Cellulosic Biofuel Supply with Heterogeneous Biomass Suppliers: An Application to Switchgrass-based Ethanol
AbstractThe potential of biomass for alternative energy production has attracted considerable attention because of associated implications for energy security, food supply, and climate change. This paper considers the economic impacts of spatial variation and landowner behavior on potential biomass supply for U.S. cellulosic biofuel. We develop and apply a long-run biomass production through bioenergy conversion cost model that incorporates heterogeneity of biomass suppliers within and between local markets. An application to U.S. switchgrass-based cellulosic ethanol production suggests cost-minimizing biofuel production decisions, which include biorefinery size, biomass transportation distance, and price of biomass, vary significantly across locations. An aggregate switchgrass ethanol supply curve developed from local biofuel supply estimates is used to evaluate the potential for and cost of achieving cellulosic biofuel production targets such as the revised Renewable Fuels Standard. Empirical results suggest spatial variation in biomass production conditions plays an important role in the potential supply and distribution of U.S. cellulosic biofuel production.�
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Bibliographic InfoPaper provided by Iowa State University, Department of Economics in its series Staff General Research Papers with number 36359.
Date of creation: 13 Aug 2013
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Postal: Iowa State University, Dept. of Economics, 260 Heady Hall, Ames, IA 50011-1070
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Web page: http://www.econ.iastate.edu
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biofuel; biomass; cellulosic ethanol; RFS2; switchgrass;
Find related papers by JEL classification:
- Q11 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Aggregate Supply and Demand Analysis; Prices
- Q16 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - R&D; Agricultural Technology; Biofuels; Agricultural Extension Services
- Q41 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Demand and Supply; Prices
- Q42 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Alternative Energy Sources
- Q48 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Government Policy
This paper has been announced in the following NEP Reports:
- NEP-AGR-2013-08-23 (Agricultural Economics)
- NEP-ALL-2013-08-23 (All new papers)
- NEP-ENV-2013-08-23 (Environmental Economics)
- NEP-URE-2013-08-23 (Urban & Real Estate Economics)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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