REPUBLIKA.CO.ID, JAKARTA -- With advancing processing technology ethanol would be more efficient and cheaper than oil for fuel, an expert says.

"As from this year, ethanol would be cheaper in price than oil for fuel. In 2014-2015 the price would be about the same, but with oil reserves shrinking the price of fossil fuel would rise while the price of ethanol remains flat," Low Emission Development Strategy Cluster Coordinator of Indonesia Climate Change Center (ICCC) Artissa Panjaitan said here on Monday.

Artissa said until 2050, there would be three technologies used in the world to produce ethanol.

The technology of the first generation was used to produce ethanol from sugarcane with price relatively constant.

Technology of second generation is used to produce ethanol from cellulose with price cheaper.

However, until 2050, ethanol produced by technology of the second generation would not be cheaper the ethanol produced with the first generation technology from sugarcane, Artissa said.

The technology of the third generation used to produce ethanol from seaweed would be more possible to be developed to produce diesel oil that could be chemically processed to turn out gasoline, he said.

"The question of which of the ethanol -- one from cassava or sugarcane -- is more profitable is still debatable in price," he said.

The type of manufacturing technology is developed more in a number of Asian countries is one to produce ethanol from cassava, he said.

He said the failure of industry developed in Lampung to produce ethanol from sugarcane was attributable to the fact that the factory was not part of an integrated industry.

The owner of the factory did not have sugar plantation to guarantee supply of the raw material and for efficiency, he said.

"Therefore, we would recommend to use degraded land for sugar plantations," he said.

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