Posting in Energy
A cross agency effort will invest US$510 million into biofuels for military and commercial transportation over the next three years.
The Obama administration has announced a major initiative to expand biofuel production, pumping much needed capital into the sector.
A coordinated program between the U.S. Departments of Agriculture, Energy and Navy will invest up to US$510 million over the next three years to support biofuels for U.S. commercial and military transportation.
“Biofuels are an important part of reducing America’s dependence on foreign oil and creating jobs here at home,” said President Obama. Fuel supplies are intended for use in air and marine transportation, and will be blended with existing fuels.
“But supporting biofuels cannot be the role of government alone. That’s why we’re partnering with the private sector to speed development of next-generation biofuels that will help us continue to take steps towards energy independence and strengthen communities across our country,” Obama added.
The cost sharing requirements are that companies match government funding dollar for dollar. The question is whether the investment will be enough of a catalyst to actually drive biofuel development much further beyond where it stands today.
Aug 17, 2011
the government should invest $500 billion ,$500 million is only a drop in the bucket.This is a solid field of endeaver that should be heavyly developed.
Unless 100% of bio-fuel comes from non-food sources they need to stop this madness before food prices go any higher than they already have. 40% of the 2011 US corn crop is going to ethanol production when the amount of corn planted has dropped by over 1 million acres since 2007 and corn yields have dropped because of droughts. The government inflation rate avoids factoring in food prices so they can hide the fact that prices have spiked in the last 3 years on any food product that involves corn, like beef, milk, chicken, eggs and thousands of other food stuffs.
Current bio-fuel technology takes from the food supply. It is also unsustainable to use tons of petrolium based fertilizers to grow crops for bio-fuel. That alone makes a major investment in bio-fuel a foolish act.
how are you ever going to find out if there are ways to make bio-fuels work? If we never invested in anything without a clear benefit at the start where would we be? Probably not communicating on the internet like this, that's for sure.
I don't think anyone expects bio-fuels to replace all current petroleum based fuel. I certainly don't think we can grow enough feed stock for that. But there are applications where liquid fuels are the best, like aviation and maybe we can cover that. I expect within a decade if not sooner the price of petroleum will become prohibitive for many uses and bio-fuels will become more competitive.
These people are not looking for improvements in bio-fuel, they are looking for money to build their projects. The basic technology of making bio-fuel has changed little in 100 years. All they have done is find additional materials to make it from. The major flaw in bio-fuel is that except for fuel made from waste products, think the underground pig farm in Mad Max Beyond Thunderdome, you cannot grow a bio-fuel feed stock in sufficient quantities without the use of petroleum-based fertilizers. With oil stocks running out that is an unsustainable product. If the bio-fuel market was sustainable there would be investors like Warren Buffett all over this. But investors like him run from these proposals because they can see the writing on the wall that they are unsustainable. So these scam artists are looking for a government handout.