Corn based Fuel. Next "gold rush": Iowa? (Des Moines: rent, income)

[ArrowThruTheMoon]

Is Iowa banking on the corn based fuel technology, to bring prosperity? Is this going to bring never before seen population growth?

I'm just curious. I've only visited Council Bluffs/Omaha and I liked it there... I'd be interested to see what huge influx of money, and investment could do Iowa. What do the locals think?

[MattDen]

I dont think anybody knows at this point. Corn-based ethanol has much energy then regular oil. Also with gas prices coming down as of late alot of the ethanol producers have much lower profit margins then what was assumed.

Really, I dont think it increase employment that much. I always hear about these huge ethanol plants that hire perphaps 30 to 50 people each. Thats not going to increase employment much.

It will probubly be good for the state government though which will collect more revenues. Iowa has very high state income tax rates which mean more into the state treasury.

The extra state revenue will be good college-towns such as Ames and Iowa City. Des Moines is the state capital and will benefit also from the increased revenue.

[Stevie]

As a local I think this ethanol demand is putting way too much pressure on Iowa's farmers.

It's going to be hard on livestock farmers especially since most of the corn grown in Iowa is used for feeding livestock.

It will probably cost more money to grow and process corn into ethanol than the amount of money that would be profited from it.

Next Gold Rush? I would rather Iowa just stays Iowa.

[Iowarch]

Lots of hype, I have a feeling there will be lots of ethanol plants that won't even get past being built before they are obsolete. Takes more energy to make ethanol from corn than you can get from the product you produce. Somewhere I saw that if every bit of corn in Iowa was converted to ethyanol you would only have 17% of what we already use just for cars. In the meantime the state is attempting to build more coal fired electrical plants in order to keep up with the demand for ethyanol production, when the energy business crashes we will have all sorts or excess capacity to sell to Chicago and Minneapolis while we will get to breathe the soot and fly ash. The energy crisis being solved will create a food crisis in the second and third world on top of what it currently does to health everywhere with high fructose corn sweetener production. Go watch the movie "King Corn" and you will get a better example of what I am talking about.

[Plains10]

I think the Ethanol boom is SLOWING down. That is a great thing in my opinion. I think you will see fewer plants being built because the energy ratio does not make good economic sense. Hopefully with the ethanol boom slowing down you will have less talks about building coal plants to power them. I also heard that increased ethanol production would lead to higher food prices? I am not sure on that one.

[jasperhobbs]

I am against using a food source for gasoline. Corn prices have shot up which is great for farmers but look at all the food products made from corn that have gone up too. Plus E85 is a joke. Sure it is cheaper per gallon than regular or 10% ethanol but you get less miles per gallon so what is the point? It is better for the environment but most people wont buy E85 for that reason.

I am in favor of ethanol that can be produced from switch grass. Switch grass can be grown just anywhere in the country in land that was previously deemed useless from crop production. Canada is leading the way with researching switch grass as fuel source.

Another rumor is Toyota Prius is going to come out with 100 MPG hybrid in 2009. I am more in favor of cars that get better MPG and use less fossil fuel or cellulose (Example:switch grass) ethanol powered vehicles than using corn as a source.

As someone posted earlier, many of the corn ethanol plants will go under in the next few years.

Jasper

[HeneryHawk]

Ethanol is a gambit that has some high costs that are too easily ignored. The largest concern should be the amont of water used to produce the product, and can that be afforded?

If ethanol is truly a alternative, end subsidies, stop taxing imported ethanol from Brazil, and encourage the manufacture of ethanol sourced from sugar cane, cellulose, waste, and grasses. The more sources whould make more product and if truly viable, then worth it.

[jasperhobbs]

Hawk very good points. I never thought of the water needed. Although I don't think there is any way around that even with using other sources besides corn.

Jasper

Originally Posted by HeneryHawk

Ethanol is a gambit that has some high costs that are too easily ignored. The largest concern should be the amont of water used to produce the product, and can that be afforded?

If ethanol is truly a alternative, end subsidies, stop taxing imported ethanol from Brazil, and encourage the manufacture of ethanol sourced from sugar cane, cellulose, waste, and grasses. The more sources whould make more product and if truly viable, then worth it.

[Steve_W]

Originally Posted by Plains10

I think the Ethanol boom is SLOWING down. That is a great thing in my opinion. I think you will see fewer plants being built because the energy ratio does not make good economic sense. Hopefully with the ethanol boom slowing down you will have less talks about building coal plants to power them. I also heard that increased ethanol production would lead to higher food prices? I am not sure on that one.

I hope the ethanol market doesn't go bust. Council Bluffs just built a new coal power plant and are building 2 ethanol plants just to the south on I-29. 2 abandoned ethanol plants would look disgusting.

[Katie1]

Corn should feed people & animals Not cars!!