Passage of the energy bill by the U.S. House of Representatives Thursday is good news for venture investors in alternative fuels because it demonstrates widespread support for advancing new technologies. But the likelihood that it won't soon pass the Senate may be even better news.
Forbes speculates as to
why the bill won't pass its next hurdle, and the impact that may have on publicly traded energy companies. Most of those issues are irrelevant to venture-backed technology developers. But the quicker the brakes are put on massive
subsidies to industrial-scale ethanol developers, the more likely the market will support better technology that's not quite ready for prime time.
Serious
objections to corn-based ethanol made because of the impact it is having on food costs are gaining ground, and such critiques are likely to become a larger part of the discussion if the current bill is delayed or scrapped. Meanwhile, all sorts of biofuel development in nonfood crops are moving closer to industrial scale thanks to
soaring venture capital investment.
- Clifford CarlsenSee Dec. 6 story from Forbes.comSee Dec. 6 post from BleedingheartlandSee Nov. 30 post from Tech Confidential
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