Investment in U.S. ethanol production, which along with a drought-plagued crop is being blamed for near-record corn costs, may decline should federal use requirements for the biofuel be reduced, Agriculture Secretary Tom Vilsack said.
At least 25 U.S. senators and 156 House members have signed letters asking Lisa Jackson, administrator of the Environmental Protection Agency, to suspend or lower mandates on how much ethanol the country must use this year and next. Last week the Obama administration said it’s reviewing ethanol policy. A review is appropriate, while a waiver may bring long-term harm to ethanol investment without having a major effect on food prices, Vilsack said. Read More