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E85 Fuel For $1.96 A Gallon

Monroe Less Dependant On Big Oil

Posted: 9:23 pm CDT October 24, 2005Updated: 10:24 pm CDT October 24, 2005

There is good news at local gas pumps.

Nationwide, the average retail price per gallon has dropped 25 cents in the past two weeks.

Analysts say reduced demand and restored refinery capacity are behind the price decreases.

Possibly the biggest price drop anywhere in the country was in Monroe.

The sign read 85 cents a gallon at Monroe's Badger State Ethanol plant. The six-hour special commemorating the city's new E85 pumps drew quite a crowd.

More than 2,500 gallons were sold in the first three hours.

"I like that price," said Dave Cory. "I wish it would stay there."

The price won't stay under a dollar, but even at $1.96 a gallon, drivers will be smiling.

Cory said the corn-based fuel gives him fewer miles per gallon, but he figures he's still 4 to 5 cents per gallon ahead with the savings at the pump.

He also likes the fact that he's helping local farmers.

"I think anything we can do to help our own markets and build up our own economy is a lot better off and this is really clean burning fuel," he said.

E85 fuel is comprised of 85 percent ethanol and 15 percent gasoline.

Badger State Ethanol employees are calling the day a great victory in their battle against big oil, which until now controlled the sale of E85.

"It's been very, very frustrating for the industry to see what they're getting for ethanol and what they're charging the consumer for it," said Badger Ethanol's John Malchein.

Malchein also said the government is giving plants who blend E85 a 51-cent-per-gallon credit.

But, he said big oil was not passing the savings on which pushed consumers away from the product.

Badger State Ethanol is now blending its own E85 and the government credit is going to the consumer.

"I think we're on the right track," said Badger State Ethanol's Gary Kramer. "We've got a fuel here that is American-made.

"We can see the plant where it's being made right up on the hill."

"From the outside looking world looking in at Monroe, there has been a lot of interest," said Monroe Mayor Bill Ross. "I've gotten calls from mayors all over the state."

Ross said he's considered taking the city fleet to E85.

Badger Ethanol executives say they have blueprints to set pumps anywhere in Wisconsin.

They want to wait to see how well the first ones are received.

In order to burn E85 fuel, consumers need to have a flexible fuel vehicle. There are many currently on the market.

Click here to find the closest alernative fuel station to you.
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