Abstract:
This study presents a pro forma cash flow analysis of a cellulosic ethanol production facility in Florida, as well as insight about potential air quality impacts of cellulosic ethanol production and use. The economic analysis is based on a real company, Vercipia, which will produce cellulosic ethanol biochemically from a hybrid of sugarcane known as “energy cane”.
Overall, the project as modeled is economically beneficial to the economy, governments and company given the assumptions made. Compared to conventional gasoline production and combustion, cellulosic ethanol will decrease greenhouse gas production; however, this benefit may be outweighed by production of air toxics. The impact of ethanol combustion on air toxic production must be determined before a more accurate conclusion of total benefits can be made.
