Study: U.S. Should Reconsider Biofuel Policy

Richard Ha writes:

Now there’s a study out saying it is basically wrong to pursue our present biofuel policy. I agree with it completely.

In the 1930s, you could get 100 barrels of oil with the energy from one barrel. In the 1970s, this had decreased to 30 to 1. Now, oil’s Energy Return on Investment (EROI) ratio has decreased to 10 to 1, and it will steadily decline as oil is more and more difficult to harvest.

To sustain our society, we must have an EROI of at least 3 to 1. Biofuels only have an EROI of 2 to 1.

Geothermal, however, is 10 to 1, and that ratio will stay steady for centuries.

Rice University's Baker Institute for Public Policy took a strong stance in the following article, and it goes against everything that is taking place in Hawai‘i today. Lots of the biofuel companies are benefitting from the new stimulus money, which is pushing biofuels that have ex-HEI folks in their organizations.

HOUSTON (Dow Jones)--The U.S. government needs to rethink promoting ethanol as a way to enhance energy security as production of the fuel is costly for taxpayers and poses economic and environmental risks, according to a study released Wednesday.

The report by the Rice University's Baker Institute for Public Policy notes that in 2008 the U.S. government spent $4 billion in biofuel subsidies to replace 2% of the U.S. gasoline supply. The average cost to the taxpayer of those substituted barrels of gasoline was roughly $82 a barrel, or $1.95 per gallon on top of the retail gasoline price, according to the study.

"We need to set realistic targets for ethanol in the United States instead of just throwing taxpayer money out the window," said Amy Myers Jaffe, a senior fellow in energy studies at the Baker Institute and one of the report's authors.

Here are the names of leaders in the Baker Institute for Public Policy. I especially trust Colin Powell, who seems balanced and credible to me.

Personnel
    •    James A. Baker, III Honorary Chair,
    •    Edward P. Djerejian, Director (former American Ambassador to Israel and Syria and Assistant Secretary of State for Near Eastern Affairs).

Board of Advisors
    •    William Barnett
    •    David Leebron
    •    Colin Powell
    •    Madeline K. Albright
 

Comments

[Guy Toyamma]

Richard, I agree with you completely. Not every fuel works with every location. In Hawaii, we have very limited resources for biofuels. Our land and water resources are limited and expensive. We don't have much feedstock from waste biomass, etc. As you say, we must use more of the energy resources our island is blessed with, such as geothermal. Then we produce a fuel from stranded geothermal such as hydrogen or ammonia which can be used for power generation, transportation fuels or fertilizer.

[margaretwille]

I also agree with you completely. Also biofuels causes the most harm to the environment -- in the production phase -- and often removes trees that are important to absorb CO2.

Unfortunately my sense is there are some who are well connected politically who are invested in biofuels -- and will be pushing this option.

Hope you will attend the next energy advisory committee meeting.

Aloha, Margaret (margaretwille.com)

[Richard Ha]

Aloha Guy and Margaret:
With this study, we should consider a course correction that will work for Hawaii. The problems are too serious to do short term band aid fixes. We have geothermal here on the Big Island. There are a thousand reasons why no can. We need just one reason why, CAN!!

I'll go to the next commisssion meeting
Thanks