Blenders and refiners can use ethanol to increase octane levels, improve engine performance, and reduce pollution. From my Denver experience, I know that a 10 percent ethanol blend drastically lowered carbon monoxide emissions. We are now at the point where ethanol is ready to emerge as a major force in the market. Chrysler and Ford have announced that they will produce flexible fuel vehicles that are capable of using up to an 85 percent blend of ethanol without increasing the cost of the vehicle. This is another example of creative technology that reduces pollution while increasing consumer choices.
Ethanol is the most near-term alternative fuel being supported by our research.
And we are currently studying policy incentives, as part of our greenhouse gas strategy, that will help develop a cellulose-based industry. We are also partnering with entrepreneurial companies to increase ethanol supplies and decrease ethanol production costs.