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Posts tagged “sugarcane ethanol”

By Robert Rapier on Mar 19, 2013 with 32 responses

First Commercial Cellulosic Ethanol Plant in US Goes Bankrupt

First Qualifying Cellulosic Ethanol

bankruptcyLast year, to much fanfare, the first batch of qualifying cellulosic ethanol was produced (i.e., it qualified for credits under the EPA program for certifying ethanol for sales). I reported on the development at that time.

Western Biomass Energy LLC, a subsidiary of Blue Sugars Corporation (previously KL Energy) reported the major milestone of claiming the first cellulosic ethanol tax credits under the RFS2 for a 20,069 gallon batch of cellulosic ethanol produced from bagasse (sugar cane waste) in April 2012.

However, regular readers are aware that for years I have been deeply skeptical that cellulosic ethanol as envisioned by — and ultimately mandated by — the US government will be an economic and scalable fuel option. The obstacles to success are significant, and I have described them in detail on many occasions.

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By Robert Rapier on Aug 20, 2012 with 21 responses

Why Sugarcane Bagasse is the Most Promising Pathway for Cellulosic Ethanol

In last week’s Energy Trends Insider (ETI) I explained Why Sugarcane Bagasse is the Most Promising Pathway for Cellulosic Ethanol. In addition, I answered a reader’s question about Ethanol’s Role in Rising Gas Prices and whether that increases the chances of a partial waiver this year of the Renewable Fuel Standard. As we have done previously, we would like to share a story from ETI with regular readers of this column. Interested readers can find more information on the newsletter and subscribe for free at Energy Trends Insider.

Why Sugarcane Bagasse is the Most Promising Pathway for Cellulosic Ethanol

The history of cellulosic ethanol is a lot longer than most people probably realize. In 1819, French chemist Henri Braconnot discovered how to break cellulose down into component sugars by treating biomass with sulfuric acid. Once sugars are released from cellulose, the solution can be fermented to ethanol in processes that are very similar to those used to produce corn ethanol or sugar cane ethanol. Regardless of the way the sugars are released, processes that produce ethanol from cellulosic sugars are collectively categorized as cellulosic ethanol. CONTINUE»

By Robert Rapier on Sep 16, 2009 with no responses

Brazil Flexing Its Muscles

A couple of years ago I was thinking about the possible fates of various nations in a world in which depleting oil reserves begin to have a very strong impact on oil prices. I had visions of $100+ oil and eventually $5-10 gasoline, which would place a crushing burden on the U.S. economy. Of course higher prices will motivate people to conserve (and will contribute to recession), and then you may find yourself in a situation in which the supply/demand balance once again tips toward excess supply (as we found ourselves in as oil approached $150/bbl). Prices fall. The economy starts to recover. What happens then? Prices rise, putting the brakes on recovery. This is what I postulated in The… Continue»

By Robert Rapier on Jun 7, 2009 with no responses

How to Calculate Ethanol’s Value

There was a comment following the previous post that claimed that ethanol producers are making money – minus subsidies – at $1.75 a gallon. I attempted to set the record straight in the comments, but I thought this was probably worth a post. The way the blender’s credit works is that gasoline blenders get a credit – recently reduced to $0.45/gal – against the federal gasoline taxes they have to pay for each gallon of ethanol blended into the gasoline pool. However, it is not true that this subsidy actually benefits the oil companies. Ethanol proponents like to make that claim, but any time there is talk of getting rid of the credit, they are the ones who scream loudly…. Continue»

By Robert Rapier on Apr 26, 2009 with no responses

More Brazilian Ethanol Whoppers

I have written previously about Brazil’s “ethanol miracle,” and the tendency of the media and various advocates to ignore facts and embrace hype: Lessons from Brazil Vinod Khosla Debunked There are two take home messages from those essays. First, ethanol provides a small fraction of Brazil’s transportation fuel, not 40% as is often reported. Second, the gap between supply and demand is gaping in the U.S., but very small in Brazil. Hence, ethanol is able to play a larger role in Brazil simply because Brazilians don’t use nearly as much energy as does the average American. But it is coming up on 3 years since I updated the numbers, and I have been asked how the numbers in Brazil stack… Continue»

By Robert Rapier on Mar 22, 2009 with no responses

Trying to Make Sense of Ethanol Tariffs

Note that in the following essay, I am not trying to come down either for or against ethanol tariffs, but rather to discuss what I see as the key issues surrounding them. U.S. energy policy is slanted to favor U.S. farmers and ethanol producers, and I am merely trying to explain the tariffs within that context. ——————- You are probably aware that the U.S. imposes a $0.54/gallon tariff on ethanol that we import from Brazil. Brazil’s President Luiz Inacio Lula da Silva met with President Obama last week and implored him – in the name of a better environmental policy – to remove the “absurd tariffs on ethanol.” In response President Obama said the situation is “not going to change… Continue»

By Robert Rapier on Nov 14, 2008 with 3 responses

The Energy Return of Tar Sands

When evaluating energy technologies – whether conventional fossil fuels or alternative energy – one thing that I pay close attention to is the Energy Return on Energy Invested (EROEI). While there are legitimate criticisms of the methodology, it can serve as a useful tool for comparing and contrasting various alternatives. To give a flavor for why this is, consider an example. Let’s say society as a whole produces 50 million barrels of oil equivalents (could be oil, nuclear, wind, solar, biofuels, or a combination). Consider a couple of energy options. Option A has an EROEI of 10/1 (Energy Output/Energy Input). Option B has an EROEI of 2/1. Option A has to consume 5 million barrels to produce 50, for a… Continue»

By Robert Rapier on Apr 8, 2008 with no responses

The Energy Scene in India

As I traveled through India on a recent business trip, the topic of energy was constantly on my mind (as it is every time I travel). I found out some interesting things about jatropha, toured a sugarcane ethanol plant, found a wind farm in the middle of nowhere, and encountered a native ethanol skeptic. Here are my impressions. Ethanol in India: Another Brazil The highlight of my trip was definitely the tour of the Sanjivani sugar cane plant near Shirdi. This could be a model to the rest of the world (with some exceptions) regarding how ethanol should be produced, as they have the entire life cycle covered. They take in the sugarcane from local farmers, and they produce sugar…. Continue»