FARMERS WANT NEW ENERGY FROM CONGRESS

Farm industry leaders contend that the right federal policies would facilitate development of renewable fuels without causing price or supply problems in the food industry.

That may or may not be true. But the shortcomings of corn ethanol as an energy source will inevitably expose themselves while the polices the NFU advocates -- national mandates for renewable energies and fuels -- will go on serving the nation.

National Farmers Union Urges Energy Bill to Include Renewable Fuels Standards
Liz Friedlander, October 22, 2007 (GrainNet/Grain Journal)

WHO
National Farmers Union (NFU) (Tom Buis, President); Speaker of the House of Representatives Nancy Pelosi (D-Calif); Senate Majority Leader Harry Reid (D-Nev.)

Corn ethanol is not the best answer but the US has lots of biomass resources. (click to enlarge)

WHAT
Buis wrote to the Congressional leaders on behalf of farmers urging them to include a Renewable Fuels Standard (RFS) and a Renewable Electricity Standard (RES) in the energy legislation they send to President Bush.

WHEN
- Reid and Pelosi have promised an energy measure by the end of 2007.
- The original RFS was part of 2005 energy legislation.

WHERE
Mandates for the development of renewable fuels and electricity are expected to have especially positive impacts on the economies and employment opportunities of rural America.

Nothing wrong with lots of new jobs. (click to enlarge)

WHY
- Many types of renewable transportation fuels, including corn and cellulosic ethanol, expand rural economic opportunities. An RFS, by mandating a designated level of production, can be expected to open up new outlets for the fuels which then expands market opportunities.
- The 2005 RFS is thought to have created 650 jobs per community.
- Renewable energies like solar and wind require open land. An RES, by mandating basic levels of consumption by utilities, drive wind and solar energy producers to seek out rural lands for development, thereby creating economic opportunities for farmers and ranchers as well as jobs in their communities.
- An RES is expected to create $450 billion in New Energy investment.

Lots of jobs in all the renewable energy industries. (click to enlarge)

QUOTES
- Buis: "NFU was a leading advocate for the original RFS adopted by Congress in 2005, which has resulted in a doubling of ethanol production, increased farm income and revitalized rural America…Additionally, because of public policies that encourage local ownership, ethanol production is the only sector in agriculture that has seen a reduced level of concentration… Without an accelerated and expanded RFS, ethanol facilities will produce enough ethanol within the next two years to saturate the market…"
- Buis: "The House-passed RES is critical and provides significant opportunity in rural America…"