The octane and oxygen advantages of ethanol can overcome the fuel economy deficit. But it requires an engine designed to take advantage of these factors. Such an engine would be a game-changer in the automotive and energy world. The CEO of Growth Energy talks about their prototype engine:
Ethanol-Optimized Engine A Major Breakthrough for Producers - Ethanol Producer Magazine: "And, at blends of E40 to E50, the EBDI engine improves on the fuel economy of regular gasoline engines by as much as 10 percent. Think about that: One of the biggest criticisms of ethanol is that engines lose mileage when burning ethanol. But this engine proves that the problem isn’t the fuel—it’s the engine."