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TO: Jim Freeman

CC: Bill Holder

DATE: September 18, 2012

FROM: Christopher Joe

SUBJECT: Problems with Ethanol as Fuel

Introduction

This report describes the benefits and dangers of using gasoline that contains ethanol in engines of farm equipment. The abundance of corn and the increasing price of gasoline have made ethanol seem like the obvious solution to the energy crisis. However, research shows ethanol to have many flaws that could possibly lower its value as a fuel alternative. Although ethanol might have many benefits, we can’t overlook the negative effects that may even over shadow the benefits.

Ethanol at a Glance

• Gasoline that contains ethanol receives its name based on the percentage of ethanol in the mixture (i.e. E10 contains 10% ethanol and E15 contains 15% ethanol).

• Congress has approved gasoline that contains up to 15% ethanol.

• Fermented plants, such as corn and grain, produce ethanol.

• Ethanol oxygenates gasoline, which causes the gasoline to combust cleaner and more completely.

Benefits of Ethanol

Ethanol burns cleaner than gasoline. Thus, ethanol added to gasoline reduces harmful emissions. Experts claim that greenhouse gases released by an ethanol-gasoline mixture produce 12% to 19% lower emissions.[1] Ethanol also supplement gasoline, often imported. Thus, ethanol offers a way to produce fuel domestically and reduce dependency on foreign oil. Ethanol, on average, considered a renewable resource may provide a solution to the energy crisis.[2] The remains of ethanol created from corn ends up in animal feed. This dual produce feature makes animal feed a co-product of ethanol production, which can be put back into the agriculture industry.[1] Agriculture benefits from ethanol production because of the stability that the need for grains brings to the industry. Over the past few years, the price of corn has increased as shown in figure 2. This increase has a strong correlation to the increased use of ethanol in gasoline. The increased value of corn produces more job. Thus ethanol, from one perspective, can create more jobs because of the increased value of corn. Some economists argue that ethanol can improve the economy of America.

Figure 1- Price of Ethanol vs. Unleaded Gasoline

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Figure 2- Price of Corn from 2002 to 2012

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Reduced Fuel Efficiency

Ethanol can provide an alternative to gasoline. However, many engineers question the efficiency of ethanol. Studies have shown that E10 and E15 have produced 3-5% less mileage than the equivalent volume of pure gasoline.[3] Engineers see this trend magnified in vehicles with low fuel efficiency ratings. Recently, Consumer Reports tested a 2007 Chevy Tahoe with E85 and pure gasoline. The study showed a decrease from 14 mpg to 10 mpg when gasoline was replaced with E85, a 28.5% decrease.[2]

Corrosive Properties of Ethanol

Ethanol, created through a distillation process, remains an alcohol.[4] Ethanol, considered a solvent, has a tendency to wear away plastics, rubbers, and other materials.[2] This characteristic becomes a problem when engineers examine the inside of an engine. Maintenance engineers must replace these parts regularly to keep the engine running at its full potential, and repairs can cost hundreds, even thousands of dollars. The residue from the dissolved parts builds up on filters and valves, and further reduces the efficiency of the engine.[3] Seals, hoses, and even fuel tanks can become weak, causing interruptions in the fuel flow, and in worst-case scenarios, leaks of the highly flammable fuel. Older engines and parts show major susceptibility to the corrosive properties of ethanol because they were not made to withstand the damage that ethanol could cause.[4]

Tendency to Attract Water

Alcohols have a tendency to attract and retain water, and ethanol shows no exception.[3] One of the problems with storing an ethanol-gasoline mix for long periods of time shows that ethanol will attract all water in tank. As a result, the water will cause the mixture to separate. If the separated mixture somehow ends up in the engine, the engine will not run properly and damage could incur.

Conclusion

The information provided should raise concerns about the use of ethanol in mechanized farm equipment. Although the increased use of corn to distill ethanol has provided growth and stability to the agriculture industry, the harmful effects of ethanol could outweigh its positive effects. While ethanol reduces the release of greenhouse gases into the air, the loss of fuel efficiency requires more fuel, which releases more greenhouse gases and counteracts any positive effects the ethanol created. Any reduction in the price of gasoline because of the added ethanol might seem significant, but when we factor in the cost of engine repairs as a result of ethanol, we find no cost effectiveness.

Our company, highly involved in not only the use of ethanol but also its production, should stay alert to its benefits and dangers. Concentrations of ethanol in fuel used for farm equipment continue to increase, and the company must take steps to protect itself and its products from damage. One possibility: get rid of the ethanol problem altogether by switching to pure, unleaded gasoline. The life of equipment would greatly increase, and this result would offset the slightly higher cost of fuel. The possibility of flooding the engine with water, due to separation in the fuel, would stop. Fuel efficiency would also increase with the use of pure gasoline and would increase the output of the machines. The company should also consider using engine parts more suited to resist the corrosive properties of ethanol. Currently, agriculture engineers perform a high volume of repairs on tractors and threshers because of the damage that ethanol causes to their engines. They could make these repairs much less frequently if parts withstood corrosion. While automotive engineers could work about the problems with the current amount of ethanol in gasoline , the amount of ethanol could soon increase to 20% or even higher. This company should prepare by addressing the ethanol problem now.

Sources

1. Nebraska Ethanol Board



2. Highlands Today: “The Problem with Ethanol”



3. Bell Performance: “Bell Performance Fixes Ethanol and Gasoline Problems”



4. Energy Consumers Edge: “Problems with Ethanol Fuel”



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