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Ethanol Revisited/Special Interests vs. Public Interest (Vol. 84)

Updated: Feb 7, 2023

analyticsbox | Dec 29, 2022

Picture of Corn

Cronyism at its Finest; Ethanol is a Symptom of a Bigger Problem

Last spring President Biden recommended we move ethanol use from 10% to 15%. That was a very stupid recommendation as I explained in Facts, No Spin #48. Now the EPA is proposing to require more ethanol in our gasoline. Ridiculous government cronyism. I can think of no other reason to propose such an obviously stupid policy as there is no good reason to do that. The following are just a few reasons it does not make sense:

  1. It is a dirty, corrosive additive. It is so bad that it cannot be transported by pipeline, it will eat up the pipe (as well as many engines). So it must be shipped by land (adding to pollution).

  2. It is not cost effective.

  3. It is an inefficient fuel getting ⅓ less mileage than gasoline.

  4. EPA says it adds to the carbon footprint when considering all factors.

  5. We have more than adequate supplies of gasoline if we will just drill for it. We don't need ethanol to be energy independent.

  6. It uses valuable corn which could be used for food or animal feed, and has raised the price of corn from $4.00/bushel to over $6.50/bushel.

Does any of this benefit the public? NO. The only beneficiaries of this policy are agriculture and producers of ethanol. Cronyism at its finest. Here is the bigger point. As we discussed last week (Facts, No Spin #83 - 36 Billion Dollar Boondoggle), special interests are not the same as public interest. The folks in DC who represent us are supposed to be looking out for the public interest - they are not. It is time to hold them accountable to do the right thing.


Instead of requiring the use of more Ethanol, make ethanol totally optional and let the market decide. I would bet it would disappear from use very quickly with many benefits for the public.

How about this novel idea: let’s do what is in the public interest for a change, not what is good for the special interests. And while you are at it, apply that approach to all we do in DC. Join the Main Street Lobby by sending a message to Congress. It’s easy, just go to our website and Contact Congress.


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