Energy Tomorrow Blog
Posted November 8, 2013
When corn to produce ethanol requires more growing space, there’s less room for other crops, driving those prices higher. Demand for corn to make ethanol is driving the cost of feed for livestock higher, making meat costlier. And when some kinds of meat rise in price, demand (and thus, price) increases for cheaper meat. The American Frozen Food Institute (AFFI) and the American Meat Institute (AMI) add their voices to the other food industry perspectives on the RFS that we've highlighted in recent weeks.
Posted November 7, 2013
Check out a new video that quickly and efficiently captures the compelling reasons the Renewable Fuel Standard (RFS) should be repealed.
When the RFS was created in 2007, the U.S. was in a much different place energy-wise, looking at a future dominated by energy scarcity. But with the shale energy revolution that has unfolded in the past few years, driven by innovative technologies that have resulted in advances in hydraulic fracturing and horizontal drilling, the U.S. is producing oil at levels not seen in nearly a quarter century.
Posted November 6, 2013
They’re at it again. The ethanol lobby’s biggest voice, the Renewable Fuels Association (RFA), issued a press release last week trying to defend E15, the controversial fuel blend containing up to 15 percent ethanol. Only in this case, RFA was defending against an imaginary argument.
RFA claims the development of new vehicle models that can withstand E15 – which research has shown could damage enginesand fuel systems in models that weren’t designed to use it – “shines a bright light on Big Oil’s long-sustained, detrimental resistance to infrastructure build out.”
It’s an imaginary argument because no one opposed the increasing availability of E15-compatible cars. The problem with E15 is the 95 percent of the vehicle fleet that isn’t built to handle E15 and the retroactive nature of the E15 partial waiver.
Posted November 5, 2013
America’s Resurgence in Manufacturing Starts in the Shale Fields
Forbes: Our economy is straining at the bit to grow out of the Great Recession. You wouldn’t know that from the dreary news on both the jobs and GDP growth front. The good news is found in the incredible potential for high-paying jobs, growth and wealth creation bubbling up in America’s manufacturing sector.
Manufacturing is hot, even though we’re supposed to be in a post-industrial economy. The transformation in American manufacturing today is redolent of a century ago when innovation and growth in the industrial landscape was blossoming in both big companies and start-ups…
The dramatic growth in U.S. oil and gas production has not arisen from new discoveries or the opening of off-limits federal lands, but from new technologies and techniques that literally manufacture liquid and gaseous hydrocarbons from solid shale rock. Widely reported as “fracking” – hydraulic fracturing – the story is in fact one of deep industrial innovation, digital technologies and software. In other words, it is a secular shift in the industrial landscape.
Read more: http://onforb.es/1hgVN6i
Posted November 4, 2013
The Outsiders Who Saw Our Economic Future
Wall Street Journal: The experts keep getting it wrong. And the oddballs keep getting it right.
Over the past five years of business history, two events have shocked and transformed the nation. In 2007 and 2008, the housing market crumbled and the financial system collapsed, causing trillions of dollars of losses. Around the same time, a few little-known wildcatters began pumping meaningful amounts of oil and gas from U.S. shale formations. A country that once was running out of energy now is on track to become the world's leading producer.
What's most surprising about both events is how few experts saw them coming—and that a group of unlikely outsiders somehow did. Federal Reserve chairmen Alan Greenspan and Ben Bernanke failed to foresee the financial meltdown. Top banking executives were stunned, and leading investors such as Bill Gross, Jim Chanos and George Soros didn't fully anticipate the downturn.
Read more: http://on.wsj.com/172n4PZ
Posted November 1, 2013
Last year the National Council of Chain Restaurants (NCCR), the country’s leading organization exclusively representing chain restaurant companies, released a PwC report that detailed the impact of mandates under the Renewable Fuel Standard (RFS) for ever-increasing corn ethanol use in fuel. The report estimated that by 2015 the RFS mandate would increase total costs for chain restaurant owners by up to $3.2 billion per year for every year the RFS remains in effect.
Posted October 31, 2013
The Outdoor Power Equipment Institute (OPEI), an international trade association representing more than 84 small engine, utility vehicle and outdoor power equipment manufacturers and suppliers worldwide, is closely watching public discussion of the Renewable Fuel Standard’s ethanol mandates and the push for wider use of E15 fuel. That’s because the small engines its members build and supply aren’t designed for higher ethanol blends. A look at E15 from OPEI and others in the small-engine sector.
Posted October 29, 2013
Op-ed: Exports Bring Myriad Benefits
Houston Chronicle (James Clad): After the Arab oil embargo of 1973, America's energy dependence became the most obvious flaw in our superpower status.
Now, thanks largely to the shale revolution, domestic U.S. oil production is pushing imports to a 25-year low, holding down global prices despite Asian demand and Middle East/North Africa supply disruptions.
While the U.S. seems set to displace Saudi Arabia as the largest oil producer by 2020, our natural gas production has lifted our geopolitical gravitas. Now the world's largest natural gas producer, the U.S. is poised to take a growing profile as a gas exporter.Read more: http://bit.ly/18zur0R
Posted October 29, 2013
The National Turkey Federation (NTF) doesn’t just believe recent polling that finds two-thirds of Americans believe that, under the Renewable Fuel Standard (RFS), using more corn for ethanol production could force up food prices, they have data to prove it.
Posted October 28, 2013
The American Motorcyclist Association (AMA) talked last week about a recent survey from Harris Interactive that showed: “… more than three-fourths of Americans fear that E15 fuel may damage car engines and fuel system components, the American Motorcyclist Association reports. Also, more than two-thirds of those surveyed believe that using more corn for ethanol production could force up food prices …”
Here is more on E15, from the AMA.