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Ethanol subsidy under fire

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Old 11-16-2010, 02:58 PM
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Ethanol subsidy under fire

The ethanol exports also aren't sitting well with food industry associations, which say that increasing ethanol use is driving up the price of corn.

http://www.cleanmpg.com/photos/data/501/ethanol-gas-tank.jpg
Steve Hargreaves, - CNN - November 16, 2010

It's about time --Ed.

For years, American taxpayers have subsidized ethanol production in a bid to boost the nation's energy independence.

Now a boom in ethanol exports is drawing fresh criticism of that tax credit, which cost taxpayers $6 billion last year.

The United States this year became a net exporter of corn-based ethanol, exporting more than it imports, as a spike in the price of sugar-based ethanol made by Brazil has given U.S. ethanol a leg up on prices.

In fact, the country is on track to ship out 300 million gallons of ethanol in 2010, twice as much as last year, according to the Renewable Fuels Association.

Some environmentalists are outraged. They have long questioned the ecological benefit of ethanol, which is blended with gasoline, claiming that it takes as much energy to produce as it yields. And if ethanol is not going to be used solely to cut foreign oil imports, they argue, the subsidy should be eliminated.... [Read More]
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Old 11-16-2010, 03:59 PM
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Re: Ethanol subsidy under fire

But, But, But the family farmer is gonna have to sell the farm!
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Old 11-16-2010, 07:27 PM
herm herm is offline
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Re: Ethanol subsidy under fire

The subsidy is not needed.. just require refineries to blend in 15% ethanol, they will have to buy it from somewhere no matter what the cost. While they are at it the gov should require that all cars be able to handle methanol also.. and allow substitution of ethanol with methanol.

Anhydrous methanol/ethanol blends can be synthesized cheaply from gasifying waste cellulose, corn, NG or coal. The feds should not require a biological fermentation process.
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