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Brazil – Mandatory Ethanol Blend Drops From 25% To 18%

Due to the reason that the price of ethanol in Brazil has risen to a new record level, the country’s government has decided to reduce the mandatory ethanol blend in gasoline to only 18%. Up until recently, all of the gasoline commercialized in Brazil had to be at least 25% ethanol. Now, when the ethanol is in short supply, the country’s government has decided to do something about it. This limit goes into effect immediately.

The reason why the price of ethanol has risen over the last several months is mainly because of the limited sugarcane harvest. The energy minister in Brazil, Edison Lobao, said that although the price has begun to drop, the government will still move forward with the plans of reducing the mandatory ethanol blend in gasoline.

Source: Ward’s Auto via green.autoblog.com | Photo: telegraph.co.uk


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