Land use is just one of a few problems facing proponents of ethanol and, like all the other problems facing ethanol, taxpayers are the ones who have to bear the cost. There already isn't enough land being used for food in this country, and using more land to plant for ethanol will just drive up food prices.
Cellulosic ethanol is essentially produced using plants and certain types of wood, therefore it would be difficult to eliminate the problems of land-use surrounding it's manufacture. Cellulosic ethanol cannot be produced in any other way. If we are to continue producing it, we must continue using different types of grasses and woods.