The economics of biofuels

Ensus, a manufacturer of bioethanol from wheat, has decided to suspend production at its plant in the North-east due to the poor harvest last year. How long this situation will continue for is anyone's guess but, somewhat remarkably, all of the plant's 100 workers are going to continue on full pay until the situation is resolved. Given that the winter wheat crop looks as though it may be in trouble too, that may be some time.

Interestingly, the Ensus plant seems to have been through this situation before.

The plant started operations in February 2010 but shut for 15 months from May 2011 until August 2012, also due to adverse market conditions.

So if I understand correctly, the plant has only actually operated for about 60% of the time since it was commissioned. The rest of the time it has been sitting idle and, since it re-emerged at the other end of the last shutdown, its staff may well have been retained then as well.

Reading between the lines then, the actual manufacture of biofuels seems to be somewhat peripheral to profits and losses of the Ensus factory. I'm left thinking that the biofuels industry must have some pretty interesting economics. Can anyone shed any light on this?

30 seconds

You turn your back for 30 seconds (well, a couple of days) and all hell breaks loose. I took some time off while we had guests over Easter and in my absence the volume of material appearing across the web has been astonishing, much of it focused on the Marcott paper.

It began when Marcott et al issue a thoroughly evasive FAQ about their "scythe" paper; McIntyre responded here. Pielke Jr took a pot shot at the integrity of the climate science field and called for the paper to be corrected, along with the press release and the newspaper reports. McKitrick published an op-ed on the subject in the mainstream media. And to round it off, McIntyre accused Tamino of plagiarising his insights into the workings of the Marcott paper (although we have seen just as bad from Tamino in the past - he clearly has issues).

Climate remains a field in which you cannot relax your concentration for a moment.

Introducing 'The Scythe' - Josh 213

 

It has already been concluded by Marcott et al that their results should now show no modern uptick i.e. no Hockey Stick blade. As Richard Drake notes at Climate Audit the new look graph is like a scythe. An appropriate metaphor for those who are now reaping what they sowed for so many years. 

Cartoons by Josh

Shaun of the dead blade - Josh 212

Shaun Marcott's much discussed FAQ includes reference to Michael Mann's infamous Hockey Stick, which, of course, has been comprehensively de-wooded by our esteemed host. Marcott thinks his results are, you know, just like the Hockey Stick graph results. Who are we to disagree?

Cartoons by Josh

No joke - Josh 211

The Marcott FAQ at Real Climate has been causing comment over the Easter weekend, particularly at Climate Audit. Roger Pielke Jr also has an excellent post, aptly titled Fixing the Marcott Mess in Climate Science.

Roger writes in the comments:

"There are a few bad eggs, with the Real Climate mafia being among them, who are exploiting climate science for personal and political gain. Makes the whole effort look bad."

H/t to Anthony at WUWT for requesting this cartoon.

Posted by Josh

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