Brazil sacrifices rainforests for ethanol fuel
The example of Brazil is instructive, according to a Leader Editorial in The Australian (9/8/2006, p.15). For more than 25 years, that country has mixed its petrol with 22 per cent ethanol, obtained from its abundant sugar cane resources.
Many cars, particularly those made and sold in the 1980s, run exclusively on ethanol and today 80 per cent of cars sold in Brazil are so-called "dual fuel" vehicles that can run on petrol, ethanol or both.
Ethanol alternative success: As a substitute for foreign oil, the program has been a success (albeit an unnecessary one, as Brazil developed large oil reserves after implementing the program). In Brazil, ethanol replaces about two million litres of petrol a day.
No ethanol effect on petrol prices: But Brazilians haven’t seen much of a hip-pocket benefit. Ethanol has not made petrol appreciably cheaper.
Rainforests must fall for sugarcane: Furthermore, growing sugar cane for ethanol is not environmentally neutral. Rainforest is cleared in Brazil to grow the stuff, and everywhere it is grown the crop requires heavy amounts of water and fertiliser.
Brazil experience as ideal model for Australia: Brazil’s example is apposite for Australia, as our production of ethanol could similarly never replace more than 10 to 30 per cent of our petrol. There are other potential hurdles as well. Weaning Australians, however slowly and gradually, off imported energy can only be a good thing.
Agriculture power "fraught with dangers": But giving the agriculture industry a chance to set policy is fraught with dangers, considering the agrarian socialism preached by some sectors of the farm lobby.
LGP as another alternative: There are other options for Australian motorists. Liquefied petroleum gas, or LPG, technology should be a natural option for us, especially given Australia’s vast reserves of it.
LGP option too pricey: But converting a car to run on LPG is expensive; Prime Minister John Howard has been asked to consider $1000 grants to help motorists make the switch, but an Excise Equalisation Program will see its tax advantages disappear by 2012.
The Australian, 9/8/2006, p.15
Source: Erisk Net