E-85 blend gasoline, with 85% ethanol gets much worse mileage. But vehicles need some fairly special minor special equipment to be able to operate with it. General Motors is betting heavily on "flex fuel" vehicles to sustain its green street cred. But now, with the rise in price for corn and other commodities, even with federal subsidies, it is turning out that fuel costs rise when motorists purchase both ethanol blends.
Aside from all the other little problems associated with ethanol production, gasoline blends using ethanol actually cost motorists more, even when the blend is cheaper per gallon.
Over the course of a year, that amounts to an extra 300 gallons of E-85 to go the same distance as when using conventional gas. That means an average household, when the total cost of conventional gas and E-85 are compared, would spend nearly $100 more per year for E-85.
The Kansas City Star explains: