Have a look at this;
http://www.businessweek.com/magazine/content/07_06/b4020093.htm?chan=top+news_top+news+index_top+story

Sorry it is so long. There are problems looming everywhere with ethanol.
This is just on article I came across this morning.
In it there is also some quoted saying all is loverly.

We are not looking at the fuel needs for America. We should stick to the topic of Australia's interest, not the interests of the US.

We put our own interests in second place too often and wonder why we always get the thin end of the wedge in trade deals.

Sugar cane is the strongest fuel for ethanol. Like it or not, Australia is going this direction anyway. We are running out of options and don't have much time to play debating games.

So many agendas, so little action, the earth's global warming seems relentless. What are we supposed to do? Trust the corporate world?

Saint Fletcher;
Note what I said, there are problems looming everywhere with ethanol.
We need to take note of what is happening everywhere.
Many of the soil problems the US will run into, we will have in spades.

If we don't take note of solutions and problems everywhere we will only
repeat their mistakes.
Did you hear about the problems in Indonesia with Palm Oil ?
No, well I won't tell you, you can go and make the same mistake.

There are no easy solutions and ethanol may just end up being a fuel
for emergency services. The rest of us will just have to get what we
can where we can, because I don't think any politician will be game
enough to promise petrol rationing until people get sick and tired of
sitting in 2km petrol queues.