Re: Ethanol From Sugar Cane
- From: Rick Smith <Rsmithjr@xxxxxxxxxxxxx>
- Date: Thu, 25 May 2006 07:05:06 -0000
You don't just need sugar.
"With the movement to ethanol gaining strength by the day, Iowa is
sitting pretty. According to the Washington Post, Iowa, the top
corn-producing state in the nation, generates 25 percent of U.S. ethanol
production. The state has 22 ethanol refineries in operation, seven
under construction and at least 20 in the works. The whole state is
going ethanol crazy, as a matter of fact, with the Post reporting, "The
boom here has largely been a grass-roots phenomenon, fueled by clusters
of growers, bankers and small-town professionals. Aspiring biofuel plant
owners have been delivering investment pitches statewide."
The oil industry is subsidized multiple ways: thought the tax code, see
the last Energy bill in Congress. Also through road construction. You
don't think the construction of H1, H2 and H3 was a subsidized by
mainland taxpayers? Of course, most transportation is subsidized, which
obscures the true cost of flying, driving, taking the train, the bus,
etc. Probably the lowest level goes to seaboard freight.
Aloha from San Diego,
Rick
Jerry Okamura wrote:
"Alvin E. Toda" <aet@xxxxxxxx> wrote in message
news:1148451906-sch@xxxxxxxxxxxxxxxx
On Tue, 23 May 2006, Jerry Okamura wrote:
Here is a bit of information I just found out about
Brazil's use of sugar cane to produce ethanol. At
one point in time, sugar cane producers stopped
selling to the ethanol producers because they could
make more money selling their sugar, causing a
shortage of ethanol, i.e. the price of sugar gave
them a bigger profit than selling to the ethanol
producers. Now, let us think about the Hawaiian
sugar industry. It survives only because of
government subsidies. But for the sake of discussion
let us say, they decide they can make more money
selling their output to those who would produce
ethanol (or they would get into the ethanol business
themselves). A kind of nice business model, if they
Jerry, IIRC I saw the same article you did. The
Brazillians benefitted from ethanol when oil is $30 a
barrel. However, we Americans heavily subsidize our oil
companies to keep the price of gasoline low for drivers
so only now with oil at $70 is ethanol looking good.
There is a lot of competition for sugar besides sugar
cane-- beets, corn, diet sweeteners. Don't think that
the price of sugar will go up anytime soon even with
ethanol. But Brazil might be what the future holds for
the US-- prices being what they are now.
Well, yes, someone is always going to benefit at some price level of oil.
Solar energy becomes a more cost effective alternative, if oil is high.
Wind power becomes more cost effective when oil is high. And I did not say
it would go up soon, but given the fact that sugar is used for two reasons,
would tell you that the price of sugar is bound to go up. Besides, one of
the arguments about oil is that it is a finite resource, well land is also a
finite resource. As for your point that there are other sources of sugar,
that is true, but corn is also being used to make ethanol, and it is also a
food. I don't know if beets can be used to make ethanol, but I would think
that too could be used to make ethanol. As for diet sweeteners, that is in
direct competition with sugar. But we still use sugar don't we? How is oil
heavily subsidized in the US?
.
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- Ethanol From Sugar Cane
- From: Jerry Okamura
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