Just two years ago, President Bush signed legislation setting a national ethanol production standard.

The goal was seven billion gallons a year by 2012. Experts say the once lofty goal will easily be surpassed next year. They say it's a sign of how far America has come in the push for renewable fuels.

"We want to lessen our dependence on foreign oil and ethanol is one method we can do that. It's better for the environment. It gives us cleaner air to breathe, cleaner water.. And it's a boost to the local economy, especially here in the Midwest," Patrick Kirchhoffer says.

Kirchhoffer is a farm bureau manager. He says farmers are seeing corn price spikes like they haven't seen in years.

Corn-based ethanol plants are popping up all over the country. The renewable fuels association lists more than 100 plants and dozens more under construction.

A majority are in the Midwest, where corn is king. Kirchhoffer says they're a direct result of increasing ethanol production.

"It's definitely a boom to the farm economy. Our demand has increased. Corn for instance. We're using two billion bushels of corn this year to produce ethanol. That wasn't there three or four years ago. It's definitely helped the prices for corn,” Kirchhoffer says.

Growth in ethanol production benefits more than just the family farm.

Supporters say more than 160,000 new jobs were created by ethanol last year. Backers say there’s also a positive impact on the environment.

According to the Environmental Protection Agency, ethanol blends can reduce carbon dioxide emissions by 10 to 30 percent.

"Whenever you burn petroleum, you can see the black soot go up as smoke. Ethanol just burns cleaner," Kirchhoffer adds.

Not everyone’s a fan of ethanol. Many argue it takes more energy to make it than regular fuel.

So is it really more environmentally friendly? There's a school of thought that says "no”.

"All the agricultural input involved, coal, natural gas and crude oil; I think we all need to step back and take a look at what alternative fuels are and if the alternative fuels involve coal, natural gas and crude oil, it’s not a win,” gas station owner, Terry Beachler says.

And then there's a hurdle that remains on the business side, getting more people to use ethanol.

The major automakers are building more flex-fuel vehicles able to use e-85.

It’s a blend of 85 % ethanol and 15 % gas. But just look around, there aren't many gas stations that carry it.

Backers of E-85 say the number of retailers will increase along with the demand.