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Because of the wide variety of feedstocks ethanol offers great opportunity for economic growth and can help generate jobs outside traditional system. There are many benefits of using ethanol as an alternative fuel. Most importantly the manageability of E85 is far easier than gasoline as it is less volatile. E85 fueling equipment is slightly different but costs almost the same as one used for storing and dispensing petroleum fuels. It is even possible to convert petroleum equipment into an E85. Moreover using E85 will reduce our overall use of petroleum consumption and replace it with a fuel produced or grown in the U.S. E85 also offers considerable environmental benefits. FFVs specifically designed for ethanol-based fuels are easily available, recommended and are affordable. Today E85 is sold at 60 stations in 16 states according to an Environmental Protection Agency fact sheet. (Robinson, 2004). Even though the overall mileage of E85 is also lower than that with gasoline, E85 also produces 40% less carbon monoxide than regular gas, 20% lesser particle emissions and toxics. Ethanol manufacturers say that greater energy is produced by using ethanol-based fuels than is consumed in the production of the same.

Fuel Ethanol Still With Lyne Arm

Fuel ethanol Still with Lyne arm, retrieved online on October 25, 2005 at www.distillery-yeast.com

With hiking prices of gasoline, President Bush has urged the Congress to encourage the scrutiny of alternate fuels to make United States less dependent on foreign oil. He said:

Our dependence on foreign oil is like a foreign tax on the American dream, and that tax is growing every year." (Loven, 2005).

Moreover, a new research by a USDA economist reveals an improvement in the energy efficiency over the last five years. (Thompson, 2004); ethanol's net energy balance has grown to an impressive number of 67 per cent. Such an improvement is due to growing awareness and advances made in the technological refinement in the manufacturing. The UDA economist, Hosein Shapouri says:

Crop yields per acre have increased, fertilizer is more energy efficient and ethanol plants are more efficient, so the net energy value of ethanol improves. And in India, a new molecular filtering technology is removing the last bit of water from ethanol for a much...

Brazil is the biggest producer of ethanol in the world. She produced half of this amount by using sugar crop. U.S. ethanol production has exceeded 3 billion gallons yearly; there are many incentives for potential investors in ethanol production available today as many of the newer plants are entering the business and forming limited liability companies (LLC). Feed stocks suppliers are also coming up with cooperative plans and collaborative efforts with an LLC.
Proximity to an adequate water supply and energy source are important for setting up an ethanol plant. Though most ethanol plants in the United States use natural gas, manufacturers are looking for alternative ways to power up.

The two Federal Ethanol Legislations passed are, Alternative Fuels Incentives And Laws and Energy Policy Act (Epact) Fleet information and Regulations. The former is related to purchasing fuel vehicles and the latter was passed by the Congress in 1992 in view of reducing our nation's dependence on imported petroleum by requiring certain fleets to acquire fuel vehicles.(Alternative Fuels Data Center, 2004)

Reference:

Alternative Fuels Data Center, 8 April 2005, Energy Efficiency and Renewable Energy retrieved online on 25 October 2005 at http://www.eere.energy.gov/afdc/altfuel/whatis_eth.html

What is ethanol?, 8 April 2005, U.S. Department of Energy, Energy Efficiency and Renewable Energy retrieved online on 25 October 2005 at http://www.eere.energy.gov/afdc/altfuel/whatis_eth.html

Jennifer Loven, May 17, 2005, Bush Promotes Ethanol As Alternative Fuel, Chicago Sun Times.

Stephen Thompson, Sept-Oct 2004, USDA study boosts fuel conversion efficiency rating for ethanol, Rural Cooperatives.

Elton Robinson, March 18, 2004, Ethanol Could Fuel Community Development and more, Southwest Farm Press.

Sources used in this document:
Reference:

Alternative Fuels Data Center, 8 April 2005, Energy Efficiency and Renewable Energy retrieved online on 25 October 2005 at http://www.eere.energy.gov/afdc/altfuel/whatis_eth.html

What is ethanol?, 8 April 2005, U.S. Department of Energy, Energy Efficiency and Renewable Energy retrieved online on 25 October 2005 at http://www.eere.energy.gov/afdc/altfuel/whatis_eth.html

Jennifer Loven, May 17, 2005, Bush Promotes Ethanol As Alternative Fuel, Chicago Sun Times.

Stephen Thompson, Sept-Oct 2004, USDA study boosts fuel conversion efficiency rating for ethanol, Rural Cooperatives.
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