Friday, December 7, 2007

Nexus: Is grass the fuel of the future?


Research begun in 2000 by the USDA-Agricultural Research Service (ARS), the Department of Energy, NDSU Central Grasslands Research Center in Streeter and the University of Nebraska is showing that switchgrass may become a viable bio-energy crop for northern plains states.

Switchgrass can be used to produce ethanol or it can be burned to produce electricity.

According to the study, if a field produces two plants per square foot the first year, in future years the field will be able to produce adequate amounts of bio-energy. First year costs ranged from $50 to $150 per ton according to a 2003 NDSU extension news release. According to a June 2007 statement the breakeven point is $53 per ton.

After the first year no tillage or planting is required.

Mark Leibig and Holly Johnson, soil scientists at the ARS Northern Great Plains Research Laboratory in Mandan have reported that switchgrass is superior at carbon sequestration than other crops like corn or wheat. Switchgrass roots grow as long as eight feet, enabling it to store carbon lower in the soil than other crops with roots typically half that long. This improves the soil and decreases the greenhouse effect.

David Archer, an agricultural economist at the lab says switchgrass is not yet economically feasible. At the same time, the conversion of switchgrass to ethanol is becoming more efficient and fuel prices are likely to continue to rise.

Sen. Kent Conrad (D—ND) has been promoting ethanol as a significant part of the nation’s energy strategy. He has proposed a goal of 30 billion gallons of ethanol per year by 2025. Conrad’s proposal has been incorporated into the upcoming energy bill.

Agriculture Commissioner Roger Johnson favors government incentives for switchgrass production.

It seems clear that ethanol from switchgrass is in our future.

However, providing incentives for the production of ethanol is only part of the equation. We need to improve our delivery of ethanol to the public if we are to reach the goal proposed by Conrad.

At an ethanol summit in Fargo on November 27, 2006 Senator Byron Dorgan (D—ND) stated there were fewer than 30 E85 pumps in the state. Many people avoid E85 because of reduced miles per gallon and poor cold weather starts. But a 10% blend will not achieve the goal.

If E85 doesn’t sell and the typical 10% blend is not enough what is the solution? Some stations in South Dakota have had success promoting ethanol sales by installing blender pumps.

Stations can install blender pumps that allow the consumer to blend the ethanol and gasoline to whatever proportion they choose. These pumps cost about $15,000 each and may be cost prohibitive to some dealers.

Without providing incentives or mandates for local dealers to install the pumps it is unlikely that ethanol consumption goals will be achieved. Which is more appropriate, mandates or incentives, or some combination remains to be seen, but without this end of the equation, ethanol from switchgrass or any other bio-energy crop doesn’t add up.

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