Consumer Federation of America: The RFS and Ethanol Help Consumers(oil prices)

It is critical for policy makers to shine a spotlight on the industry so it does not cut back on refinery runs to tighten the market, and they need to ensure that the 2007 Energy Independence and Security Act, is implemented vigorously since it emphasizes the two key long-term elements that can help consumes escape from the grip of both the domestic refining oligopoly and the crude oil cartel â” expansion of alternative fuels and reduction of demand though increased fuel economy — Dr. Cooper mentioned the important role ethanol is playing, and can play in the future, to help reduce gasoline prices and increase competition in the market place. When the supply of ethanol goes up the price goes down, when the demand for ethanol goes up the price goes up, and when prices and demand are down, capacity slows down. The impact of higher crude oil prices and the cost of fuel to get the milk to market have a much bigger impact on consumer prices. read more

[Tags]prices, ethanol, gasoline, market, increase, oil, oil prices[/Tags]

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