I agree with Bob Brinker on expanding our use of nuclear power. The technology is excellent and unlike other countries the standards of safety in the nuclear power industry is beyond comparison. I know the waste generated is a politically charged issue because no one wants it in their backyard but the risks are minimized by storing in remote and desolate areas like Yucca Mountain. There is also technology that can bury the waste deep in the ocean floors where there is virtually no risk of exposure to land or sea life. There are also cleaner coal technologies to explore more. We have hundreds of year’s availability to coal sources in the USA and we need to use it. Also, if the government gets off its duff and invests more into the technology of fusion this will be an even cleaner and safer energy source to draw from. The problem with these sources is they don’t power the combustion engine. We need liquid fuel.

Now let’s talk about fuel. Every year the consumer will use more and more fuel. You will transport yourself to work everyday to maintain or improve your standard of living. It’s the American way and I love it. Individually we can try to conserve and you may even get a group of your friends to conserve as well. But the fact of the matter is it would take a catastrophic event to lower our use of fuel. Every year there are thousands of automobiles added to the highways. Very few of those drivers live within walking distance of their work, school or play so they will choose to drive. Conservatism may make you feel good about yourself but it will not affect the overall use of fuel.

The standard for the last 40 to 50 years has been petroleum. For the last 30 years this industry has been controlled by a group of nations they call OPEC. Because we are addicted to oil they have a certain level of control over us. When these nations meet they make decisions of price and production. Believe me they do not set prices and production to benefit us. Over the past 30 years we have spent trillions of dollars for this black gold and we keep asking for more every year. OPEC is dominated for the most part by Saudi Arabia. The Saudi’s control OPEC because they can produce oil cheaper and have the largest reserves. Any time one of the other countries wants to sell cheaper the Saudi’s simply undercut them and put them back in their place. It costs OPEC approximately $1.50 to produce a barrel of oil. That includes research and development of new reserves. They sell it today nearly $100 per barrel. Nice profit. I could live pretty well on margins like that. We have to get away from these guys. They support fanatical terrorism all over the world with billions of dollars to wreak havoc all over the world. In essence we are funding the enemy we spend billions to fight. That’s what you call punching yourself in the face.

How do we get out of this mess? Energy Independence. We have to do whatever it takes to quit using their product. Part of that solution is biofuels. Biofuels use corn and other grains which right now are logistically and economically the best source. This won’t always be true. Cellulostic technology is improving every day and will someday be the standard. There is enough cellulose to produce every thing we need and more.

Also, as you stated earlier flex fuel technology is key and the government can do more by mandating flex fuel technology in all vehicles which will drive the demand and infrastructure to grow. With demand comes more research for additional sources that will certainly the cause as well.

I don’t deny that corn or bean derived biofuels have had an effect on food prices. But don’t give biofuels all the credit. One of the biggest players is China and other emerging industrial nations. Just look at the label of everything you purchase. Much of it is made in China or some other Asian country. Many of those products are produced from polymers made from our crops. Also, we can’t deny the large labor pool that needs to be fed. They are willing to pay whatever it takes feed the country and produce the products we depend on everyday. We also compete with them on many other chemical inputs that are used in crop production. I’m certainly not going to advocate any type of isolationism to avoid this because that’s just too dangerous.

So between higher input costs, even higher fuel costs and competition for all these, food prices are going to rise. When the obesity trends start spiraling downward then and only then will I feel food is getting uncomfortably high priced.

Corn for ethanol is simply the way it has to done for now. Someday we will look back at this and wonder what we where even concerned about.

While fermentation is a relatively similar manufacturing process regardless of the starting substrate, the infrastructure investments in E85 pumps and flex fuel vehicle engines will likely make ethanol a viable choice for several years into the future, regardless of starting feedstock (i.e. corn grain, corn stover, switchgrass, industrial waste, etc). Much more to come in the second part!

Regarding your food cost summation, all I can say is ‘Amen’. You are among a small but growing group of people who are spreading awareness of food production to people who largely don’t know or don’t believe that there is a complex process leading up to the meals that they essentially take for granted. I’m afraid that our abundance has made us almost arrogant in our ignorance, while others half a world away are dying because they don’t have access to a reliable food supply. Shame on us.

In relation to the cost of food, I think we’ve undervalued the real cost of food for years, driven by this notion that we should all enjoy “Value Meals” at incredibly low prices. The actual cost of production continues to rise (equipment, fuel, chemicals, storage, etc.), but the desire of the average consumer to cover said expenses continues to drop. I wish people understood that their food doesn’t grow, on command, in a grocery store.