A study released by the Coalition confirms the ability of the ethanol industry to meet the nation's gasoline oxygen additive needs if MTBE were removed from gasoline. The study estimated the ethanol industry could produce 3.5 billion gallons a year by 2004.

"The nation's 58 ethanol plants in 19 states are well-prepared to meet the nation's immediate needs for an oxygen replacement to MTBE in gasoline," said Iowa Governor and Coalition Chair Tom Vilsack. "The latest information indicates an estimated 1.1 billion gallons more ethanol a year could be available shortly." The report was prepared in response to a question by Environmental Protection Agency Administrator Carol Browner regarding the nation's ethanol production capability.

Governor Vilsack said the study, Ability of the U.S. Ethanol Industry to Replace MTBE, demonstrates the impact a domestic ethanol industry can have throughout the nation. "When ethanol production reaches 3.5 billion gallons annually, 47,800 new jobs will have been created, many in areas where job creation is difficult," Vilsack said. According to the report non-ethanol related industries will benefit: 2,300 new jobs in transportation, 1,300 in construction, 3,200 in retail and 11,000 in service industries.