http://www.planetark.org/envpicstory.cfm/newsid/19118

Australia puts off imposing cap on ethanol in fuel

AUSTRALIA: December 18, 2002

CANBERRA - The Australian government said on Tuesday that evidence 
about mixing ethanol in petrol was inconclusive, putting aside any 
decision on whether to impose a maximum limit on ethanol content in 
fuel until next year.

Ethanol has attracted international attention as a clean fuel that 
can be distilled from crops such as grains and sugar cane, with fuel 
containing 20 percent ethanol available in the Sydney market since 
1994.

But the government has come under fire from motoring groups for being 
slow to apply national fuel standards to ethanol levels, fearing 
strong blends may damage car engines and calling for a 10 percent 
limit.

Environment Minister David Kemp said cabinet, meeting on Tuesday, 
reviewed the evidence of the impact of blends of 20 percent ethanol 
in petrol on the operability, emissions and durability of engines.

"(Cabinet) reaffirmed its view that the evidence for the impact of 
blends between 10 and 20 percent is presently inconclusive," Kemp 
said in a statement.

"The government is currently conducting vehicle testing to clarify 
these impacts, prior to the development of a soundly based National 
Fuel Standard."

The government expects to receive this report next year.

But, in the meantime, Kemp called on the country's six state 
governments to ensure levels of ethanol in petrol are labelled at the 
pump, stressing it was their responsibility.

Kemp said a sampling programme by Environment Australia from April 
2002 had taken 586 samples from petrol stations around the country 
and found 55 of these, or 9.4 percent, contained ethanol.

While no one claimed 10 percent ethanol blends have an adverse impact 
on engines, early testing with one type of marine two-stroke engine 
found stalling may occur when the throttle is opened from low speed, 
even with a 10 percent blend, creating a possible safety hazard, Kemp 
said.

Existing Australian ethanol production is comparatively small-scale, 
with total capacity of about 130 million litres, and mainly for 
export to Asian markets as an alcohol additive.

REUTERS NEWS PICTURE SERVICE

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