Ethanol, of course, is a high-octane, liquid, domestic and renewable fuel, produced by the fermentation of plant sugars typically produced from corn and other grain products. Ethanol also degrades quickly in water and, therefore, poses much less risk to the environment than an oil or gasoline spill. Not only is ethanol generally less expensive than regular gasoline, but it has been shown to increase gas mileage for some vehicles.
E85 is the term for motor fuel blends of 85% ethanol and 15% gasoline. Government tests have reportedly shown that E85 vehicles reduce harmful hydrocarbon and benzene emissions when compared to vehicles running on gasoline. E85 sells for approximately the same price as unleaded gasoline, is said to reduce the incidence of greenhouse gas emissions, is biodegradable and does not contaminate water. It can be produced from a number of feed stocks, including paper and agricultural waste.