also can make animal feed more expensive and raise food prices. Remember, ethanol is corn based.

RADKE: Right. And how does the ethanol industry respond to those concerns?

BABIN: Well the industry says production is actually good for the environment because it reduced imported fuel oil and is renewable. They also argue that this is an industry that's creating new jobs.

RADKE: OK, so as a buyer of gas, Janet, how do I know if I'm buying gasoline with ethanol in it now?

BABIN: You might not know, Bill, because it varies by states. And some states don't even require that fuel be labeled if it has ethanol in it. We're expecting today that a more uniform labeling program could also be announced by the EPA.

RADKE: That's Janet Babin reporting live. Thanks Janet.

BABIN: Thank you, Bill.

Just Great's picture
Just Great - Oct 13, 2010

Very misleading. An increase in ethanol content in gasoline from 10 to 15 percent is actually a 50 percent increase in the amount of ethanol. Yet you give the impression that it is just a 5 percent increase. This is a tenfold difference between the truth and your report.

Lee Ragsdale's picture
Lee Ragsdale - Oct 13, 2010

I am disappointed that you did not address the consumer impact of this change.

Ethanol contains only 70% of the energy per gallon of unleaded gasoline. By increasing the ethanol content by 15%, each tankful in a car contains 5% less energy, reducing the car's mileage, and increasing the cost to consumers.