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HOME

ETHANOL

Regenerative Thermal Oxidizers
 
During the ethanol manufacturing process, dry mills burn off gases that emit volatile organic compounds (VOCs) and carbon monoxide into the air.   The Clean Air Act New Source Review requires a source to install pollution controls to control air pollution emissions.
 
Grain ethanol emissions have large volumes of air saturated with water and relative low VOC content in a mildly corrosive atmosphere.  In a ethanol manufacturing facility that uses steam to dry spent grains, carbon monoxide is not produced and a regenerative thermal oxidizer can meet abatement requirements.  (Source: Pollution Engineering). 
 
Ethanol Tax Measure Stalls Energy Bill
 
(Nov 2003) The Energy Bill has been in limbo for weeks because of a disagreement between Senate Finance Chairman Grassley and House Ways and Means Chairman Thomas over tax breaks for ethanol.  Thomas has consistently rejected Grassley's plan to reform the ethanol tax incentive program, known as the "Volumetric Ethanol Excise Tax Credit (VEETC) Act of 2003, S.1548, ," which proposes to eliminate the ethanol tax credit exemption and fully fund the Highway Trust Fund. 
 
The sticking point: If states show significant economic harm from the ethanol requirement, they  can "opt out" of the bill's ethanol mandate.  Because gasoline that is blended with ethanol is taxed at a lower rate, and under current law puts less into the Highway Trust Fund than normal gasoline, ethanol-using states such as California contribute less funding , and therefore receive a smaller proportion of funding back for highway projects through the Highway Trust Fund.  As a result, states in theory could argue that the ethanol mandate is creating a significant economic harm, and seek an exemption, unless Grassley's VEETC is put in place to ensure the ethanol credits are not paid out of the Highway Trust Fund, but are paid out of general revenue.  If enough states used the "opt out" clause, the program would also be ineffective.
 
The White House is backing Thomas and House Speaker Hastert, who believe the reforms proposed by Grassley should be handled in a transportation reauthorization bill or in an extension of the transportation law if Congress cannot finish the full reauthorization before the law runs out in March 2004. Senate Majority Leader Frist is backing Grassley.  Grassley Senate backers could kill the bill.

E85

E85 is a mixture of 15 percent gas and 85 percent ethanol and is derived from corn, grain or other plants.  According to the National Ethanol Vehicle Coalition, based in Missouri, and the National Highway Traffic Safety Administration, approximately 150 of the roughly 176,000 gas stations nationwide offer the ethanol-based fuel.  End users of ethanol are large gasoline blenders, such as Shell Oil Co., ExxonMobil Corp. and BP. They usually use a 10 percent ratio for ethanol in gasoline to comply with government regulations.

The coalition lists three gas stations in Maryland and one in Virginia that sell E85.  A Chevron station outside Fort Meade in Maryland sells about 3,000 gallons of E85 a month at $1.79 a gallon.  The other stations are in Arlington, Rockville and Annapolis.  Converting standard gasoline tanks and pumps to handle ethanol costs $25,000 to $60,000.  Equipping a vehicle to run on ethanol involves strengthening some hoses.  Such adjustments cost less than $160 per vehicle.

Ethanol As A Fuel Additive

Fuel additives from lead to MTBE (methyl tertiary butyl ether) are problematic.  Both have been banned as additives.  The dangers of lead are well known.  MTBE, a gasoline additive made from methanol, contaminates ground water supplies.  California banned MTBE in 2003. New York and Connecticut banned MTBE in 2004.

Ethanol is the latest candidate being touted as a great gasoline additive. It has less energy content than gasoline, but has a cleaner and more complete burn than gasoline. As a result, fewer emissions are leaving the car's tailpipe—meaning that fewer greenhouse gases are entering the atmosphere. Ethanol is a liquid alcohol fuel produced from biomass, which consists of trees, grasses and wastes. It also comes from grain or agricultural waste. While ethanol creates fewer ozone-forming compounds and toxic air pollutants, it reduces mileage per gallon because of its lower energy content than pure gasoline.

Some researchers note that it takes more energy to produce a gallon of ethanol from corn than ethanol can create. This is attributed to the amount of natural gas and coal that are required to make the fertilizer that grows the corn and is then used to process ethanol. Other critics note that ethanol's lower energy content means that more gasoline must be burned to make cars run. Ethanol's strongest attribute is that it significantly reduces carbon monoxide.  Unfortunately, it also produces more nitrogen oxides, a component of smog. Thus, although ethanol is probably not as polluting as lead or MTBE, it will not help in reducing a major component of smog.

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