By Annie Andrews, aandrews@nebraska.tv
Feeling sticker shock at the pump today? You're not alone. Gas tipped $3.50 here in the Tri-Cities today and nears $4 on the coast.
In light of the Sutherland plant stopping ethanol production due to lack of demand and increased costs, you might think the cost of corn is what's driving gas local gas prices, but experts say no. In fact, they point to not using ethanol enough as the reason for this peak in prices.
"I only put in $40, that's all I can afford," said one mom filling up her truck at the Skagway gas station in Grand Island. If you think gas is getting expensive, you're not crazy, you're right. In the last two months gas has jumped 50 cents a gallon – 25 cents since January.
"It makes it hard for the average income to get gas to make it day to day," said another mom. But, don't blame the average farmer for the price hike say ethanol producers, it's not them.
"It's the higher price of crude," said Steve Hansen, chairman of the Ethanol Producers Board. "Ethanol is a dollar cheaper a gallon, if we use ethanol it would cheapen it up," he said.
Cheaper, even despite corn hitting a high and some ethanol plants hitting a hiatus; but even so, producers think that gap between ethanol and crude could broaden with this year's harvest.
"The American farmer is very resilient, and if we do plant 94 million acres of corn and raise the trend line yield, that will generate double the harvest from last year and will loosen corn prices," said Hansen. Down from six dollars a bushel, to four, but you won't see that at the pump he said, until the EPA sees the light.
"They have approved E15, but the EPA [is holding up production]…get E15 down, that would help things because you're a dollar cheaper a gallon the higher the blend the cheaper the price," said Hansen.
Until that happens, families coming to Grand Island for state cheerleading competition are striving to
stretch their dollars. "We're just thinking outside the box, packing our own snacks instead of spending a fortune at gas stations on chips and soda," said James Lee Zlomke, a mother from Minatare, who commuted four hours.
Local families, we'll they're just staying local. "We'll be sticking around home most of the time now," said one mom.
Feeling sticker shock at the pump today? You're not alone. Gas tipped $3.50 here in the Tri-Cities today and nears $4 on the coast.
In light of the Sutherland plant stopping ethanol production due to lack of demand and increased costs, you might think the cost of corn is what's driving gas local gas prices, but experts say no. In fact, they point to not using ethanol enough as the reason for this peak in prices.
"I only put in $40, that's all I can afford," said one mom filling up her truck at the Skagway gas station in Grand Island. If you think gas is getting expensive, you're not crazy, you're right. In the last two months gas has jumped 50 cents a gallon – 25 cents since January.
"It makes it hard for the average income to get gas to make it day to day," said another mom. But, don't blame the average farmer for the price hike say ethanol producers, it's not them.
"It's the higher price of crude," said Steve Hansen, chairman of the Ethanol Producers Board. "Ethanol is a dollar cheaper a gallon, if we use ethanol it would cheapen it up," he said.
Cheaper, even despite corn hitting a high and some ethanol plants hitting a hiatus; but even so, producers think that gap between ethanol and crude could broaden with this year's harvest.
"The American farmer is very resilient, and if we do plant 94 million acres of corn and raise the trend line yield, that will generate double the harvest from last year and will loosen corn prices," said Hansen. Down from six dollars a bushel, to four, but you won't see that at the pump he said, until the EPA sees the light.
"They have approved E15, but the EPA [is holding up production]…get E15 down, that would help things because you're a dollar cheaper a gallon the higher the blend the cheaper the price," said Hansen.
Until that happens, families coming to Grand Island for state cheerleading competition are striving to
stretch their dollars. "We're just thinking outside the box, packing our own snacks instead of spending a fortune at gas stations on chips and soda," said James Lee Zlomke, a mother from Minatare, who commuted four hours.
Local families, we'll they're just staying local. "We'll be sticking around home most of the time now," said one mom.
