By Aimee Chanthadavong

In partnership with Holden, Caltex will be releasing its new high ethanol blend fuel known as Bio E-Flex that consists of up to 85 per cent ethanol and 15 per cent petrol.

The fuel is a renewable fuel made from molasses, wheat starch or sorghum and not crude oil.

Bio E-Flex has been designed for use in Holden’s soon to be released VE Series II Commodore flex-fuel vehicles, which will be Australia’s first locally produced flex-fuel vehicles. The fuel will also suitable for newer car models and fuel converted cars.

Felicity Wilson, Caltex spokesperson, told Retailbiz that Caltex and Holden are working together to reduce the country’s dependence on fossil fuels and improve energy security.

“Holden and Caltex are together looking at alternative fuel solutions for the future and are trying to reduce emissions by providing an environmentally alternative fuel,” she said. “They see it as an investment into the future market and that it will grow.”

Holden estimates that Bio E-Flex will reduce emissions by up to 40 per cent compared to driving with petrol.

Bio E-Flex is now available at two Caltex service stations in Brisbane – Brookwater and Mackenzie. By the end of October 2010, Caltex will have over 30 sites in Adelaide Brisbane, Canberra, Melbourne and Sydney selling Bio E-Flex.

“We have based our choices [of location] by looking at consumer drivers and looking at where consumers are based,” Wilson said.

“We took advice from Holden about where their cars are likely to be sold and we made sure we would spread the availability around certain areas to try and make it accessible,.

According Wilson, Caltex is looking to have 100 Caltex outlets selling the alternative fuel by the end of next year.

“We’ll be looking at how the Commodores sales are going and aim at areas with large pockets of sales and drive the fuel where consumers want it.”