Ethanol Prices

Ethanol pricesvary widely, but they have been quoted as optimistically as $1/gallon and as cynically as $3/gallon or more. If you are concerned about the cynical estimate of ethanol prices, remember that with ethanol expansion, ethanol prices will inevitably decline. With improvements to ethanol production, we could see a further decline. If you make your own ethanol, you can save even more money (once you get the hang of it). Ethanol prices today are likely as high as they will ever be, and we may only see them drop. So current cynical estimates of ethanol prices being three dollars per gallon are likely to only decrease. And even now, ethanol prices are still better than gasoline prices are, and don't forget that gasoline prices are likely to only increase!

There is a lot to consider when it comes to ethanol prices outside of just the cost to make ethanol fuel. There is the time invested in learning how to make ethanol. You'll have to learn about ethanol distillation as well as what to use as feedstock and how to process it into an ethanol solution. There are the start up costs that factor into ethanol prices. These potentially include buying an ethanol still, if you're going to be making ethanol. You may want to buy an e85 conversion kit, if your car is not one of the ethanol cars.

All these efforts will help to bring down ethanol prices.. Yes it is going to take some work. That is after all one of the disadvantages of ethanol. Even though its possible for you to be ready to take advantage of ethanol prices immediately, it is more likely that some effort (and some cash) will be required on your part. But, as technology improves and we can better harvest this renewable resource, so will the ease and value of ethanol use improve as well. We've already seen one kind of ethanol (corn based ethanol) compete with oil. The sad truth there is that in the end, this kind of ethanol may not be worth the money and time invested into producing it, and will save very little (if any) on ethanol prices. The silver lining may be cellulosic ethanol, which has the potential to significantly increase EROEI (energy returned over energy invested). This source may affect a dramatic drop in ethanol prices. If we can make e85 ethanol readily available and lower ethanol prices to $1/gallon (the current optimistic estimate), then clearly it would be worth using as a renewable resource and alternative to the highly pollutant gasoline.