February 6, 2013

Ag economist urges Congress to begin extensive reform of the Renewable Fuel Standard

The Renewable Fuel Standard (RFS) is broken, but Congress can fix the rule by acting now and opening an inclusive, robust debate that leads to extensive reform," said Dr. Thomas Elam, president of FarmEcon, LLC, today at a media briefing with approximately 50 reporters. Dr. Elam presented his remarks on behalf of the National Chicken Council and National Turkey Federation. Congress in 2005 enacted the first RFS which mandated levels of ethanol to be blended with gasoline. In 2007 that ethanol mandate was expanded, and biodiesel was added. Dr. Elam noted in his remarks that 2007 was a game changer, referring to it as a "Hail Mary." "We did not then, and still do not today, have the volume of agricultural raw materials, or the required cellulosic ethanol technology, to meet the 2007 RFS goals," he said. "Nearly six years later, it’s still not a commercial reality. The courts just a few weeks ago ruled this to be the case, as well." Read More

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