How Brazil Alternative Fuel Is Changing The World

Brazil alternative fuel leads the world today, and many see it as an experiment in sustainable living. While the rest of the world cringes and watches anxiously as oil prices rise and political situations look precarious in the Middle East, Brazilians can breath a sigh of relief. As long as there is sugar cane in the nation's farms, everyone will be driving.

Last year nine out of ten vehicles bought in Brazil were "flex fuel" vehicles. This means that they could use either oil or ethanol, an alcohol that comes from sugar. This is the key to the Brazil alternative fuel revolution. If you pull up to the pump anywhere in Brazil, you will see that the price of ethanol is way below that of gasoline, sometimes nearly half the price. For most drivers, gasoline is a last resort.

How Did The Brazil Alternative Fuel Revolution Start?

The Brazil alternative fuel revolution is driven by people and their money choices, rather than government control. But, this wasn't always so. The Brazil alternative fuel movement started in the 1970's, during the oil crisis. As a response to the crisis, the military dictatorship of Brazil forced the change, switching to ethanol in 1975 so that they would not have to be so dependent on the world's oil.

The change was a success. By the early 1980's most cars were completely ethanol driven, and Brazilians were spending very little money on foreign oil. Government subsidies helped bring the cost of developing ethanol down so that it was a better deal for the consumer.

In the 1980's, the military dictatorship fell apart. With democracy and a drop in worldwide oil prices, oil consumption in Brazil jumped. However, since then oil prices have continually risen, and Brazilian consumers have responded by buying ethanol. Although the Brazil alternative fuel movement was started by government decree, it was consumer choice and capitalism that brought alternative fuel to the forefront.

The Future Of World Fuel

Now ethanol from sugar has completely broken Brazil's dependence on foreign oil. The procedure to get ethanol out of sugar is very simple and inexpensive. Since sugar is a leading crop in Brazil, this makes it all the more convenient, and also makes it a possibility for other countries with a large agricultural base, like the United States.

In fact, in 2006, President Bush suggested that ethanol may be an option for the United States, which he says is committed to breaking it's enormous dependence on Middle Eastern oil. Since then, Brazil has become a major destination not only for sun lover, beach bums and partiers, but for US lawmakers and businessmen. The attention of the world is turned on Brazil alternative fuel.

Some charge that ethanol is an inferior fuel to gasoline, and that it is slow and inconvenient for drivers. Although this is often put forward as a criticism of alternative fuels and defense of oil, nobody in Brazil seems to mind. As long as ethanol is so much more economical, they'd rather save the money.

Ethanol has also become a major export of Brazil. In 2006, Brazil actually exported as much as it used, setting an all-time record. This shows that interest is increasing all over the world. Still there are some holdouts, like the United States, which hit Brazil with a huge tariff to keep Brazilian ethanol from reaching American consumers.

Ethanol is not perfect, but it suits Brazil just fine. It may be a stepping stone to something better in the future. If nothing else, the case of Brazil shows us that alternative fuel can be economical and consumer driven.

Sources

"Brazil leads field in alternative fuel race." Guardian Unlimited
http://observer.guardian.co.uk/business/story/0,,1779588,00.html

"Brazil's Road To Energy Independence." The Washington Post
http://www.washingtonpost.com/wp-dyn/content/article/2006/08/19/AR2006081900842_2.html

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