1. Ethanol and Sustainable Agriculture Mike Morris National Center for Appropriate Technology

2. What is Ethanol? Grain alcohol, ethyl alcohol; generally produced by fermenting and distilling simple sugars from biological sources. >90% of US ethanol made from corn (18% of all US corn). Capacity grew from 1.6 billion gallons in 2000 to over 4 billion gallons in 2005 – about 2% of the volume of US gasoline. >100 plants in 20 US states in 2006, >30 plants under construction.

3. Benefits of Ethanol Made from renewable sources Displaces imported oil Biodegradable Air quality and GHG benefits?

4. What is Cellulosic Ethanol? Sources will include agricultural “waste,” forest residue, municipal solid waste, energy crops. Conversion of cellulose to sugar by the use of sulfuric acid or enzymes. A few small-scale demonstration plants exist. Widely viewed as the future of the industry.

5. Common Criticisms 1.Subsidies/corporate welfare 2.Energy balance 3.Soil & water impacts 4.Food vs. fuel

6. Subsidies/Corporate Welfare Federal ethanol production tax credit 51 cents per gallon. Archer Daniels-Midland (ADM) owns about 24% of US ethanol capacity. But the oil industry has received far greater subsidies.

7. Energy Balance Most published studies show a ratio between 1.2 and 1.8. The energy balance of corn ethanol is improving. Ethanol’s net energy balance with respect to petroleum is around 8 to 1. Cellulosic ethanol is expected to have a much higher energy balance, also carbon neutral or net-carbon-negative.

8. Soil & Water Impacts Industrial corn production is the problem. But corn can be grown more sustainably. Cellulosic ethanol has the potential to be far more benign.

9. Food vs. Fuel Dedicating all US corn production to ethanol would meet only 12% of gasoline demand. Iowa and South Dakota expect to become net corn importers by 2008. Rising food prices and world hunger. Cellulosic ethanol has great advantages.

10. Concerns for Sustainable Agriculture 1.Genetically-modified organisms 2.Water consumption 3.Local ownership

11. Conclusions 1.The energy balance debate is dead; get over it. 2.The sustainable agriculture community should be constructively engaged in the ethanol debate. 3.Watch the GMO issue closely. 4.The sustainable agriculture community should take a principled stand in favor of local ownership of biofuel facilities.