How does ethanol use affect the price of gasoline?
According to a May 2003 study, increasing the amount of ethanol to our gasoline pool could reduce the cost of fuel to consumers by as much as 6.6 cents per gallon. The American Petroleum Institute has estimated that the presence of ethanol causes gasoline prices to be 27 percent lower compared to regular unleaded. The total cost savings to consumers is approximately $270 million per year (U.S. Dept. of Energy).
