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U.S. addiction to imported oil can be broken with biofuels

In his State of the Union speech Tuesday night, President George W. Bush stated the obvious: America is addicted to oil. In response, Bush, a man with deep roots in the Texas oil industry, suggested the federal government will help accelerate research and development in biofuels, wind and solar power as well as promote the latest nuclear energy technologies.

For nearly three decades, politicians in Washington have talked about weaning the U.S. from dependence on imported oil. As Bush noted in his speech, this national addition is costly in terms of both economics and national security. With the dramatic economic development of both China and India, Americans are already facing increased competition for the finite global supply of oil. And that competition will only grow more fierce.

One approach out of this fuel crisis is to grow our own. Skeptics will suggest that such an idea is unrealistic and will find many reasons it won't work. But a glance at Brazil's ethanol industry will show what's possible.

Following the Arab oil embargo of the 1970s, Brazil made the decision to slash or eliminate its reliance on imported oil. With massive amounts of agricultural land and an ideal climate for growing sugar cane, Brazil is well on its way to growing the fuel it needs to power its cars and trucks — a sector that in the U.S. represents about half of total energy consumption.

Supporting such a move in the United States is the fact that the bio-fuel offers a clear win-win situation, not only benefiting drivers with cheaper and cleaner fuel but also helping farmers by creating new demand and predictable markets for their crops.

In Brazil, where ethanol production has eliminated the need to import oil, the estimated $69 billion that would have gone to the Middle East for gasoline or crude oil has remained to be invested in the domestic economy. And the boom in sugar cane farming and ethanol production has brought economic vitality to many rural areas of Brazil. The same thing can happen in the U.S.

According to an article in Fortune magazine, Ethanol in Brazil was recently selling for 40 percent less than gasoline in 2003 and 2004. Even though gasoline prices are predicted to remain high, most Brazilian drivers are prepared for any unexpected price changes because 73 percent of new cars sold come with "flex-fuel" engines — engines that can run on gasoline or ethanol and any blend of the two fuels. If markets change, drivers just fill up with whatever is cheaper.

Though typically made from corn, new technological are proving that ethanol can be made from other material, such as the stalks of the corn (now considered waste), wood chips and even hearty switchgrass. Technological breakthroughs are also reducing the amount of energy required to produce ethanol.

Bush's endorsement of biofuels as a way to wean the American addiction to oil is seen by some as a "Nixon to China" opportunity in which Bush has an opportunity to push a bold societal change. Skeptics, however, suggest Bush's roots are too deep in Texas oil fields to give him any credibility pushing for alternatives to petroleum, and the talk of biofuels in his speech was just that — talk. Time will tell.

Regardless of Bush's commitment, it is clear that ethanol and other plant-based fuels, such as biodiesel, offer a realistic way to dramatically reduce U.S. consumption of imported oil. The technology is already available and is being improved with continuing research.

A strong and serious commitment from the president could help speed the transition to American drivers burning more ethanol and biodiesel — and less gasoline. But even without government assistance, consumer demand and market opportunities could be powerful enough on their own to end America's dependence on foreign oil.

By pushing for accelerated development of a domestic biofuels industry, Bush has an opportunity to show that he places the economic and security interests of the nation above the financial interests of his former colleagues in the oil business. He should not miss the opportunity.

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