Japan's oil industry to launch ETBE

The Petroleum Association of Japan, which comprises the nation’s major oil distributors, is to introduce ETBE (ethyl tertiary butyl ether) bioethanol fuel to the Osaka market as early as June, despite requests from the Osaka prefectural government and the Environment Ministry that it promote a different biofuel. The prefectural government in October began trial sales of E3 bioethanol fuel, which the Environment Ministry says is a better way to meet targets. Resistance from the oil industry association has so far stifled sales. The association prefers ETBE, which it already sells in the Tokyo metropolitan area, as it is compatible with existing facilities at gas stations in the nation. In fiscal 2008, the association plans to expand the sale of ETBE to 100 gas stations in nine prefectures, including three stations in the Osaka Prefecture. (May 10, 2008)