Energy Policy: Why our politicians just don't "get it"
The United States is in a recession --partly because of global oil prices -- and yet the only thing you hear from the candidates is hot air about things like MPG standards, a gas tax "holiday" and some vague plans about "conservation". Exactly what is it about energy independence from foreign oil that these idiots don't understand? Energy indepence means one thing only: WE HAVE TO GET OFF OUR ADDICTION TO FOREIGN OIL.
Here's the picture, over the last six years:
Look, if you want your country to be independent of foreign oil, then you either have to produce your own, or use alternative fuels. Why is this simple concept so difficult for the McCains, Clintons and Obamas to understand? President Bush understood it, but he's a lame duck who's going out of office soon, so we can't expect much there.
16 years ago, Brazil embarked on a policy of becoming 100% independent from foreign oil, and they've achieved it.
Brazil is the world's second largest producer of ethanol and the world's largest exporter, and it is considered to have the world's first sustainable biofuels economy and is the biofuel industry leader. Virtually every car, truck and bus in Brazil can run on ethanol. If oil goes to $500 a barrel, the effect on Brazil's economy would be minimal.
Brazil's sugarcane produces 662 gallons of ethanol per acre. Switchgrass is a tall prairie grass native to the US that yields over 1,000 gallons per acre, more than 3 times the yield of corn. Recent research conducted at the University of Illinois has shown that miscanthus, a tall reed-like grass, can produce as much as 1,500 gallons of ethanol per acre.
Ethanol as a fuel is nothing new. Early Model T Fords used ethanol, and it's an ingredient in beer and wine.
The problem is, most ethanol produced in America is made from corn -- a less efficient material than switchgrass. Corn producers are supported by a large lobby and huge government subsidies. There is no similar lobby or investment for grass or wood. The main drawback of corn, a prime American foodstuff, for alcohol production -- is that this has elevated the cost of foodstuffs made from corn worldwide and has overlooked better choices -- sugar cane, and switchgrass.
When you make ethanol from corn, for every gallon of fuel you get, you put in about seven-tenths of a gallon of fossil energy, oil or natural gas. That's only a small improvement in terms of greenhouse gases.
On the other hand, ethanol from cellulose -- like switchgrass -- is a great energy strategy because for every gallon of ethanol, a tiny amount of fossil material is used. There's a dramatic reduction in greenhouse gases, so from an energy perspective it's far superior.
For consumers, switching to ethanol would cost only about $100 per car. All it takes are some new hoses and a new gas cap.
Unfortunately, it still looks like we just "don't get it". We can put men on the moon, we can do amazing things with biotechnology. But we can't seem to take care of our energy needs like Brazil has, even though we're much more advanced technologically than they are. And you know the reason why: it's because we've got a crap political system with a bunch of spineless candidates who don't have the guts to really "do" change, instead of just talking about change.
So when you go to the polls this November, think about why there wasn't a single candidate who "got it".
Amen to that, you're right-on.
ReplyDeleteThe problem is that there is a segment of the elite (and the population who agrees with them) who is quietly pleased with the high price of oil, for various reasons which I'm sure anyone can figure out. Isn't that perverse?
The Congress has been selling us all out for a long time. Each time a vote comes up for alternative energy (like nuclear, drilling, additional refineries) they consistently vote it down. These are the same people saying we need "common sense" approaches and "gas tax holidays".
The government does absolutely nothing to earn its 28 cents per gallon it takes from each of us.
One thing McCain said that makes a lot of sense: It's not about making change; it's about what kind of change you're going to make.
Does the name Archer Daniels Midland Company mean anything to you?
ReplyDeleteRe ADM, not sure what you are getting at, but according to the Cato Institute, a libertarian think tank, "ADM has cost the American economy billions of dollars since 1980 and has indirectly cost Americans tens of billions of dollars in higher prices and higher taxes over that same period. At least 43 percent of ADM's annual profits are from products heavily subsidized or protected by the American government. Moreover, every $1 of profits earned by ADM's corn sweetener operation costs consumers $10, and every $1 of profits earned by its ethanol operation costs taxpayers $30."
ReplyDeleteThat's my conspiracy theory: ADM is behind using corn to produce ethanol and will lobby hard to prevent alternatives such as switchgrass to thrive. Don't get me wrong, the sugar cane farmers in Brazil did the same, the difference is that sugar cane is a lot more efficient to produce. I actually would like to understand better the role ADM is playing in the ethanol market.
ReplyDeleteFirst, I am not disagreeing with your main point. We must eliminate our dependence on foreign oil. The USA imports 10+ million barrels a day of crude oil and about 3.5 million barrels a day of refined products.
ReplyDeleteI also think corn based ethanol is a waste of the commodity and time. IMO, ethanol of any form is not a solution. Using your number of 1,000 gallons per acre for switchgrass, the U.S. would consume over 500,000 acres per day. Even the corn ethanol industry admits that, at best, only a few million barrels a day is possible.
The big problem is the amount of fossil fuel consumed in the USA. The USA consumes 25% of the world's oil with only 5% of the world's population. The 2nd largest consumer of oil is China, which consumes about 7% of the world's oil. Brazil was able to eliminate foreign oil simply because their total consumption is about 10& of the USA consumption and their oil production has increased in the last 5 years. At the maximum, Brazil imported about 400,000 barrels a day.
A point about MPG. It can help. In 1978, the USA consumed 18.6 million barrels a day. In 1979 the 2nd Arab oil embargo occurred and Congress passed the first MPG limits on car makers. By 1983, oil consumption had dropped to 15.2 million barrels a day. Unfortunately, Congress exempted "light trucks" which gave rise to the gas guzzling SUV, a "light truck".
The USA will suffer a lot of pain in the next few years simply because a solution is years away. Worldwide demand is very, very close to worldwide supply. And demand is increasing and supply is decreasing. Expect gasoline rationing within 18 months in the USA.
Some astute points. I'm not sure about gasoline rationing since ever higher prices may be sufficient to normalize supply vs demand. One thing I am sure of, however - we have a very big problem and hundreds of elected representatives who are asleep at the switch.
ReplyDeleteAt least we're working on getting back to the moon!
ReplyDelete