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RFS waiver denial no surprise, right decision
Posted: August 11, 2008 at 10:52 AM CST
Last week, the EPA made the right decision — the expected decision — and rejected a requested waiver of the Renewable Fuels Standard submitted by Texas Gov. Rick Perry earlier this year.
Here’s a link to the full story:
http://www.ethanolproducer.com/article.jsp?article_id=4616&q=EPA%20waiver&category_id=38
What the EPA concluded is what we already knew: A waiver from the RFS requirements of the 2007 Energy Independence and Security Act of 2007 would have hurt American farmers, American industry and American consumers. A waiver would not have led to lower food prices and, if anything, might have led to higher gas prices. As Iowa Corn Growers Association President Tim Recker aptly noted after the EPA’s decision last week, “There’s no reason to turn back.”
In making the announcement Aug. 7, EPA chief Stephen Johnson said the waiver — which would have led to a 50 percent reduction of the RFS blending requirement — was not necessary because the requirement is not currently “causing severe economic harm … [but rather] strengthening our nation's energy security and supporting America's farming communities."
Well said Mr. Johnson. Well said.
The EPA’s decision was, in fact, based on a detailed analysis, consultations with the departments of Agriculture and Energy, and careful consideration of more than 15,000 public comments. With corn, soybean and gas prices dropping faster than Wal-Mart’s falling prices smiley face over the past month, we all pretty much knew what to expect. Yes, Perry’s judgment on this issue was bad, but his timing was worse. He really couldn’t have chosen a more inopportune time to seek an RFS waiver.
So, enough said. Everything stays the same. The required total volume of renewable fuels mandated by law to be blended into the fuel supply will remain at 9 billion gallons in 2008 and 11.1 billion gallons in 2009.
Game on.
-Tom Bryan
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Comments
If any State should be leading on ETHANOL production that is Texas,so huge and full of marginal land that should be growing SWEET SORGHUM,SWEET POTATOES and JATROPHA,to double or triple our ETHANOL production and boost our BIODIESEL production with American grown feedstocks
SUGARCANE TO ETHANOL cultivation could grow in the south of the state too ,as well as SOY and CORN fields in the north
The state goverment should be stimulating E-85 distribution ,with tax rebates for stations bringing it on ,to help the market create the demand that will push up ETHANOL production way pass IOWA or ILLINOIS
Thank you
Posted by: DANIEL D MARTIN | August 12, 2008 at 10:58 AM CST [Report Abuse]