The Organization for Economic Cooperation and Development recently released a report calling for a drawdown in subsidies and other support system for biofuel manufacturers, the latest in a wave of criticism that has come towards the biofuel industries. Opponents have expressed concern about burning food crop for fuel, not only because it might lead to shortages, but because it also uses valuable land suitable for farming. These groups are running into the large support lobby composed of mostly agricultural industry, who argue that biofuels reduced pollution and dependency on foreign oil.

Additionally, environmentalists are torn between their support for greenhouse-reducing biofuel use and their desire to put in place a cap on all carbon emissions. States that support biofuels (mostly in the midwest) are unlikely to support such a cap given their strong automotive and manufacturing industries. This has also left Brazil, who has perfected ethanol manufacturing, without a way to penetrate the US and European markets, which are too protected by the ag lobby.

The Biofuel Backlash

Labels: Advanced Energy