Unlike Ethanol which is primarily produced from corn kernel, Cellulosic Ethanol is produced from cheaper sources of cellulose like switch grass, poplar trees, and straw. The whole plant/tree parts are good sources of cellulose. The chief benefit is that, as the bulk of the plant could be used for its cellulose content, it is considered to be more efficient. Added, it is not that we need to use only food plants for production of cellulose ethanol.

There are a variety of grasses that store more energy in cellulose form. These grasses consume lesser urea, and have natural ability to resist insects and diseases. It has been proven that a conventional internal combustion engine running on cellulosic ethanol produces lesser greenhouse gas emissions, than any other natural or fossil fuel.

Universal Biofuels by virtue of being subsidiary of Aemetis, Inc. has the patent pending technology to produce cellulosic ethanol. The company aims to utilize multiple feedstocks to produce high grade quality ethanol. All this is to be done with minimum impact on the food chain. The basic idea is to reduce the cost of production by making use of crop wastes such as corn stover and straw, and high yielding energy crops like switch grass and miscanthus in the production of cellulosic ethanol. The technology used, also facilitates use of low cost enzymes, which are to reduce processing costs in a major way.

The technology advantage has made Universal Biofuels to integrate cellulosic ethanol production also. This would reduce sizably the production costs, and contribute to increasing the efficiency of ethanol producing units. This integrated process assures lower capital costs, higher alcohol concentration, and reduces energy and water consumption.

Universal Biofuels technology called Ambient Temperature Starch Hydrolysis (ATSH) process is yet to be recognized and patented. Two patent technologies are pending before the U.S. Patent and Trademark Office: ATSH enzymes and their production, and another as the integration of the cellulose and ethanol processes. Through this technology there is enormous scope to increase production capacity and reduce the cost of making ethanol.