Sunday, June 29, 2008

Creamed Corn: the green costs of ethanol


America has increasingly turned to ethanol to alleviate our dependence on foreign oil and to address the environmental concerns over greenhouse gases emitted by our transportation infrastructure.

Odds are good that when you fill up your tank next time you will be receiving gasoline blended with ethanol, and those chances will increase as the federal government mandates increased ethanol production at the nation's refineries.

Your tank of E10 ethanol blend will likely cost less than the competitors' fuel without ethanol, and it has been widely touted to decrease greenhouse gases and lessen our dependence on foreign oil imports.

With that in mind, this week I published the article pasted below in the 'Fairview Republican,' a weekly newspaper for which I serve as reporter and editor.

The article contains some information that is specific to Oklahoma, but the information on ethanol is applicable throughout the US.

It is a bit lengthy, but here are some highlights that are worth considering when pondering national energy policy, or when you're getting ready to purchase another costly tankof gas:
-Ethanol blended fuel will decrease your gas mileage by 3 to 20 percent, which means you need to see a corresponding 3 to 20 percent savings at the pump in order to break even on your losses from decreased mpg with E10. New vehicles will tend towards the 3 mpg loss, while older vehicles or vehicles with mechanical problems will err towards the higher end of the spectrum. The loss of mpg (requiring you to burn more gas) decreases ethanol's value in furthering energy independence.
-Ethanol fuels produce less CO2 (greenhouse gases) from the tailpipe, but they produce more ozone smog and some studies now indicate that the overall production of corn ethanol may drastically increase greenhouse gas emissions in the long run (due to increased land use and fuel use for farming, transportation and refining).
-Ethanol blended fuel costs more to produce, and is sold at an apparent discount due to a 45 cent per gallon tax incentive from the federal government to refiners.
-Ethanol fuels are not suitable for most older vehicles (pre-2000 models), and may damage engine parts and erode or dissolve rubber and plastic parts in the fuel system. Your owner's guide will tell you if alcohol based fuels are appropriate for your vehicle.

--originally published in the 'Fairview Republican' on Thursday, 26 June:

You may notice a new sticker on some local gas pumps, as a new state law requiring retailers to label gas with ethanol additive takes effect July 1st.

The law, which passed at the tail end of the last legislative session, comes amid growing use of ethanol in gasoline supplies, and some concerns over the effects of ethanol additives.

Gasoline mixed, or oxygenated, with ethanol is becoming increasingly common across Oklahoma and the U . S. as federal mandates require increased ethanol production at the nation’s refineries.

Federal requirements for biofuel production stem from as far back as the Alternative Motor Fuels Act of 1988, but the mandated pace of ethanol refining made a major leap with the president’s signing of the 2007 Energy Bill.

The 2007 Energy Bill, signed into law in December, requires that refiners produce 9 billion gallons of ethanol this year, a six-fold increase over last year’s production.

That requirement increases incrementally to a 36 billion gallon per year mandate in 2022, though most sources agree that annual production under current technology is limited to 15 billion gallons at most.

The federal government subsidizes its ethanol production mandates with a 45 cent per ethanol gallon tax break to refiners, decreased from 51 cents per gallon in the 2008 Farm Bill.

Federal plans originally called for the increased ethanol production to be utilized by so-called “flex fuel vehicles,” which can burn either straight gasoline or a mixture of up to 85 percent ethanol / 15 percent gasoline (E85).

Car manufacturers’ production of flex fuel vehicles, however, has not kept up with the mandated increases in ethanol production. Flex fuel pumps are also scarce in the U. S., with fewer than 2,000 E85 pumps available nationwide at the end of 2007.

What that means, according to Gail Alexander, owner of MLR Solutions Consulting of Brevard County, Fla., is that refiners are mixing their required ethanol production into E10 blend (10 percent ethanol) which can be used in conventional gas engines.

“In order for them to meet their quotas, they have to put the ethanol somewhere,” said Alexander, commenting on the rapid increase of E10 production. The American Coalition for Ethanol (ACE) estimates that 46 percent of America’s gasoline supply is currently blended with ethanol (E10).

The two main reasons cited for supporting ethanol fuel blending are energy independence and the environmental benefits of burning ethanol as opposed to petroleum products. Imports currently account for more than 54 percent of American oil consumption, according to the American Petroleum Institute.

That figure has led many policy makers and consumers to turn to ethanol and other ‘biofuels’ as a domestic source of renewable fuel.Ethanol’s value as an offset to imported oil, however, may be dampened by a reduction in the miles per gallon achieved by using E10 blended fuel.

Alcohol based fuels have a lower caloric value per volume than refined petroleum, meaning that they produce less energy when burned than the same volume of straight gasoline.

Estimates vary, but petroleum industry and government sources cite a three to 20 percent drop in mileage from using E10 blended fuel.

In effect, that means that E10 consumers are burning more gasoline per mile to compensate for the lower energy output from the ethanol in the fuel mixture.

Alexander, who consults on the impact of ethanol use in automotive and small gasoline engines, stated in a recent interview that the mpg drop from E10 is more pronounced in older engines.

“Most people in the general population aren’t driving new vehicles in perfect working condition,” said Alexander, who estimated a 10 mpg drop across the population for E10 consumption.

The federal tax incentives for ethanol production do filter down to the consumer, to an extent, and E10 gas will generally sell for less per gallon at the pump than straight gasoline.

However, knowing whether or not the savings at the pump outweigh the cost of reduced mileage from E10 takes a little math.

Specifically, you must have a pump savings equal to your percentage drop in mpg times the higher price of straight gasoline in order to compensate for decreased mileage.

For example, if you experience a 10 percent drop in mpg from E10 use, and straight gas costs $4 per gallon, you must see a 40 cent price savings at the pump to balance the cost of buying more fuel to compensate for reduced mileage.

If you experience a three percent drop in mpg, you would need to see a corresponding 12 cent savings for $4 gas at the pump to offset the costs from mileage loss.

As for the environmental benefits of ethanol use, sources cite a reduction in greenhouse gas emissions from burning E10 blended fuel.

ACE figures estimate a 29 percent drop in carbon dioxide emissions from ethanol, while other sources cite the CO2 reduction for E10 anywhere between 20 and 30 percent.

Those figures do not take into account the impacts of burning extra gasoline to compensate for mileage loss.

E10’s reduced output of CO2, the major component of greenhouse gases, has led the argument in favor of ethanol as an “environmentally friendly” fuel.

Some recent reports, however, may be tainting ethanol’s “green” image.

A 2007 EPA report indicates that, while E10 fuel reduces per gallon CO2 and carbon monoxide (CO) emissions, it also corresponds to a nearly 10 percent increase in nitrate oxide emissions, the primary component of ozone.

While ozone in the upper atmosphere protects the earth from the sun’s ultraviolet rays, ozone formed close to ground level is the main ingredient in urban smog, and has been shown to cause respiratory problems and lung damage.

Perhaps more damaging, though, is a recent study by Princeton University published in the journal Science that indicates that ethanol production may actually increase greenhouse gas emissions.

The study found that increased land usage for growing ethanol corn crops, combined with the fuel required to grow and refine biofuels, may cause a significant increase in the associated “carbon footprint."

Princeton University professor Timothy Searchinger stated in the study that “corn-based ethanol, instead of producing a 20 percent savings, nearly doubles greenhouse emissions over 30 years and increases greenhouse gases for 167 years.”

The federal government is hoping to move away from corn ethanol over time, setting its hopes on future developments in cellulosic ethanol, produced from a variety of biomass sources such as switch grass, corn stalk and saw dust.

The six cent reduction in the 2008 Farm Bill refiners’ tax incentives has been re-invested into cellulosic ethanol production research.

Opening the door to further ethanol research may be the positive legacy of corn ethanol additives, according to Kenneth Ditzel, an energy consultant for CRA International of Washington, D. C.

“While corn based ethanol is not the long term solution, because of competing requirements with food production, it has served as an avenue to second generation biofuels,” said Ditzel.

“The challenge right now,” added Ditzel, “is that cellulosic ethanol just isn’t an economically feasible option, but it will happen...it’s just a matter of time.”

Aside from questions of future ethanol research and the environmental and mileage concerns associated with corn ethanol, though, the most pressing concern for ethanol consumers today may be the negative effects of E10 gas on older engines, according to Alexander.

The chemical properties of alcohol based fuels such as ethanol pose certain risks to older engines, according to Alexander, which may be summarized as follows:
-Alcohols are water soluble, meaning they attract and absorb water moisture, which is then carried throughout the fuel system and engine. This quality makes fuel with ethanol additives particularly dangerous for marine engines, according to Alexander.
-Ethanol is a solvent, which may break down brittle parts in older engines. It may also dissolve resins and tank deposits that will then travel throughout the engine, potentially causing complications such as clogged fuel filters, carburetor jets and injectors, stalling and engine seizure.
-Ethanol is a drying agent, which can dry, crack and dissolve plastic, rubber, and certain types of fiberglass not specifically designed to be alcohol resistant. This effect is particularly pronounced in rubber and plastic parts found in the fuel pumps and hoses of older vehicles, according to Alexander.

Virtually all car manufactures now construct their engines and fuel systems to be compatible with alcohol fuels, but Alexander urged all car owners to check the fuel requirements in the owner’s manual, particularly for vehicles built before 2000.

For now, consumers can choose for themselves between E-10 and straight gasoline at the pump, though those options may begin to dwindle as ethanol production mandates increase.

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