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Ethanol Alternative fuel produced by fermentation of sugars, in the United States it is most commonly produced from corn and used in gasoline at volume fractions of 10 percent or less.

Background Information 

Ethanol Milestones
A timeline of the development of the fuel ethanol industry in the United States .

Alternative Fuels
Information on alternative motor fuels and vehicles capable of using alternative fuels.  Information is given on E85, a blend of up to 85 percent fuel ethanol and 15 percent gasoline by volume, and E95, a blend of 95 percent fuel ethanol and 5 percent gasoline by volume.

Data

EIA Monthly Oxygenate Telephone Report 
This survey tracks U.S. production and inventories of ethanol and methyl tertiary butyl ether (MTBE) by Petroleum Administration for Defense District (PADD).  Both additives are used to add oxygen to gasoline. (Note: one barrel contains 42 gallons.)

Map of States that Ban MTBE
A number of States ban the use of MTBE in gasoline because of its tendency to pollute groundwater when gasoline is leaked or spilled.

Analysis

Preparations for Meeting New York and Connecticut MTBE Bans and Update
This report summarizes preparations for MTBE bans in New York and Connecticut.

Pages: 52, released: October 2003, periodicity: One-time, contact Joanne Shore (202)586-4677

2003 California Gasoline Price Study: Preliminary Findings and Final Study
This report reviews factors driving the California gasoline price surge in Spring 2003.  The transition from MTBE to ethanol in California ’s gasoline is one such factor.

Pages: 41, released: May 2003, periodicity: One-time, contact Joanne Shore (202)586-4677

Motor Gasoline Outlook and State MTBE bans
This paper details the changes in RFG formulation needed to move from MTBE to ethanol and examines short- and long-run price impacts of the MTBE bans.

Pages: 11, released: April 2003, periodicity: One-time, contact Tancred Lidderdale (202) 586-7321

Status and Impacts of State MTBE Bans
This paper describes legislation passed in 16 States banning or restricting the use of MTBE in gasoline.  Analysis of the status and impact of these State MTBE bans is provided concerning the supply and potential price changes of gasoline.  Areas using Reformulated Gasoline (RFG) will need to blend ethanol instead of MTBE to meet the oxygenate requirement.

Pages: 6, released: March 2003, periodicity: One-time, contact Han Lin-Lee (202)586-4247

Renewable Motor Fuel Production Capacity Under H.R.4
This paper analyzes renewable motor fuel production capacity with the assumption that ethanol will be used to meet the renewable fuels standard.

Pages: 15, released: September 2002, periodicity: One-time, publication number N/A, contact Anthony Radich , (202)586-0504

Potential Supply Impacts of Removal of 1-Pound RVP Waiver
Conventional gasoline is allowed to have Reid Vapor Pressure (RVP) of 9 pounds per square inch (psi) during the summer months.  Conventional gasoline blended with ethanol receives a 1-psi waiver from the RVP standard, since the addition of up to 10 volume percent ethanol raises RVP to 10 psi.  This paper provides background on the 1-pound waiver and how its removal can affect gasoline volumes.

Pages: 22, released: September 2002, periodicity: One-time, publication number N/A, contact Joanne Shore (202)586-4677

Review of Transportation Issues and Comparison of Infrastructure Costs for a Renewable Fuels Standard
This paper analyzes the inter-regional transportation issues and associated costs for increased distribution of renewable fuels with the assumption that ethanol will be used to meet the standards.

Pages: 15, released: September 2002, periodicity: One-time, publication number N/A, contact John Maples (202)586-1757

Supply Impacts of an MTBE Ban
This paper analyzes the supply impacts of removing MTBE from gasoline.  Areas using Reformulated Gasoline (RFG) will need to blend ethanol instead of MTBE to meet the oxygenate requirement.

Pages: 50, released: September 2002, periodicity: One-time, publication number N/A, contact Joanne Shore (202)586-4677


Forecasts

Biofuels in the U.S. Transportation Sector

Sustained high world oil prices and the passage of the EPACT2005 have encouraged the use of agriculture-based ethanol and biodiesel in the transportation sector; however, both the continued growth of the biofuels industry and the long-term market potential for biofuels depend on the resolution of critical issues that influence the supply of and demand for biofuels. For each of the major biofuels—corn-based ethanol, cellulosic ethanol, and biodiesel—resolution of technical, economic, and regulatory issues remains critical to further development of biofuels in the United States.

The Annual Energy Outlook 2007 gives projections of U.S. energy supply and demand through 2030.

Oil and Natural Gas Projections See "Refined Petroleum Products"

Yearly Tables See Tables 2, 3, 12, and 18. (Note that 1 quadrillion Btu of ethanol is 12 billion gallons.)

Results from Side Cases Table D14 gives results from the Ethanol Supply cases, which assume lower capital costs of cellulose ethanol technology and greater availability of biomass supply.

(Entire Annual Energy Outlook)

Since ethanol is blended into gasoline, it is treated as a petroleum product in the National Energy Modeling System.  The ethanol model is documented in Volume 2, Appendix I.
Petroleum Market Model of the National Energy Modeling System 2007, Volume 1
Petroleum Market Model of the National Energy Modeling System 2007, Volume 2


Conversion Factors

The energy content of ethanol is 83,333 British thermal units (Btu) per gallon.

One quadrillion British thermal units (Quad Btu) is equivalent to 12 billion gallons of ethanol.

The average energy content of E85 is 94,190 British thermal units (Btu) per gallon, assuming an average year-round ethanol content of 74 percent.

One barrel contains 42 gallons.