I think that the core point is that using Corn-juice to produce ethanol is a bloody poor way to do it. That doesn't mean that ethanol can't be a worthy fuel, just that we need to stop using corn squeezings to do it.
Personally, I'd like to see algae used to produce it. Massive farms down in the desert, using seawater.
Use the oil of the algae to produce biodiesel, the carbohydrates and such to produce ethanol, or even the newer gasoline analogs.