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Scope and Delimitation

This study aims to determine the positive and negative effects of the biofuel industry to the Philippines. Since most of the sources of bioethanol can be grown here in the Philippines, being informed about its benefits and disadvantages may help improve other industries existing here such as the coconut industry.

Due to the time constraints, the researcher chose to limit the range of the study by answering the designated research questions. Information gathered is focused mainly in answering the questions. Most information is enclosed upon answering only its specific research question. Some of these questions have been addressed in studies, reports and documents which have been published by various organizations. These documents have been provided to the author in order to assess to what extent they can contribute seriously and consistently to bringing some answers, pointing out where feasible, any remaining sizable uncertainties or open questions.

Review of Related Literature

With the issue of global warming at hand, not to mention the continuous climbing of gas prices, the search for sources of fuel other than petroleum is a top priority. We call this biofuel. Basically, organic materials are converted into ethanol or biodiesel. Biofuels are sustainable and environment-friendly. They do not contain petroleum and are nontoxic (Megan Corbett, 2010). We have been hearing about biofuel for a long time now. It is normal for people to wonder if and when biofuel will become the dominant fuel source. Maybe the developers and researchers have already learned their lesson. And that is to not get easily hyped by the benefits alone. It is still more important to weigh all the consequences and plan a better method of addressing the issue of biofuel production (Jeanette S. Alvarez, 2009).

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Background of Study

“A biofuel is difficult to define. Most of the fossil fuels we use are biological in nature. Perhaps we have to say that a biofuel is one that does not add to the stock of total carbon dioxide in the atmosphere. These are plant forms that typically, remove carbon dioxide from the atmosphere and give up the same amount when burnt. Naturally, all the other fossil fuels have done the same, but we are talking about a time scale of one or two years for the biofuels, whereas the fossil fuels can be considered on a time scale measured in millions of years.” (http://www.habmigern2003.info/biogas/biofuels.html)

“Biofuels are transport fuels made from plant material and recycled elements of the food chain, and as such are considered renewable and sustainable in contrast to the majority of liquid and gas fuels we use today, which are fossil-based with limited world reserves. Biofuels can be used in either pure form or blended with fossil fuels, in diesel powered vehicles and boats.” (http://www.energynortheast.net/page/whatisbiofuel.cfm)

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Statement of the Problem

The researcher attempts to answer the following questions in this research study:

1. What are a biofuel and its divisions?

2. How does the biofuel become part of Philippine industry?

3. What are the potential sources of biofuel in the Philippines and abroad?

4. How does biofuel been extracted, produced and processed for general use?

5. If the production of biofuel needs a large amount of labor, would this mean that there will be an increase in employment?
6. Is it true that oil consumption will be reduced with the use of biofuels?

7. Is the emission of greenhouse gases truly will be saved by the use of biofuels?

8. What will be the effect of biofuel production on agricultural commodity prices and production?
9. Are biofuels cost-effective than oil and petroleum?

10. What will be the effect of biofuel industry in the Philippine market?

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Thesis Statement

Biofuel industry is one of the most reliable ways of producing sustainable energy and it will soon be a...
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