ETHANOL SUFFERS BLOW IN THE SENATE
June 20th, 2011Time To Kill Ethanol Subsidies
May 23rd, 2011Big Government: If Washington is truly serious about cutting the nation’s mounting debt, there’s one way to show it: Eliminate the ridiculously expensive and wasteful ethanol subsidy.
There are few products in the U.S. that are as heavily promoted, subsidized and protected by the federal government as ethanol.
First, the feds have since 2005 required the use of ethanol in gasoline — 12 billion gallons of the stuff this year, rising to as much as 36 billion by 2022.
Then, ethanol gets a 45-cents-per-gallon subsidy when blended into gasoline.
And then, to protect the domestic ethanol market, the government slaps a 54-cents-a-gallon tariff on imported ethanol.
According to news accounts, a “growing number” of lawmakers looking for ways to close the yawning budget gap are now looking at one part of this ugly picture: the $6 billion in tax credits given to ethanol producers each year.
That’s the least they should do. After all, the tax credit is just the most obvious cost of the federal government’s love affair with corn-based fuel.
Force-feeding ethanol also pushes up food costs as demand for corn — and its prices — skyrockets.
Today, nearly a quarter of all the corn grown feeds cars instead of people. A Congressional Budget Office report blamed ethanol for up to 15% of the rise in food prices in 2007 and 2008.
Not only does this hit family budgets, it also raises the cost of government food and nutrition programs by close to $1 billion a year, the CBO found.
The ethanol push also costs drivers, since the fuel delivers fewer miles per gallon than gasoline and causes additional wear and tear on cars.
To make matters worse, the renewable fuel has failed to live up to any of the boasts made about it over the past 30 years.
• It hasn’t cut imports. Adding ethanol into the fuel supply chain was supposed to reduce our reliance on foreign oil, which on the surface makes sense since ethanol is literally a homegrown energy source. But as the Manhattan Institute found, this “has no basis in fact.” Over the past decade, ethanol production climbed sevenfold and oil imports increased by more than 800,000 barrels per day.
• It hasn’t kept gasoline prices down. Just check the nearest gas station if you think ethanol is doing anything to hold down pump prices.
• It doesn’t cut air pollution. In fact, a study in Environmental Science & Technology concluded that ethanol can make the nation’s smog problem worse and that its expanded use “may be a greater overall public health risk than gasoline.”
Deficit Woes WE Need To Trim Ethanol Support
May 7th, 2011Corn Hits $6 a Bushel Squeezes Ethanol Producers
May 7th, 2011Corn Hits $6 a Bushel on Tight Supplies
Thursday April 3, 6:56 pm ET
By Stevenson Jacobs, AP Business Writer
Corn Prices Jump to Record $6 a Bushel, Driving Up Costs for Food, Alternative Energy NEW YORK (AP) — Corn prices jumped to a record $6 a bushel Thursday, driven up by an expected supply shortfall that will only add to Americans’ growing grocery bill and further squeeze struggling ethanol producers.Corn prices have shot up nearly 30 percent this year amid dwindling stockpiles and surging demand for the grain used to feed livestock and make alternative fuels including ethanol. Prices are poised to go even higher after the U.S. government this week predicted that American farmers — the world’s biggest corn producers — will plant sharply less of the crop in 2008 compared to last year.“It’s a demand-driven market and we may not be planting enough acres to supply demand, so that adds to the bullishness of corn,” said Elaine Kub, a grains analyst with DTN in Omaha, Neb.Corn for the most actively traded May contract rose 4.25 cents to settle at $6 a bushel on the Chicago Board of Trade, after earlier rising to $6.025 a bushel — a new all-time high.Worldwide demand for corn to feed livestock and to make biofuel is putting enormous pressure on global supply. And with the U.S. expected to plant less corn, the supply shortage will only worsen. The U.S. Department of Agriculture projected that farmers will plant 86 million acres of corn in 2008, an 8 percent drop from last year.Moreover, cold, wet weather in parts of theU.S. corn belt may force farmers to delay spring planting, potentially sending prices even higher.While corn growers are reaping record profits,U.S. consumers can expect even higher grocery bills — especially for meat and pork — as livestock producers are forced to pass on higher animal feed costs and thin their herd size.“Higher corn prices is going to affect meat prices. If you’re feeding with $6 corn, you’ll definitely have some (cost) pressure,” Kub said.In addition, corn and corn syrup are used in an array of products, meaning the price of everything from candy to soft drinks will eventually go up, analysts say. It’s the latest dose of bad news for U.S. consumers, who are already struggling with higher food costs from record increases in the price of wheat, soybeans and other agriculture products.Another loser in higher corn costs is ethanol producers, who are struggling to squeeze out gains as corn’s record-setting run outpaces the price of ethanol, currently at around $2.50 a gallon.“For years, corn was cheap and fermentation processes for ethanol production came to completely dominate the biofuel industry in North America,” Michael Jackson, president and chairman of Vancouver-based ethanol maker Syntec Biofuel, said this week. “Now, with corn prices well over $5 a bushel, corn ethanol economics have gone out the window.”The nation’s 147 ethanol plants now have the capacity to produce 8.5 billion gallons of fuel a year, according to the Renewable Fuels Association. Corn is the basic feedstock for most of the plants and about 20 percent of last year’s 13 billion bushel corn crop was consumed by ethanol production. That percentage is expected to increase to 30 percent for the next crop year, which ends Aug. 31, 2009, according to Terry Francl, a senior economist for the American Farm Bureau Federation.There are still plans to build or expand another 61 plants, which will add about 5.1 billion gallons of capacity. However, as corn prices have climbed over the past year or so, construction of several plants has been halted or delayed, shaving about 500 million gallons worth of capacity off the original figure, according to Broadpoint Capital analyst Ron Oster.At least one facility, the Alchem plant in Grafton, N.D., shut down late last year because of high prices.A new plant hasn’t broken ground over the past couple of quarters, Oster said, and while producers can have positive gross margins with ethanol at $2.50 a gallon and corn at $6 a bushel, that doesn’t mean companies are profitable.“Bottom line earnings are near break-even or modestly below break-even,” he said.Looking ahead, only the strongest ethanol producers will survive in an era of ever-rising corn prices, said Soleil Securities analyst Ian Horowitz.“There are going to be some particular companies that definitely have the balance sheet and efficiencies that will be able to eke out a positive return in this kind of environment,” Horowitz said. “And then there will be others that will suffer at the hands of $6 corn.”Associated Press Business Writer Lauren LaCapra contributed to this report.
Minnesotans Right To Adequate Environmental Review Threatened
March 3rd, 2011Folks this is extremely IMPORTANT: please, read this information and take a few minutes to send a message to Governor Dayton stating you don’t want the current Environmental review process altered or shorten. The proposed bill HF1/SF42 would basically take away the rights of all MN citizens to have adequate time to review any proposed commercial development that could potential negatively impact the quality of life for ALL MN citizens.
Sincerely,
Tom Dornack
Olmsted County Concerned Citizens, Co President
From: efsauer@mchsi.com
To: efsauer@mchsi.com
Subject: Request for help on environmental issue
Date: Wed, 2 Mar 2011 18:50:07 -0600
Hi-
Remember when we were in the thick of the tire-burning challenge? Remember how we used to scramble to get things done? It seemed as if we were always getting news (at the last minute) about some action that we needed to take….immediately! With every dawn, we seemed to become aware of another ‘fire’ to put out! Nevertheless, we did it, didn’t we? Well, the past six years have been less harried and we have still managed to accomplish a lot on the environmental scene….thanks to you!
But, guess what?! Today…we are ‘under the gun’ again! Are you ready? As many of you know, late last week, the republican-controlled MN Legislature passed a bill that would weaken the ability of the people of MN to participate in environmental review. That’s right……..the chance of having adequate time to review proposed commercial developments would no longer be available to us! Instead of giving the public MORE time (to research, review & find experts to consult with), the review time would be lessened and we would be required to challenge environmental review decisions in St. Paul (at the Appellate Court level) instead of in our local District Court. So, what’s wrong with THAT picture??
Yesterday, a few leaders from our environmental advocacy community met with Governor Dayton, to urge him to veto this bill, which would weaken our efforts & ability to seek strong environmental review of proposed commercial projects. While Governor Dayton did not commit that he would veto this proposed legislation, he was sympathetic and promised to reflect on the action he should take. Now….here’s the news: the deadline for the Governor to veto this bill is tomorrow afternoon: THURSDAY – MARCH 3RD, 2011…..so….. we need to move swiftly!
We need to immediately urge Governor Dayton to veto HF1/SF42. Please….make a call to his office and urge him to veto this bill. Call Governor Dayton at: 1-800-657-3717 or 1-651-201-3400
If you can’t find the words to say, just read the following message to the secretary:
“I am calling to request Governor Dayton to veto the HF1/SF42 bill. The bill weakens the environmental review process and I oppose it. Thank you for your consideration.”
If you prefer, you may email your personal message to Governor Dayton’s office (or you may cut & paste the following message) and send it to the Governor’s environmental aide, Will Seuffert at this email address: Will.Seuffert@state.mn.us
Dear Governor Dayton,
I am writing to let you know that I oppose SenateFile 42 / House File 1. The bill weakens environmental review. Citizens should be able to challenge environmental review decisions in their local District Court. We should not be forced to the Appellate Court in St. Paul, as this bill requires. Citizens should not be required the expense of litigation bonds to seek a court order requesting enhanced environmental review on commercial projects that may potentially be dangerous or hazardous to the health, safety and welfare of the public.
Sign your name and send it off!
I am sorry for the short notice of this request. But as you may recall, this is how it works: Big business polluters and their buddies do their deeds quietly, thinking we won’t find out…..until the last minute & it will be too late to take any action. They under-estimate us, don’t they? Let’s get busy and send those messages tonight and tomorrow morning.
Thanks for your continued & dedicated effort to reduce & stop pollution. Have a pleasant evening and a great day tomorrow, hopefully with no sleet;-)
Fran Sauer
SEMEP, President
Ethanol Suffers Blow in House Rejection of E15
February 23rd, 2011Ethanol suffers blow in House rejection of E15
10:03 AM, Feb 19, 2011 | by Philip Brasher
In a blow to the biofuel industry, the House voted heavily early today to stop an increase in the amount of ethanol that can be added to gasoline. A provision added to a budget-cutting bill passed by the House would block the Environmental Protection Agency from implementing its decision to boost the ethanol limit from 10 to 15 percent.
That House vote on ethanol is hardly the last word on the issue, because the broader legislation faces strong opposition from the Democratic-controlled Senate and the White House. But the bipartisan, 285-136 vote to stop the increased use of ethanol does demonstrate the challenges the industry faces in preserving its government incentives.
Some 79 Democrats joined 206 Republicans in voting for the measure.
While the ethanol votes may have been largely symbolic, given that the House-passed spending bill won’t pass the Senate, the defeats show the industry “there is a lot of work to be done to educate members of Congress,” said Monte Shaw, executive director of the Iowa Renewable Fuels Association.
A coalition of industries including gasoline refiners, auto makers, livestock producers, food companies had lined up to support the anti-ethanol provision.
“Every American who owns a car, light-duty truck, motorcycle, snowmobile or outdoor power equipment will benefit by the House vote that has the effect of blocking the sale of gasoline containing 15 percent ethanol, known as E15,” said Charles Drevna, president of the National Petrochemical and Refiners Association.
The EPA has approved E15 only for use in 2001 and newer cars and trucks. Opponents argued that the E15 could damage older cars, boats and power equipment if owners fill up with the fuel. The EPA plans to require service stations to put a warning label on E15 pumps to prevent misfueling. The increased ethanol content can damage parts not made to withstand it and make engines run hotter. The EPA determined that motor vehicles built since 2001 can handle the ethanol without risk of damage.
An ethanol trade group accused the industry’s opponents of putting politics ahead of science. “EPA’s consideration of E15 was based on a more exhaustive study and collection of data than any of the 11 previously-approved petitions. No other fuel mix has been tested more,” said Tom Buis, CEO of Growth Energy.
The House also approved, 261-158, a second amendment that would block subsidies for another priority for the ethanol industry – service station pumps that can dispense varying amounts of gasoline and ethanol.
Iowa’s five House members all voted against both provisions.
At least one environmentalist who has been critical of corn ethanol found himself uncomfortable with the House legislation, known as a continuing resolution, or CR, which also seeks to block some EPA regulations from taking effect. Nathanael Greene of the Natural Resources Defense Council said on his Twitter feed: “I don’t like $ for corn ethanol but CR is huge gift to oil.”
The budget bill is needed to keep the government in operation through the rest of this fiscal year and would cut about $60 billion from last year’s spending level.
Train Derailment, Ethanol Fire Forces Ohio Evacuations
February 7th, 2011RCADIA, Ohio — A freight train carrying volatile chemicals derailed about 50 miles south of Toledo Sunday morning, causing at least 15 tanker cars to catch fire and explode and forcing evacuations of nearby homes, a fire official said. No injuries have been reported.
Capt. Jim Breyman of the Arcadia Fire Department said the call came in at about 2:15 a.m., and estimates 15 to 18 tanker cars carrying ethanol derailed.
About 20 homes were evacuated in the area about two miles west of the village of Arcadia, but it was unclear exactly how many people were in those homes, he said.
The scene was intense and dramatic.
“We’re talking fireballs,” he said of the explosion. “When they went thousands of feet in the air, they could be seen from 20-plus miles away.”
- Authorities were assessing whether to send in crews to put out the blaze or to wait for it to burn out, he said. A primary concern was that one end of a string of seven chemical-filled cars was near the fire and could not be moved but had not vented or burned, creating the possibility of a chain reaction if it were to explode.
The burning cars, scattered on either side of the tracks, had been separated from most of the rest of the train.
The Ohio Environmental Protection Agency was testing waterways in the area Sunday morning to see if there was any contamination, but Breyman said he expected most of the fuel to be burned up in the blaze.
An initial concern was that the derailment and explosions happened next to a fertilizer plant, and Breyman said it was fortunate the fire didn’t spread there.
“I’ve been a fireman for almost 30 years now and I’ve seen a lot, never seen anything like this,” Breyman said. “It was beyond words.”
The train was headed from Chicago to North Carolina with 62 cars loaded with ethanol, and preliminary information indicated about half those cars derailed, Norfolk Southern spokesman Rudy Husband said. He said he had no information on what caused the derailment.
Video showing the horrific explosions:
http://www2.nbc4i.com/news/2011/feb/06/train-derailment-fire-forces-ohio-evacuation-ar-388032/
Poison On Tap
February 2nd, 2011Ethanol KICKBACK: Corn Fed Hypocrisy
December 15th, 2010We the people get screwed again read this corrupt BS!
Dark side of Nitrogen
December 14th, 2010How nitrogen is destroying our nations important fisheries AND MUCH MORE
http://www.grist.org/article/2009-11-11-the-dark-side-of-nitrogen