1. The Truth about Alternative Energy Michael Ott Director, Iowa BioDevelopment Indian Hills Community College otterm@gmail.com August 19 th, 2005

2. Overview  Eddyville facility  Why are alternative fuels important?  Ethanol  Biodiesel  Wind and solar  Q & A

3. Eddyville Complex

4. Why Alternative Fuels?  312 Billion gallons of oil were consumed in the US in 2004, 138 Billion gallons of motor gasoline¹  By 2008, 8 Billion gallons of ethanol will be produced  Global production of oil continually increases, so far outpacing demand  Hubbert’s peak has yet to be reached ¹ http://www.eia.doe.gov/emeu/cabs/usa.html

5. Ethanol  Corn vs. Sorghum vs. Organic Waste  Wet vs. Dry Milling  Input  Byproducts  Cellulosic ethanol  Genetic modifications to corn  It does NOT take more energy to produce than it creates, allowing for the sun  Zero Net emissions occur

6. Ethanol Process

7. Can I use ethanol in my car?  Ethanol increases octane rating  E10 vs. E20 vs. E85  On older cars or lawnmowers, it can be rough on lines and seals  Burns cooler and slightly less efficiently  Flex-fueled cars can recognize the fuel and adjust accordingly

8. Ethanol at Gas Stations  Ethanol is subsidized in Iowa by a tax credit to gas stations  Ethanol cannot travel through pipelines with regular gasoline  At $2.40/gallon, ethanol is price competitive

9. Ethanol and Biodiesel  Carbon Dioxide (CO 2 ) and Dried Distiller’s Grains (DDGs) are byproducts of the dry milling process  DDGs are used in cattle feed  This helps farmers realize a return on their investment  The oil in DDGs can be extracted, and then turned into diesel fuel

10. Biodiesel  Only 50 Million gallons of biodiesel were made in 2004, twice the output of 2003  A new plant in Iowa Falls will make 37.5 million gallons  Vegetable oil is reacted with alcohol, giving glycerin as a byproduct  3.2:1 energy balance makes it the most efficient alternative fuel

11. Biodiesel facts  It can be used in any ratio  B2 vs. B5 vs. B20 vs. B100  It has a natural lubricating effect  Zero sulfur emissions  It has a solvent effect  Microbial growth problems just like regular diesel  It is less toxic than NaCl

12. Biodiesel usage  All new tractors made by John Deere  Many cars in the Canadian government fleet use biodiesel  Buses in Atlanta and Chicago  It’s easy to make at home, but remember to pay your taxes or dye it red  EU regulations support biodiesel, but no standards have been set

13. Wind and Solar  Wind power works well in certain suitable local areas  Self optimizing turbines  Environmental concerns  Solar power is becoming much more efficient  Rooftop panels  Focused beam units

14. Wind & Solar  Engineering advances will decrease price and increase adoption by the general public  Typically takes between 3-12 years to recoup investments, and environmental concerns aren’t a factor for the general populace

15. Conclusion  Obviously, energy problems are on the horizon  Alternative fuels offer near term solutions  Ethanol and biodiesel offer great environmental benefits and decent economic benefits  Off-the-grid solutions are emerging

16. Websites to visit www.ethanol.orgwww.ethanoltoday.comwww.biodiesel.org Feel free to contact me with any questions at: otterm@gmail.com otterm@gmail.com