Environmental variables controlling site suitability for corn-based ethanol production in Nebraska

Ethanol production from corn (Zea mays L.) has become a new avenue for economic vitality in the state of Nebraska. Although economic, technological and political analyses have previously been performed, this study aims to analyze a suite of environmental variables specific to corn production in Nebraska. The overall objective of this research is to better understand the spatial distribution of natural resources in Nebraska related to site selection of corn-based ethanol plants. Principal component analysis was used to determine, which environmental variables explained the majority of the variance in determining location suitability for an ethanol plant. In the first principal component, the highest loadings are irrigation requirement (0.912), growing season precipitation (0.870), rain-fed corn yield (0.840), and corn land abundance (0.735). In the second principal component, the highest loadings are potential competition for corn inputs (0.629) and irrigation restrictions (0.613). Our findings support the hypothesis that the controls related to water and land resources are playing a larger role in determining the location for ethanol plant locations than controls related to competition. This research was intended to become a foundation of methodology which could be used in other states and on other crops harvested for biofuel production. The results of this study illuminate some of the most influential environmental variables on Nebraskan ethanol plant location suitability.