As an example, Jamaica imports HYDROUS (with 5% water content) ethanol from Brazil and removes that water in Jamaica to turn it into ANHYDROUS ethanol (nearly 0% water).

FORBES: Further Implications Of The U.S. Ethanol Tariff

In part, it's still the hangover from last summer's storms, but it's also caused by the process of changing over to gasoline that is less polluting in the warm weather, and that procedure is more disruptive this year because distributors are switching from the old chemical called NTBE, which has been found to pollute ground water, to ethanol.

NPR: Marketplace Report: Feeling the Pain at the Pump

They now use about half as much water per gallon of ethanol as they did a decade ago.

ECONOMIST: New reasons to be suspicious of ethanol

Ethanol also competes with people and livestock for water lots and lots of water.

FORBES: Biofuels: Fields Of Pipedreams

This will most likely entail increasing the corn ethanol mix in petroleum, running up food costs, depleting water supplies, and causing environmental land damage while affording no net CO2 emission reduction.

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Algae also offer the potential of aiding in the curbing of CO2 emissions from power stations and cement factories, and in cleaning nitrates and phosphates from agricultural runoff water and effluent from sewage plants, while simultaneously furnishing useful fuels such as biodiesel and ethanol according to how the algae are processed.

FORBES: 'Artificial Cells' May Provide Souce Of Algal Fuel

For example, how many gallons of water and fossil fuel does it take to produce and transport one gallon of corn-based ethanol?

FORBES: Magazine Article

California won't allow public water utilities to use water containing MTBE with concentrations higher than 5 parts per billion, a standard cheered on by greenies and ethanol makers.

FORBES: Demonizing for Dollars