Also, in the case of photovoltaic panels it is said that we are using sunlight to make electricity. Can the same be said when using ethanol fuel to power electric generators?
Nope. The energy of sunlight is converted multiple times.
1. Photosynthesis produces sugar. (chemical potential energy)
2. The sugar is converted to ethanol by yeast. (chemical potential energy)
3. Then you burn the ethanol to boil water. (chemical potential energy converted to kinetic energy)
4. The kinetic energy of the steam pushes on turbines. (kinetic energy converted to rotational energy)
5. Turbine spins the electric generator. (rotational energy converted to electric potential)
One has to ask, which method wastes the least amount of energy.