Ethanol not a real solution

By Dennis Byrne
Chicago Tribune

When no one was looking, the "world food crisis" elbowed out "global climate change" as our planet's Numero Uno calamity.

As if that weren't bad enough, we now discover that the two are connected; with this attempt to fix the climate by shifting away from fossil fuels to more "eco-friendly" renewable fuels, we have ended up starving people in Africa and Asia.

Seems like we can hardly settle on one cataclysm before another one demands our attention.

Food riots have broken out around the world; grain-producing countries have banned exports to feed their own people; food prices in the U.S. and around the world have gone through the roof. The UN—its usual bold self—created a task force to study the matter.

What shall we do, what shall we do? We can start by yanking the idiotic and elephantine government aid given to ethanol production, today's biofuel of choice. Farmland previously planted with corn for food and feedstock for cattle now is planted with corn for ethanol. The 15 percent of total corn acreage that in 2005 went into ethanol production has rocketed to an expected 33 percent this year as farmers abandon wheat and other grains to cash in. Naturally, the increasing scarcity of wheat—the staff of life—has driven up its price. And because the U.S. is the world's breadbasket, those higher prices and shortages rebound throughout the world. Just how much ethanol is at fault is an unsettled point of contention, with farmers and ethanol producers whining to Congress, "don't blame us." But a study by the Washington-based International Food Policy Research Institute estimates that biofuels—principally ethanol—have accounted for a quarter to a third of the recent food price increases.



Some experts saw this coming several years ago, but their warnings were drowned out by the simple-minded bleating of Greens. Just say "oil alternative" to a Green, and salivating follows, whether it is solar, thermal, wind or biomass power. And because it isn't the hated oil, some Greens blithely toss in other alleged benefits, such as reducing pollution and solving global warming. Jason Hill, a University of Minnesota ecologist, disagrees. "If we convert every corn kernel grown today in the U.S. to ethanol," he said, "we offset just 12 percent of our gasoline use."

Still, the duty, nay the moral obligation, to toss big money into ethanol research and production somehow has fallen to the government (read taxpayers). In subsidies, more than $8 billion annually.

Perhaps more important, the government has created a market—a false market—for ethanol by ordering that huge quantities be produced and added to our gasoline. Pay higher taxes, so that you can pay higher gas prices, chump. Greens have been remarkably quiescent about this debate, finding themselves in a fix. Do they favor costly, renewable energy at the expense of hungry Third World nations? Or do they abandon their knee-jerk advocacy of a popular but jejune energy solution?

The two contenders for the Democratic presidential nomination, Sens. Barack Obama and Hillary Clinton, stand on the side of the knee-jerk and big agribusiness solution: continue to pour more subsidies into ethanol production and oppose with high tariffs Brazilian imports of cheaper ethanol made from sugar. President Bush also is sticking by his support of big favors for the ethanol industry.

The pending $286 billion farm bill, which under usual circumstances is an unconscionable giveaway to agribusiness, makes only an infinitesimal, token cut in ethanol subsidies. Only the presumptive Republican presidential candidate, Sen. John McCain, has the guts to stand against the powerful farm and ethanol lobbies.

"I oppose subsidies," he said. "Not just ethanol subsidies. Subsidies."

If only our politicians in Illinois, one of the largest corn-growing and ethanol-producing states, had the same courage to stand up against the big business special interests. Instead of selling us out to them.