Environmental, economic, and energetic costs and benefits of biodiesel and ethanol biofuels
- Jason Hill
- Erik Nelson
- David Tilman
- Stephen Polasky
- Douglas Tiffany
- Departments of *Ecology, Evolution, and Behavior and
- Applied Economics, University of Minnesota, St. Paul, MN 55108; and
- Department of Biology, St. Olaf College, Northfield, MN 55057
- Contributed by David Tilman, June 2, 2006
Abstract
Negative environmental consequences of fossil fuels and concerns about petroleum supplies have spurred the search for renewable transportation biofuels. To be a viable alternative, a biofuel should provide a net energy gain, have environmental benefits, be economically competitive, and be producible in large quantities without reducing food supplies. We use these criteria to evaluate, through life-cycle accounting, ethanol from corn grain and biodiesel from soybeans. Ethanol yields 25% more energy than the energy invested in its production, whereas biodiesel yields 93% more. Compared with ethanol, biodiesel releases just 1.0%, 8.3%, and 13% of the agricultural nitrogen, phosphorus, and pesticide pollutants, respectively, per net energy gain. Relative to the fossil fuels they displace, greenhouse gas emissions are reduced 12% by the production and combustion of ethanol and 41% by biodiesel. Biodiesel also releases less air pollutants per net energy gain than ethanol. These advantages of biodiesel over ethanol come from lower agricultural inputs and more efficient conversion of feedstocks to fuel. Neither biofuel can replace much petroleum without impacting food supplies. Even dedicating all U.S. corn and soybean production to biofuels would meet only 12% of gasoline demand and 6% of diesel demand. Until recent increases in petroleum prices, high production costs made biofuels unprofitable without subsidies. Biodiesel provides sufficient environmental advantages to merit subsidy. Transportation biofuels such as synfuel hydrocarbons or cellulosic ethanol, if produced from low-input biomass grown on agriculturally marginal land or from waste biomass, could provide much greater supplies and environmental benefits than food-based biofuels.
- corn
- soybean
- life-cycle accounting
- agriculture
- fossil fuel
High energy prices, increasing energy imports, concerns about petroleum supplies, and greater recognition of the environmental consequences of fossil fuels have driven interest in transportation biofuels. Determining whether alternative fuels provide benefits over the fossil fuels they displace requires thorough accounting of the direct and indirect inputs and outputs for their full production and use life cycles. Here we determine the net societal benefits of corn grain (Zea mays ssp. mays) ethanol and soybean (Glycine max) biodiesel, the two predominant U.S. alternative transportation fuels, relative to gasoline and diesel, the fossil fuels they displace in the market. We do so by using current, well supported public data on farm yields, commodity and fuel prices, farm energy and agrichemical inputs, production plant efficiencies, coproduct production, greenhouse gas (GHG) emissions, and other environmental effects.
To be a viable substitute for a fossil fuel, an alternative fuel should not only have superior environmental benefits over the fossil fuel it displaces, be economically competitive with it, and be producible in sufficient quantities to make a meaningful impact on energy demands, but it should also provide a net energy gain over the energy sources used to produce it. We therefore analyze each biofuel industry, including farms and production facilities, as though it were an “island economy” that is a net energy exporter only if the energy value of the biofuel and its coproducts exceeds that of all direct and indirect energy inputs (see Tables 1–6 and Supporting Text, which are published as supporting information on the PNAS web site). Biofuel production requires energy to grow crops and convert them to biofuels. We estimate farm energy use for producing corn and soybeans, including energy use for growing the hybrid or varietal seed planted to produce the crop, powering farm machinery, producing farm machinery and buildings, producing fertilizers and pesticides, and sustaining farmers and their households. We also estimate the energy used in converting crops to biofuels, including energy use in transporting the crops to biofuel production facilities, building and operating biofuel production facilities, and sustaining production facility workers and their households. Outputs of biofuel production include the biofuels themselves and any simultaneously generated coproducts. For purposes of energy accounting, we assign the biofuels themselves an energy content equal to their available energy upon combustion. Coproducts, such as distillers’ dry grain with solubles (DDGS) from corn and soybean meal and glycerol from soybeans, are typically not combusted directly; rather, we assign them energy equivalent values.











