01043475

Component

Ethanol and hydrogen are receiving considerable attention as alternative fuels for transportation. They could reduce greenhouse gas emissions and promote US energy independence. The increasing cost of petroleum also makes the economics of alternative fuels more attractive. At 2006 gasoline prices, ethanol and hydrogen would have comparable or lower fuel costs. In this paper, we analyze distribution options (of pipeline, rail and truck) for alternative fuels using the State of Iowa as a test case. By switching to E85 in Iowa, local ethanol production from cellulosic biomass and corn could replace 82% of its gasoline use. Hydrogen derived from steam methane reforming at 7 facilities, capturing economies of scale, located nascent to population centers throughout Iowa could replace all gasoline usage in the state. We find that none of the scenarios we analyze are dominant with regard to all of the dimensions of user cost, capital costs, environmental costs and safety risks. There are strong economies of scale in distribution paths, so that a major shift to alternative fuels is needed to achieve the most cost effective distribution methods. There is considerable uncertainty in our cost estimates, particularly for the production costs of ethanol from cellulosic biomass, feedstock costs for hydrogen production and the future price of petroleum.

01042056

07-2843

English

14p

2007

Transportation Research Board 86th Annual Meeting

CD-ROM

Figures (7) ; References (21) ; Tables (3)

Air quality management; Alternate fuels; Biomass fuels; Corn; Energy consumption; Energy resources; Ethanol; Exhaust gases; Gasoline; Greenhouse gases; Hydrogen; Hydrogen fuels; Pipelines; Pollutants; Railroad transportation; Truck traffic

Iowa

Energy; Environment; Highways; Pipelines; Railroads; Terminals and Facilities; I15: Environment

Transportation Research Board Annual Meeting 2007 Paper #07-2843

TRIS, TRB

Feb 8 2007 7:32PM