Classification of Ethanol Consumers and Willingness to Pay for Reductions in Greenhouse Gas Emissions Through Purchases of E85

Classification of Ethanol Consumers and Willingness to Pay for Reductions in Greenhouse Gas Emissions Through Purchases of E85 PDF Author: Adrienne Elizabeth Marra
Publisher:
ISBN:
Category :
Languages : en
Pages : 128

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Book Description
In recent years, the issues of energy dependency and renewable energy options have gained recognition with not only policy-makers but also mainstream consumers. Understanding consumer beliefs and preferences related to these issues is therefore relevant as innovative renewable energy markets have the potential to change conventional consumer purchasing decisions. This paper investigates the beliefs and behaviors of U.S. consumers related to E85 ethanol from corn and cellulosic feedstocks. Four distinct market segments are created so that the ethanol market can be investigated more in-depth. Overall familiarity with ethanol as an alternative fuel is high; however, individual segments vary on beliefs related to corn and cellulosic ethanol, purchasing Flex-Fuel Vehicles, general concern for the environment, and many other factors. In order to successfully market ethanol to a diverse market, the preferences, beliefs and behaviors of these four distinct segments should be taken into account. While environmental concern has waxed and waned over time, issues like as climate change have come to the forefront of both domestic and international discussion and policy. The role of greenhouse gas emissions in contributing to climate change has been acknowledged. As a major source of emissions, transportation fuels are an obvious source of potential reductions in greenhouse gas emissions. This study segments consumers into four distinct market segments and uses a contingent choice method to determine willingness to pay for reductions in greenhouse gas emissions through purchases of E85 ethanol blends. Overall, willingness to pay is estimated at about 0.18 cents per gallon for each percentage in emissions reductions when compared with gasoline containing no ethanol (E0). Willingness to pay for emissions reductions varies in significance and degree across the four market segments. The diversity between the four segments implies that marketing plans should take into account the heterogeneity of consumers and make efforts to account for their varied needs and preferences.

Classification of Ethanol Consumers and Willingness to Pay for Reductions in Greenhouse Gas Emissions Through Purchases of E85

Classification of Ethanol Consumers and Willingness to Pay for Reductions in Greenhouse Gas Emissions Through Purchases of E85 PDF Author: Adrienne Elizabeth Marra
Publisher:
ISBN:
Category :
Languages : en
Pages : 128

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Book Description
In recent years, the issues of energy dependency and renewable energy options have gained recognition with not only policy-makers but also mainstream consumers. Understanding consumer beliefs and preferences related to these issues is therefore relevant as innovative renewable energy markets have the potential to change conventional consumer purchasing decisions. This paper investigates the beliefs and behaviors of U.S. consumers related to E85 ethanol from corn and cellulosic feedstocks. Four distinct market segments are created so that the ethanol market can be investigated more in-depth. Overall familiarity with ethanol as an alternative fuel is high; however, individual segments vary on beliefs related to corn and cellulosic ethanol, purchasing Flex-Fuel Vehicles, general concern for the environment, and many other factors. In order to successfully market ethanol to a diverse market, the preferences, beliefs and behaviors of these four distinct segments should be taken into account. While environmental concern has waxed and waned over time, issues like as climate change have come to the forefront of both domestic and international discussion and policy. The role of greenhouse gas emissions in contributing to climate change has been acknowledged. As a major source of emissions, transportation fuels are an obvious source of potential reductions in greenhouse gas emissions. This study segments consumers into four distinct market segments and uses a contingent choice method to determine willingness to pay for reductions in greenhouse gas emissions through purchases of E85 ethanol blends. Overall, willingness to pay is estimated at about 0.18 cents per gallon for each percentage in emissions reductions when compared with gasoline containing no ethanol (E0). Willingness to pay for emissions reductions varies in significance and degree across the four market segments. The diversity between the four segments implies that marketing plans should take into account the heterogeneity of consumers and make efforts to account for their varied needs and preferences.

Consumer Willingness to Pay for E85

Consumer Willingness to Pay for E85 PDF Author: Denise A. Skahan
Publisher:
ISBN:
Category :
Languages : en
Pages : 103

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Book Description
Concerns regarding energy security, resource sustainability, and environmental protection have heightened interests in renewable fuels and sparked the research and development of ethanol as a transportation fuel. This study examines consumers' willingness to pay for ethanol from various potential feedstocks; corn, switchgrass and wood wastes. Data was collected via a survey of fuel consumers across the United States in 2009. Results show that consumers have a preference for E85 (a fuel blend with 85 percent ethanol and 15 percent gasoline) from corn, switchgrass and wood wastes compared to E0 (gasoline) and a preference for E85 from switchgrass and wood wastes, but not corn when compared to E10 (10 percent ethanol and 90 percent gasoline). Also, consumers have a preference for E85 compared to E10 but not compared to E0. Mean WTP for E85 was insignificant across all models, but significant for all other product attributes; percentage of fuel imported, percentage of greenhouse gas emissions reduced, and the proximity of fuel in driving distance. This suggests a WTP for a combination of fuel attributes associated with ethanol rather than just for E85. Results suggest that price and proximity of the fuel have a greater impact on fuel selection than percentage of the fuel imported and reductions in greenhouse gas emissions. Republicans had a positive WTP for E85 compared to E10 and a negative WTP for E85 compared to E0 regardless of feedstock, which may suggest that Republicans actually have no preference for E85; however, these findings may also suggest that Republicans view E85 as a voluntary "policy" whereas E10 is an example of government intrusion in the free market. Thus, they may ultimately have preferences over the manner in which the blend is being introduced to the market. Across all models, those undecided in political affiliation, those previously familiar with ethanol, and those who prefer to devote U.S. farmland to food instead of fuel generally exhibited a lower WTP for E85 while Westerners, those worried about the environment, and those believe that reducing dependence on foreign oil is more important than environmental protection generally had a greater WTP for E85.

The Role of Bioenergy in the Emerging Bioeconomy

The Role of Bioenergy in the Emerging Bioeconomy PDF Author: Carmen Lago
Publisher: Academic Press
ISBN: 0128130571
Category : Technology & Engineering
Languages : en
Pages : 592

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Book Description
The Role of Bioenergy in the Bioeconomy: Resources, Technologies, Sustainability and Policy provides the reader with a complete understanding on how bioenergy technologies fit into the new bioeconomy paradigm. Sections focus on the main resources and technologies for bioenergy and its integration in energy systems and biorefining chains, analyze the available methodologies for assessing the sustainability of bioenergy, and address and the propose approaches that are demonstrated through concrete case studies. Additionally, the implications of bioenergy in the water-energy and land nexus is presented, along with new challenges and opportunities. This book’s strong focus on sustainability of bioenergy, both as a standalone, and in the larger context of a bio-based economy, makes it a useful resource for researchers, professionals and students in the bioenergy field who need tactics to assess the lifecycle and sustainability of bioenergy technologies and their integration into existing systems. Presents a complete overview of the main challenges that bioenergy will have to overcome in order to play a key role in future energy systems Explores sustainability aspects in detail, both qualitatively and by applying proposed methodologies to concrete bioenergy case studies Covers, in detail, the water-energy-land nexus implications and governance aspects

Ethanol in America

Ethanol in America PDF Author: Department of Energy (DOE)
Publisher:
ISBN: 9781980462446
Category :
Languages : en
Pages : 112

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Book Description
Here is unique information about ethanol, cellulosic ethanol, and E85 fuels from the DOE. Contents: Part 1: Handbook for Handling, Storing, and Dispensing E85; Part 2: Understanding the Growth of the Cellulosic Ethanol Industry. E85 Handbook: This document serves as a guide for blenders, distributors, sellers, and users of E85 as an alternative motor fuel. It provides basic information on the proper and safe use of E85 and offers supporting technical and policy references. E85 is an alternative motor fuel authorized by the Energy Policy Act (EPAct) of 1992, Section 301(2). As defined by EPAct, E85 is composed of 85% fuel grade ethanol and 15% hydrocarbons in the gasoline boiling range. Ethanol is a renewable, domestically produced fuel that can be made from grains, such as corn or wheat, or from biomass or cellulose sources, such as prairie grass and agricultural, forestry, or municipal waste matter. Several research studies show that E85 has the potential to substantially reduce petroleum fuel use and greenhouse gas emissions (GHGs). Driven by increasing gasoline prices, the market for E85 is growing. With consumer demand for alternative fuel vehicles (AFVs) increasing, auto manufacturers are working to produce more flexible fuel vehicles (FFVs), which are capable of operating on E85 or gasoline or a combination of the two. As of May 2010, there were 8.35 million FFVs on U.S. roads, and automakers were planning to produce several million more each year. FFVs are available in most vehicle classes, including sedans, minivans, trucks, and sport utility vehicles. The number of E85 fueling stations is growing rapidly nationwide. As of June 2010, there were 2,051 retail stations (out of 162,000 nationwide) offering E85 across the country. Several key factors affecting E85 growth and acceptance were recently addressed. The U.S. Environmental Protection Agency (EPA) issued a guidance document to states defining a process by which they could determine whether "Stage II" gasoline vapor recovery equipment would be required for new E85 pumps. In October 2007, Underwriters Laboratories, Inc., (UL) established standardized testing procedures for E85 fuel dispensers that address the unique properties of alcohol fuels when blended with gasoline. This testing standard (UL Subject 87A) was updated in August 2009. In addition, UL announced equipment listed for E85 use in June 2010. Cellulosic Ethanol Industry: This report identifies, outlines, and documents a set of plausible scenarios for producing significant quantities of lignocellulosic ethanol in 2017. These scenarios can provide guidance for setting government policy and targeting government investment to the areas with greatest potential impact. A prototype version of the Biomass Scenario Model (BSM) was used to develop the scenarios. The analysis underlying the scenario-generation exercise focuses on understanding the impact of two types of proposed government policies on the deployment of cellulosic biofuels technologies: Policies focused on reducing operating costs associated with cellulosic ethanol production. These policies include payments to feedstock producers and subsidies associated with production of cellulosic ethanol. Policies focused on reducing capital costs associated with cellulosic ethanol production. These policies include capital subsidies for construction of full-scale cellulosic ethanol production plants.

Impact of Ethanol Use on Food Prices and Greenhouse-Gas Emissions

Impact of Ethanol Use on Food Prices and Greenhouse-Gas Emissions PDF Author:
Publisher: DIANE Publishing
ISBN: 1437915493
Category : Business & Economics
Languages : en
Pages : 26

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Book Description
The production and use of ethanol in the U.S. have been steadily increasing since 2001, boosted in part by production subsidies. That growth has exerted upward pressure on the price of corn and, ultimately, on the retail price of food, affecting both individual consumers and fed. expend. on nutritional support programs. It has also raised questions about the environmental consequences of replacing gasoline with ethanol. This analysis examines the relationship between increasing production of ethanol and rising prices for food. It estimated how much of the rise in food prices between 4/07 and 4/08 was due to an increase on the production of ethanol and how much that increase in prices might raise fed. expend. on food assistance programs. Tables and graphs.

Estimating Willingness to Pay for E85 in the United States Using an Intercept Survey of Flex Motorists

Estimating Willingness to Pay for E85 in the United States Using an Intercept Survey of Flex Motorists PDF Author: Sebastien Pouliot
Publisher:
ISBN:
Category :
Languages : en
Pages : 0

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Book Description
Compliance with the Renewable Fuel Standard (RFS) in the United States will require price incentives for a substantial number of motorists with flex-fuel vehicles to switch to high ethanol-gasoline blends. Existing estimates of motorists' willingness to pay for high-ethanol blends use data from Brazil, data generated when prices greatly favored low-ethanol blends, or stated preference data collected from mail and online surveys. We conducted an intercept survey of flex motorists as they refueled in five U.S. states. We overcome the problem caused by sample prices favoring low-ethanol blends by augmenting revealed preference data with stated preference data. A sample-selection problem arises because motorists with high willingness to pay seek out the relatively few stations that sell high-ethanol blends. We use responses from two questions to inform sample selection. We find the average U.S. motorist requires a substantial discount to switch to high ethanol blends beyond the price that equates the cost per mile of driving.

Do Americans Want Ethanol? A Comparative Contingent-Valuation Study of Willingness to Pay for E-10 and E-85

Do Americans Want Ethanol? A Comparative Contingent-Valuation Study of Willingness to Pay for E-10 and E-85 PDF Author: Daniel R. Petrolia
Publisher:
ISBN:
Category :
Languages : en
Pages : 0

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Book Description
A nationwide contingent-valuation survey of consumer preferences for consumer fuel blends E-10 (a blend of 10% ethanol and 90% gasoline for use in standard vehicles) and E-85 (a blend of 85% ethanol and 15% gasoline for use in flex-fuel vehicles) was conducted to estimate willingness to pay (WTP) and identify key characteristics driving demand. Results indicate that overall perceptions of ethanol are positive, but ethanol is not the globally-preferred transportation-energy alternative, even among consumers with a positive WTP. Results indicate also that demand for E-85 is more price inelastic than E-10, with this result driven by consumers with no preference for E-10 but strong preferences for E-85. Finally, results also indicate that those consumers who are unsure about the micro-level benefits of E-85 are nonetheless more inclined to pay a premium.

Ethanol Economics and Ethanol's Impact on Food Prices and Greenhouse Gas Emissions

Ethanol Economics and Ethanol's Impact on Food Prices and Greenhouse Gas Emissions PDF Author: Darlene E. Marshall
Publisher: Nova Science Publishers
ISBN: 9781608760817
Category : Alcohol as fuel
Languages : en
Pages : 0

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Book Description
Ethanol production in the United States totalled almost 5 billion gallons in 2006, about 1 billion gallons more than in 2005. While this was a significant increase, further expansion in the industry is continuing, with production expected to exceed 10 billion gallons by 2009. This large and rapid expansion of U.S. ethanol production affects virtually every aspect of the field crops sector, ranging from domestic demand and exports to prices and the allocation of acreage among crops. Many aspects of the livestock sector are affected too. As a consequence of these commodity market impacts, farm income, government payments, and food prices also change. This book examines the economics of ethanol production and its impact on food prices and greenhouse gas emissions.

The Impact of Ethanol Use on Food Prices and Greenhouse-gas Emissions

The Impact of Ethanol Use on Food Prices and Greenhouse-gas Emissions PDF Author:
Publisher:
ISBN:
Category : Agriculture and energy
Languages : en
Pages : 16

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Book Description
The use of ethanol in gasoline has increased substantially over the past decade. Currently, most ethanol in the United States is produced from domestically grown corn, and the rapid rise in the fuel's production and usage means that roughly one-quarter of all corn grown in the United States is now used to produce ethanol. Since 2006, food prices have also risen more quickly than in earlier years, affecting federal spending for nutrition programs (such as school lunches) and the household budgets of individual consumers. The increased use of ethanol accounted for about 10 percent to 15 percent of the rise in food prices between April 2007 and April 2008, the Congressional Budget Office (CBO) estimates. In turn, that increase will boost federal spending for the Supplemental Nutrition Assistance Program (SNAP, formerly the Food Stamp program) and child nutrition programs by an estimated $600 million to $900 million in fiscal year 2009. Last year, the use of ethanol reduced gasoline consumption in the United States by about 4 percent and greenhouse-gas emissions from the transportation sector by less than 1 percent.

Fuel Options for Reducing Greenhouse Gas Emissions from Motor Vehicles

Fuel Options for Reducing Greenhouse Gas Emissions from Motor Vehicles PDF Author: Don H. Pickrell
Publisher:
ISBN:
Category : Alternative fuel vehicles
Languages : en
Pages : 80

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Book Description