An Economic Analysis of Life Cycle Assessment of Ethanol

This study evaluates economic feasibilities of the production and use of ethanol from cassava and sugarcane. Ethanol is a substitute for methyl tert-butyl ether (MTBE). A comparative evaluation between an ethanol-blend fuel-gasohol 95 (E10) and a MTBE-blend fuel (benzene 95) is based on the life cycle assessment approach. The use of ethanol as a substitute for MTBE was found to be economically feasible. This is mainly due to MTBE import substitution, reflecting the benefits generated from using domestic fuel crops for ethanol production. Meanwhile the environmental benefit was in a small proportion.