LARIMORE, N.D. — Dennis McCoy can get part of his corn crop to the bellies of hogs without a hiccup, but the North Dakota farmer believes ethanol made from his other corn acres is hamstrung by traditional truck and rail shipping.
“I think the ethanol industry is overbuilt for time frame right now,” said McCoy, who has been growing corn for fuel for 25 years near Larimore, in eastern North Dakota. “Maybe the industry needs to step back and figure out the infrastructure to get it where it needs to go.”
Shipping ethanol from farm states to the East and West coasts by pipeline could open up markets and help clear a bottleneck that has kept the fuel additive from getting to the pumps. An industry group is already studying such a project.
Not everyone thinks one is needed. The ethanol industry is still new enough that it’s not clear where the pipeline should go or whether ethanol prices will hold up enough to make it worth building, skeptics say.
Bob Dinneen, president and chief executive of the Renewable Fuels Association, said a dedicated ethanol pipeline may not be as secure as rail cars, barges and trucks.
A pipeline “is an option, but I don’t think it’s the option,” Dinneen said.
