Ethanol is a renewable, largely domestic transportation fuel. Whether used in low-level blends, such as E10 (10% ethanol, 90% gasoline), or in E85 (85% ethanol, 15% gasoline), ethanol helps reduce imported oil and greenhouse gas emissions. Its use also supports the U.S. agriculture industry. This page details the benefits of ethanol.
Increasing Energy Security
Sixty percent of U.S. petroleum is currently imported. Of that, two-thirds is used for transportation. Depending heavily on foreign petroleum supplies puts the United States at risk for trade deficits, supply disruption, and price changes. Ethanol, on the other hand, is almost entirely produced from domestic crops today. Its use, and that of other alternative fuels, will not eliminate imported petroleum but can keep the portion more manageable.
Fueling the Economy
Ethanol production is a new industry that is creating jobs in rural areas where employment opportunities are strongly needed. The Renewable Fuels Association's Ethanol Industry Outlook 2007 Report (PDF 1.6 MB) calculated that in 2006 the ethanol industry increased gross economic output by more than $40 billion and supported the creation of more than 160,000 jobs. Download Adobe Reader.
Reducing Greenhouse Gas Emissions
The carbon dioxide released when ethanol is burned is balanced by the carbon dioxide captured when the crops are grown to make ethanol. This differs from petroleum, which is made from plants that grew millions of years ago. According to Argonne National Laboratory, on a life-cycle analysis basis, corn-based ethanol production and use reduces greenhouse gas emissions (GHGs) by up to 25% compared to gasoline production and use (source: Argonne National Laboratory GREET Model). Cellulosic ethanol use could reduce GHGs by as much as 100%.
