Ethanol Fuel Around the World

The current trend of increasing fuel costs is not something limited to here in the United States, it is something happening all over the world, and effecting all different markets.  Different scientific think tanks are working with ethanol fuel and other options to combat the increasing costs associated with fossil fuels, and governments are investigating new options as well.  This isn’t a new problem, however, it has only just recently gotten as bad as it is.  For years, people have been putting ethanol into their fuel tanks as and additive to gasoline.  Since the 1970s, in fact, the United States has required that an additive be placed with gasoline to cut back on carbon dioxide emissions and ethanol has been permitted as one of these key additives in amounts of up to 10%.

Other countries have different permissions and even requirements in regards to ethanol fuel and ethanol fuel mixtures.  Brazil is one of the most aggressive in regards to ethanol fuel requirements.  Gasoline in Brazil must include at least 25% ethanol content.  This is the largest ethanol requirement enforced by law anywhere in the world, netting Brazil the number two slot for ethanol production and consumption per a year with 4,491 million gallons in 2006. The US is still number one in ethanol production with 4,855 million gallons in 2006.  This leads to 88% of the world’s ethanol being produced in Brazil and the US.  Of course, when compare to gasoline, this doesn’t even begin to make a dent.

Recently, other small nations have turned toward ethanol as a way to enhance their economy.  Thailand, Colombia, and Central American countries are quickly ramping up their ethanol fuel production centers.  Other countries produce sizable amounts of ethanol, but nowhere near the amount between Brazil and the US.  In 2006, Russia produced 1,710,000,000 gallons and India produced 5,020,000,000 gallons.  These are not the only countries producing ethanol, but show the difference in the amount produced by different countries.

In Europe, we see 90% of the total ethanol being consumed is also produced there.  The countries in Europe that have most embraced ethanol fuel technologies are Sweden, Germany, France, and Spain.  In Sweden alone there are 792 e85 (or 95% ethanol fuel) gas stations in existence.  France has over 130 E85 stations with more than 500 under construction.  In Central America, northern South America, and the Caribbean are ideal places for sugar cane crops.  As such, the ethanol produced from these crops is some of the highest ethanol yielding available.   As demand for ethanol increases, companies in these regions are looking to cash in on the process.

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