Ethanol made from inedible matter such as crop waste and household trash will match the price of corn-based ethanol by 2016, potentially spurring output of the motor fuel, according to data compiled by Bloomberg.
Cellulosic ethanol costs about 94 cents a liter to produce, about 40 percent more than ethanol from corn, Bloomberg New Energy Finance said today in a statement. That gap will probably close within three years, according to a BNEF survey of 11 of the industry’s biggest companies.
“If our survey proves accurate, cellulosic ethanol will make meaningful inroads into the vehicle-fuel market during the last years of this decade,” Harry Boyle, a biofuel analyst at BNEF, said in the statement.
Source
Bloomberg News