"Methanol, also known as wood alcohol, has been used as an alternative fuel in flexible fuel vehicles that run on M85 (a blend of 85% methanol and 15% gasoline). However, it is not commonly used as such because automakers no longer are supplying methanol-powered vehicles. Methanol can also be used to make MTBE, an oxygenate which is blended with gasoline to enhance octane and create cleaner burning fuel. MTBE production and use has declined due to the fact that it has been found to contaminate ground water. In the future, methanol could possibly be the fuel of choice for providing the hydrogen necessary to power fuel cell vehicles." - http://www.afdc.doe.gov
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