Government investigating if Big Oil thwarting biodiesel

This week, Illinois Governor Rod Blagojevich and the state's two U.S. senators, Richard Durbin and Barack Obama, sent letters to the heads of the six major oil companies as part of an investigation to see if they have any policies that are inhibiting construction and operation of biodiesel and ethanol pumps at fuel service stations. The state is the biggest user of ethanol and the country's second largest producer of the alternative fuel. However, only three of the 108 service stations selling E-85 (gasoline mixed with 85 percent ethanol), are franchises branded by the oil companies.

Also, U.S. Energy Secretary Sam Bodman has indicated he will speaks with the oil companies, though he plans to discuss their policies on promoting alternative fuels. The oil companies in question? BP, Chevron, ConocoPhillips, Exxon Mobil, Shell Oil Co., and Valero Energy.

[Source: Reuters]