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Federal Ethanol Mandate - Comment Now

 
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BrentB



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PostPosted: Wed Jul 20, 2016 10:02 am    Post subject: Federal Ethanol Mandate - Comment Now Reply with quote

Dear BoatU.S. Member:

The Environmental Protection Agency (EPA) is asking for comments on a proposal to increase the amount of ethanol that must be blended into the nation's gasoline supply for 2017. If adopted, these proposed levels will require the use of a record amount of ethanol, forcing higher-level fuel blends (including E15 or 15% ethanol) into gas pumps and at more gas stations. It's important to know that most marine engines are built to only work with up to 10% ethanol, and it is illegal to use gas containing more than 10% ethanol in any marine engine.

Please take a few moments to send a message NOW urging the EPA to lower the ethanol mandates to ensure an adequate supply of fuel that will work in your boat.

Click here to take action.
http://www.capwiz.com/boatus/issues/alert/?alertid=72776626


Background:

The Renewable Fuel Standard (RFS) is the 2005 law that requires the blending of biofuels such as corn-ethanol into our gasoline. When written, it was assumed that America's use of gasoline would continue to rise. However, U.S. gasoline usage has actually dropped steadily since 2005 and now the law forces more ethanol into fewer gallons of gasoline.

To keep up with this mandate, in 2010 the EPA permitted E15 (fuel containing up to 15% ethanol) into the marketplace, for some engines. E15 has been proven to damage boat engines and so it is prohibited in marine engines. It is also illegal to use E15 in snowmobiles, motorcycles, small engines like lawnmowers and leaf blowers, as well as any car or light-truck made before 2001.

E15 and higher ethanol blends fuel can now be found in 23 states, often at the very same pumps as E10 gasoline. A sticker on the pump mixed in with all the other labels may be the only warning for E15 gasoline. This creates a huge potential for mis-fueling and puts boaters at risk of using fuel that will damage their engines. CLICK HERE for more information on E15 and the Renewable Fuel Standard.
http://www.boatus.com/gov/RFS.asp

Thanks for being a BoatU.S. member and for taking action to let EPA hear how more ethanol will affect your boat engine. The deadline for your comment is July 11th, 2016. Help spread the word and please FORWARD TO A FRIEND.

Sincerely,

Margaret B. Podlich
President, BoatU.S.
(703) 461-2878 x8363

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starcrafttom



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PostPosted: Wed Jul 20, 2016 1:30 pm    Post subject: Reply with quote

it seems that the comment period has closed.

WHo is pushing for this? cant see why anyone would want ethanol in their gas when oil prices are so low. Another agency with nothing better to do and will not just go away.

its bad for older cars and boats and provides NO decrease in pollution. Raises the price of feed corn, which is low right now( maybe thats the push) down from 800 a bushel in 2013 to 350 a bushel, which is what it was in 2009 so maybe its back to historic levels?? Anyway I see nothing to be gained by ethanol being added to the gas. just another bad idea that will not go away because some jack asses got elected on it.

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Larry H



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PostPosted: Wed Jul 20, 2016 2:14 pm    Post subject: Reply with quote

Who wants ethanol in the gas? Corn farmers and the ethanol processing industry.
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BrentB



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PostPosted: Wed Jul 20, 2016 2:50 pm    Post subject: Reply with quote

Updated: Political Footprint of the Corn Ethanol Lobby
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April 16, 2014
PROGRAMS: AGRICULTURE, ENERGY
The federal government has in one form or another provided lucrative subsidies to the corn ethanol industry for more than 30 years, wasting tens of billions of taxpayer dollars in the process.

View/Download this article in pdf format

The federal government has in one form or another provided lucrative subsidies to the corn ethanol industry for more than 30 years, wasting tens of billions of taxpayer dollars in the process. Corn ethanol lobbyists have secured favorable treatment under the tax code, tariff protection from foreign competition, and even a government mandate for its use. While the most expensive taxpayer support – the $6 billion-per-year Volumetric Ethanol Excise Tax Credit (VEETC) – ended in 2011, subsidies and mandates for corn ethanol live on in other parts of the federal government.

Taxpayers continue to subsidize ethanol blender pumps through the federal tax code, payments for annual production through USDA’s Bioenergy Program for Advanced Biofuels, and a mandate for annual production through the federal Renewable Fuel Standard (RFS), among others. Originally sold as a way to achieve energy independence and reduce greenhouse gas emissions, corn ethanol has failed to deliver on all fronts and instead has caused numerous unintended consequences for taxpayers, consumers, and the environment.

Despite the fact that corn ethanol is a mature industry and its own proponents have admitted that federal subsidies are no longer necessary, lobbyists continue to seek more federal handouts. In Sept. 2013, Senator Tom Harkin (D-IA), former Chairman of the Senate Agriculture Committee, introduced S. 1563, a bill to increase taxpayers’ role in subsidizing the installation of ethanol blender pumps, storage tanks, and biofuels pipelines. Since ethanol is more corrosive than gasoline, special infrastructure is necessary to dispense blends of ethanol higher than 15 percent (E15). However, because E15 and other blends such as 85 percent ethanol (E85) are not competitive with gasoline prices in most parts of the U.S., gasoline station owners have been reluctant to install expensive new infrastructure to sell them. Small engine, automotive, and other manufacturers have also warned that the use of E15 in small engines and older vehicles will result in voided warranties and product liability issues. Nonetheless, ethanol backers are attempting to further prop up the corn ethanol industry at the expense of taxpayers.

Total Political Donations and Lobbying Expenditures by Corn Ethanol Industry

Organizations and companies lobbying for special treatment of corn ethanol include well-known names such as Archer Daniels Midland, Cargill, POET LLC, and the American Farm Bureau. (Please see the Appendix for a full description of the lobbying entities listed in this fact sheet). These groups use their connections, revolving door lobbyists (those who previously worked for a Member of Congress but currently lobby for the ethanol industry), and huge lobbying expenditures and political contributions to increase the market share of corn ethanol. These well-connected individuals and powerful groups lobby for expanded subsidies and favorable policies in the federal tax code and energy and farm bills. Understanding this complicated nexus is the first step in helping ensure policymaker decisions are based on merit, not muscle.

more at
http://www.taxpayer.net/library/article/updated-political-footprint-of-the-corn-ethanol-lobby
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Foggy



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PostPosted: Wed Jul 20, 2016 3:31 pm    Post subject: Reply with quote

Ah.

Tax the many for errs of the few.

Methinks we've seen this B 4.

Aye.

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starcrafttom



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PostPosted: Wed Jul 20, 2016 3:32 pm    Post subject: Reply with quote

larry it appears to me that my sarcasm has gone un-appreciated today.

Senator Tom Harkin (D-IA), former Chairman of the Senate Agriculture Committee, introduced S. 1563, a bill to increase taxpayers’ role in subsidizing the installation of ethanol blender pumps, storage tanks, and biofuels pipelines.

Vote him out.
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thataway



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PostPosted: Wed Jul 20, 2016 8:59 pm    Post subject: Reply with quote

Larry H wrote:
Who wants ethanol in the gas? Corn farmers and the ethanol processing industry.
I
I have said it before, and will say it again, as a Corn farmer, I do not want ethanol in the fuel. The amount of subsidy any individual average "family farmer" is minimal.

The guys who till my fields don't like corn ethanol either. Yes, the corn prices are historically low currently. As Tom noted corn is about $3.3675 a bushel. In May 1912 corn was $.62 a bushel. If you look at inflation historically at about 3.13% over the last 100 years, $100 in 1912, would be about $2200 today. Looking at that factor, Corn should now be $13.84 a bushel! In fact the high was $8.18 a bushel in 2012! Corn today is historically a bargain. If a farmer were to buy crop land today, with a mortgage, and attempt to farm corn, he would be pressed to make a profit, even with today's historically low interest rates on land. There are many costs to farming, not the least is land tax. They include chemicals, fertilizers, various costs to maintain the field's drainage (and comply with EPA and other rules), plus the cost of machinery, fuel, as well as labor... The amount of subsidy I receive would pay less than 20% of the taxes on my land.

Currently corn is utilized: Feed for livestock 40$ residual Ethanol 40%
human Food, including sucrose 10%, Seed/Exports 10%. Actually it is rather inefficient use of our land.

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BrentB



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PostPosted: Wed Jul 20, 2016 9:31 pm    Post subject: Reply with quote

Corn prices could drop anytime due large stockpiles, sorghum instead of corn being used for ethanol, bumper wheat crops used to feed livestock instead of corn and decrease corn exports

I dont know what the current break even cost for corn is for farmer
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Larry H



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PostPosted: Wed Jul 20, 2016 9:56 pm    Post subject: Reply with quote

thataway,

Thanks for the info.

So who is making a profit on ethanol?
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rogerbum



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PostPosted: Wed Jul 20, 2016 10:09 pm    Post subject: Reply with quote

thataway wrote:
Larry H wrote:
Who wants ethanol in the gas? Corn farmers and the ethanol processing industry.
I
I have said it before, and will say it again, as a Corn farmer, I do not want ethanol in the fuel. The amount of subsidy any individual average "family farmer" is minimal.

The guys who till my fields don't like corn ethanol either. Yes, the corn prices are historically low currently. As Tom noted corn is about $3.3675 a bushel. In May 1912 corn was $.62 a bushel. If you look at inflation historically at about 3.13% over the last 100 years, $100 in 1912, would be about $2200 today. Looking at that factor, Corn should now be $13.84 a bushel! In fact the high was $8.18 a bushel in 2012! Corn today is historically a bargain. If a farmer were to buy crop land today, with a mortgage, and attempt to farm corn, he would be pressed to make a profit, even with today's historically low interest rates on land. There are many costs to farming, not the least is land tax. They include chemicals, fertilizers, various costs to maintain the field's drainage (and comply with EPA and other rules), plus the cost of machinery, fuel, as well as labor... The amount of subsidy I receive would pay less than 20% of the taxes on my land.


Currently corn is utilized: Feed for livestock 40$ residual Ethanol 40%
human Food, including sucrose 10%, Seed/Exports 10%. Actually it is rather inefficient use of our land.


If you were still farming with the same antiquated methods and without the benefit of nitrogen fertilizer as they did in 1912, your calculation would make sense. However, production is way up since 1912 with the single largest contributor to production being due to new methods for producing ammonia from nitrogen in the air that were developed in the early 1900's and put into large scale production in the 1920's-1950's. If you look at crop yields per acre over that time, you'll see an increase that largely parallels ammonia production.

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dotnmarty



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PostPosted: Wed Jul 20, 2016 10:53 pm    Post subject: Reply with quote

starcrafttom wrote:


Senator Tom Harkin (D-IA), former Chairman of the Senate Agriculture Committee, introduced S. 1563, a bill to increase taxpayers’ role in subsidizing the installation of ethanol blender pumps, storage tanks, and biofuels pipelines.

Vote him out.


Senator Harkin retired from the U.S. Senate in January 2015.

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starcrafttom



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PostPosted: Wed Jul 20, 2016 11:57 pm    Post subject: Reply with quote

Well then marty was why that quote i gave in the info that was listed above? Is this current or old?? I just quoted the from the story that the above link took me to, I think? maybe I followed a few links?? cant remember that was this morning.
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thataway



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PostPosted: Thu Jul 21, 2016 2:15 am    Post subject: Reply with quote

rogerbum wrote:

If you were still farming with the same antiquated methods and without the benefit of nitrogen fertilizer as they did in 1912, your calculation would make sense. However, production is way up since 1912 with the single largest contributor to production being due to new methods for producing ammonia from nitrogen in the air that were developed in the early 1900's and put into large scale production in the 1920's-1950's. If you look at crop yields per acre over that time, you'll see an increase that largely parallels ammonia production.


Roger, I don't believe that the entire equation is as easy as that. This is not the place to get into a discussion of why corn production per acre has dramatically increased, as a lineal function (flat from 1866 to about 1937 at 30 bushels an acre), moderate gain from late 30's thru about 1955, and then steeper to the current level, increasing almost every year. We currently average 130 to 160 Bushels per acre. . The rise of production is certainly far more complex than just the use of nitrogen/urea fertilizer. (The vast majority of urea precursors are produced from Natural Gas. Much is imported into the US. I am not at home, so I don't have the records as to how much of each chemical we have utilized each year However we rotate each field yearly with Soy Beans and Corn, as is one of the best farming practices. Fields are plowed under after harvest. Probably a great subject to have a beer over with the fellows who work the farm--Roger you are invited to join us, since the farm is close to the Mississippi River gathering in Sept,

Lets say that we were getting 30 Bu/Ac@ $.62 equals about $18 an acre 1912, and how we have 150 x $3.36 would be about $504 an acre. But our costs are far higher, than when mules or draft horses were used to plow the fields. Land has gone up to well over $7,000 an acre in our area...real income is closer to $300 an acre...
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PostPosted: Thu Jul 21, 2016 10:22 am    Post subject: Reply with quote

Foggy wrote:
Ah.

Tax the many for errs of the few.

Methinks we've seen this B 4.


I prefer "DO AS I SAY; NOT AS I DO"...

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BrentB



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PostPosted: Fri Jul 22, 2016 10:02 am    Post subject: Reply with quote

thank you for contacting me to share your concerns about ethanol volume requirements in fuel. I appreciate hearing from you on this important matter.

As you may know, the 2007 Energy Independence and Security Act included a Renewable Fuel Standard. The so-called biofuels mandate requires an increase in biofuels production from nine billion gallons per year in 2008 to 36 billion gallons per year by 2022. The Renewable Fuel Standard is in gallons, which requires fuel producers, blenders, and distributors to meet a certain threshold for gallons of renewable fuel each year. To meet the Standard, many blenders nationwide create an ethanol-gasoline mixture of 10 percent ethanol, 90 percent gasoline, which has traditionally been the maximum allowable proportion of ethanol. This blend, also known as E10, was approved for use in most on-road and non-road engines and has been available in Delaware since 2006.

On November 29, 2013, the EPA released a proposed Renewable Fuel Standard rule for 2014, which would lower the ethanol mandate for the first time. That is why on December 11, 2013, the Senate Committee on Environment and Public Works, of which I am a member, held a hearing on the proposed rule. My colleagues on the Committee and I heard from several witnesses, some of whom consider the Renewable Fuel Standard a success, and others who expressed concerns similar to yours.

On February 26, 2015, Senator Pat Toomey (R-PA) introduced S. 577, the Corn Ethanol Mandate Elimination Act of 2015. The bill seeks to eliminate the annual renewable fuel standard that requires 36 billion gallons of renewable fuel to be blended into transportation fuel by 2022. The legislation is currently pending in the Senate Committee on Environment and Public Works. Should I have the opportunity to consider this bill before the full Committee, I will continue to welcome an open and thoughtful dialogue, and I will be sure to keep your thoughts in mind.

Thank you again for contacting me. Please do not hesitate to contact me again in the future about this or other matters of importance to you.


With best personal regards, I am,

Sincerely,

Tom Carper
United States Senator

To send another message please visit my website at http://carper.senate.gov/contact and fill out the webform for a prompt response. Thank you.
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