Over the last few years, the market share of ethanol-blended fuel has increased to nearly equal gasoline’s market share. From 2001 to 2004, ethanol-blended fuel’s market share rose from 29 percent to 45 percent. Ethanol-blended fuel’s market share for 2005 is expected to top gasoline since the market share each month from January to September has been more than 50 percent.

In 2005, the ethanol-blended fuel price was cheaper in comparison to the price of regular unleaded gasoline when crude oil and gasoline rack prices soared. From March to June 2005, ethanol’s monthly average rack price fell below gasoline. Ethanol-blended fuel’s market share increased in these months as consumers took advantage of the lower price. In August 2005, ethanol-blended fuel demand rose 53 percent to nearly 53 million gallons from nearly 35 million gallons the year before while gasoline demand fell 32 percent to 26 million gallons from nearly 39 million gallons in August 2004.

A majority of the ethanol-blended fuel market share belongs to E-10, but a small part can be attributed to E-85, a blend of 85 percent ethanol and 15 percent gasoline. During 2005, owners of fuel flexible vehicles switched to cheaper E-85 until ethanol prices rose above gasoline prices.

E-85 Database Added
Until now, E-85 sales were not tracked by state government since sales were marginal. The recent increase in pump locations and lower E-85 pricing has ignited E-85 sales.To fill the data void, Energy Office staff surveys E-85 retail sellers for price information. These survey results are now available on the Energy Office web site. Additional ethanol information on the statistics homepage currently includes consumption, monthly and annual market share, plants, monthly average and rack prices, and production information.