There is an inextricable link between energy production and food/feed/fiber cultivation with available water resources. Currently in the United States, agriculture represents the largest sector of consumptivewater usemaking up 80.7%of the total. Electricity generation in the U.S. is projected to increase by 24 % in the next two decades and globally, the production of liquid transportation fuels are forecasted to triple over the next 25-years, having significant impacts on the import/export market and global economies.
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Biofuels are promoted in the United States through aggressive legislation, as one part of an overall strategy to lessen dependence on imported energy as well as to reduce the emissions of greenhouse gases (Office of the Biomass Program and Energy Efficiency and Renewable Energy, 2008). For example, the Energy Independence and Security Act of 2007 (EISA) mandates 36 billion gallons of renewable liquid transportation fuel in the U.S. marketplace by the year 2022 (U.S. Government, 2007).
This study is a statistical analysis to estimate the significance of factors that influence the volume of E85 sales to the general public in Minnesota from 1997 to 2006.
The market for E85�a fuel blend of 85 percent ethanol and 15 percent gasoline�is small
but growing rapidly. I use data for E85 sales at fueling stations in Minnesota to estimate
demand for E85 as a function of retail E85 and gasoline prices. I find that demand is
highly sensitive to price changes, with an own-price elasticity as high as -13 and a gasolineprice
elasticity as high as 16 at sample mean price levels. Demand is most sensitive to
price changes when the relative price of E85 is at an intermediate level, at which point
This model was developed at Idaho National Laboratory and focuses on crop production. This model is an agricultural cultivation and production model, but can be used to estimate biomass crop yields.
Ethanol is a very attractive fuel from an end-use perspective because it has a high chemical octane number and a high
latent heat of vaporization. When an engine is optimized to take advantage of these fuel properties, both efficiency and
power can be increased through higher compression ratio, direct fuel injection, higher levels of boost, and a reduced need
for enrichment to mitigate knock or protect the engine and aftertreatment system from overheating.
Increasing demand for crop-based biofuels, in addition to other human drivers of land use, induces direct and indirect land use changes (LUC). Our system dynamics tool is intended to complement existing LUC modeling approaches and to improve the understanding of global LUC drivers and dynamics by allowing examination of global LUC under diverse scenarios and varying model assumptions. We report on a small subset of such analyses.
Biofuels are presented in rich countries as a solution to two crises: the climate crisis and the oil crisis. But they may not be a solution to either, and instead are contributing to a third: the current food crisis.
Crop intensification is often thought to increase greenhouse gas (GHG) emissions, but studies in which crop management is optimized to exploit crop yield potential are rare. We conducted a field study in eastern Nebraska, USA to quantify GHG emissions, changes in soil organic carbon (SOC) and the net global warming potential (GWP) in four irrigated systems: continuous maize with recommended best management practices (CC-rec) or intensive management (CC-int) and maize–soybean rotation with recommended (CS-rec) or intensive management (CS-int).
The U.S. Department of Energy (DOE) is promoting the development of ethanol from lignocellulosic feedstocks as an alternative to conventional petroleum-based transportation fuels. DOE funds both fundamental and applied research in this area and needs a method for predicting cost benefits of many research proposals. To that end, the National Renewable Energy Laboratory (NREL) has modeled many potential process designs and estimated the economics of each process during the last 20 years. This report is an update of the ongoing process design and economic analyses at NREL.
A new addition to the growing biofuels resources list at AgMRC is a cellulosic ethanol feasibility template developed by agricultural economists at Oklahoma State University (OSU). The purpose of the spreadsheet-based template is to give users the opportunity to assess the economics of a commercial-scale plant using enzymatic hydrolysis methods to process cellulosic materials into ethanol. The OSU Cellulosic Ethanol Feasibility Template can be downloaded and modified by the user to mimic the basic operating parameters of a proposed ethanol plant under a variety of production conditions.
This paper examines the possibilities of breaking into the cellulosic ethanol market in south Louisiana via strategic feedstock choices and the leveraging of the area’s competitive advantages. A small plant strategy is devised whereby the first-mover problem might be solved, and several scenarios are tested using Net Present Value analysis.
USDA Agricultural Projections for 2011-20, released in February 2011, provide longrun projections for the farm sector for the next 10 years. These annual projections cover agricultural commodities, agricultural trade, and aggregate indicators of the sector, such as farm income and food prices.
Important assumptions for the projections include:
PEATSim (Partial Equilibrium Agricultural Trade Simulation) is a dynamic, partial equilibrium, mathematical-based model that enables users to reach analytical solutions to problems, given a set of parameters, data, and initial
conditions. This theoretical tool developed by ERS incorporates a wide range of domestic and border policies that enables it to estimate the market and trade effects of policy changes on agricultural markets. PEATSim captures
Agricultural markets often feature significant transport costs and spatially distributed production and processing which causes spatial imperfect competition. Spatial economics considers the firms’ decisions regarding location and spatial price strategy separately, usually on the demand side, and under restrictive assumptions. Therefore, alternative approaches are needed to explain, e.g., the location of new ethanol plants in the U.S. at peripheral as well as at central locations and the observation of different spatial price strategies in the market.
This paper introduces a spatial bioeconomic model for study of potential cellulosic biomass supply at regional scale. By modeling the profitability of alternative crop production practices, it captures the opportunity cost of replacing current crops by cellulosic biomass crops. The model draws upon biophysical crop input-output coefficients, price and cost data, and spatial transportation costs in the context of profit maximization theory. Yields are simulated using temperature, precipitation and soil quality data with various commercial crops and potential new cellulosic biomass crops.
This article addresses development of the Illinois ethanol industry through the period 2007-2022, responding to the ethanol production mandates of the Renewable Fuel Standard by the U.S. Environmental Protection Agency. The planning for corn-based and cellulosic ethanol production requires integrated decisions on transportation, plant location, and capacity.
When the lignocellulosic biofuels industry reaches maturity and many types of biomass sources become economically viable, management of multiple feedstock supplies – that vary in their yields, density (tons per unit area), harvest window, storage and seasonal costs, storage losses, transport distance to the production plant – will become increasingly important for the success of individual enterprises. The manager’s feedstock procurement problem is modeled as a multi-period sequence problem to account for dynamic management over time.
This database contains current and historical official USDA data on production, supply and distribution of agricultural commodities for the United States and key producing and consuming countries.
Understanding the Growth of the Cellulosic Ethanol Industry, D. Sandor and R. Wallace, National Renewable Energy Laboratory, S. Peterson The Peterson Group, Technical Report, NREL/TP-150-42120 April 2008