Monday, July 14, 2008

Of Course GM Has No Motive To Do This, Right?

Recently in the news, in fact as recent as last week, rumors and murmuring were heard on Wall Street about the One Time Blue Chip Giant, General Motors, falling below $10 a stock and cash reserve problems. Let's just say that regardless what fantastic story a skilled accountant can tell with the company books, once the "liquidity" of a company is questioned on Wall Street, it is never good conversation.

So it is no surprise to me, with as much money as GM has vested into the Ethanol/FlexFuel program, that they are willing to assist state Governors as to where to place new E85 pumps. Simple business math, more pumps available, more likely to sell FlexFuel vehicles. With that in mind, keep an open thought process when you read this article...

GM, Governors Will Work to Expand Ethanol Distribution in U.S.
by Edward Klump

"July 13 (Bloomberg) -- General Motors Corp., the biggest U.S. automaker, and the National Governors Association said they are working on expanding the distribution network for E85 ethanol in preparation for selling ethanol from non-grain sources.

The plan calls for GM to assist states in finding appropriate place to put ethanol pumps, according to a statement issued today. The Detroit-based company has helped bring 300 E85 pumps online in 15 states during the last three years. There are fewer than 1,700 pumps for E85, which is 85 percent ethanol and 15 percent gasoline, in the country out of about 170,000 gasoline stations, GM said.

Having more E85 pumps will provide owners of flex-fuels vehicles better access to the fuel. GM said it will make 50 percent of production flex-fuel capable by 2012, if the infrastructure is moving ahead. The company also has investments in two ethanol companies, Coskata Inc. and Mascoma Corp.

`This collaboration with GM will help increase the availability of E85 around the country, providing more consumer choice and moving us toward a more secure energy future,' Minnesota Governor Tim Pawlenty said in the statement."

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Remember the old saying about a cloud and silver lining? There was one if you were watching carefully in this article. It was, "preparation for selling ethanol from non-grain sources".

So maybe, just maybe, they are starting to realize that E85 sucks to begin with, but if you HAVE to produce it, save our grain and find alternative production. Garbage, waste water, and other things being looked into now. The U.S. alone (not to mention the Garbage we take in from Canada) should produce enough garbage to create vast amounts of ethanol, one would think.



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