Associated Press By LAUREN TARA LaCAPRA --NEW YORK - Though the new energy bill requires increased ethanol usage, the industry may still be weighed down by overcapacity issues and high corn prices that have plagued it this year.
Ethanol profit margins were slashed during the fall as the industry expanded beyond refiners' demand. At the same time, prices of corn - ethanol's main component - shot up amid surging demand for food, farm-animal feedstock and from the industry itself.
The result: Ethanol prices dropped and profit margins slipped to pennies per gallon in September. Though prices have begun to climb, they are still low by historical comparisons, and the industry's plans to increase capacity in coming years outpace the mandated use.
Friday, December 28, 2007
Thursday, December 27, 2007
Ethanol By-Product, E. Coli Link Examined by K-State
Kansas Farmer - December 26, 2007 Scientists at Kansas State University who are studying the effect of feeding distiller's grains to beef cattle said that more research is needed before cattle feeders and the public should reach definitive conclusions.
In three separate studies conducted over the last two years, T.G. Nagaraja, a professor of microbiology in K-State's College of Veterinary Medicine, and Jim Drouillard, K-State professor of animal sciences and industry, found that feeding beef cattle a diet that included 25 percent distiller's grains increased the prevalence (number of cattle positive) of E. coli 0157 in those animals' manure.
"In cattle, our previous research has shown that the hind gut -- which consists of the cecum, colon, and rectum -- is the site of persistence of E. coli O157," Nagaraja said. "Cattle feed passes through the rumen before it reaches the hind gut. We can't yet make any recommendations to the cattle industry with regard to our findings."
In three separate studies conducted over the last two years, T.G. Nagaraja, a professor of microbiology in K-State's College of Veterinary Medicine, and Jim Drouillard, K-State professor of animal sciences and industry, found that feeding beef cattle a diet that included 25 percent distiller's grains increased the prevalence (number of cattle positive) of E. coli 0157 in those animals' manure.
"In cattle, our previous research has shown that the hind gut -- which consists of the cecum, colon, and rectum -- is the site of persistence of E. coli O157," Nagaraja said. "Cattle feed passes through the rumen before it reaches the hind gut. We can't yet make any recommendations to the cattle industry with regard to our findings."
Report says ethanol industry has some pitfalls
Radio Iowa-- Dec. 26, 2007 by Matt Kelley A study from a conservation group outlines potential environmental pitfalls for the fast-growing ethanol industry. The report released by Environmental Defense says ethanol production presents particular problems in terms of water use and greenhouse gas emissions. Environmental Defense scientist Tim Male says in Iowa, the top ethanol-producing state, there's an increasingly higher demand for water to run the plants.
Male says: "It's sometimes easy, especially in a situation such as with ethanol, where increases in production are happening so fast, that some things get left out of the mix. Some considerations get left behind and largely what our report is calling for is just a more thoughtful process of thinking about these environmental concerns and local concerns as production moves forward."
Male says: "It's sometimes easy, especially in a situation such as with ethanol, where increases in production are happening so fast, that some things get left out of the mix. Some considerations get left behind and largely what our report is calling for is just a more thoughtful process of thinking about these environmental concerns and local concerns as production moves forward."
Wednesday, December 26, 2007
More Than We’ve Ever Done
Newsweek Web, Dec. 24, 2007 - President Bush dubbed it a "major step." House Speaker Nancy Pelosi hailed it as "a moment of change." But despite the bipartisan praise, meeting the aims of the Energy Independence and Security Act of 2007—signed into law last week—is not going to be easy. Among the most significant goals in the Act is a substantial increase in the production of renewable fuels for use in the nation's fuel supply.
The new law calls for 36 billion gallons of these fuels per year by 2022—nearly a fivefold increase from current production. NEWSWEEK's Jessica Ramirez discussed the practicalities and potential pitfalls of the plan with Sen. Jeff Bingaman, chairman of the Senate Energy and Natural Resources Committee and one of the authors of the bill. Excerpts.
The new law calls for 36 billion gallons of these fuels per year by 2022—nearly a fivefold increase from current production. NEWSWEEK's Jessica Ramirez discussed the practicalities and potential pitfalls of the plan with Sen. Jeff Bingaman, chairman of the Senate Energy and Natural Resources Committee and one of the authors of the bill. Excerpts.
Mayor is losing faith in D.M. ethanol plant
Des Moines Register, Des Moines, Iowa - Mayor Frank Cownie says city officials should pull the plug on plans for a multimillion-dollar ethanol plant on Des Moines' southeast side unless backers nail down financing for the project by Feb. 1.
"They either need to perform on what they're supposed to be doing, or let's call it a day. I'm sort of toward the latter," Cownie said.
Vision Fuels Des Moines wants to construct a plant worth $210 million or more in a city-owned area south of the Iowa State Fairgrounds called Agrimergent Technology Park. The ethanol plant, first pitched last year at the height of the alternative fuels boom, would be the single most expensive project in the city's history.
"They either need to perform on what they're supposed to be doing, or let's call it a day. I'm sort of toward the latter," Cownie said.
Vision Fuels Des Moines wants to construct a plant worth $210 million or more in a city-owned area south of the Iowa State Fairgrounds called Agrimergent Technology Park. The ethanol plant, first pitched last year at the height of the alternative fuels boom, would be the single most expensive project in the city's history.
Clouds hover in ethanol sky
Rocky Mountain News, December 22, 2007 -- Brian Anderson checked out the display board after pulling up to an E85 pump in his mud-splattered Chevy Suburban.
The gas station at 15201 E. Hampden Ave. in Aurora was selling the fuel blend - 85 percent corn ethanol and 15 percent gasoline - at $2.09 a gallon last Saturday. That was considerably cheaper than regular, unleaded gasoline at $2.67 a gallon.
That ethanol emits fewer pollutants when burned adds to its appeal. Only certain newer cars are engineered to use the blend.
The gas station at 15201 E. Hampden Ave. in Aurora was selling the fuel blend - 85 percent corn ethanol and 15 percent gasoline - at $2.09 a gallon last Saturday. That was considerably cheaper than regular, unleaded gasoline at $2.67 a gallon.
That ethanol emits fewer pollutants when burned adds to its appeal. Only certain newer cars are engineered to use the blend.
Friday, December 21, 2007
POET CEO sees U.S. ethanol mandate opening markets
By Timothy Gardner NEW YORK, Dec 17 (Reuters) - The U.S. energy bill's expanded ethanol mandate and improvements in transport bottlenecks will spur new markets -- and higher prices -- for the alternative fuel, the chief executive of the largest U.S. ethanol producer said in an interview on Monday.
The U.S. Senate passed a new energy bill last week, expected to be signed by U.S. President George W. Bush, that would boost the country's blending of alternative fuels, like ethanol, five-fold to 36 billion gallons a year by 2022.
The U.S. Senate passed a new energy bill last week, expected to be signed by U.S. President George W. Bush, that would boost the country's blending of alternative fuels, like ethanol, five-fold to 36 billion gallons a year by 2022.
New Law Gives Ethanol Big Boost
By H. JOSEF HEBERT WASHINGTON (AP) — Gas guzzlers could become relics of the past and farmers may rival oil companies in producing motor fuels under a new energy law. Consumers also will save electricity — and money — from more efficient refrigerators, furnaces and dishwashers.
There will be improved efficiency labeling on TVs and computers. And the office building of the future may need less energy and rely more on wind, solar or biomass, becoming zero emitters of greenhouse gases.
That's the future outlined by some energy experts as a result of new legislation President Bush signed on Wednesday.
Automakers now will be required to achieve an industrywide average fuel efficiency for cars, SUVs and small trucks of 35 miles per gallon by 2020, a 40 percent jump and the first increase in the federal requirement in 32 years.
There will be improved efficiency labeling on TVs and computers. And the office building of the future may need less energy and rely more on wind, solar or biomass, becoming zero emitters of greenhouse gases.
That's the future outlined by some energy experts as a result of new legislation President Bush signed on Wednesday.
Automakers now will be required to achieve an industrywide average fuel efficiency for cars, SUVs and small trucks of 35 miles per gallon by 2020, a 40 percent jump and the first increase in the federal requirement in 32 years.
Friday, December 7, 2007
Cattle fed distiller's grain prone to E. coli, study suggests
By ROXANA HEGEMAN AP Farm Writer © 2007 The Associated Press, WICHITA, Kan. — In a study that could have far-reaching food safety implications, researchers at Kansas State University have found that cattle fed a byproduct of ethanol production are twice as likely to carry a potentially deadly strain of E. coli bacteria.
"Distiller's grain is a good animal feed. That's why ethanol plants are often built next to feedlots," T.G. Nagaraja, a professor of diagnostic medicine and pathobiology at Kansas State's College of Veterinary Medicine, said in a news release announcing his findings.
"Distiller's grain is a good animal feed. That's why ethanol plants are often built next to feedlots," T.G. Nagaraja, a professor of diagnostic medicine and pathobiology at Kansas State's College of Veterinary Medicine, said in a news release announcing his findings.
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