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SUMMER 2007 Corn Ethanol Isn't the Answer No panacea for the climate crisis No solution to oil independence Creating a global food crisis The price of yellow corn on the world market has already hit a ten-year high, in part due to ethanol’s rising popularity, says the BBC. But while having the price of Doritos and hamburgers go up in the US hardly seems like a crisis, consider the domino effect. The US corn crop accounts for 40 percent of the global harvest, supplying 70 percent of the world’s corn exports and about 25 percent of total world grain exports, according to the Earth Policy Institute (EPI). Substantially reducing this export flow to make corn ethanol for our cars “would send shock waves throughout the world economy,” says Lester Brown, EPI’s founder. Corn prices are tied to other grain prices, so as the cost of corn rises, world grain prices will likely follow suit. While US consumers, particularly low-income families, will see significant hikes in food prices, the world’s poor, who rely heavily on imported grain, will be hit the hardest. In May, Ian Cherret, head of the United Nations Food and Agriculture Organization, warned that people in Guatemala were facing a hunger crisis, due in large part to the rising cost of corn. The average benchmark price for corn in Guatemala rose almost 30 percent in the last year. “The increase in the price of maize has left this sector of the population much more vulnerable than they were before,” Cherret told Reuters. And while the world’s poorest would be sent reeling by exorbitant grain prices, we in the US wouldn’t even gain all that much: Converting the entire US grain harvest to corn for ethanol would satisfy 16 percent of our fuel needs, while the corn used to fill a 25-gallon vehicle tank with ethanol one time would feed one person for an entire year, says Brown. A danger to our health and the Earth Nitrogen runoff from farms is also contaminating water wells around the country. A 1998 study by the National Center for Environmental Health found that 13 percent of the domestic drinking-water wells in the Midwest contained unsafe levels of nitrates, which can cause birth defects. In addition, groups like the Sierra Club note that ethanol produces even more smog than gasoline, contributing to the poor air quality that’s behind increased instances of childhood asthma and lung problems in adults. A recent study by Stanford University atmospheric scientist Mark Z. Jacobson concluded that “a high blend of ethanol poses an equal or greater risk to public health than gasoline,” as widespread use could cause possible increases in respiratory-related deaths and hospitalizations. Archer Daniels Midland (ADM) is the main player in the ethanol sector, responsible for about 40 percent of US ethanol production—and its environmental record is nothing to be proud of. According to the nonprofit Corpwatch, ADM is currently under investigation for approximately 25 violations of Superfund laws. ADM has been cited several times by the EPA for flouting the Clean Air Act, including 52 plant violations resulting in a $351 million settlement with the EPA and US Department of Justice in 2003, one of the largest such settlements on record. In 2002, ADM landed in the top ten of the Political Economy Research Institute’s Toxic 100 index, which ranks the nation’s largest companies based on pollution levels. And in 2006, Ceres measured how 100 leading global companies are responding to global warming, looking at board oversight, public disclosure, emissions accounting, and strategic performance. On a 0 to 100 scale, ADM scored a dismal total of 12 points. An increase in GMO corn crops As demand for corn increases, biotechnology companies are developing new breeds of corn intended specifically for conversion into ethanol. These agribusiness giants are already using their GMO technology to gain a stranglehold on the booming ethanol industry. Corporate behemoth Monsanto has teamed up with Cargill to form Renessen, a biotechnology and processing company that is designing a new breed of GMO corn for ethanol production. The MAVERA “high value” corn plant is genetically engineered to increase starch content, and it can only be processed in a specific manufacturing plant designed by Renessen. Likewise, because the Renessen plant is engineered to produce ethanol from MAVERA corn, Because GMO crops are often designed to be pesticide- and herbicide-resistant, farmers can put massive amounts of chemicals on their crops without killing them, resulting in an increase in herbicide use on GMO crops. A 1999 study by Benbrook Consulting, which reviewed over 8,000 university-run field tests, showed that farmers growing a Round-Up- resistant GMO soybean applied two to five times more chemicals than conventional farmers. A sucker punch for family farmers When corn prices rise, animal feed prices for dairy and meat farmers rise along with it. So far this year, these US farmers have been hit hard by a 25 percent rise in feed costs. And though corn farmers are being paid more for their harvest, they don’t stand to profit as much as those who turn that corn into ethanol, and processing plants are being increasingly consolidated into the hands of agribusiness giants like ADM. As corn prices continue to rise, Tom Philipot of Maverick Farms, an organization supporting sustainable agriculture, predicts that farmer-owned cooperatives are likely to be forced to sell to “deep-pocketed” corporations like ADM. In addition, corporations also dominate the biotechnology used to grow much of the corn, as noted above. Companies like Monsanto and Cargill are likely to increase the cost for ethanol “breeds” of corn, such as MAVERA, squeezing out any advantage to family farmers. “So you have farmers who are going to be forced to grow a specific breed of corn if they want to be able to sell their harvest,” says Eric Holt-Gimenez of the FoodFirst Institute, “and even if they choose not to, and to sell elsewhere, there’s a high probability that their crops will be contaminated by GMO corn. So what you’ve got is the consolidation of industry down to specific technology, which hurts small farmers.” Standing in the way of
cellulosic ehtanol However, even while people speak about the future of cellulosic ethanol, ADM and other corporations continue to move full steam ahead toward a corn ethanol infrastructure, supported by continuing government corn and corn ethanol subsidies. In fact, the Energy Policy Act of 2005 and the Renewable Fuels Standard, which offer various supports and incentives for “alternative” fuels, promote corn ethanol above other fuels, because more cars can already accept it and more plants are currently producing it. And 45 states have laws encouraging corn ethanol use and production. Doug Koplow of the International Institute for Sustainable Development estimates that total government support for corn ethanol comes to between $820 million and $1.4 billion per year. With ADM and the powerful agri-corp lobby building corn ethanol infrastructure as fast as they can, it’s going to be very difficult to make a meaningful shift to more climate-friendly cellulosic ethanol. The methods used to make corn ethanol differ so widely from those for cellulosic ethanol, that the 80 new corn ethanol plants slated for production in 2007 alone will be useless in making cellulosic ethanol. “We’re committing ourselves to decades of dependence on corn ethanol,” says Freese. “Once you build that infrastructure, you pen yourself in. We can’t use those same corn ethanol plants to process cellulosic ethanol.” Stop the ethanol insanity “Anyone can see by looking at the characteristics of the different biofuels that corn ethanol isn’t ‘green,’” says Alisa Gravitz, Green America’s executive director. “You don’t have to crunch numbers very long to conclude that ethanol isn’t a fuel solution for people or the planet. As a country, we should be moving towards driving less, improving fuel economy, and advancing plug-in hybrids powered by electricity from renewable, green sources.”
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