Iowa Public Television


USDA: Ethanol Reserve Not Practical

posted on March 2, 2007

USDA officials say the costs of creating an ethanol reserve similar to the strategic petroleum preserve, are too high at this time. According to Secretary of Agriculture Mike Johanns, there are "scientific issues that present a challenge" to storing ethanol.

Ethanol currently must be trucked or moved by rail because it absorbs water and corrodes pipelines. Johanns said that instead of storing ethanol, it would be far more reasonable for the government to store the corn used to make ethanol.

Johanns comments were made in regards to a suggestion made in February by Energy Secretary Samuel Bodman, who said "perhaps we should be thinking about having an ethanol reserve." The Renewable Fuels Association responded to Bodman by saying presently an ethanol reserve doesn't make much sense because every drop was being used.

Tags: agriculture biofuels ethanol news renewable fuels USDA