BMW, Toyota, Bosch, and Repsol are testing the renewable gasoline Nexa 95. It sounds like an idea for horsepower exchange stations in carriages.

BMW, Toyota, Bosch, and Repsol will be testing Nexa 95 gasoline in Spain over the next 6 months. This fuel is a substitute for traditional petroleum-based gasoline but is produced from “renewable materials that comply with the European Union’s regulations on renewable energy.” The problem is that this experiment has already taken place and ended in failure. Europe isn’t Brazil; we don’t have an endless supply of plant waste.

Inexpensive gasoline from renewable sources exists only on paper

Before the European Union decided to provide more substantial support for electric vehicles, another method of moving away from fossil fuels was considered: the use of alcohols. Pure alcohols have been experimented with for decades, but it was ultimately decided that they would be mixed with conventional gasoline to help manufacturers meet increasingly strict emission standards. This was because alcohol in gasoline, coming from renewable sources, “was not counted” toward the carbon dioxide released into the atmosphere.

Repsol also sells a renewable-source diesel fuel called Nexa in Spain. In Poland and neighboring parts of Europe, it is known as HVO100; recently, Orlen began selling it in Slovakia (c) Nick Cooke / Facebook

While E5 fuel (5 percent ethanol, or more precisely, biocomponents: bioethanol or ethyl tert-butyl ether) was still manageable, E10 (10 percent) posed problems both with engines and costs. It took several years before it began to be available at gas stations. Since 2024, the 95 octane gasoline sold in Poland has been classified as E10, but 98 octane gasoline remains E5. Meanwhile, Repsol claims that its Nexa 95 gasoline is 100 percent derived from renewable sources. Where cost issues affect conventional fuels by 5 or 10 percent, here they have a 100 percent impact on the price at the pump.

Prices of Renewable Fuels

Nevertheless, in Spain, Nexa 95 is about 10 eurocents (around 40 groszy) more expensive than regular 95 gasoline. Interestingly, we found online evidence that its price fluctuates in the same way as crude oil prices when there are disruptions in the Strait of Hormuz. Probably for this reason, the experiment does not involve “the entire Spanish branch of BMW/Toyota,” which would have a strong marketing impact, but rather a fleet of “about 20 vehicles” from both brands (source).

Bosch’s task, as he participates in the test as well, is to ensure that cars are actually filling up with renewable gasoline rather than conventional fuels. The announcement about the experiment came just before changes to the ETS program were unveiled, seemingly to give Europeans hope that they don’t necessarily have to abandon crude oil. Then it turns out we could use the fields either for food or for gasoline — and once again we’d just shrug and say, “We’ll wait for the next revolution.”

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