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Groups Push For Ethanol Growth

Fallow Lands Could Produce Ethanol, Supporters Say

POSTED: 6:29 pm HST May 30, 2008
UPDATED: 6:35 pm HST May 30, 2008

Critics are saying it's time for Congress to reconsider ethanol as an alternative fuel, and Hawaii politicians are pushing full-speed ahead to promote ethanol production on fallow sugar lands.

KITV's Denby Fawcett reported why supporters say ethanol production is still a good idea in Hawaii.

Critics said the diversion of corn into ethanol in the Midwest has made food costs soar and increased the cost of animal feed.

But in Hawaii, the state's ethanol push is different because producers intend to use land currently not in food production.

"In Hawaii, so much of our (agriculture) land is lying fallow, and it is not growing anything but weeds, and many people are eying it for other developments -- mainly housing projects, and why would we want to encourage that over energy independence or food independence?" House Majority Leader Rep. Kirk Caldwell, D-Hawaii, said.

Two local companies said they are considering growing sugar for fuel.

Gay and Robinson Sugar Plantation, on Kauai, with partner Pacific West, said it has a permit to go, but it said it still needs more financing.

"We are literally converting ourselves from being a sugar company into an energy company," Gay and Robinson President Alan Kennett said.

Kennett said he expects to announce an ethanol deal in a few months.

Maui Land and Pine, working with Kamehameha Schools and Grove Farm, said it is interested in sugar to ethanol, but it said its first priority now is turning algae into aviation fuel.

Supporters said turning sugar into ethanol takes eight times less energy than converting corn to fuel.

"We are already using a lot of ethanol in Hawaii now after a state law in 2006 required 10 percent ethanol be mixed into our gas -- but of course we (are) importing," Caldwell said.

About 40 million gallons of ethanol is imported each year, officials said, which supporters said is another reason to push for locally-grown ethanol.

Mixing ethanol in gas in Hawaii is saving Hawaii residents money at the pump, officials said. Many said that is hard to believe with gas now more than $4 per gallon in some areas.

Until July 1, 2009, residents will get a 4.5 percent general excise tax exemption on ethanol-mixed gas, which amounts to a tax break of about 16 cents a gallon, according to industry officials.
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