Home
/
RELIGION & LIBERTY ONLINE
/
Beginning of the End of Corn Ethanol?
Beginning of the End of Corn Ethanol?
Sep 22, 2024 9:19 AM

Ethanol subsidies, once considered a sacred cow, are facing the possibility of being axed from the budget. The Senate cast a deciding vote, 73-27 in repealing the 45 cent per gallon subsidy to refiners for blending gasoline with ethanol, and the 54 cent per gallon tariff on imported ethanol.

Cutting the ethanol subsidy and repealing the tariff still face an uphill battle as it must pass the house and get the signature of President Obama, who has vowed not to fully repeal the subsidy. Supporters of ethanol are fighting harder to preserve the subsidy and tariff, and are now issuing claims that the ethanol subsidy keeps gas prices lower than what they would be if the subsidy wasn’t in place.

Iowa State University released a study arguing that ethanol has helped suppress gasoline prices. It is of no surprise that supporters of the ethanol subsidy and tariff have embraced the study by Iowa State University with open arms and are using it to add weight to their position.

Unfortunately for supporters of the ethanol subsidy, the Institute for Energy Research, released its own study debunking the arguments from Iowa State. While the Institute for Energy Research admits that removing the ethanol subsidy will result in a short-term spike in gasoline prices, they argue that in the long run consumers are better off without the ethanol subsidy–ideally the country would’ve been better off if the subsidy had never existed.

Those who claim that removing the ethanol subsidy and tariff will increase gasoline prices also fail to acknowledge principles of basic market economics. By removing the tariff, the United States is able to import cheaper ethanol from countries like Brazil, which produce the cheaper sugar-based ethanol, thus making ethanol more affordable for consumers. As a result, the market adds a product pete with gasoline, and petition, may drive the price of gasoline lower.

The concept petition driving down prices is explained by Joel Velasco, former chief representative in North America for the Brazilian Sugarcane Industry Association. Velasco argues petition between corn and sugarcane ethanol will benefit consumers. The principle petition found in his argument can be applied petition between gasoline and ethanol as well.

While it may seem like ethanol from Brazil is a perfect solution, there are unintended consequences that must be weighed. Ecology professor at the University of São Paulo in Brazil, Luiz Martinelli, warns of the many problems with Brazilian ethanol in an article published in the Cornell Daily Sun. Martinelli explains that ethanol production pollutes the environment and results cause serious problems:

Ethanol production fosters deforestation in Brazil. Sugarcane needs a well-defined drought season to concentrate sugars in the cane stalk, making the wetter Amazon region less than ideal for growth. Consequently, growers convert increasing areas of land in the transitional area between the cerrado grasslands and the Amazon forests to sugarcane. As a result, the increase may indirectly lead to deforestation as other crops, like soybean, are pushed into the Amazon.

“We don’t have much room for deforestation. If sugarcane causes 1,000 of squared kilometers of deforestation, we’ve set off any savings [of avoided carbon emissions] that we have saved,” emphasized Martinelli.

Such unintended consequences were also articulated by Ray Nothstine on the PowerBlog in 2007 as religious leaders began to express alarm about increasing ethanol production:

Religious leaders are speaking out. In March, Roman Catholic bishops in Brazil warned that a rapid increase in ethanol production based on sugar cane could lead to widespread deforestation, massive relocation of workers and munities, and harsh working conditions for cane cutters. Analysts predict that Brazil, the world’s largest exporter of ethanol, may increase ethanol production as much as 40 percent in the next four years. “We are going to turn the country into a huge cane (plantation),” said Cardinal Geraldo Majella Agnelo. In Colombia, Christian aid organizations say armed groups are driving peasants off their lands to make way for plantations of palm oil, another biofuel. Acreage dedicated to production of the palm oil tree has more than doubled in the last four years.

Nothstine later explains in “‘Big Corn’ and Unintended Consequences” how corn ethanol will increase food prices, is more costly to produce and transport, and has pollution problems.

If ethanol made from sugarcane gains traction in the United States and other countries, the same questions that have been raised by corn ethanol must also be asked when es to sugar-based ethanol. Will we have a problem with unintended consequences? Will sugar ethanol contribute to rising food prices in a manner similar to that of corn ethanol? What effects will sugar ethanol have on the environment, and what are the impacts of deforestation?

Comments
Welcome to mreligion comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
RELIGION & LIBERTY ONLINE
‘I don’t get no respect!’
Rodney Dangerfield is famous for saying, “I don’t get no respect!” plaint is shared in the laments that I often hear from academics, that electronic journals are not afforded the same respect as print journals. I explored some of the reasons for this as well as some of the results that have implications for journal publishers in an article published last year, “Scholarship at the Crossroads: The Journal of Markets & Morality Case Study,” Journal of Scholarly Publishing 36, no....
Video games can save lives and more…
Not directly, of course, but the implication of a recent story from NPR’s Future Tense is that video games have a positive stimulative effect on doctors who are about to perform surgery. A new study is out, and according to FT, “Surgeons who played games for 20 minutes immediately prior to performing surgical drills were faster and made fewer errors.” The study focused on a particular type of surgery, specifically “laparoscopic” procedures. Again, from FT, “The results supported findings from...
Logic, natural law, and right reason
In some of my reading lately, a connection occurred to me of the sort that is so obvious once consciously realized that you feel almost idiotic for not making the linkage before. G. K. Chesterton considered logic to be a tool, an instrument of reason to be used only in service of the truth. He writes, The relations of logic to truth depend, then, not upon its perfection as logic, but upon certain pre-logical faculties and certain pre-logical discoveries, upon...
‘Worth More than Many Sparrows’
“Animals are less valuable than human beings,” says John Martin, Professor of Cardiovascular Medicine at University College London (UCL). This seemingly uncontroversial statement is under fire, as Helene Guldberg at sp!ked writes, “There seems to be an emerging consensus within the munity that we should reject the philosophical outlook that says humans are ‘categorically superior’ to animals.” Keith Burgess-Jackson, who blogs at The Conservative Philosopher, says he is “an egalitarian about interspecific value,” and passes along the following quote: For...
Debt forgiveness in developing nations
We often hear about the “need” for debt forgiveness. Our movie stars and celebrities like to clamour about it being a “moral obligation” and, of course, leaders of developing nations like the idea as well. But is debt forgiveness really going to help out the people of these developing nations? Samuel Gregg, Acton’s director of research, argues that debt forgiveness is not a moral obligation, nor is it necessarily such a great idea for the economies of some of these...
America’s 12th graders dumbing down in science
“Last week, the Department of Education reported that science aptitude among 12th-graders has declined across the last decade.” Anthony Bradley explores some of the root causes for why science education continues to falter in schools across the country. Bradley asserts that the typical American now views education as a means for fortable lifestyle rather than a means to knowledge about the world. The purpose of education, instead of producing knowledge and insight into the workings of nature and society, is...
A few suggestions for World Environment Day (or “how to get a free gift from Honda Motors”)
Hear ye, hear ye! The U.N. Environmental Programmmmme’s World Environment Day is June 5. Wiki – The topic for WED 2006 is Deserts and Desertification. The slogan for WED 2006 is “Don´t desert drylands”. The slogan emphasises the importance of protecting drylands, which cover more than 40% of the planet’s surface. This ecosystem is home to one-third of the world’s people who are more vulnerable members of society. The main international celebrations of the World Environment Day 2006 will be...
Mexican politics and the economy, part II
Writing in the San Diego Union Tribune, Ruben Navarette explains how the Mexican economy and corruption are related to the U.S. immigration problem. After talking with a Mexican born, U.S. citizen, Navarette observes: In Mexico, the elites take pride in the fact that Mexicans abroad send home nearly $20 billion a year. But for González, that figure is a national embarrassment – an advertisement of a government’s failure to provide sufficient opportunity for its own people. So Navarette presses him:...
China-Vatican dispute addendum
In an earlier post on illicit Catholic ordinations in China, I noted that there appeared to be a rift developing between the Patriotic Association and the rest of the government. Chinese Cardinal Joseph Zen confirmed that impression in remarks he made yesterday in Rome, as reported by AsiaNews: The Patriotic Association wanted “it to be a slap in the face, but actually, they were defeated by the clear statement of the Holy See, to which the government responded very mildly”,...
‘Enablement has no place in this ministry’
Abner Ramos, an alumnus of Acton’s September 2005 Toward a Free and Virtuous Society conference, experienced a change of heart not so long ago. In his work at the the East Los Angeles College Intervarsity Fellowship, he was seeing how some people displayed a sense of entitlement on matters of charity and financial assistance (like the students who were using financial aid checks to buy fancy wheels for their cars). And Abner, as he tells it on the El Acceso...
Related Classification
Copyright 2023-2024 - www.mreligion.com All Rights Reserved