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Over the past three years the lifecycle of American biofuels has gone from birth to collapse, with the majority of public and private ethanol and biodiesel companies now in bankruptcy. The reason is simple. There is no there, there. So it doesn’t matter if we have 3rd, 4th, or 100th generation biofuels. Alchemy cannot transform the brief absorptioneaster-island-head-1 of sunlight in plantlife into any meaningful quantity of energy. If in some other physical universe, which we do not currently inhabit, it was possible to transform young organic material into liquids without the expenditure of additional energy, then in that world biofuels might look interesting. Until then, plants are not energy.

But enough about the science of biofuels and yesterday’s thoroughly depressing announcement from the Administration, to form an interagency task force with billions in new (plus bailout) investments in the sector. What’s more intriguing is to wonder why, after having completed a real-world test of the unsustainable biofuel business model–with its razor thin capital (and energy) profit margins–our society is going to bang its head against the same wall all over again. I mean really, why bother?

The answer may lie not in biofuels, but in oil. And, in our difficulty with large numbers. The energy content of young plantlife can be expressed in small numbers. But the energy content of oil is a large number. Modern society is so deeply inculcated and infused with oil that we are likely to project similar energy concentrations onto other energy sources. Oil towers over ethanol feedstocks, the way a skyscraper would shadow a house. A bushel of corn contains about 400,000 BTU. Thus, about 14 bushels are needed to match the 5.8 million BTU in a barrel of oil. But that’s over 800 pounds of corn. Moreover, oil is already in liquid form. Frankly, it makes more sense to burn corn in a furnace for heat, than to marshall an additional set of energy inputs to liquify it. And that’s exactly what many people do.

In this context, any renewed push by society to liquify plants starts to look ritualistic, not scientific. While the world remains quite rich in both gaseous and solid fossil fuels–natural gas and coal–the world is likely now in liquid energy decline. If that’s the case, let’s deal with it head on. Chasing the biofuel dream looks increasingly like a prayer. One wonders how people will think of us 100 years from now as we desperately run in silly circles, building monuments.


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  • From first-hand experience I can tell you that biggest problem with biofuels business models are uncorrelated commodity price risks on both the feedstock side and the product side of the equation. Feedstocks vary in price with agricultural commodities and products vary in price with energy commodities. When you put the two together they frequently spell (pick your favorite obscenity). Using waste for biofuels has some merit in power generation and other applications where transportation grade fuel is not required, but like so many things in life the quality of the output is directly proportional to the quality of the input.

    A lot of very interesting work is being done in the fields of cellulosic ethanol and biodiesel from algae, but expecting any technology to run before it learns to walk is poor planning.
    2009 May 06 05:04 AM Reply
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  • Ethanol was a joke from the start. Lobbiests knew it but got the government to put incentives towards ethanol as energy to help corn farmers. Oil comes from plants, so it is bunk to say that plants cannot compete with oil for energy. Diesels were made to run on peanut oil. The numbers are not that mysterious or confusing. Diesel = 140,000 btu/ gal. Biodiesel and raw vegetable oil = 130,000 btu/gal. That is pretty close. Now factor in production costs in btu's and you start to get the real equation. (If you want you can add to this equation carbon dioxide introduced to the atmosphere, Biodiesel is nearly neutral compared to petrodiesel that adds carbon dioxide at over 100%, I think this factor should be in the equation but will leave it out so as not to get caught up in environmental factors.) So, with only a 7% advantage, petrodiesel is not that much better than biodiesel. Now work on production btu's and where the money goes and see if biodiesel does not out perform petrodiesel. I know it will eventually because there is a finite amount of petro oil and a limitless supply of vegetable oil, especially if the bio oil comes from algae grown from coal fired power plant carbon dioxide emissions. Don't let the numbers confuse you.
    2009 May 06 07:47 AM Reply
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  • Excellent article Gregor, you are but further testimony to the fact that the Scots did invent the modern world!
    2009 May 06 09:32 AM Reply
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  • I think everyone needs to look at a company called Changing World. They are selling 500 barrels of Bio-diesel on the open market for over 2 years now. They are producing this fuel with turkey guts. They claim with all the agriculture waste in the US they can make 2 billion barrels a year.

    You better also look at the company since a lot of your tax dollars went into this company from Department of Energy.

    They can do this with everything that is organic. Everything thing made out of oil. I think they call this true recycling and more plants need to be built. I know the state of Virginia has ordered one.
    2009 May 06 09:32 AM Reply
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  • "I am increasingly suspicious about altenergy schemes.

    The Plug In Vehicle Scam comment.

    Listen up America – It's a scam! The emperor has no clothes! There is no such thing as a cost-effective electric vehicle that will carry a family of four at highway speeds. But the cautionary if not downright conservative analysis from sources as diverse and credible as the Department of Energy, the White House and Carnegie Mellon University somehow manages to get lost in a media sideshow that focuses on scientific breakthroughs that promise a 5-minute recharge time for batteries nobody can afford to buy.

    Even Whitman schemes.

    home.comcast.net/~bpayne37/whitman59/w...

    So we're using Internet to have fun investigating.

    home.comcast.net/~bpayne37/pnmelectric...

    It's so painful to think that when we were graduated in 1959, the 50 year reunion class was 1909.

    They were fossils.

    Hope to see you at the reunion despite dangers of swine flu, economic depression, WWIII, prison, advancing age, etc.

    www.prosefights.org/nm..."

    We are putting pressure on PNM for release of production information from its Algodones, NM solar array. So far, PNM has been nonresponsive.
    2009 May 06 09:36 AM Reply
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  • There should still be a market for consumer based biofuels. ie. We need to promote burning wood/pellets in wood furnaces for home heating. Some of these new Wood Furnaces can heat 5,000-15,000 sq ft efficiently. Some of us have enough dead wood to burn and sell retail both. We need to use it.
    2009 May 06 09:36 AM Reply
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  • TripleG: normally the term "biofuels" is used to refer to liquid fuels. Solid fuels from biomass are usually called "bio-energy". This article is about liquid biofuels.
    2009 May 06 09:46 AM Reply
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  • Don/t listen to oil interest co. jive!!!! Bio fuels is a part of the answer ethonal is not being used to its full potentional it needs the previous made high compression engines, ratio 11 to 1 or more. also the by products are not being added in. [ hi energy animal feeds] [co2 gasses used for carbonation] [cleaner burning] [better engine life] [emzymes for digestion] and don't forget the military cost of protecting the oil tankers. corn is the best thing to use for now, other products will come thru funded research..win win winner!!!!


    2009 May 06 09:58 AM Reply
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  • I think this article illustrates how blind most of us are to the huge subsidies the petrochemical industry receives. Our oil, gas, and coal are massively subsidized by the diplomatic and military might of our government and huge social subsidies we pay in terms of pollution and health effects, the effects on global climate change, and the environmental damage by the actual drilling or mining (mountain top removal, oil spills, loss of public lands for far below market prices). Then there is the cost to us in the form of terrorism. Would we have to spend 100's of billions in Iraq and Afghanistan if we hadn't spent 50 years screwing up the middle east in our push for oil?

    Give 2nd generation biofuels like algae a level playing field and it makes a lot more sense than pumping a limited resource out of the ground 1000s of miles away in a land that universally hates us because of it.
    2009 May 06 10:25 AM Reply
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  • Biofuels from switchgrass et.al. and algea will be the way of the future. Won't impact foods. Will be plentiful enough to fuel the biofuel hybrids which will take ICE's and 100% diesel trucks off the roads, 1000's at a time: a stumble here and there before walking; and then running.

    These will eventurally be the "FREEDOM" transportation powered vehicles (personal commuting and local delivery trucks) - whatever is not electrified and on steel or mono or levitated rails (which includes all the cargo/goods railroads, hi speed trains, interstate hiway right-of-way electrified ferries for goods and people and their biofuel hybrids, and electrified transit systems inside beltways.

    And with this we will only need 5% of our current oil consumption for plastics, etc. (until they are made from biofuels also), and another 5 % for special needs. In other words, we won't need 20 million barrels per day, only two (yup 2). Not to worry..

    Oh yes, and with all this we won't need coal and nat gas either. Nuc, hydro, wind and solar, et.al will handle POWER GENERATION (and most of TRANSPORTATION). The fossil fuels will stay safely stored where they are, forever. Even tho some folks would like us to use them now and then face this same set of conditions 50-100 years from now. That group, is the selfish greedy group committed to oil, gas, coal, shale, tar and oil sands -- all buggywhips of the future. I want my black gold in the ground for WHEN THERE IS NO ALTERNATIVE!!!! Should that ever come to be.

    Let's do the smart thing and develop the replenishables. The non-replenishables provide only one chance, per definition. Hence, the renewable alternatives.

    I know, only the "whatever" would want to do this.

    Come on biofuel hybrids with waste heat recoverd solid state devices directly converting and feeding the electric motors, with the only on-board storage device being the GRASS TANK. Sorry, John, no batteries (except for the ignitor if we don't use a capacitor).
    2009 May 06 12:07 PM Reply
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  • With regards to speculari's comment on the Scottish, I would add: "If it's not Scottish....It's CRAP!!!!!"

    To add some fuel on the bio-fuel fire, here is a cut and paste from another post regarding a Lithium-based economy. If it's long-winded, I apologize:

    I think a Lithium (or even hydrogen) based economy will be short-lived at best. Lithium is only found in a few countries and is very toxic, and hydrogen requires a fair amount of energy to create it and a lot of room to store it. If Obama is serious about moving past carbon based energy, he should look at and fast track Zinc-Air. Yes, you read correctly, Zinc and "Air." Zinc-Air Batteries have been around for a while and are most commonly found in hearing aid batteries. The batteries work by exposing zinc pellets suspended in an electrolyte to air which produces a current.

    Recently, Energizer introduced its "Zinc Air Prismatic" Battery at the 2009 Consumer Electronics Show in Las Vegas. It is an improvement on existing technology and is able to produce up to THREE TIMES the energy of similar alkaline or lithium ion batteries. (You can Google their tech specs.) Energizer is working with OEMs to integrate this technology into cell phones, laptops, etc. Products will need to be developed around the Zinc-Air battery because the air needs to be managed or throttled. If the O2 isn't managed the battery will discharge continuously until it runs out.

    What's great is Zinc-Air is a very "green" technology. Zinc is plentiful throughout the world and non-toxic. Better yet, it's inert/safe unlike lithium-ion or hydrogen. Just Google "lithium-ion explosion" and see what you get. I don't own a hybrid, and I sure wouldn't want to be in a Lithium-ion hybrid car when the batteries explode during an collision. As for hydrogen's safety, one name immediately comes to mind: "Hindenburg."

    Lithium definitely has problems and I recently read Toyota will develop a Zinc-Air battery for their hybrids. In addition to safety, the Zinc used in Zinc Air batteries can be recycled. Sounds pretty "green" to me....

    OK, how do I know this? Well, after performing some due diligence on the company listed below, I became a believer that Zinc-Air will probably be powering personal vehicles in the future. (On a side note, this technology already powered a commerical bus during an operational test in Las Vegas, and there is even a video of Sen. Harry Reid riding the Strip in one.)

    The Zinc-Air technology was developed at Lawrence Livermore National Laboratories in the 90s by John Cooper. Right now, a company in Livermore, CA has the exclusive world wide rights to use this technology: Power Air Corporation (PWAC). PWAC has been a developmental company and just started producing Zinc Air powerpacks for sale. They have also developed indoor generators that can be used indoors since there is no exhaust of any kind. PWAC unfortunately appears to be on life support right now and is trading between 5 and 8 cents. It has been argued on the Yahoo Message Board for PWAC, that PWAC and Energizer are partners in the development of the Zinc Air Prismatic battery. It is a persausive argument in that the chances of two companies developing the same type of battery with exactly the same specs at roughly the same time is pretty remote. I have some PWAC and hope that whatever licensing fees they may be due come fast.

    If anyone is interested they should check out PWAC's website: poweraircorp.com. What really caught me was how this technology can be used in vehicles. When using this technology, you don't need to exchange (or recharge) the batteries, only the electrolyte that contains the Zinc pellets needs to be exchanged. This would mean sucking the old depleted electrolyte out (which is then recycled) and pumping fresh electrolyte into the vehicle. This could EASILY be accomplished by a service station-type provider.

    To some, this pumping out/pumping in of electrolyte might seem complex or dangerous, but remember the electrolyte is inert and should be no more complex than pumping your own gas.

    Interestingly, a company called AEDCSA (Alternative Energy Development Corporation South Africa) is trying to market Zinc Air Fuel Cells (ZAFC) that look very similar to some of the older prototypes developed by PWAC. These ZAFCs will be used to power off grid homes and eliminate the dangers of candles or kerosene lamps. Additionally, some of the graphics (the cloud background for one example) are the same or similar as those found on PWAC's website. A lot of the wording on the two sites are similar as well. (aedsca.com) Maybe this is a bottom-up campaign...

    In any case, I think the obvious limitiations of Lithium (like the fact that you have to charge it with electricity produced by conventional means like coal or fuel oil and it explodes) will eliminate it from consideration. I'm interested in anyone's thoughts on Lithium or Zinc Air technology...
    2009 May 06 12:36 PM Reply
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  • Just because the idiotic corn ethanol scam was a flop is no reason to discount all biofuels. Biocoal can clean up existing coal power plants at a lower price than coal. Read this:
    clrlight.org/CleanCoal...
    2009 May 06 12:47 PM Reply
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  • No, the only smart thing to do with coal is burn it, assuming you are not going to leave it in the ground.
    2009 May 06 01:02 PM Reply
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  • The bumbling bosses of the DuPont Company have bet a huge swath of the Company's increasingly doubtful future on bio-fantasies.

    Their touted DuPont business model, FOOD-to-FUEL & FABRIC, is fatuously flawed, intensifying food shortages and food inflation.

    Their bio-products are over-priced and uneconomical, and more often than not require huge amounts of petroleum to produce. Sorry, corn-made clothes and corn-made carpets, and corn-made auto parts and deicers, not to mention wheat bio-fuel, don't cut it. ...funfun..
    2009 May 06 01:35 PM Reply
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  • Wow! Nearly all of the comments I've read here today sound like prompts from either big oil or the GMA. Come on people, do you really think ethanol is the reason food prices are going up? Or for the rainforests being cut down or for gas prices going up? PLEASE!!! Big oil and the GMA are looking for someone else to pin the blame on. While the rest of the world is in recession, they are showing large profits. Why soes everyone have such a hard time supporting our own country? Ethanol and biodiesel alike are fighting for the same thing, but it sickens me that their own country refuses to help them. Biofuels are sustainable, its the politicians and the world markets that are not sustainable. Take ehtanol to a fifteen percent blend level, and you bring over twenty-six billion dollars into our nation's economy, as well as adding over one hundred thousand jobs and a cleaner burning fuel? Its not rocket science. I believe in biofuels because I believe in a clean future for my children. Isn't that the big picture???
    2009 May 06 05:31 PM Reply
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  • wow, juding from this article and most comments most people really don't understand the massive potential of alternative fuels. It's kinda like Copernicus all over again. You are all still a member of the Church of Big Oil and think the world will always revolve around oil and really don't get it. Irony is that you claim the science and economics just don't substantiate it.

    I'm invested in both oil and alt fuels and believe both have a long run ahead. We shall see...
    2009 May 06 05:49 PM Reply
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  • So if Bio-fuels are not the answer to our transport needs. Electric vehicles will not work for powering our large trucks and I bet Hydrogen is not practical either. We need some form of high density liquid fuel, like......... Oil. We can build all the nuclear, wind and solar we like but its not going power anything much bigger a small local delivery truck, with current battery technology. T. Boon is on about using Natural gas, is that practical for an 18 wheeler? and what about planes?

    May be our best hope is to conserve what we have and may be in 20-40 years some new fuel will be developed. In the meantime our best bet is stop using Oil and Gas to generate electricity and heat our homes, a massive task in itself. We could improve public transport, electrify our railways, drive less and when we do drive use very fuel efficient hybrid cars.

    The most effective way to do that is to tax all forms of oil use and cut income taxes, otherwise we are going to get people producing Bio-Fuels using cheap oil to grow crops that produces expensive ethanol or using Natural gas to produce steam to extract the oil from oil sands and shale. Subsides to alternative fuels distort markets as they let producers use relatively cheap hydrocarbons to input almost as much energy into the alternatives as if they use oil or gas the first place. Let taxes and markets do the work not laws or tax brakes or subsides. Taxes can be used to smooth out the prices spikes and bring forward the development of new technology as the cheap oil runs out.

    2009 May 06 05:56 PM Reply
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  • To say that bioethanol programs in general have failed is like saying that democracy as a form of government has failed, just because some countries in the Americas, Africa and even Europe have failed at it.

    As discussed in my post titled "Notes On Bioethanol Programs In The United States", the choice of feedstock can make or mar an ethanol program. The US corn-based ethanol program was ipso facto doomed from onset. Corn has poor ethanol productivity and even poorer energy balance (ratio of energy yield to energy input). Corn is also a food crop and so has to compete with food and other agricultural uses. A report by the World Bank in 2008 blamed diversion of grains to biofuels production for the severe drawdown in inventories as well as the associated price increases. The added cost of the necessary process of first converting corn starch to sugar before fermentation, combined with the rising cost of corn and later, the steep fall in oil prices to make corn ethanol production uneconomical.

    But Brazil with sugarcane as feedstock has become a model of ethanol excellence. Sugarcane has double the ethanol productivity of corn and about eight times the energy balance. Sugarcane is not a food crop per se and so does not bear those fuel-food conflicts associated with corn. There are also market synergies with sugar and ethanol which are products of sugarcane milling. The milling residue known as bagasse is used for additional power generation, the excess of which is sold to utilities with proceeds in the millions of dollars. About 50% of all vehicles in Brazil run on ethanol blended fuel and all service stations are ethanol stations. Gasoline blend ratios range from E25 to E100 (0% gasoline). There are no government subsidies for ethanol production in Brazil and the cost of production there is substantially lower than in the US. In addition, ethanol production in Brazil is said to be profitable down to a crude oil price of US$30 per barrel and with crude prices at US$50 per barrel and rising, there is room for profitability.

    If this is not ethanol success, what else would be?
    2009 May 06 07:10 PM Reply
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  • Los Alamos nuclear fusion physicist Dr Pedro Leonardo Mascheroni advises me on May 6,2009 to get a body guard .

    Listen
    www.prosefights.org/nm...

    2009 May 06 08:51 PM Reply
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  • To Dennis U Atunya, Have you ever tried to eat the corn that is used to make ethanol or even know that there is a difference between the corn we eat and the corn used?? I am from Iowa, I know the difference. The corn we put on our dinner tables is called sweet corn. The corn used to make ethanol is called field corn. Only about one percent of that corn is used in food that we comsume. Twelve percent goes into ethanol, and the rest of it is exported and processed for other uses in our own country. Ror those of you who have nothing better to do than bash biofuels, maybe you should familiarize yourself with the different processes berore you speak because you have no idea of what actually happens.
    2009 May 07 01:16 AM Reply
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