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This is not good news for American ethanol advocates: VeraSun is suspending construction at its 110-million-gallon-a-year ethanol plant in Reynolds, Indiana because ethanol prices are too low. This matters more than the shutdown of two biodiesel plants in Texas that we mentioned yesterday. Why, you might ask? Because Reynolds, Indiana is actually BioTown, USA.

Now we're getting somewhere. And by "we" I mean BioTown, USA (Reynolds, Indiana). While last year we had stories about how this small town in Indiana is trying to grow and make all of its own energy but still didn't have any ethanol pumps (so all the flexible-fuel vehicles in the town were cruising on gasoline), now we can report that the town can soon check off making ethanol from their To Do list.

Do we have any readers representing BioTown, USA, AKA Reynolds, Indiana? This tiny town (population ~550) is trying to become energy self-sufficient and is using biofuels and biomass-generated electricity to get there. We've written about this project before (links below) and now that the next phase - called, um, Phase II - of the project has broken ground.

Everyone's heard about individual survivalists rejecting modern society and, instead, living off the land. But how about an entire town? The tiny town of Reynolds, Indiana, won't be building barricade and polishing shotguns. However, it's still a first, a "biotown" that will power itseflt using modern devices with renewable resources such as biodiesel, human and animal waste.