Sunday, May 20, 2012

Ethanol to the recovery

State Farm - Ethanol to the recovery
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Approximately twenty years ago we attempted to introduce ethanol into the store with much excitement. It failed. Now, with the rising cost of crude oil which effects the price of gasoline and diesel, we once again are bringing back the miracle cure, ethanol. My prediction? It will fail again. Ethanol from wood was first introduced in Germany back in 1898.... It did not last. We tried corn Ethanol in 1984 and 1990.... It did not last. Here we are again in 2008 and it will fail again eventually.

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How is Ethanol to the recovery

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Vehicles are built to run on the installation of the combustible process, not from corn. Eventually, every new vehicle built would have to be "corrected" in order to accept this new form of energy. Older model vehicles would have to be altered to run on the new fuel source. So every person in the United States with an older model vehicle would have to pay for this alteration? Yea, that is authentically going to happen.

We are already looking the decline in wheat and other farming products as farmers switch over to growing corn, and who can blame them? Thus, the prices of groceries are increasing, authentically offsetting any savings we may see with gasoline. As well as when population begin to realize they are losing 2-3 Mpg by using ethanol, will they continue to buy it? Also, what are the benefits of ethanol for the diesel industry?

The cost of diesel continues to rise naturally due to the fact of provide and demand. More and more countries are using diesel. E-Diesel is out there already, but every diesel driven vehicle would have to have a converter installed on it before using the ethanol blended diesel. Would this aid our truck drivers in experiencing savings in their profession? As the price of food continues to rise will we authentically see any savings at the pump? I don't think so.

The high cost of fuel is here to stay due to two main reasons.... First, provide and demand. We cannot keep up with the request for petroleum products, especially diesel. And secondly, and authentically most importantly.... Our country will not allow any more drilling or the building of refineries and plants. As long as we continue down this same road, the price of fuel will only go higher and the hardest hits will be our truck drivers.

So for now, we have reinstalled the "blinders" and fallen back to the ethanol miracle again. Ethanol will save us. Well, we'll see....

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