Monday, June 15, 2009

What should E85 cost? 6/15/09 edition

With Meijer now gouging their E85 customers again, I've revistied my spreadsheet where I calculate E85 prices based on the spot market for ethanol and unleaded, including the blender credit.

E85 in Indiana should cost between $1.98 and $2.10 a gallon. Meijer currently has it at $2.70 a gallon.

Can you say gouging?

Back in the bad old days of last summer, they priced E85 50 cents a gallon cheaper than regular. That would be about $2.15 a gallon now, which I think would be a very fair price.

One wonders why they price E85 as they do. They can't be selling any at these prices.

4 comments:

1outlaw said...

You are right- I have 18 stores at $1.949 and gas is at $2.749

buzzcut said...

So are your E85 sales through the roof or what?

Why is Meijer so out to lunch on E85?

1outlaw said...

Pretty good LOL. Not in a high population area like you are. Of the 18 sites I have only 3 are in cities of 20,000+ thus the % of FFV's is a limiting factor.

Outlaw/Alcohol

1outlaw said...

Hey Buzzcut-- I know you like to debate local politics. I would like your input on an alternative to current energy policy over at;
http://e85vehicles.com/e85/index.php/topic,2906.0/topicseen.html

I posted this today after listening to a govt employee LOL