Congress and Detroit: The Dangers of E85
It will take years before ethanol, especially E85, makes a noticeable dent in America's gasoline consumption. Still, in a decade, if 10% of gasoline consumption were reduced in favor of ethanol, would it matter?Perhaps not as much as first thought. First, in 10 years demand for fuel is going to go up. Second, without subsidies ethanol offers little in terms of free market competition, it simply isn't cheaper than gasoline. Sure, it does reduce foreign oil dependency, but how much and is that enough?
(Finished in Comments)
Labels: Congress, E85, Ethanol, Foreign Oil Dependency, Hybrid Vehicles
posted by Dahcredyns at
6:43 AM
1 Comments:
While any improvement is a good improvement, the truth is, if gasoline consumption drops by just a few percent, then oil demand will drop significantly enough that gasoline prices could also drop considerably. So, when Americans are at the pump, which fuel will they choose, cheaper foreign-oil driven gasoline, or more expensive ethanol?
Then once fuel prices have stabilized Americans will quickly return to their fuel-guzzling ways until the next fuel crisis - which WILL inevitably happen.
Yes, ethanol is an excellent resource that should be explored and utilized, but Congress should not let Detroit get away with E85 as THE answer to America's energy problems - IT IS NOT. Ultimately, fuel is only ONE aspect of this problem. More important, while Detroit should have a part in this discussion, isn't this a better matter for energy producers and Congress?
Inevitably, Detroit has to focus on building far more efficient vehicles, such as hybrid cars, lighter yet stronger cars, etc. - they are automakers for crying-out-loud. Lest Congress and Detroit forget, GM, Ford and Chrysler build automobiles, not energy. Perhaps Detroit could mind its own business a little better?
It is simply astounding and ironic that Detroit can ask for incentives, not mandates, for their industry - in the interest of free markets - but then ask for mandates, not free markets, for the energy industry (Rick Wagoner is a hypocrite).
Let's hope E85 doesn't become Detroit's excuse for doing nothing regarding its real business, building automobiles - hopefully more efficient automobiles.
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