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Out of a ton of straw you can create half a ton of paper pulp and a quarter of a ton of bioethanol.
For bioethanol, the mixture has been fixed at 7%.
We believe that it was an excellent analysis of the potential development of the bioethanol industry.
The amendment also suggests extending the duty cut to bioethanol and bringing the reduction forward from next year.
We are not aware of any sales of bioethanol.
Indeed, bioethanol can be made from a variety of sources and in a variety of ways.
If we did the same with bioethanol and petrol, the total cost at the pump would be a further 0.6p per litre.
Studies have been carried out and several international seminars held, on the use of bioethanol as substitute for lead as an octane booster in petrol.
In other cases, there will be an opportunity to use existing co-products for new purposes—for example, the use of wheat straw to produce bioethanol.
However, if one introduces a tax break to allow cars to run on bioethanol one would have fundamentally to re-engineer the engine of each car.
It has a sister called bioethanol derived from wheat, potatoes and sugar beet.
The point to remember is that, although bioethanol is a pathway fuel, it is also a long-term fuel for a hydrogen economy.
Bioethanol comes from a field crop and is essentially an agricultural raw material.
Hydrogen can be created by using bioethanol, which provides a zero emission fuel right up the line.
That will not have any significant impact on bridging cost differentials between bioethanol and fossil petrol.
