Domestic Fuel

The American Farm Bureau Federation is supporting a new direction in biofuels policy away from the blenders tax credit and toward increasing infrastructure.

“The whole discussion has been evolving within the industry and within the Congress,” said AFBF President Bob Stallman during a press conference following the conclusion of the organization’s 92nd annual meeting. “It doesn’t surprise me that that showed up in our policy this year and our members have said it’s a good idea for us to make that transition.”

“Part of that is the recognition that maybe that blend credit isn’t serving as good a purpose as it could and the fact that it is a pot of money that may be subject to budget reductions and if we could shift that to infrastructure you can make the case that its a better use of public funds,” Stallman added.

The voting delegates of the nation’s largest general farm organization also adopted urged Congress to “pursue vigorous oversight” of the Environmental Protection Agency.

In approving the “sense of the delegate body” resolution, the delegates said “congressional action is necessary to restore common sense to environmental regulation on our farms.” EPA, they said, is limiting the use of private property, “encroaching on state land use and water quality planning efforts,” and impeding economic growth.

The resolution also asked lawmakers to consider legislation to “halt” EPA’s regulation of greenhouse gases.

Retired General Wesley Clark visited the second AG CONNECT Expo Saturday in Atlanta to talk with farmers and ranchers visiting the event about the importance of ethanol to our nation’s security.

Representing Growth Energy, Clark greeted folks at the CASE IH exhibit on the floor of the agricultural trade show. He also made time for some media interviews to talk about ethanol issues, like what he thinks will happen with ethanol policy this year in Congress. “We need to be thinking ahead about how to fix America’s dependence on foreign oil,” Clark said. “We probably are going to need some incentives for service station owners to invest in blender pump technology and that can be done by giving them some of the credit that is being given right now to the blender itself.” So Growth will probably support some kind of a split in the current tax incentive structure to give some for infrastructure.

Clark also talks about EPA’s rule on E15. “Ethanol is not poison at E15,” he said. “So we need to be sensitive in terms of labeling. We want consumers whose cars can take E15 to use it. It’s good for America. And I think we’re going to win that discussion.”

Listen to my interview with Wesley Clark here: Wesley Clark

2011 AG CONNECT Expo Photo Album

There were a lot of volunteers helping pump gas during the Kum & Go E-85 pump promotion in Des Moines in advance of the Iowa Corn Indy 250. Some of them were from the Polk County Farm Bureau.

I spoke with Carol Miller, past President and Board member. She and her family are farmers. They really appreciate the relationship with Kum & Go and getting the word out about E-85. She points out that 35 gallons of E-85 purchased replaces a barrel of foreign oil. She says the Indy Car drivers love it because they use less fuel. She’s hoping to be at the race on Sunday.

You can listen to my interview with Carol below.

Iowa Corn Indy 250 Photo Album.

Podcast: Play in new window | Download (1.1MB)

Tax incentives play a key role in the development and production of renewable energy, and the American Farm Bureau Federation (AFBF) is urging Congress to pass two bills that would extend renewable fuel tax credits for five years.

In a statement presented for the record to a House Ways and Means Committee hearing this week on energy tax incentives, AFBF said long-term tax incentives are needed to boost renewable energy technologies and support development of the market infrastructure necessary to make these technologies more competitive.

AFBF supports legislation that would extend the biodiesel tax incentive for five years and change the biodiesel tax incentive from a blenders excise tax credit to a production excise tax credit. The general farm organization also backs the Renewable Fuels Reinvestment Act that extends the Volumetric Ethanol Excise Tax Credit and the Small Ethanol Producers Tax Credit for five years through 2015. That bill also extends the Cellulosic Ethanol Production Tax Credit for three years, through 2015 and the secondary tariff on ethanol that offsets the benefit received by imported ethanol.

“Clean and renewable domestic energy will help America achieve long-term economic growth, create a cleaner environment and shield our energy supply from unreliable foreign sources,” said AFBF President Bob Stallman. “Renewable fuels are vital for rural America. They create much needed jobs and open new markets for farmers and ranchers. Tax incentives play a key role in the development and production of renewable energy.”