SECO, the Texas State Energy Conservation Office, offers some insight into the value of various biomass crops as sources of energy and agricultural income. Texas is the number 2 agricultural-producing state and is home to a large percentage of family owned small farms to which biomass energy technology may provide welcome economic possibilities. Ethanol and biodiesel offer rural farm communities the potential for sustainable economic health. The fact that most biorefineries are located near fuel stocks and can often be co-operatively owned further adds to the dynamic economic potential.

Texas energy crops as identified by SECO:

• corn – ethanol
• switchgrass – low maintenance/high yield crop (3X corn yield) ethanol/biodiesel source
• sorgum – short rotation ethanol additive and source / less irrigation than corn
• sugarcane – ethanol source (almost 2x corn yield) currently primarily sold to sugar refineries
• canola – potential hi-yield biodiesel source
• poplar and cottonwood trees – cellulosic ethanol (a developing technology)

Federal subsidies and tax incentive could accelerate the growth in biomass energy technology and production. Biofuels will soon become a multi-billion dollar industry. In his recent State of the Union address President Bush outlined the increases he has in the current Federal budget.

• $150 million for bio-based fuel research including cellulosic ethanol technology
• $148 million dollar for the Solar Initiative
• $44 million for wind energy research
• $281 million for clean coal technology research
• $54 million for the FutureGen clean coal initiative

States like Texas have an opportunity to develop a new rural economy and agri-industry. Ethanol refining plants, associated electric power generation from bio-fuels and creation of by-product feed-stocks provide a myriad of economic possibilities. TXU, the largest Texas power company, has proposed building 11 new coal-generated electric power plants to meet the states fast growing population’s energy needs. Perhaps biomass energy production could offset, or reduce, the necessity for the emissions generating coal plants.

In closing, Texas is differentiated from most mid-western states by the nature of its family and small farm infrastructure. Perhaps the state’s close ties with the current administration will aid Texas in the competition for government alternative energy subsidies now dominated by giant mid-western agri-conglomerates like ADM and the corn ethanol industry’s lobby.

Hopefully market forces, sound research and competition — not lobbyists, will determine the direction of the biomass fuel industry in states like Texas.
SECO

State of the Union Advanced Energy Initiative