Campos de Pesé has indefinitely suspended the production and marketing of ethanol because the price set by the government for the biofuel does not even cover the cost of acquiring sugar cane.
The 40% decrease in the ethanol price established by the government last August affected the cost structure of the company, which in a statement sent to the media said that the decision taken by the government “… changes the rules of the Game and violates legal certainty. ”
Rafael González, President of the Board of Campos de Pese told Panamaamerica.com.pa that the company “… three years ago invested about $100 million in expanding its operations and the acquisition of a distillery, attracted by the government’s interest in producing biofuel. ”
‘… According to the manager, promises were made to both the company and its employees, that a decision that would be taken to safeguard this project and the social and environmental benefits involved, promises that in his opinion were not kept.”
Source: Panamaamerica.com.pa
Great news !
Ethanol in fuel is arguably the very worst kind of socialist cronyism imaginable.
Not only does ethanol production increase many food prices,and require increased taxation to pay for the huge subsidy, it is less than ideal as a fuel. In short, your mixed fuel takes you less far than if it was fully petroleum based, among other detrimental properties. Worse yet, ethanol in engines causes more internal corrosion and degradation of seals. In other words engines have a shorter lifetime. Your car is worth less more quickly.
Ethanol ranks alongside the global warming scam as one of history’s most stupid, unredeeming fiascos perpetrated by our ignorant politicos.
Perhaps the only saving grace from ethanol is the increased carbon dioxide in the air to help food production, so long as the earth does not cool down much more.
Regards
Harold