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Abstract ▼ AI-Helper

Introduction of bioethanol to domestic transportation fuel market is considered as a mean to greenhouse gas emission reduction in transportation sector. The purpose of this research is focused on the examination of the proper level of government subsidy for the promotion of Bioethanol, a source of t...

Introduction of bioethanol to domestic transportation fuel market is considered as a mean to greenhouse gas emission reduction in transportation sector. The purpose of this research is focused on the examination of the proper level of government subsidy for the promotion of Bioethanol, a source of transportation fuel among renewable energy sources. With the assumption of "Carbon Neutrality" in its production and consumption of bioethanol, the case of E5 is analyzed. Potential CO₂ reduction is estimated to be 1.5 Bil. CO₂㎏/yr. Analysis shows that consumer price of E5 per liter is estimated to be 1585.52 won if the same level of tax for gasoline is imposed on bioethanol. Sensitivity analysis is performed to see the market competitiveness of bioethanol with gasoline price and the production cost of bioethanol varying around 1585.52 won per liter and $0.314//, respectively.

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