US state governments buying flex-fuel cars to avoid using…alternative fuels; exploiting loophole in federal law that requires alt energy vehicles, but not alt energy fuels

February 27, 2008

Using a loophole in federal law, states are buying flex-fuel cars in order to avoid using alternative fuels.

More than 2,200 cars and light trucks have been purchased by the New Jersey state government to fulfill requirements from the 1992 Energy Policy Act, but the state has not provided any government-only or retail E85 pumps anywhere in the state.

The Maryland state government also recently unveiled a plan 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. E85 is not available in Maryland.
Under the Act, federal law mandated that 75 percent of new state vehicles must be able to run on alternative fuels, but the Act does not require states to purchase or use alternative fuels. Consequently, governments have been buying flex-fuel vehicles that qualify under the Act, but 30 states do not provide E85 at any state fuel depots.

In total, there are only 34 state fuel depots in 20 states, yet governments have purchased more than 40,000 flex-fuel vehicles.

Today in Biofuels: US states buy 40,000 flex-fuel cars to avoid using alternative fuels; 20 new VE85 stations in Texas; fire chiefs say US cities and towns unprepared for ethanol fires

Top Story: Using a loophole in federal law, states are buying flex-fuel cars in order to avoid using alternative fuels. Under the Energy Policy Act, federal law mandated that 75 percent of new sta...

Nissan to focus on hybrids; says biofuels too hard to find

Nissan indicated that it would focus on electric hybrid cars rather than flex-fuel vehicles, citing concerns about the availability of fuel. US automakers have focused on flex-fuel vehicles, hoping...

Flex-fuel vehicles account for 86 percent of 2007 Brazilian car sales; 4.6 million flex-fuel cars on road

86 percent of all cars sold in Brazil in 2007 were ethanol enabled. The registration of 2 million cars in 2007 takes the total of cars running on ethanol blends or pure E100 to 4.6 million. Brazil now...

Maryland announces six new E85 stations to serve state flex-fuel fleet

In Maryland, Gov. Martin O'Malley announced a plan to construct six new E85 pumps around the state so that the state's fleet of 1200 flex-fuel vehicles can fill up with renewable fuels. Previously, th...

E85 pulls up last behind gas, diesel and hybrids in cost-benefit study

A new cost-benefit analysis by researcher John Graham at the Pardee Rand Graduate School found that E85 scored the worst among all fuel options. Diesels performed the best, saving $2300 over a veh...

Thailand E85 tax incentive confusion has stymied flex-fuel car makers planning: ethanol glut looms as E85 takeoff delayed

In Thailand, observers say that the government needs to clarify the excise tax that will be imposed on E85, so that manufacturers can plan production volumes of flex-fuel cars, to avoid an ethanol glu...

Written by Jim Lane · Filed Under Consumers & Fleets, Policy