Maryland panel says state fleet’s biofuel conversion not enough; recommends incentives for biofuels

In Maryland, a panel of experts has concluded that current incentives to produce biofuels are not sufficiently attractive, and recommended an additional $4 million be earmarked for biofuels promotion and a faster conversion for the state vehicle fleet.

The news came after the Maryland state government unveiled a plan earlier in the fall to increase purchases of hybrid and flex-fuel vehicles. Under the plan, 40% of state vehicle purchases will be flexfuel cars and trucks that run on biofuels, and to increase hybrids from 30 to 100 vehicles. The state has a 9100 vehicle fleet.

Hybrids were given a smaller purchasing target due to the high cost of the vehicles. The Maryland study on hybrid conversion projected that gasoline would have to reach $5.60 per gallon before hybrids were economically viable. Hybrids reach break-even at 200,000 miles, but Maryland state vehicles average 100,000 miles before they are replaced.

Assuming usage of 12 gallons per week per vehicle, the commitment will increase biofuel blend demand by 2.2 million gallons.

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