Fuels of the Future

The pros and cons of different fuel alternatives for the economy and mother nature.

High gasoline prices have sparked a lot of interest among consumers in vehicles that can stretch their fuel dollars. Concern about air pollution, carbon-dioxide emissions, and U.S. dependence on imported oil is also driving research into nonpetroleum-based fuels and technology.

The good news is that automakers and other researchers have been working on a variety of alternatives to conventional gasoline-fueled, internal-combustion engines. But the reality is that only hybrids and upcoming "clean diesels" promise to be practical alternatives in the near future.

The petroleum problem

Some analysts see the recent spike in gasoline prices as a sign of things to come. Experts argue that it's only a matter of time before increasing worldwide demand and tightening supplies of this declining resource drive pump prices still higher, especially because the U.S. is increasingly dependent on oil imports from politically unstable parts of the world.

Predictions about when this will happen range from a decade or two to more than a century. For example, Colin Campbell, a petroleum geologist and former consultant to oil companies, has stated that petroleum will run short worldwide in about 20 years, by which time the U.S. will be importing 90 percent of its oil. In contrast, Michael C. Lynch, president of the consultant group Strategic Energy and Economic Research, says, "The pessimists underestimate how much oil will come on-line in the next few years. We'll still be using oil a hundred years from now, but a lot less of it. We'll see a gradual shift away from oil as nonemitting alternatives become more feasible."

Aside from pricing and supply issues, burning fossil fuels creates pollution-related health hazards and acid rain, and adds billions of tons of carbon dioxide (CO2) to the atmosphere annually. CO2 is thought to be a major contributor to global warming.

Searching for solutions

Technology can help, but as John Steele Gordon, a finance historian, has argued, a new technology replaces an older one only when it's cheaper, better, or both. So far, that's proved a stumbling block to many "green" vehicles that haven't been able to match the balance of price, convenience, performance, and driving range that conventional gasoline vehicles provide.

All-electric cars have failed to become commercially viable because of limited range and long recharge times. Alternative fuels have generated only niche markets. The clean-running hydrogen-powered cars are still in their infancy. And while diesels show promise, excessive emissions have remained an obstacle.

The alternative that has gained the most acceptance so far is the gas-electric hybrid, an innovative technology that meets conventional cars halfway.

Biodiesel: A promising blend

Another renewable fuel that is getting a lot of attention is biodiesel, a fuel made from vegetable oil that can be used to power diesel engines. Biodiesel is renewable, nontoxic, nonexplosive, and biodegradable, and it burns more cleanly than petroleum diesel.

Biodiesel is fuel made commercially from vegetable oil treated with lye to make it more viscous, and with other substances to make it last longer in storage. Mostly it is used in blends with petroleum diesel, in mixes such as B5 (5 percent biodiesel to 95 percent petroleum diesel), B10 (10 percent biodiesel), and B20.

Currently, 100 percent biodiesel, called B100, costs about $3 a gallon compared with about $2.60 a gallon for regular diesel.

A gallon of B20 can operate most diesel engines with no modification. It costs about 15 to 25 cents more than a gallon of petroleum diesel, but it uses 20 percent less petroleum and burns cleaner.

Most biodiesel outlets are located in the Midwest. To see where to buy biodiesel, visit the Web site of the National Biodiesel Board.