Failed Ethanol Industry Wants More of Your Money

We nearly missed the Wall Street Journal post on how the corn ethanol industry is begging for bailout money from the federal government because it is going bust. (Hat Tip to Drew Thornley at Planet Gore.)

The commodity bust has clobbered corn ethanol, whose energy inefficiencies require high oil prices to be competitive. The price of ethanol at the pump has fallen nearly in half in recent months to $1.60 from $2.90 per gallon due to lower commodity prices, and that lower price now barely covers production costs even after accounting for federal subsidies. Three major producers are in or near bankruptcy, including giant VeraSun Energy.

So here they go again back to the taxpayer for help.

They want $1 billion in immediate subsidies and several billions more for "expansion." As if expansion of a losing proposition was a good thing. They just want to be too big to fail!

But chillingly there is this:

The lobby would also like Congress to ease the 10% limit on how much ethanol can be added to gasoline for conventional cars and trucks — never mind the potential damage to engines from such an unproven mix.

What we hear is that it goes beyond "potential damage." Corn ethanol is not safe to use. Several mechanics have told me that not only do you lose miles per gallon -- may I be permitted to say that anyone who is willing to lose MPG in this fashion is a dumbass? -- but it corrodes certain plastic parts that are inside every modern auto engine.

That taxpayers already have forked over $25 billion to the Agri-Corp hoax-masters of this travesty is bad enough. No more!