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Mythology 101: NCGA Debunks
the Arguments Against Ethanol (10-8-01)
There
have always been questions about the effects of using ethanol as a gasoline
additive. However, since June when the EPA denied California's request
for an oxygenate waiver, it seems many are trying to prove ethanol will
cause all forms of problems.
The
National Corn Growers Association (NCGA) has compiled 10 of the most
common myths concerning ethanol, along with the facts:
Myth
#1: Ethanol will raise the cost of gasoline in California up to
50 cents a gallon.
Fact:
Ethanol will NOT raise fuel prices 50 cents or more. It is unthinkable
that California refiners would suffer price discrimination at the hands
of Midwest ethanol producers. Prices of ethanol in California will reflect
Midwest ethanol prices plus transportation costs. Midwest refiners have
already demonstrated their ability to produce ethanol-blended reformulated
gasoline at competitive prices; California should be able to do the
same.
Myth
#2: Ethanol actually ADDS to air pollution
Fact:
When ethanol is used to make reformulated gasoline, the law says there
can be no increase in emission. That is because the Clean Air Act mandates
reformulated gasoline to meet specific performance standards regardless
of which specific compounds are used to produce the fuel, so charges
that using ethanol will increase emissions in reformulated gasoline
are baseless. Also, ethanol reduces carbon monoxide emissions by as
much as 25%. Carbon monoxide is a poisonous gas that also contributes
to ozone formation. For that reason, EPA has determined that ethanol-containing
fuels be credited with their ability to reduce carbon monoxide pollution.
Toxic
pollution is also a major issue in all gasoline. Ethanol reduces overall
toxic pollution by diluting harmful compounds found in gasoline such
as benzene and other aromatics. These compounds also produce potent
emissions that cause cancer and other diseases. Ethanol helps reduce
the production and potency of toxic emissions.
Myth
#3: Ethanol will harm car and/or truck engines.
Fact:
Cars built since the 1970s are fully compatible with up to 10% ethanol
in the mixture. Today, every major automobile manufacturer recommends
the use of fuels containing as much as 10% ethanol by volume and fully
warrantees its use in all of their vehicles. Ethanol also:
- Provides fuel
with additional oxygen, thereby raising the air/fuel ratio
- Eliminates the
need and expense of adding a gas line anti-freeze by absorbing more
water than a small bottle of isopropyl
- Prevents burning
of engine valves because ethanol burns cooler than gasoline
Myth
#4: Ethanol contributes to global warming.
Fact:
Because the energy balance for ethanol is positive, 1.35 to 1, greenhouse
gas benefits of ethanol are also positive. The Argonne National Laboratory
has demonstrated that using ethanol produces 32 percent fewer emissions
of greenhouse gases than gasoline for the same distance traveled. Ethanol
reduces emissions of other harmful pollutants like carbon monoxide and
displaces components of gasoline that produce toxic emissions.
Myth
#5: Ethanol takes more energy to produce than it contributes.
Fact:
Ethanol facilities are extremely energy efficient. A recent study by
the Argonne National Laboratory found that for every 100 BTUs of energy
used to produce ethanol, 135 BTUs of ethanol are produced. The difference
comes from the fact corn plants are very efficient solar panels, collecting
and storing energy. USDA analysis has found corn farmers use about half
the energy to produce a bushel of corn than they did just 25 years ago.
Myth
#6: Ethanol is a waste of corn that could be used for food.
Fact:
Two general types of processing facilities, known as wet mills and dry
mills, produce fuel-grade ethanol in the U.S. wet mills are also known
as corn refineries. These facilities produce starch, ethanol and corn
sweeteners, along with corn oil, corn gluten feed and corn gluten meal.
Corn gluten feed and meal are sold into the animal feed market. Dry
mills use simpler technology to produce ethanol and distillers dried
grains (DDG) sold as high-quality feed ingredients. Products for human
and animal consumption are co-produced with ethanol. There is no shortage
of corn. In 2000, U.S. farmers produced more than 10 billion bushels
of corn and only 600 million bushels are currently used in ethanol production.
There's still room to grow the ethanol market significantly without
limiting the availability of corn.
Myth
#7: Ethanol does not benefit farmers.
Fact:
The ethanol industry opens a new market for corn growers, which allows
them to turn a higher profit. Demand for grain from ethanol production
increases net farm income more than $1.2 billion a year. The resulting
boost in the agricultural economy cuts farm program costs and taxpayer
outlays.
Not
only that, ethanol creates jobs. Ethanol production has been responsible
for more than 40,000 jobs, or more than $1.3 billion in household income.
It also directly and indirectly adds more than $6 billion to the American
economy each year by boosting surrounding economies.
Myth
#8: Oil companies can make fuel that meets the reformulated gasoline
(RFG) program without oxygenates.
Fact:
Studies submitted by the NCGA and the Renewable Fuels Association show
that eliminating oxygenates from RFG will lead to more mass toxic emissions
with greater disease-causing potential. NCGA has done extensive analysis
on the use of oxygenates in California gasoline and concludes that completely
removing oxygenates from the gasoline pool would be detrimental to air
quality throughout the state and would likely have a negative impact
on the gasoline supply. The same is true for the nation as a whole.
The current RFG program without an oxygen requirement would not deliver
equal environmental benefits and the gasoline supply would be significantly
smaller.
Myth
#9: There is not enough ethanol capacity to supply the needs of
the state of California.
Fact:
Ethanol supplies are more than adequate. The ethanol industry will produce
2 billion gallons of ethanol this year, up from 1.6 billion gallons
last year. Ethanol production in 2000 used 600 million bushels of corn
from a 10 billion bushel crop. With corn stocks in excess of 1.7 billion
bushels, there is plenty of corn to produce ethanol.
The
nation's corn growers are investing in the nation's energy strategy
by building more ethanol plants -- plants that produced 40 percent of
the 1.6 billion gallons of ethanol made in 2000. Plus, there are dozens
of ethanol projects in various stages of development throughout the
Corn Belt that are attracting additional grower-investors. In the last
25 years, the ethanol industry has built 61 ethanol production facilities.
With the two billion gallons of current production capacity and 34 existing
ethanol plants undergoing expansion, the ethanol industry expects to
have an additional 300-400 million gallons of production capacity by
the end of this year alone.
Myth
#10: The U.S. does not have the supply capability to get ethanol
from the Midwest to either coast economically.
Fact:
Ethanol can be shipped many ways. It can be moved to the necessary markets
via pipeline or railcar. Ethanol can be transported from the Midwest
to consumer gas tanks in as little 25 days, compared to the 70 to 85
days it takes to get oil from the Middle East to the consumer gas tank.
Ethanol can also respond more quickly to regional supply shortages.
For
more information about the NCGA and its work with ethanol, visit the
NCGA web site at: http://www.ncga.com/ethanol/main/index.htm.
Last
reviewed October 8, 2001
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