Ethanol. Right. Now.

Ethanol's positive energy balance is confirmed by new research

New research due out soon from the University of Nebraska-Lincoln finds that ethanol may be two to three times more energy efficient than previously thought.  The study says that 1.5 to 1.6 more units of energy are found in the ethanol than are required by the production process.  And if you're looking at just the fossil fuel inputs, the study finds that 13 gallons of ethanol are created for every 1 gallon of petroleum used in the lifecycle of the corn-ethanol production process.  That's a pretty good return on investment!

Read an article here from the Grand Island, Neb. newspaper: http://www.theindependent.com/news/x1378746971/UNL-study-Ethanol-energy-efficiency-growing

Why fill the refinery shortage with more gasoline imports?

With today’s announcement by the energy department that 5% of the nation’s refining capacity is still shut down as a result of hurricanes Gustav and Ike, and with gas stations around the Southeast running out of fuel, maybe the governors of those states should consider another readily available, less expensive replacement for that missing 5% -- ethanol.

 

Ethanol production continues to increase while the rest of the energy industry struggles to find fuel, and the national average cost for ethanol is a dollar less than gasoline ($1.22 with the tax credit, to be exact).  At 10%, that would save motorists 12 cents, at E15 it would save 18 cents, and E20 would save almost a quarter a gallon.  Not to mention the effect it would have on gas prices, as demand for gas drops while the refiners get their plants up and running again.

 

Unfortunately, current law doesn’t allow us to put whatever fuel we want in cars that we own, so we have to ask permission to use more ethanol.  Gas pumps are tested at 15% ethanol, so we know they will work, and studies show no short-term effects from using a few percent more ethanol (Brazil uses 25% ethanol every day of the year).  Wouldn’t this be a great time to let ethanol help refiners and consumers out of a tough spot?

New TV commercials showcase the faces and places of ethanol

www.goodfuels.org

Check out the new commercials airing this week on the faces and places of ethanol, produced by the Renewable Fuels Association.  The spots showcase Hereford, Texas - the beef capital of the world, and soon to be the renewable fuels capital of the world, they say. 

Key points:  Ethanol is available today.  It reduces our dependcy on foreign oil.  It saves Americans money at the gas pump.  And one-third of the corn that goes in to the ethanol plant comes back in to the feed market for cattle -- food and fuel. 

Fargo Forum editorial: Food companies are using biofuels as cover to raise prices

The Fargo Forum had an editorial this week that asked an excellent question: If commodity prices have gone down in the past couple of months, why haven't food prices followed? 

"If higher grain prices caused by ethanol were driving prices higher, shouldn’t falling grain prices push food prices down?," the Forum asks. 

The editorial says that major food companies and the Grocery Manufacturers of America "have cloaked their price increases in misinformation and outright lies about the impact of biofuels made from grains, specifically corn-based ethanol. But the more the companies and their representatives reveal about their pricing strategies, the clearer it becomes that prices are going up for primarily one reason: to bolster company profits."

The entire piece is worth a read - find it here: http://www.in-forum.com/Opinion/articles/214903

Running out of gas? E15 could help

Hurricanes Gustav and Ike have seriously disrupted the supply of gasoline. Nearly a quarter of U.S. fuel production is shut down, and about 20% of U.S. refining capacity could be lost for months.  As a result, the average price for a gallon of gas has gone up to nearly $3.80 from $3.68, according to AAA.

 

In response, states are seeking and the government is granting temporary waivers for certain requirements for gasoline, essentially providing more flexibility to blenders in an attempt to help supply keep up with demand.

 

While officials wring their hands trying to tinker around the edges to free up more gasoline, a largely overlooked source of meaningful relief comes in the form of ethanol – more of it, to be exact. 

 

State and federal officials should look at increasing the percentage of ethanol allowed in gasoline from 10% up to 15% or even 20%.  Even if it's a temporary measure, this would be an immediate solution to increase the availability of fuel.

 

Why would E15 help?

-- Most importantly, ethanol costs significantly less than gas, so using more of it will help bring down the price of fuel to Americans who are reeling from an economy on the ropes.

 

-- E15 is substantially comparable to the E10 base blend that’s already approved by the EPA and by the automakers for use in all vehicles on the road today.

 

-- E15 would work seamlessly in the existing retail infrastructure; in fact, many gas pumps are likely already approved by Underwriters Laboratories to dispense E15.

 

-- While refinery capabilities are stretched to the max today, U.S. ethanol biorefineries are capable of increasing output to satisfy the demand for more ethanol.

 

-- Motorists wouldn’t be forced to use E15, but it would give some the choice to select a product that is less expensive than gasoline today.  Consumers who prefer to use gasoline would still have the option.

 

If you agree, please share this message with others and encourage state and federal officials to consider E15 an option as the nation struggles to deal with the fuel supply in the wake of these hurricanes.

Ethanol is working: DOE says America is using less oil

The U.S. Department of Energy reports that for the first half of 2008, Americans' consumption of oil is down almost 5 percent.  No doubt the high gas prices have caused people to drive less, but there's another reason for the success - ethanol. 

America's ethanol industry is well on its way to providing the 9 billion gallons of renewable fuel required this year by the 2007 energy bill.  This growing supply of homegrown ethanol means we can use less oil - and it is working.

The data is available here: http://tonto.eia.doe.gov/oog/info/twip/twip.asp   (Energy Information Administration's "This Week in Petroleum")

Omaha World-Herald: "The energy revolution is here"

After the American Coalition for Ethanol conference in Omaha last month, the Omaha World-Herald published an editorial titled "The Ethanol Revolution."  The future is approaching quickly in five key areas, they said: corn yields, byproducts, cellulose, pipeline transportation, and ethanol blends.

A few excerpts:

"Last year, American drivers' use of fuel went up. But the amount of gasoline they burned went down. The difference?  Ethanol."

"Ethanol and its producers, including farmers, stand on the very edge of the energy revolution, ready to lead the country toward a future of energy independence."

"Ethanol by itself isn't the solution to the nation's fuel needs.  But it can be, and already is in some instances, a major part of the answer.  The energy revolution is here."

Couldn't agree more!

An expert says the world food crisis may be over

Bloomberg News had a good article recently about how things are turning around for the food supply on the world scene.  While so many had been eager to blame increasing global food prices on ethanol, India's food secretary says he believes the food crisis is over.  "I don't think there's a crisis now," T. Nanda Kumar told Bloomberg.  "Food will be available."

Bloomberg says that record crops of soybeans, wheat, and rice worldwide are helping to bring stockpiles up from last year's levels.  Read the entire article here: http://www.bloomberg.com/apps/news?pid=20601091&sid=aI2X6ZQIBD4o&refer=india.