The use of ethanol as fuel: The fuel vs. food debate

According to Rep. Juan Miguel Zubiri, Marubeni Corp. plans to put up at least five ethanol-runco-generation/distillery plants in the Philippines. Zubiri, the chief author of House Bill 4629 (Biofuels Act of 2005) said that Marubeni is looking at the feasibility of bidding for the construction of five ethanol plants in San Carlos, Bukidnon and other locations in Negros. The lawmaker forecasts that by 2010, the country would need 20 ethanol plants to meet the 5% blend demand. Simultaneously, Zubiri is poised in trying to incorporate in the bill the 1% mandatory blend of coco-biodiesel.

On a small scale, the use of biofuels may be beneficial for fuel supplies, but promoting their use to unsustainable levels under current technology brings a lot of problems, issues and concerns, i.e., hunger. To a great extent, the long-term prospects for biofuels depend on how quickly and effectively second-generation substitutes, e.g., cellulosic feedstock, can be adopted.

Based on what I have gathered and read, an increase in ethanol production will likely put additional upward pressure on the prices of food (International Monetary Fund, IMF). According to the IMF, food prices across the world increased by 10% in 2006 due to surging corn and wheat prices following poor harvests in major producing nations and increasing United States demand for ethanol.

The US has been criticized over its ethanol drive, sparking a food vs. fuel debate. President Fidel Castro (Cuba) predicted that more than 3 billion people worldwide will starve because of the US' plans to utilize corn to produce motor fuel. In addition, President Hugo Chavez (Venezuela) advocates his support on the use of ethanol as a fuel additive, but not the US' plan to replace gasoline with ethanol altogether. He views the US initiative as an irrational and imperialist strategy that could sacrifice arable land utilized for various food crops.

The IMF expects that higher grain prices would put unnecessary upward pressure on meat, dairy and poultry prices by raising the cost of feeding animals. Higher biodiesel demand would also affect the prices of soya bean and other edible oil. Its call? The developed world should lower tariffs on ethanol imports from countries such as Brazil, where biofuels production is cheaper and more energy-efficient.

Believe me when I say that I am not against the use of renewable energy sources. I am all for it! The AnitoKid's call? I humbly asked that Rep. Zubiri et al. contemplate on the short- and long-term impacts of such big-scale projects before proceeding. Measures designed to pro-actively promote and protect the various facets that make up the economic freedom of the Filipinos should be incorporated in the bill. At this point in time, do it on a small scale. Then, study its impact on different variables that influences the economic performance of the location, region, and the country as a whole. These include, but are not limited to, job creation and steady employment opportunities, environmental concerns, energy efficiency of the process, trends in the prices of domestic crude oil and gas products, and food prices. After only a careful examination of the performance of such economic indicators should we proceed with such an undertaking.

After all, we are not the US nor Brazil. Let us not pattern our undertakings on theirs. Why? Because no one wants to go hungry! Tsk. And I kid you not.