I've been doing some research on ethanol and it's not the best replacement for oil by any means. You only get 25% more energy from it as it takes to produce it. It requires almost twice as much fuel as gasoline to get the same mileage.
Ethanol was pushed in Brazil to help the sugar industry there. They created a market for themselves but because Brazil and cheaply produce huge amounts of sugar cane, it actually works.
In the US we can't grow that much cheap ethanol producing agriculture. This ethanol trend is making the farmers and farm equipment suppliers rich at the cost of spiking our food supply cost. No way in hell are we going to fuel the country on corn and where is the distilation energy comming from? Are we going to burn coal, natural gas, oil to run the stills? Then we only get an extra 25% energy bennefit not counting the distribution costs?
This all seems like a short-term play so a few people can make big money.