http://en.wikipedia.org/wiki/Common_ethanol_fuel_mixtures
'...Several
common ethanol fuel mixtures are in use around the world. The use of pure hydrous or anhydrous ethanol in
internal combustion engines (ICEs) is only possible if the engines are designed or modified for that purpose. Anhydrous ethanol can be blended with
gasoline (petrol) for use in gasoline engines, but with high ethanol content only after minor engine modifications.
Ethanol fuel mixtures have "E" numbers which describe the percentage of
ethanol fuel in the mixture by volume, for example, E85 is 85%
anhydrous ethanol and 15% gasoline. Low-ethanol blends, from E5 to E25, are also known as
gasohol, though internationally the most common use of the term refers to the E10 blend.
Blends of E10 or less are used in more than 20 countries around the world, led by the United States, where ethanol represented 10% of the U.S. gasoline fuel supply in 2011.
[1] Blends from E20 to E25 have been used in Brazil since the late 1970s. E85 is commonly used in the U.S. and Europe for
flexible-fuel vehicles.
Hydrous ethanol or E100 is used in Brazilian
neat ethanol vehicles and flex-fuel light vehicles and hydrous E15 called hE15 for modern petrol cars in the Netherlands.
...'
I thnk ethanol was more about reducing dependence on oil than environmental concerns.