Ag Policy Blog

Fight Over Ethanol Just Beginning

Chris Clayton
By  Chris Clayton , DTN Ag Policy Editor
Connect with Chris:
@ChrisClaytonDTN

As Agriculture Secretary Tom Vilsack talks about the waning political clout of rural America, the battle over the Renewable Fuels Standard is just beginning to test that clout.

The American Petroleum Institute announced a "all hands on deck" advertising campaign to go after the Renewable Fuels Standard , arguing that scrapping the RFS is the best way to strengthen the country's domestic refining industry for petroleum, according to articles reporting on a press conference API held on Tuesday. 

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Growth Energy responded Wednesday that "Big Oil" is doing everything it can to protect the oil industry's market for gasoline. "While they often pay lip service to the importance of renewable fuel for our country's energy needs, at every turn they work to undermine them. Biofuels have helped reduce our dependence on foreign oil and created a robust domestic renewable fuels industry," said Tom Buis, CEO of Growth Energy.

“Just the other day, API discussed how the RFS was broken, citing the blend wall as the primary challenge in a workable RFS," Buis added. "However, when it comes to the blend wall, Big Oil need only look in the mirror to see who is maintaining the status quo by protecting it. This is their entire play – if blend wall can’t be broken, the RFS won’t work. But Big Oil is maintaining the blend wall by erecting every possible barrier to bring increased blends of renewable fuel to the marketplace. While they opine for a free market, they are singlehandedly denying consumers a choice and savings at the pump by preventing a lower cost, high performance alternatives, such as E15."

API announced last fall the group's top political priority would be to eliminate the RFS. The lobby group for oil companies is pushing Congress to begin holding hearings on the RFS and EPA decisions such as the approval of E15.

The American Farm Bureau, in its policy session on Tuesday, inserted a line stating the group supports the Renewable Fuels Standard as it was approved by Congress in 2007.

I can be found on Twitter @ChrisClaytonDTN.

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Comments

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Unknown
1/18/2013 | 11:44 AM CST
educate me so I can b one of the elite.
Unknown
1/18/2013 | 11:42 AM CST
Stan , I would like to know what good land should be used for?
Unknown
1/18/2013 | 11:38 AM CST
bonnie, do u think posting my name will help?
Bonnie Dukowitz
1/18/2013 | 11:00 AM CST
And a fire of UNKNOWN origin is lit.
Unknown
1/18/2013 | 10:32 AM CST
lets just all go organic, we can use what little poop we produce to fertlize our egg plants, so we can survive another day, dont worry about the other 2 billion people that live on pennies per day. We have all u educated ones.
Lon Truly
1/17/2013 | 7:36 PM CST
See http://www.ewg.org/agmag/2013/01/fuel-stop-your-weekly-roundup-of-ethanol-related-news-jan-5-11/
Bonnie Dukowitz
1/17/2013 | 12:00 PM CST
Where ya been Jay? Trying to get your batteries charged on a cloudy day. Low voltage is a bugger. Was concerned for your well being. Hope all is well.
Lon Truly
1/17/2013 | 10:17 AM CST
See http://sayanythingblog.com/entry/renewable-fuels-standard-could-gobble-up-americas-entire-corn-crop/
Jay Mcginnis
1/16/2013 | 8:41 PM CST
9,000 miles on my all electric Leaf since last April ,,,,fueled by solar electricity created on my farm,,,, no oil changes, no gasoline, no frack gas, no nukes, no ethanol, no global warming.
stan s
1/16/2013 | 5:33 PM CST
We don't need to,and shouldn't use good land to grow fuel. There are plenty of better options, like- http://www.airfuelsynthesis.com/, safe new nuclear http://www.nei.org/, http://www.terrapower.com and http://www.proterro.com/ that we should support and fast track,that would be much better for global warming and energy independents. But the RFS mandates stifle better options by forcing us to use billions of gallons,of corn ethanol and other land source energy. Everyone should sign the PLEDGE at http://smarterfuelfuture.org/ . The highly respected OECD said. "The rush to energy crops threatens to cause food shortages and damage to biodiversity with limited benefits â?¦ Government policies supporting and protecting domestic production of biofuels are inefficient [and] not cost effective â?¦ The current push to expand the use of biofuels is creating unsustainable tensions that will disrupt markets without generating significant environmental benefits â?¦ Governments should cease creating new mandates for biofuels and investigate ways to phase them out." - Richard Doornbosch and Ronald Steenblik, "Biofuels: Is the Cure Worse Than the Disease?," in Round Table on Sustainable Development (OECD, Sep 11-12, 2007).