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HuskerFlex

Odd e10 pricing in NE post VEETC

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I've noticed that with the end of VEETC (Blenders credit) super unleaded/e10 which had enjoyed a 10 (sometimes as high as 12) cent discount over regular unleaded/e0.... that NOW this spread is widening... not narrowing...  e10 is now 12-15 cents lower the e0... and a full 20 cents at a few stations...

 

How are they figuring these prices?  Does anyone in that industry (retail fuel) have any brains to figure out how to price fuel?

 

Anyone else knoticed any difference?

 

I was currious if the changing price of oil... is simply making the cost of the "gas" 90% go up more then what they lost with the death of VEETC...  This is my assumption.

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Take a look at this link to wholesale price averages for WI and part of MN and if the link lets you in you will see that octane is costing at least 5 cents per point for premium over base 87 E0. You will see huge spreads in some terminals for 10% ethanol product vs E0 of any grade- particularly premium. Ethanol is the best value any day for octane enhancement- particularly in the upper grades where the high octane sub-components of gasoline gets real expensive. While once again this means 10% ethanol makes the oil industry look better than it should- as a consumer of some gasoline-I would hate to have to pay at least another 20-40 cents for gas like it would be if octane components were more in demand because ethanol did not exist. Of course then I would hope to have a job and could replace the last of my gassers with FFVs. If there is a bright side for me right now it is that my fuel consumption has dropped to less than 1/2 ;D

Here is the link:

http://www.axxispetro.com/download/wisconsin-cta.txt

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