What is the Future of Biofuels?

Ethanol industry group, Growth Energy, wants U.S. legislators to require fuel makers to label their products with countries of origin, according to a Reuters report. 

The group, which is co-chaired by retired U.S. Army General Wesley Clark, believes that U.S. consumers should be informed of where their fuel comes from.

If legislators comply, consumers will be able to exercise some choice–according to the U.S. Energy Information Administration, in 2008 Canada was the leading exporter of oil to the United States, followed by Saudi Arabia, Mexico and Venezuela. 

It’s not likely that such labeling will directly affect the struggling ethanol industry, however it may boost grassroots support for the industry’s two major policy initiatives–requiring greater production of flex-fuel vehicles and raising the allowable blend of ethanol in gasoline from 10% to 15%.

According to a recent Wall Street Journal report, the global credit crisis, reduced demand, and delayed government regulations threatens two of the three major sectors within the biofuel industry. 

Read "U.S. Biofuel Boom Running on Empty" at the link below.