Wednesday, June 11, 2008

RISING FEED & FUEL PRICES - JUSTIFICATION FOR LOWERING ETHANOL USE MANDATES?

I found this article in the May 29th issue of Sorghum Notes. If you are interested in Ethanol, you may want to check it out.

CALL TO ACTION: Texas Governor's Request for RFS Waiver Open for Comment in Federal Register

"On April 25, Texas Governor Rick Perry sent a letter to the Environmental Protection Agency (EPA) requesting a waiver of the Renewable Fuels Standard (RFS), citing rising feed and fuel prices as justification for lowering ethanol use mandates. The EPA has published notice of receipt of the request in the Federal Register and the notice is open for comments.

Despite the rampant negative press that ethanol is receiving right now and despite well-funded attempts to scapegoat ethanol for higher food prices and hunger around the world, numerous studies have concluded that repealing the RFS waiver will not, in fact, lead to lower food prices. An Iowa State University study even concluded that fuel would be 29 to 40 cents more expensive if ethanol were not blended into the fuel supply. Furthermore, the on-farm cost share of each dollar spent at the grocery store on food is less than 20 cents, total.

In order to preserve mandates and contribute to the maintenance and growth of the renewable fuels industry, it is vital that farmers comment in favor of biofuels in the Federal Register. Comments must be received by June 23, 2008 and should preferably be faxed or submitted electronically. Comments sent via postal mail may be delayed by Capitol Hill mail screening. The following methods may be used to submit comments:

Comments must include the following identification: Docket ID No. EPA-HQ-OAR-2008-0380. Extensive directions including privacy information are available for download at http://www.sorghumgrowers.com/. For ideas or further information, please call the NSP office at (800) 658-9808."