OK, you’re not literally going to be driving your car on tequila; instead this is about using ethanol made from the agave cactus. According to CleanTechnica, using the agave to produce ethanol might make more sense than using corn, or even sugar cane.

It is a little unclear from their article whether the 2,000 gallons/acre annually figure is from cellulosic ethanol, or if that would further improve the yield. Either way though, agave makes much more sense than corn as a source of plant based ethanol. It is happy growing in harsh wasteland areas (and actually improves the soil quality where it grows); it needs very little water and it grows without fertilizers (protecting the local drinking water from pollution). It’s also not “stealing” a food crop to make fuel.

Perhaps ethanol can become a viable fuel for the US market - let’s just hope the availability of margaritas is not affected.