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April 2, 2008

Throwing Cold Water on Flex Fuels?

It is my position that the West in general, and the United States in particular, needs to find some way or ways to reduce our dependence on oil from states that mean us ill. By sending money to Saudi Arabia and other gulf states, we are literally funding their attempt to destroy us through a sort of "creeping sharia" motivated by a jihadist ideology. Because petroleum is, to some extent, a fungible commodity, we don't even have to directly import from a country for our consumption to help them. High U.S. demand keeps the price of petroleum on the world market high, helping Iran and Venezuela.

As such, one of the options I have investigated is "flex fuels", by which a car might run on a combination of gasoline biofuels(go here and scroll down for posts). "Biofuels refer alcohol fuels such as ethanol (E85) and methanol (E95). The former can be made from a variety of plant products, such as corn or sugar cane. Methanol can be made from wood products or

The biggest proponent of these fuels is Dr Robert Zubrin, who last year published a book called Energy Victory: Winning the War on Terror by Breaking Free of Oil. Dr Zubrin makes a powerful case, and is someone to be taken seriously. I haven't actually read his book, but saw some articles about it that made me look into biofuels as an alternative.

However, he has his detractors. Michael Grunwald (and presumably the editors) of Time are among them. The cover story on the current edition is "The Clean Energy Scam" and it is a direct attack on biofuels.

To set the stage, here are a few charts which show U.S. energy consumption that I got from the Heritage Foundation (click to enlarge)

US Oil Production and Imports

US Energy Consumption by Source


US Energy Consumption by Source History


So what do they have to say over at Time?

But several new studies show the biofuel boom is doing exactly the opposite of what its proponents intended: it's dramatically accelerating global warming, imperiling the planet in the name of saving it. Corn ethanol, always environmentally suspect, turns out to be environmentally disastrous. Even cellulosic ethanol made from switchgrass, which has been promoted by eco-activists and eco-investors as well as by President Bush as the fuel of the future, looks less green than oil-derived gasoline.

Meanwhile, by diverting grain and oilseed crops from dinner plates to fuel tanks, biofuels are jacking up world food prices and endangering the hungry. The grain it takes to fill an SUV tank with ethanol could feed a person for a year. Harvests are being plucked to fuel our cars instead of ourselves. The U.N.'s World Food Program says it needs $500 million in additional funding and supplies, calling the rising costs for food nothing less than a global emergency. Soaring corn prices have sparked tortilla riots in Mexico City, and skyrocketing flour prices have destabilized Pakistan, which wasn't exactly tranquil when flour was affordable.

Biofuels do slightly reduce dependence on imported oil, and the ethanol boom has created rural jobs while enriching some farmers and agribusinesses. But the basic problem with most biofuels is amazingly simple, given that researchers have ignored it until now: using land to grow fuel leads to the destruction of forests, wetlands and grasslands that store enormous amounts of carbon.

I think that "global warming" is a scam itself, so I don't buy into that argument. But the other arguments are more serious. The damage caused by using so much land to grow crops for fuel cannot be overlooked. Increasing demand without a corresponding increase in supply always drives up price, so unless there is an acre added to food production for every acre devoted to biofuel production, we will be hurting the most vulnerable on the planet. And while I'm no environmentalist, much preferring the term "conservationist", I do not want to see any more land than necessary be taken away from pure natural growth.

One of the leaders in biofuels has been Brazil, where they grow sugar cane which is turned into ethanol. Ethanol provides an impressive 45% of the country's fuel on only 1% of its land. Further, some think they can double their production of sugar cane by 2015 with no more effects on the Amazon. If we could achieve these numbers we would not only reduce the amount of money we give to the Saudi Wahhabists to fund our own destruction, we could reduce the price of petroleum worldwide and thus defund Iran and Venezuela.

The question is, can we?

the problem in Brazil, Grunwald says, is that so much of the Amazon jungle rainforest has been cut down to make way for cropland that it stands a chance of becoming a "savanna or even a desert". Whether this is accurate or environmentalist hype I don't know, but it is something that cannot be dismissed.

Another question is that producing biofuels isn't free. It takes about a gallon of gasoline to get a gallon and a quarter of corn ethanol (a 1:1.3 ratio), so that's not very efficient. The ratio for sugar cane ethanol is better at 1:8, the fuel produces more energy per unit, and burns much cleaner to boot (for ratios and more see this National Geographic interactive).

Right now the American taxpayer is paying some $8 billion in subsidies to farmers to grow corn for ethanol. This seems rather silly given the poor return of corn ethanol. The problem is that once a subsidy is in place, it becomes very hard if not impossible to take it away. People base their lives around the product the subsidy is meant to produce, and will take their political vengeance on any politician who threatens to reduce it.

If not Corn then Sugar?

Can or should we produce sugar cane ethanol? The Time article doesn't address the issue, so I had to go elsewhere.

In July 2006 the USDA released a study titled: "The Economic Feasibility of Ethanol Production from Sugar in the United States" I don't have time to go through the whole thing, but here's a summary by James Jacobs, an Agricultural Economist at the USDA (and on who's page I found the link to the study)

The report found that at the current market prices for ethanol, converting sugarcane, sugar beets and molasses to ethanol would be profitable. "At this summer's unusually high price, I can conclude that it's economically feasible to produce ethanol from sugarcane and sugar beets," USDA Chief Economist Keith Collins said. However, there is not a clear-cut case that U.S. sugar will be commercially converted to ethanol anytime soon.

The study (and Jacob's article) point out that sugar ethanol can be obtained not just from sugar cane, but from sugar beets as well. This is important because the latter can be grown in northern states such as the Dakotas and Minnesota.

However, it costs about twice as much to convert either of these sugar crops to ethanol as it does corn. The economic break even point for sugar ethanol is when gasoline is at $2.35 per gallon or higher. Given current realities, it would seem that we're going to stay well above that price for the foreseeable future.

I don't have time right now to go through the whole article to see how much cropland it would take to produce how much ethanol, or what the effects may be of not growing other things on the land instead of sugar beets or sugar cane. These and other things must be taken into account.

My Conclusion

I think that we should end corn ethanol as soon as possible. The negatives of such production vastly outweigh the benefits. The longer we wait the harder it will be politically to pull the plug.

However we should look into sugar crops as a basis for ethanol. I don't have time to go through the entire USDA report, but it would seem that we might be able to make headway in reducing our petroleum consumption by pursuing such a course.

Remember also that technology is not static. Technologies that look inefficient today may not be so tomorrow. Surely if we put our heads together and put our best scientists on the job we can come up with something better than what we have today.

In the end, it probably won't be any one magic technology or fuel that rids us of the national security vulnerability caused by so much petroleum consumption, but rather a combination of things. As such we should not put all of our eggs in any one basket, but spread out our research into a number of areas. One promising area, however, is sugar based ethanol.

Commenter Mike's America map is here

Oil Reserves USA

Posted by Tom at April 2, 2008 9:30 PM

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Comments

The problem is that the corn for ethanol lobby has been officially enshrined in Washington. It's next to impossible to get rid of ANY farm subsidy, let alone one that some people wrongfully believe will help end our dependence on oil.

Switchgrass may be another matter, but last time I checked, the technology for converting cellulose to ethanol has a way to go.

We have all the oil we need to fuel the U.S. for the next 20 years without importing a drop except from Canada if we would only drill for it.

Not sure your setup will let me display this map, but here goes:

(The map is posted above - Tom)

That map is a couple of years old and we are finding more all the time that can be safely recovered without any risk to the environment.

Oil is safe, oil is cheap and we have it HERE NOW!

We could use the taxes and royalties from drilling and selling our own oil to pay for a total conversion to a hydrogen energy economy (or something else) over the next 20 years!

But we won't do that because environazis will stop it. Just as they will stop nuclear, no matter what John McCain says. Just as they try and stop wind power.

The only one they don't try and stop is solar, which still can't cut the mustard.

Posted by: Mike's America at April 2, 2008 11:43 PM

The Thunder Run has linked to this post in the - Web Reconnaissance for 04/03/2008 A short recon of what’s out there that might draw your attention, updated throughout the day...so check back often.

Posted by: David M at April 3, 2008 10:44 AM

Thank you for stopping by, Mike and David.

Mike, while your map is interesting, it doesn't prove that we can drill our way out of this problem. Do you have figures that show we can?

Posted by: Tom the Redhunter at April 3, 2008 9:17 PM

I fully agree that the corn farming industry is the first to get aid and other government handouts, and the last to give them up. And corn ethanol seems to be an over-hyped quick fix. I wouldn't throw the whole flex-fuel baby out with the bathwater just yet, but I would toss aside the idea of using corn as a source of energy.

The numbers on the domestic oil map are speculative as of 1995, but still easy to understand:

The map speculates that there is 45 billion barrels of oil in the USA. Still, you must consider how much has been tapped since 1995, because since that date we have a had over seven years of a pro-oil administration which has opened up many national lands for drilling. That is a common sense change in the political landscape since 1995.

According to the Federal EIA, we imported 4.2 billion barrels of oil in 2007 (crude oil plus refined petroleum):


http://tonto.eia.doe.gov/dnav/pet/pet_move_imp_dc_NUS-Z00_mbbl_a.htm


So this theoretical stock of oil mapped in 1995 (assuming we haven't used a drop in the last 13 years) would last us 10 years. But this fails to consider that domestic oil imports have increased about 2% per year since 2002, as demand has steadily increased. The supply of oil is fixed, the demand is not, it's very simple how this will end. Yes, we have it here now, but not for long.

Posted by: jason at April 4, 2008 12:16 AM

Then we have Fox News with some 'facts':

----"According to Pentagon figures, the Defense Department spent $13.6 billion for energy in 2006. It uses 340,000 barrels of oil a day, or 1.5 percent of the total energy consumed in the U.S."---

If the Pentagon uses 340,000 barrels a day, that's 124 million barrels per year. If 124 million barrels is 1.5 percent of total "energy" consumed in the US, then we consume the equivalent of 8.26 billion barrels of energy per year. I'm doubtful about Fox's numbers (our total energy use can't be measured in "barrels" ). But it still gives you a sense of scale about about this alleged 45 billion barrels of domestic oil we have. The only way it would last us for 20 years is if we cut demand in half.

Even the military is full of 'econazis' these days:

http://www.foxnews.com/story/0,2933,346190,00.html

Posted by: jason at April 4, 2008 12:34 AM

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