Argentina allows up to 15% ethanol blend into gasoline after oil shock
Argentina's government said on Friday it will allow local firms to voluntarily blend up to 15% ethanol into gasoline, in a bid to curb the impact from higher oil prices on local fuel costs.
"The measure aims to give the industry greater flexibility and to cushion any potential increases in pump fuel prices, protecting consumers," the Energy Secretariat said in a statement.
Gasoline prices in the South American country rose more than 18% in March, according to analyst estimates, driven by the U.S.-Israel war on Iran and have climbed more than 60% year‑on‑year.
Argentina's Energy Secretariat, which reports to the Ministry of Economy, increased the maximum permitted oxygen content in fuel to 5.6%, giving refiners flexibility to add more ethanol and use less gasoline in their fuel blends to help reduce overall costs.
It said that the resolution does not impose new requirements on refiners, or modify the mandatory bioethanol blend. It also does not introduce changes to the current biodiesel regime, that already allow blends of up to 20%.
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