2008-08-08
EPA Won't Ease Requirements for Ethanol in Gas. By Matthew Wald, NYTimes, August 7, 2008. "The EPA rejected on Thursday a request to cut the quota for the use of ethanol in cars, concluding, for the time being, that the goal of reducing the nation's reliance on oil trumps any effect on food prices from [corn ethanol]. …The effect of the decision on fuel and food markets is hard to determine. Recently, high energy prices have led to even more ethanol production than the quota required. On the other hand, rising corn prices made some ethanol operations unprofitable, especially as oil prices started to fall. So ending the quota might not have reduced the use of ethanol, but it might decline even with the quotas… in place. Still, the debate is fraught with symbolism… [and] the decision is an indication that Washington is unwilling to retreat from a policy that is very popular among grain farmers, if not among ranchers... The long-term hope, backed up with generous government incentives, is to make motor fuel from 'cellulosic'… sources. Private companies are feverishly pursuing technologies for using wood chips, wheat straw, waste plastic and even municipal garbage to make ethanol and other liquid vehicle fuels. But none of these is commercial at the moment."
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment