Abstract
Biobased energy, particularly corn starch-based ethanol and other liquid renewable fuels, is a major element of federal and state energy policies in the United States. These policies are motivated by energy security and climate change mitigation objectives, but corn ethanol does not substantially reduce greenhouse gas emissions when compared to petroleum-based fuels in all production scenarios. Corn production also imposes substantial negative externalities (e.g., nitrogen leaching, higher food prices, water scarcity, and indirect land use change). In this paper, we utilize a partial equilibrium model of corn-soy production and trade to analyze the potential of reduced US demand for corn as a biobased energy feedstock to mitigate increases in nitrogen leaching, crop production and land use associated with growing global populations and income from 2020 to 2050. We estimate that a 24% demand reduction would sustain land use and nitrogen leaching below 2020 levels through the year 2025, and a 41% reduction would do so through 2030. Outcomes are similar across major watersheds where corn and soy are intensively farmed.
Keywords
Partial equilibrium mode, Agricultural demand forecasting, Renewable Fuel Standard (RFS), Biofuels policy, Energy security, Indirect land use change, Water scarcity, Agricultural trade modeling
Date of this Version
2-25-2023
Recommended Citation
Johnson, David R.; Geldner, Nathan B.; Liu, Jing; Baldos, Uris; and Hertel, Thomas, "Reducing US Biofuels Requirements Mitigates Short-term Impacts of Global Population and Income Growth on Agricultural Environmental Outcomes" (2023). Department of Agricultural Economics Faculty Publications. Paper 121.
https://docs.lib.purdue.edu/agedocs/121
Comments
This is the publisher PDF of David R. Johnson, Nathan B. Geldner, Jing Liu, Uris Lantz Baldos, Thomas Hertel, Reducing US biofuels requirements mitigates short-term impacts of global population and income growth on agricultural environmental outcomes, Energy Policy, Volume 175, 2023, 113497. Published CC-BY-NC-ND by Elsevier, the version of record and ADA Title II compliant version is also available in HTML at DOI: 10.1016/j.enpol.2023.113497.