A process and cost model was developed for fuel ethanol production from winter barley based on the EDGE (Enhanced Dry Grind Enzymatic) process. In this process, in addition to beta-glucanases, which are added to reduce the viscosity of the mash, beta-glucosidase is also added to completely hydrolyze the oligomers obtained during the hydrolysis of beta-glucans to glucose. The model allows determination of capital costs, operating costs, and ethanol production cost for a plant producing 40 million gallons of denatured fuel ethanol annually. A sensitivity study was also performed to examine the effects of beta-glucosidase and barley costs on the final ethanol production cost. The results of this study clearly demonstrate the economic benefit of adding beta-glucosidase. Lower ethanol production cost was obtained compared to that obtained without beta-glucosidase addition in all cases except one where highest beta-glucosidase cost allowance and lowest barley cost were used. Published by Elsevier Ltd.