Well, if you read the article, you would see who was funding the project. It was pretty open about that in the article. But both the Cummins 2.8L project and the GM 3.2L project have both yielded better mpg numbers at the same power level as comparable diesel varieties. And then there is the reduced amount of emissions equipment due to no need for SCR or DPF with E85 engines. And in GM's case, they clearly state a 400 lb net weight savings using the 3.2L EBDI E85 fueled engine than the Duramax diesel in the 3500HD pickup.
And everything gets subsidized by the tax payers eventually. Either government is the one who gives it or any number of companies provide funding, but they got that funding money from the buyers of their goods and services. Just like NASCAR, the US Olympic team, and hundreds of other entities get funding for stuff. Just look at Mobil Oil... they are a major funding source for NASCAR and trucking shows including top name entertainment at commercial truck jamborees, shows, and such. Anyone who buys a quart of Mobil is paying for that. Since roughly 48% of Americans had no Federal Income Tax last year, the government sourcing for any subsidies, if there were any, are not being laid on every potential tax payer out here.
Still a little confused about something though.... ethanol made from sugar from sugar cane is better than ethanol made from sugar from corn. And it is the sugars and starches from the corn that go into making ethanol. But sugar cane has, what, for additional products that can be used for food and other products? Whereas corn has a laundry list of additional products that are made from the same kernel of corn that went into producing ethanol. So the confusion is in how is making ethanol from corn such a bad thing than making it from any other sugar source? Sure, the amount of sugar in sugar cane is higher than corn, but what other major food and industrial products are made from sugar cane?
So on a sugar for sugar level, yes, sugar cane is more efficient for making ethanol. But other than that, it is just sugar. No other real major food products. Corn used for ethanol on the other hand, while less of a sugar source, is also a major source of high and low protein gluten, corn oil, high fructose corn syrup, and other products. So to equate cane sugar ethanol production with corn ethanol production is not a one for one, pound per pound, kind of thing. Now, if only ethanol was made or used from the corn going into ethanol production, then one might be able to make a viable case to the inefficiency of corn ethanol.