Brazil Setting Higher Ethanol Blend to Stem Fuel Impact From War
Storage containers at an ethanol processing facility in Piracicaba, Sao Paulo state, Brazil.
Photographer: Victor Moriyama/BloombergBrazil is taking action to increase the use of ethanol in gasoline in an effort to tame the impacts of rising fuel costs as the war in the Middle East drags on.
The world’s second-largest producer of the biofuel is moving ahead with plans for a new 32% mandatory ethanol blending mandate in gasoline, according to a Mines and Energy ministry statement on Friday. That’s up from 30% currently, with abundant biofuel supplies and low prices helping to ease fuel price pressure at Brazilian pumps.