Elite Octane deal falls through on back of power price negotiations

In Iowa, the attempt to develop the Elite Octane ethanol plant in Atlantic fell apart last week after negotiations with the local utility broke down when after agreeing on 6.5 cents per kilowatt hour the company came back asking for 5.6 cents in line with what other companies are reportedly paying. As the utility has to buy the power required from the regional authority at 6.5 cents, it can’t go below that level and voted to not subsidize the rate by charging other ratepayers more to compensate.