|
| Ethanol group formed to push agenda, dispute food price assertions |
| Source: MeatingPlace.com, by Janie Gabbett |
| Date: 14-Nov-2008 |
Six major ethanol producers on Tuesday announced they had formed an organization called Growth Energy to promote the value of ethanol and fight back on assertions the corn-based product is a major contributor to food price inflation.
Founding members include ethanol producers POET LLC, ICM Inc., Western Plains Energy LLC, Amaizing Energy LLC, Hawkeye Renewables LLC and Green Plains Renewable Energy Inc.
"Big Food and their Washington lobbyists have been trying to blame the rising cost of food on American ethanol producers and the cost of corn. Well, now that the price of corn has dropped more than 50 percent since the summer, we ask the Big Food industry to explain to the American people why food prices are still so high," said Jeff Broin, CEO of POET, in a news release announcing the organization and its goals.
In a policy brief posted on its Web site, the organization accused the Grocery Manufacturers Association (GMA) of engineering much of this year's food vs. fuel debate.
"By exaggerating both ethanol's impact on corn prices and corn prices' impact on consumer food costs, GMA and its allies have distracted policymakers, the media, industry and consumers from the larger trends and challenges we face in feeding the planet and enhancing our energy security," the policy brief stated.
Boosting blend rate
At a news conference in Washington, Growth Energy members said the group would push the Environmental Protection Agency to raise the ethanol-to-gasoline blend rate to 15 percent or 20 percent from the current 10 percent to ensure federal targets for using the renewable fuel are met, according to Reuters.
Federal law requires the use of 9 billion gallons of renewable fuels this year, 10.5 billion gallons in 2009 and 15 billion gallons a year by 2015.
Asked if the Obama administration would support higher blends, Broin said "We see tremendous alignment between our goals." |
|
|
|
|
