Course:ECON371/UBCO2010WT1/GROUP7/Article5

Biogas Article Wiki Article #5

Main Article 1. http://news.nationalgeographic.com/news/2007/06/070625-swedish-biogas_2.html

Counter Argument 2. http://news.nationalgeographic.com/news/2007/05/070509-un-ethanol.html

You tube Clip 3. http://www.youtube.com/watch?v=1isMvdPyr7Q

How biogas plants work 4. http://www.youtube.com/watch?v=3UafRz3QeO8&feature=related

Collective Summary

Usually the use of human waste, especially alcoholic would not be linked to the development of alternative fuel sources. In 2006, the swedish government confiscated 200,000 gallons of alcohol, that was smuggled into the country. This newly acclaimed alcohol is now the basis for the production of “biogas”. The alcohol and biomass are converted into anaerobic digesters, which are then broken down and turned into biogas. Converting alcohol, feces and animal carcasses as proved beneficial to Sweden, in there innovative approach to alternative fuel sources.

In Linkoaping, Sweden the environmentally friendly alternative fuel source discovered is being used as a platform in eliminating harmful carbon dioxide fumes that are normally found through burning fossil fuel emissions. This relatively new discovery is already being implemented into the Swedish lifestyle by incorporating “biogas” into 5-6% of the transportation fuel used in the fuel economy, hoping to be 100% in 2010. The managing director,Carl Lillehöök, explains that substituting biogas for 5 million liters of gasoline can save 12,000 metric tons of carbon dioxide emissions in Linkoaping alone.

Biogas is cheaper to produce and releases minimal emissions in contrast to gasoline. Sweden has hundreds of biogas filling stations; however, the primary drawback is the distribution a company must endure to spread this new innovative fuel strategy. Due to lack of conventional natural gas pipelines, the companies must bottle the biogas and ship it using large transportation systems to recipient localities. This raises the costs of the fuel, however since bio fuel is not subject to the same degree of taxation gasoline requires, the costs are not as detrimental. The average car will save up to 40 U.S cents per mile. Sweden has also launched an eco friendly bonus program, adding incentive to switch to an alternative fueled automobile.

Collective Analysis

Innovation Incentive - The bio fuel saves the individual money, as the costs associated with transporting the fuel via truck is less than the costs linked with the taxation of gasoline. The idea of bio fuel coupled with Sweden’s new eco-friendly car program is said to make Sweden oil free in 2020, while incurring extra savings in personal fuel economy. The only drawback of this is that a separate tank is needed within a vehicle for the biogas, it is not used in the same tank as gasoline. Thus, perhaps in this perspective, the incentive to integrate with this innovation might be limited. However, depending on the degree of incentives given by the government, people may be more inclined to purchase bi-fuel vehicles.

The counter argument regarding bio gas results in deforestation, depletion of soil nutrients and the monopolization of farm land. However, bio gas encompasses a massive inventory of alternative methods. Sweden’s particular approach uses waste derived from human and animal feces/carcasses as well as alcohol. This method of bio fuel production achieves more from lowering our dependency on gasoline and petroleum than the costs associated with deforestation and monopolization of farm lands. Deforestation through bio fuel results from bio fuel businesses clearing crops to grow alternative fuel crops, like the palm.

Essentially, the burning of fossil fuels, which can be replaced through an integration of bio fuel, is more beneficial than the emissions related to deforestation.

Also, the argument of how will the government persuade the public into complying into the regulations of recycling their home-waste products? Doesn't the public already have a difficult time sorting paper and plastic into their respective bins? Case and point being, there would have to be immense enforcement of waste recycling if Sweden wants to become 100% bio-fueled; it would then 100% percent depend on the deeds completed by the public in regards to recycling that this innovative strategy could become prominent and flourish.



Prof's Comments

I want to see concepts from class - efficiency, marginal benefits, marginal costs, marginal damage, marginal benefit, etc. used. I see very little reference to class concepts in your analysis. I also am having an hard time figuring out which week this analysis is for.