We need to accelerate the move from corn-based ethanol to more sustainable biofuels. The conversion ratio is twice as good, but the enzyme process is twice as expensive. Many of the corn ethanol plants can be easily modified to produce cellulosic ethanol from the waste of farm crops. We can't continue to raise the price of food and skew production patterns. It seems worth it to have differential tax incentives to do this right.This is part of a speech for the audience, its unlikely, in my opinion, that it would be politically possible to import cheap ethanol to the US from Brazil, even if there was a joint project between the countries in a third Caribbean nation.
We should consider doing a joint investment with Brazil, potentially in the Caribbean, which would import sugar cane-based ethanol into the U.S, but it would not be subject to the tax that is placed on the rest of Brazilian ethanol. It might not be politically feasible, Clinton added.
Clinton also sugests
Biofuels are also just a transition to electric and hybrid cars. We have this electric vehicle technology today, and it's made in America. The technology would probably require larger tax credits, but it would be worth it because the prices for electronics would immediately drop -- think the iPhone or a flat screen TVs.
So the interest in Biofuels could only be there for the medium term. This idea is pretty much pie in the sky until battery technology improves and there is an environmentally acceptable carbon free route to electricity generation.