I do agree with your 5 points. There is too many people sharing a pie, we are on the road to some major paradigm change and it probably wont be pretty.
I do know that you can make ethanol in home. The thing is that it is not sensible economically or environmentally. If you do it home you need all the equipment of distillery and you wouldn't make enough to meet your needs. This where the economics of scale steps in. If you live in US, you already have nice infra to get all the household waste to a water treatment plant without almost any additional use of energy. Now you can make make the biodiesel which has greater energy density (BTU) than a ethanol -> less energy and money used to deliver the product to customers -> win & win situation.



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