skulless
6th December 2008, 10:45 AM
OIL companies and petrol retailers in NSW will be forced by law to replace regular unleaded petrol with ethanol blends by 2011.
The move could lead to even cheaper fuel for motorists with E10 yesterday selling at up to 10c a litre less than regular unleaded in some western Sydney outlets.
The Daily Telegraph (http://www.dailytelegraph.com.au/) has learned that State Cabinet (http://search.news.com.au/search//0/?us=ndmnews&sid=1242&as=news&ac=ninews2&q=State%20Cabinet) voted on Tuesday to legislate mandatory ethanol use for the first time in Australia, taking a stick to major players in the industry who have refused to co-operate with what was a weakly enforced mandate.
They plan to completely phase out regular unleaded within three years and replace it with the 10 per cent ethanol blend known as E10.
In a major crackdown on recalcitrant oil companies and the big petrol retailers Coles and Woolworths, 4 per cent of the total volume of regular unleaded petrol sold in NSW from next year must be E10 - a doubling of the current standard. This will rise to 6 per cent in 2010.
But the following year, regular unleaded will no longer be able to be sold in NSW and will be replaced at every bowser with E10. The more expensive premium unleaded will still be available, leaving motorists with just two choices.
The Government will also mandate 2 per cent bio-diesel for all diesel sold, creating an entirely new local industry for NSW. It is estimated the E10 policy will reduce total greenhouse emissions by around 2 per cent - or the equivalent of taking 77,000 cars and 1900 buses and trucks off the road.
An estimated 900 new jobs are expected to be created in regional and rural NSW from the expansion of independent ethanol producers.
The mandatory ethanol policy was an election promise of the Iemma Government (http://search.news.com.au/search//0/?us=ndmnews&sid=1242&as=news&ac=ninews2&q=Iemma%20Government) in 2007.
However, this was the fourth attempt by the Government to get an ethanol bill through Cabinet following objections by ministers including Joe Tripodi (http://search.news.com.au/search//0/?us=ndmnews&sid=1242&as=news&ac=ninews2&q=Joe%20Tripodi) and Treasurer Eric Roozendaal (http://search.news.com.au/search//0/?us=ndmnews&sid=1242&as=news&ac=ninews2&q=Treasurer%20Eric%20Roozendaal) to the proposal.
The Daily Telegraph has confirmed that Police and Lands (natural resources) Minister Tony Kelly (http://search.news.com.au/search//0/?us=ndmnews&sid=1242&as=news&ac=ninews2&q=Tony%20Kelly) re-introduced the policy to Cabinet on Tuesday and forced through its approval with the support of Climate Change Minister Carmel Tebbutt.
A Government source said Woolworths and Coles had been "dragging the chain" on ethanol. Fears that ethanol blends would affect the performance of some vehicles have been dismissed by most experts as myth.
Blacktown's crusading petrol warrior Marie El-Khoury (http://search.news.com.au/search//0/?us=ndmnews&sid=1242&as=news&ac=ninews2&q=Marie%20El-Khoury) has welcomed the Government's push to introduce compulsory ethanol in all petrol.
After a shaky start when it was avoided by fearful customers, 10 per cent ethanol fuel has taken hold, becoming Ms El-Khoury's top seller.I think this is outrageous. E10 replacing unleaded! Man, we should be using those corns and help out the poor and feed the world instead!
The move could lead to even cheaper fuel for motorists with E10 yesterday selling at up to 10c a litre less than regular unleaded in some western Sydney outlets.
The Daily Telegraph (http://www.dailytelegraph.com.au/) has learned that State Cabinet (http://search.news.com.au/search//0/?us=ndmnews&sid=1242&as=news&ac=ninews2&q=State%20Cabinet) voted on Tuesday to legislate mandatory ethanol use for the first time in Australia, taking a stick to major players in the industry who have refused to co-operate with what was a weakly enforced mandate.
They plan to completely phase out regular unleaded within three years and replace it with the 10 per cent ethanol blend known as E10.
In a major crackdown on recalcitrant oil companies and the big petrol retailers Coles and Woolworths, 4 per cent of the total volume of regular unleaded petrol sold in NSW from next year must be E10 - a doubling of the current standard. This will rise to 6 per cent in 2010.
But the following year, regular unleaded will no longer be able to be sold in NSW and will be replaced at every bowser with E10. The more expensive premium unleaded will still be available, leaving motorists with just two choices.
The Government will also mandate 2 per cent bio-diesel for all diesel sold, creating an entirely new local industry for NSW. It is estimated the E10 policy will reduce total greenhouse emissions by around 2 per cent - or the equivalent of taking 77,000 cars and 1900 buses and trucks off the road.
An estimated 900 new jobs are expected to be created in regional and rural NSW from the expansion of independent ethanol producers.
The mandatory ethanol policy was an election promise of the Iemma Government (http://search.news.com.au/search//0/?us=ndmnews&sid=1242&as=news&ac=ninews2&q=Iemma%20Government) in 2007.
However, this was the fourth attempt by the Government to get an ethanol bill through Cabinet following objections by ministers including Joe Tripodi (http://search.news.com.au/search//0/?us=ndmnews&sid=1242&as=news&ac=ninews2&q=Joe%20Tripodi) and Treasurer Eric Roozendaal (http://search.news.com.au/search//0/?us=ndmnews&sid=1242&as=news&ac=ninews2&q=Treasurer%20Eric%20Roozendaal) to the proposal.
The Daily Telegraph has confirmed that Police and Lands (natural resources) Minister Tony Kelly (http://search.news.com.au/search//0/?us=ndmnews&sid=1242&as=news&ac=ninews2&q=Tony%20Kelly) re-introduced the policy to Cabinet on Tuesday and forced through its approval with the support of Climate Change Minister Carmel Tebbutt.
A Government source said Woolworths and Coles had been "dragging the chain" on ethanol. Fears that ethanol blends would affect the performance of some vehicles have been dismissed by most experts as myth.
Blacktown's crusading petrol warrior Marie El-Khoury (http://search.news.com.au/search//0/?us=ndmnews&sid=1242&as=news&ac=ninews2&q=Marie%20El-Khoury) has welcomed the Government's push to introduce compulsory ethanol in all petrol.
After a shaky start when it was avoided by fearful customers, 10 per cent ethanol fuel has taken hold, becoming Ms El-Khoury's top seller.I think this is outrageous. E10 replacing unleaded! Man, we should be using those corns and help out the poor and feed the world instead!