ALT FUELS CATCHING UP

Energy Management Institute Study Reveals Alternative Fuels Are Becoming Increasingly Competitive
March 9, 2007 (Oil and Gas Journal)
- The Energy Management Institute recently released results of a study that showed alternative fuels are…more cost-competitive than they were three years ago…Of the five commercially viable alternatives recognized by the U.S. Department of Energy, the results showed:

Biodiesel – 29.2% more cost-competitive
Ethanol – 17.4% more cost-competitive
Natural Gas – 41.4% more cost-competitive
Electricity – 36.0% more cost-competitive
Propane – 21.3% more cost-competitive
- … “We crunched a lot of data for this one,” said J. Scott Susich, Editor of EMI’s Alternative Fuels Index publication. “…We looked at the relationship between the cost of each fuel and the amount of energy one could buy on a BTU equivalent basis, and compared those values to their gasoline and diesel counterparts…In each case the data showed a continuing trend toward competitiveness…”
- The study quantifies advances in process technology and market efficiency…During the time-span studied, crude oil more than doubled to over $75 while Gulf Coast hurricanes wiped out more than a quarter of U.S. production capacity. The data clearly demonstrates the continued and growing viability of domestic renewable fuels…