Ethanol is supposed to be good for the environment. It throws off less greenhouse gas that carbon-based sludge like oil and coal. OPEC has even asked the US to slow down development of alternative energies as a sign of good faith. It would not want oil demand to be replaced with other energy sources which could drive crude prices down.
It turns out that the "greenness" of ethanol is the stuff or urban legends and folklore. New information shows that ethanol throws off more CO2 than traditional fuels.
It is not a dirty trick by the oil companies. According to The Wall Street Journal "while the U.S. and others race to expand the use and production of biofuels, two new studies suggest these gasoline alternatives actually will increase carbon-dioxide levels."
As it turns out, when farmers tear up forests and grass lands to plant corn it release huge amount of carbon into the air. Voila, more problems for the atmosphere.
Since an entire industry with hundreds of companies has grown up around ethanol, the news may hit that sector hard. Over the long run it could hurt the demand for corn from US farms.
It is another victory for Big Oil and its shareholders. Someone has to stand up for them. It might as well be the scientific community.
Douglas A. McIntyre
Find a Qualified Financial Advisor (Sponsor)
Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to 3 fiduciary financial advisors in your area in 5 minutes. Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests. If you’re ready to be matched with local advisors that can help you achieve your financial goals, get started now.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
