Home Local News ECONOMIC STUDY SAYS CARBON PIPELINES NECESSARY FOR ETHANOL PLANT SURVIVAL

ECONOMIC STUDY SAYS CARBON PIPELINES NECESSARY FOR ETHANOL PLANT SURVIVAL

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THE IOWA RENEWABLE FUELS ASSOCIATION HAS RELEASED AN ECONOMIC STUDY THAT SAYS USING CARBON DIOXIDE PIPELINES AT ETHANOL PLANTS WILL INCREASE PROFITS AND KEEP MOST OF THE INDUSTRY FROM LEAVING THE STATE.

DAVE MILLER OF DECISION INNOVATION SOLUTIONS WROTE THE REPORT WHICH SAYS TAKING ADVANTAGE OF FEDERAL TAX CREDITS FOR REDUCING CARBON IN ETHANOL WOULD DRAMATICALLY IMPROVE MARGINS.

STUDY8 OC…..BASICALLY DOUBLES” :14

THE CARBON DIOXIDE HAS TO BE TAKEN OUT TO MAKE ETHANOL MORE CARBON FRIENDLY TO COMPETE WITH OTHER FUELS.

MILLER SAYS WITHOUT CARBON SEQUESTRATION, THE ETHANOL PRODUCTION IN IOWA WOULD MOVE OUT TO ANOTHER STATE WHO WOULD TAKE ADVANTAGE OF THE TAX CREDITS.

STUDY9 OC……….OF IOWA” :14

IOWA RENEWABLE FUELS ASSOCIATION PRESIDENT, MONTE SHAW, SAYS OTHER CARBON CAPTURE OPTIONS FOR ETHANOL PLANTS TAKE TIME TO DEVELOP AND IOWA COULD LOSE 75 PERCENT OF ITS PLANTS WITHOUT THE PIPELINES:

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SHAW SAYS HE UNDERSTANDS THE CONCERNS ABOUT PIPELINES BUT SAYS OVERALL PIPELINES HAVE AN INCREDIBLY SAFE TRACK RECORD.

HE SAYS IF WE CAN’T HAVE LOW-CARBON BIOFUELS, WE’RE GOING TO BE STUCK WITH NO CHOICE OTHER THAN ELECTRONIC VEHICLES.