Cost and Carbon Savings from Innovative Conversion of Agricultural Residues

Abstract

High prices of energy and environmental damages from fossil fuels are some motivations for research into cleaner bio-based alternate fuels. Ethanol from agricultural and forestry residues, energy crops, and other forms of lignocellulosic biomass could address these issues and result in net CO₂ reductions. Arkansas, with its well-established agricultural base, can reap significant economic benefits from a biofuel revolution. Higher agriculture values and the associated multiplier effects will boost state GDP, while individual producers will benefit from better price realizations and market stability. Furthermore, biofuel emissions contain far lower levels of the toxic contaminants typically associated with fossil fuels. Simulations in this article highlight the economic and environmental benefits of ethanol from agriculture. Economic modeling is necessary to formally ascertain the scope, the environmentally sustainable scale of production, and the optimum size of operation.

Keywords:

• agricultural residue management
• bioenergy
• carbon banking