McKittrick & Auld, FP: Ontario has announced plans to double the required content of ethanol in our gasoline, from five per cent to 10 per cent. This regrettable decision will have harmful effects on everyone. It will worsen the mileage of gasoline, raise food and fuel costs and yield minuscule environmental gains at best.
Ratcheting up the ethanol mandate also defeats the purpose of Ontario’s new cap-and-trade system. The logic of carbon pricing through permit trading is that it leads the market to identify and implement the lowest-cost ways of reducing greenhouse gas (GHG) emissions. If ethanol blending was cost-effective then, under cap and trade, fuel producers would do it automatically.
No comments:
Post a Comment