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Back Seat Driver: Biofuels may ADD to global warming

Say it ain’t so!

Granola crunchy biofuels may actually add to global warming, according to The New York Times.
Boy, the bloom is fast coming off the biofuel rose.

Just a year or so ago, biodiesel and ethanol were all the rage; the fuels that were going to save us from both petroleum dependency on the Middle East and global warming.

Well, biodiesel remains the fuel of choice for the Professor Crackpots in their garages. Indeed, production is so low compared to petro-diesel that it barely appears on the radar screen.

Meanwhile, the ethanol “fuel of the future” miracle is looking less credible by the day. It is about 20 percent less efficient as a fuel than gasoline. And it is corrosive and can clog up engines if allowed to sit and absorb water, as it has a propensity to do.

In addition, federal subsidy programs have resulted in excess demand for corn, driving prices up, while limited outlets for ethanol has resulted in a glut, driving prices down.

Now comes the news that the destruction of natural ecosystems, such as forests and savannahs, to make way for corn production is adding to global warming.

Citing the journal Science, the NYT says the destruction of the ecosystems not only releases greenhouse gases when they are burned, but deprives the planet of natural sponges to absorb carbon dioxide.

The news is unlikely to deter production of corn and ethanol, however, as there is too much money at stake. And so we have to swallow an unexpected setback on the road to energy independence and relative climate stability.

Posted by Peter C. T. Elsworth  at 3:12 PM to Environment , commentary | Permalink | Comments 0

Back Seat Driver: Chrysler to cut models, dealerships

Chrysler is changing faster than you can say Mitt Romney.

The company, which was taken private by Cerberus Capital Management last year, says it plans to cut its range of models by as much as half and reduce the number of its dealerships by much as a third, according to the Detroit Free Press.

All this comes under a recently announced Project Genesis, as in beginning. Project Genesis replaces Project Alpha, as in beginning, which called for dealers to sell its Chrysler, Dodge and Jeep brands under one roof.

Those initiatives follow the elimination of 12,000 jobs announced in November, following the elimination of 13,000 jobs announced last February.

The company also dropped four models in November, including the Chrysler Crossfire and Dodge Magnum.

While Romney’s presidential candidacy partly foundered on shattered credibility as he flipped former moderate positions to suit conservative voters, the moves by Chrysler are an aggressive effort to get on the same playing field with Asian manufacturers.

Analysts have argued, for example, that over half of domestic dealerships, which sell an average of 600 vehicles a year, need to be closed in order to compete with import dealerships, which average more than 1,200 sales.

Hopefully Chrysler’s changes will have the opposite effect from the reaction to Romney’s shifts and increase its credibility with the consumer.

Posted by Peter C. T. Elsworth  at 12:16 PM to Chrysler , commentary | Permalink | Comments 0