The alternative energy industry is experiencing a rapid growth but for it to continue industrial experts from
Brookings, S.D. claim the levels of ethanol used in fuel blends needs to be increased. According to Don Endres, chairperson of Brookings-based Vera Sun Energy Corp., “approximately half of the gasoline sold in the
United States is blended with 10% of ethanol but if ethanol is to be seen as an alternative to costly oil that percentage needs to increase.” For this to happen the Environmental Protection Agency needs to approve E-20 or even E-30, blends, which would help demand, keep up with an ever-increasing supply.

At a farm bill hearing, held on April 4, 2007, Republican Senator John Thune, asked the EPA to approve the use of a 20-percent ethanol fuel and to continue to increase it until the car companies can produce enough special flexible fuel vehicles to make E-85 fuel the norm.  Additionally, at this hearing a discussion was held regarding making an industry shift from corn-based ethanol to a cellulosic ethanol.  The Vice President of Legal Affairs for Poet, Jeff Fox, attempted to garner support for an extension of existing tax credits and incentives to ethanol industry producers and farmers to enable them to make these changes. Thune supported Fox, stating, “he would not apologize for trying to bring the US more energy independence from countries such as Iran, Saudi Arabia, or
Venezuela who are basically holding us hostage with their outrageous $60 to $70 a barrel for oil.”

The difference between Corn-based ethanol and cellulosic ethanol is that the corn-based product uses only the corn kernels while cellulosic would also use the corn stover and fiber. To accomplish this change over Poet Industries recently awarded a grant to build a cellulosic plant and Kevin Kephart, director of the South Dakota Sun Grant Initiative has stated, “
South Dakota is poised to play a big role in growing energy crops.”

Surprisingly, even environmentalists like Dave Nomsen believe that the move toward the use of native grasses is inevitable but he stated, “the transition should be consistent with soil, water, and wildlife objectives.” Given all of this information, one should hope that the government would support the new ethanol technology and provide the necessary incentives to make these alternative fuels available. However, we will see if the government is willing to go this route and move away from paying the terrorism tax that is holding us hostage to the oil magnates of the
Middle East.

[tags]Ethanol, alternative fuel source, alternatives to oil, corn-based ethanol, Cellulosic ethanol, South Dakota, Senator John Thune, Poet Energy Alternatives,[/tags]