Iowa Eyes Biodiesel Mandate
A measure that promises to promote biodiesel gowth in Iowa, create green collar jobs and reduce dependence on foreign oil has passed a key committee in the Iowa legislature.
This article from the Des Moines (IA) Register says Sen. Daryl Beall’s (D-Fort Dodge) biodiesel mandate bill cleared the Senate Transportation Committee. And if it passes the full legislature and is signed by the governor, it would kick in as early as this summer:
Under the new proposal, the required blend of biodiesel would ramp up from 5 percent this summer to 20 percent by 2015. Among those opposed to the bill are truckers and convenience stores…
Gas stations wouldn’t need special pumps for biodiesel, but they may need an extra tank, lobbyists said.
Although the state currently subsidizes retailers to pump biodiesel, the bill calls for those tax credits to end.
The credits, which amount to around $5 million a year, are set expire anyway in 2011, Beall said. After three years, the state would save about $15 million per year.
During cold weather months… between November 1st and March 31st… only a 5 percent blend would be required. If the measure passes, Iowa would join Minnesota as states with a biodiesel mandate.
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Renewable Energy Group/Alicia Clancy
Renewable Energy Group supports Iowa SF 294 which calls for all diesel fuel sold in Iowa to include a B5 blend of biodiesel because success for Iowa’s biodiesel industry means success for Iowa’s economy.
According to economist John Urbanchuk, the Iowa biodiesel industry employs more than 6,100 people from raw material production and transportation to administration services and research and development. The REG network of plants alone employs more than 200 people directly working in biodiesel production and marketing. Another 4,000 Iowans have invested in building these facilities because they believe in locally grown fuel powering our local economy.
Biodiesel makes a significant contribution to the Iowa economy; expanding the economic base, generating income, supporting the creation of new jobs, and generating tax revenue.
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