EPA rejects waiver request to U.S. ethanol mandate
No big surprise here, but it is good to know that Obama has made a decision on this issue. Article is below:
EPA rejects waiver request to U.S. ethanol mandate
The Obama administration on Friday rebuffed a request to waive a government mandate that requires millions of gallons of ethanol to be blended into the country’s fuel supply.
The decision was a blow to several state governors, Washington lawmakers and livestock groups who lobbied the U.S. Environmental Protection Agency to ease the mandate on ethanol after the worst drought in 50 years pushed corn prices to a record high during the summer, impacting livestock producers who use the grain to feed their animals.
Supporters of the waiver argued the seven-year-old Renewable Fuel Standard (RFS), which requires 13.2 billion gallons of corn-based ethanol to be blended into the vehicle fuel supply in 2012, made it even more expensive to acquire the feed they need, and a waiver would have helped lower prices by freeing-up millions of bushels of corn. Ethanol is expected to consume about 40 percent of the country's corn production this year.
But the ethanol industry has countered that it is the weather, and not ethanol, that was responsible for driving up corn prices.
"We recognize that this year’s drought has created hardship in some sectors of the economy, particularly for livestock producers,” said Gina McCarthy, assistant administrator for EPA’s Office of Air and Radiation. “But our extensive analysis makes clear that Congressional requirements for a waiver have not been met and that waiving the RFS will have little, if any, impact.”
The EPA denied a similar request from Texas Gov. Rick Perry in 2008 when corn prices were surging.
I can show you a golf ball driving range worked up to plant corn.
And I can show you many farmers Front and Backyards worked up to plant corn too. But what does that prove? Iowa farmers will even rip up there wife's Veggie Garden and plant field corn if the corn price hit $10 a bushel.
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