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Biofuel Boosters Rally Support for Higher EPA Blending Levels in 2017

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Biofuel Boosters Rally Support for Higher EPA Blending Levels in 2017

Posted 3 June 2016 in

National

FOR IMMEDIATE RELEASE: June 3, 2016
PRESS CONTACT: Zachary Cikanek, 202.677.7043, zcikanek@fp1strategies.com

WASHINGTON, DC – The nation’s leading biofuel advocates are rallying supporters to urge the Environmental Protection Agency (EPA) to increase its proposed 2017 targets under the Renewable Fuel Standard (RFS). With the start of the EPA’s public comment period this week and the announcement of a public hearing on June 9, supporters have a limited time to call on the EPA to make more ethanol and other biofuels available to consumers in next year’s fuel mix.

“America can’t achieve its climate, health or economic ambitions without renewable fuels. Among the most powerful tools we’ve got in achieving those ambitions is the Renewable Fuel Standard – as long as it’s allowed to work,” said Adam Monroe, America Regional President, Novozymes North America. “We urge anyone who’s benefitted from the renewable fuel industry to speak out – and urge the Administration to listen to those voices and maximize renewable fuel production.”

“Consumers who care about having affordable options and a choice at the gas pump can get in on the action by contacting the EPA and asking their lawmakers to support a strong RFS,” said Emily Skor, CEO of Growth Energy. “Policymakers need to be reminded that ethanol producers, retailers and the current auto fleet are fully capable of accepting the statutory volumes as called for by Congress, providing consumers with a true choice and savings at the pump. As EPA noted in their own proposed rule, ‘To date we have seen no compelling evidence that the nationwide average ethanol concentration in gasoline cannot exceed 10 percent.’ It’s vital that we fight for the statutory biofuel targets for America’s 2017 fuel mix.”

“The proposed targets fall short of the statutory levels set by Congress,” said Bob Dinneen, President and CEO of the Renewable Fuels Association (RFA). “Consumers know that having only one choice at the pump – fossil fuels – is a vestige of outdated thinking and poor policy decisions. We must aim higher to protect the economic, environmental and energy security benefits of America’s most successful clean energy program.”

Supporters are urged to testify at the EPA field hearing in Kansas City or submit comments to the EPA by July 11, when regulators start writing a final rule.

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Biofuel Boosters Rally Support for Higher EPA Blending Levels in 2017

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Renewable Energy Roundup: 5 Myths About Solar Energy

Renewable energy continues to advance, particularly the solar energy market which is dynamic and evolving quickly. Proof you say? Let’s take a look at a few facts first.

The solar industry had another record-breaking year in 2015, with installed capacity increasing 16% over 2014 installations.
At the same time, solar system prices fell by 17%.
For the first ever, solar beat natural gas in new power capacity last year, with solar energy contributing 29.4% of total new electric generation capacity.

Meanwhile, solar technology advances are making systems more energy efficient and resistant to shade from trees and buildings, allowing them to produce a larger percentage of overall household energy consumption. Many solar installers now offer solar system monitoring, so homeowners can view historic and real-time solar system output data. With such a dynamic market and with technology advances, things that were true a few years ago may no longer be true today. 

Researching renewable energy

Separating fact from fiction, let’s take a look at a few myths about solar energy that still prevail. Here are the Top 5 myths about renewable energy — specifically solar.

Myth 1: Solar PV systems require a lot of maintenance and upkeep

With no moving parts, grid-tied solar renewable energy electric systems (without batteries) requires virtually no maintenance. Image Credit: LUCARELLI TEMISTOCLE / Shutterstock

With no moving parts, grid-tied solar electric systems (without batteries) requires virtually no maintenance. This is impressive, considering the design life of most solar systems is 25 to 30 years. Most solar panel manufacturers even provide 20 to 30 year warranties, because the technology is so reliable.

It is however recommended to inspect solar panels for dust or debris a couple times a year, and clean them with the garden hose if necessary to ensure optimum energy output. Use caution when viewing or cleaning solar panels from high heights, if they cannot be clearly viewed from the ground. Most solar system owners never do inspect panels for cleanliness or clean them however and their systems continues to perform well. 

Most residential solar systems are connected to the electric grid and have no batteries, which makes them more efficient than a system without batteries. Most utility companies across the country have net metering programs to credit solar system owners for feeding solar electricity to the power grid, when the system is generating more than the home consumes at the time.

Batteries decrease the sustainability and efficiency of the solar system, as not all the power is actually captured and used. Like any other kind of battery, solar system batteries do require maintenance and will need to be replaced every five to ten years. They are also bulky and the batteries themselves have an environmental impact, even if they are recycled at the end of their life.

Myth 2: Solar power is very expensive

Although this was a true statement just a decades ago, the cost of solar panels and equipment has plummeted. As solar technology advances, solar energy production is also increasing significantly, allowing the system to produce more of the overall household electricity. Now that solar electricity has grown nearly exponentially in popularity, solar equipment is mass produced, allowing prices to fall significantly.

A similar phenomenon happened with digital cameras, DVD players, and laptops. Although these gadgets were very costly when they first hit the market, prices have since declined dramatically, making them more affordable for many people. Likewise, solar technology is advancing and becoming more efficient as well.

“There are higher efficiency solar panels available on the market now, which come at a slightly lower price [per watt],” says Nir Maimon, CEO of Sol Reliable, a solar installation and green energy solutions company headquartered in Los Angeles. “Average panel efficiency is now 17%-21%, while previously, it was closer to 16%-17% efficiency.”

At the same time, residential electricity rates have also increased over the last decade, especially in certain areas of the country. The financial performance of a solar system is largely dependent on the cost of electricity that a homeowner would otherwise pay. Today, solar energy systems have never been as affordable, or a better investment, especially in certain markets.

Myth 3: Solar panels don’t generate much electricity during the winter

When the temperature of the solar panels is cooler, they can generate more renewable energy. Image Credit: Bernhard Richter / Shutterstock

Unless you live on the North or South Pole, solar energy systems typically generate a lot of electricity during colder weather, unless they are covered by snow or ice. Despite the angle of the sun being lower in the sky and the days being shorter, solar energy systems can generate significant amounts of electricity throughout the winter months.

This is because solar panels use light, not heat, to generate electricity. When the temperature of the solar panels is cooler, they can generate more renewable energy. Once they reach temperatures around 32 degrees Celsius or 90 degrees Fahrenheit, solar panel output starts to decline. Since panel temperatures are roughly 20 degrees Celsius warmer than ambient temperatures, these temperatures are commonly reached in most climates. 

Myth 4: Solar technology is not reliable

Solar PV systems are very reliable and durable throughout its 25 to 30 year design life, requiring few if any repairs. Of course some of this depends on the components by specific companies, as some solar panel and equipment companies offer higher quality products than others. 

Solar panels are manufactured to handle extreme weather, including medium-sized hail and falling branches. In fact, the EU Energy Institute found that 90% of solar panels last for 30 years or longer. Because solar electricity is so reliable, it is frequently used to power vital systems, including railroad crossing signals, construction safety signs, aircraft warning lights, and navigational buoys.

Myth 5: I will be off grid and store solar energy in batteries

Most solar homes are still connected to the power grid, for financial and environmental reasons. Most solar systems produce more electricity than is needed during the day. Being connected to the power grid allows homeowners to feed excess daytime electricity to the grid under a program called net metering. Studies show that an average of 20% to 40% of a solar system’s output is fed to the power grid, where it helps to power neighboring houses. Credits appear on the electric bill for energy sold back to the power grid. During overcast weather and at night, solar homes draw power from the grid.

If a home is located in a remote area away from the power grid, a standalone solar system with batteries may be the most practical solution. There is typically a charge for extending the power grid, which can be thousands or even tens of thousands, depending on the distance and other factors. Sometimes stand alone solar systems are more cost-effective to install than extending the power grid, even when taking the costs and upkeep of batteries into account.

Feature image credit: lovelyday12 / Shutterstock

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Sarah Lozanova

Sarah Lozanova is a renewable energy and sustainability journalist and communications professional, with an MBA in sustainable management. She is a regular contributor to environmental and energy publications and websites, including Mother Earth Living, Earth911, Home Power, Triple Pundit, CleanTechnica, Mother Earth Living, the Ecologist, GreenBiz, Renewable Energy World, and Windpower Engineering.Lozanova also works with several corporate clients as a public relations writer to gain visibility for renewable energy and sustainability achievements.

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Renewable Energy Roundup: 5 Myths About Solar Energy – April 13, 2016
Why One Family Of Four Chose To Downsize To 900 SF – April 8, 2016
Has Solar Energy Technology Evolved? – April 1, 2016

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Renewable Energy Roundup: 5 Myths About Solar Energy

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Renewable Fuel: Good for Our Climate

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Renewable Fuel: Good for Our Climate

Posted 24 November 2015 in

National

Since the passage of the Renewable Fuel Standard (RFS), the United States has achieved major reductions in greenhouse gas emissions, protecting our climate and public health.

Over the past 10 years, the RFS has significantly cut carbon emissions – slashing transportation-related CO2 emissions by nearly 590 million metric tons. That’s equivalent to taking more than 124 million cars off the road in that same period.

We can continue to curb carbon emissions by using more clean, homegrown, renewable fuel. Corn ethanol use reduces greenhouse gas emissions by 34 percent compared to gasoline and the rate for cellulosic biofuel is even higher at 108 percent.

The benefits to our air are clear and meaningful. But, the Environmental Protection Agency’s proposed rule for the RFS would lower ethanol blend volume requirements and drastically increase carbon emissions. If enacted, the EPA’s proposal would add nearly 20 million tons of carbon emissions in this year alone – the same as putting 7.3 million cars back on the road.

If the United States wants to lead the world in efforts to combat climate change and curb greenhouse gas emissions, it must strengthen the RFS. When he looks to other countries at the climate talks in Paris this December, our President needs to remember the most successful policy in his own country aimed at combating climate change and slashing carbon emissions – the Renewable Fuel Standard.

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Renewable Fuel: Good for Our Climate

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Infographic: How Renewable Fuel Combats Climate Change

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Infographic: How Renewable Fuel Combats Climate Change

Posted 18 September 2015 in

National

Simply put: the Renewable Fuel Standard is the only law on the books combating climate change. According to a recently released study by the Biotechnology Industry Organization, the RFS has significantly lowered carbon emission levels and displaced nearly 1.9 billion barrels of foreign oil in the decade since it’s passage.

With so much progress on the line, the United States can’t afford to turn its back on renewable fuel.

View & share the gallery of infographics on Facebook.

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Infographic: How Renewable Fuel Combats Climate Change

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The Future of Renewable Fuel

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The Future of Renewable Fuel

Posted 16 September 2015 in

National

Biofuels industry leaders wrote a letter to President Obama urging him to support a strong Renewable Fuels Standard.

Dear Mr. President,

As leaders in the advanced and cellulosic biofuels industry, producers of the lowest carbon fuel in the world, we are writing to express our serious concerns about modifications your Administration is proposing to make to the Renewable Fuel Standard (RFS).

As a general matter, we commend your commitment to addressing climate change, and look forward to continuing to work with you to create innovative solutions to reduce GHG emissions. We stand behind your recent declaration that Americans are innovators by nature, and your statement that “there should be no question that the United States of America is stepping up to the plate,” as we head into pivotal climate talks in Paris later this year.

However, our industry is also dealing with the reality that on May 29th your Administration re- proposed to insert a loophole into the RFS – a Clean Air Act (CAA) program that is the most aggressive U.S. climate policy enforced today – that would allow oil companies to avoid their obligations under the law.

As you know, the point of the RFS was to require oil companies to buy and sell an increasing amount of renewable fuel to address the fact that the oil industry would otherwise use its market position to cut off market access for competitors and thereby smother investment in cellulosic ethanol and advanced biofuels that have the lowest carbon footprint in the world. And yet, for the first time in RFS history, EPA is proposing to change the rules in the middle of the game to allow challenges related to the “distribution” of renewable fuel by oil companies – i.e. the oil industry’s refusal to buy and distribute low carbon, renewable fuel and its willingness to block brand-licensed gasoline retailers from selling higher renewable content blends under their branded canopy – to be cause for waiving the RFS on a year-to-year basis. Such a provision would gut the core concept behind the law.

From an investment perspective, billions of dollars of private capital flowed into U.S. biofuel projects – in the face of an historic global recession – largely because the RFS was seen as breaking the chokehold the oil industry has on fuel distribution and market access. RFS implementation was predicated on a market-based system of credits, much like the cap-and-trade plan you supported, and the most likely compliance mechanism for your Clean Power Plan. If portions of the oil industry choose not to purchase and use renewable fuel, they are required to purchase “Renewable Identification Numbers” (RINs) from market participants that did purchase and use renewable fuel in order to encourage good behavior and ensure fairness. As such, as RIN prices increase, so too does the economic incentive to blend more biofuels into the system. In essence, the policy rewards actors who do their part to meet the policy’s objective, and ensures that no one gets a free pass. This is how so many oil companies reported profits from selling RINs in recent years.

As acknowledged by EPA and former economic advisors to your Administration, this regulatory dynamic drives consumer choice at the pump with more American-made, renewable fuel without increasing average fuel prices. But EPA’s decision to change its waiver methodology, under pressure from the oil industry, upends the system and sends the market signal that the RFS volumes can be lowered if the oil industry simply drags its heels. The point of the RFS was to reward those who made the investments necessary to use more renewable fuel. Parts of the oil industry refused to do so starting in 2013, and now they’re being rewarded. No market-based system can survive if regulators are willing to overhaul the system to reward intransigence among obligated parties.

It is important to note that our industry has fought and won this battle once before. In 2005, Senator Inhofe and other oil industry champions tried to get “distribution waivers” included in the RFS from inception. Congress considered this path, but the language was struck from the bill in conference because Congressional champions for our industry knew that providing such waivers would result in the oil companies continuing to use their market position to stop the growth of biofuels.

Mr. President, the ramifications of your decision on this issue are substantial for America’s largest renewable energy sector. If the final rule includes distribution waivers, the global market signal will be that your Administration is backing away from its support of the most transformative U.S. energy and climate policy on the books today; and one that is widely regarded to be the best cellulosic and advanced biofuels policy in the world. While our companies will not fail to deploy advanced biofuels, we will continue to be forced to look overseas where renewable fuel policies are more stable.

The good news is, and notwithstanding claims to the contrary, the inclusion of distribution waivers is not necessary to put the RFS on a reasonable and stable path going forward. We would like to work with your Administration to forge a better path forward that is reasonable from an RFS implementation and motor fuel market perspective, protects U.S. investment in low carbon fuels, and ensures that the United States is true to its word going forward in Paris and beyond.

We hope to have your support on this important matter, and firmly believe that with your leadership we can get this critical innovation/climate program back on track.

View the signatures of all the leaders here.

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The Future of Renewable Fuel

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Voices of the RFS

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Voices of the RFS

Posted 14 August 2015 in

National

As the Renewable Fuel Standard turns 10 years old, the message is coming loud and clear that renewable fuels are working for rural America.

We spoke to farmers, entrepreneurs and others at the Rally for Rural America in Kansas City about what the RFS means to them and their communities.

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Voices of the RFS

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EPA’s Choice: American Jobs and Innovation, Or Oil Industry Profits?

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EPA’s Choice: American Jobs and Innovation, Or Oil Industry Profits?

Posted 27 May 2015 in

National

This post was authored by Brent Erickson, an Executive Vice President at the Biotechnology Industry Organization, a member of Fuels America. It is cross-posted from Medium.

The Environmental Protection Agency (EPA) and White House Office of Management and Budget (OMB) hold the future of the nation’s renewable fuels policy in their hands. The future of America’s energy security and economy will turn on the EPA’s decision in the coming weeks whether to maintain the foundation of the Renewable Fuel Standard (RFS) or give in to the oil industry’s construction of a “blend wall” when the agency proposes new rules for the 2014, 2015 and 2016 RFS obligations. The agency has a stark choice to make and two disparate options: either cave to the oil lobby and allow oil companies to maintain monopoly control of the motor fuel market or choose our rural economies and advance American innovation.

The RFS was enacted to stimulate investment in research, development and infrastructure for renewable fuel, particularly to produce advanced biofuels. The law gives the EPA responsibility for developing and implementing rules to ensure that there will be a market for all domestic renewable fuel produced up to the volumes prescribed in the statute. Back when Congress was considering the RFS, oil companies fought tooth and nail against a part of the bill that I call the “Consumer Choice Provision” (CCP). This provision directs the EPA to set annual Renewable Volume Obligation (RVO) levels based on the renewable fuel industry’s ability to produce and supply biofuels. The oil lobby instead wanted a law that would have allowed the EPA to set RVO levels below those in the statute if the oil industry simply refused to invest in renewable fuel infrastructure. Essentially, this would have allowed the oil industry to control the way EPA calculates renewable fuel volumes under the RFS — and block competition in our motor fuel marketplace. Had Congress granted the oil lobby what it asked for, oil companies would have had a regulatory mechanism guaranteeing their monopoly at the pump forever, leaving America with more foreign oil imports, more pollution and spills, and more jobs and investment shipped overseas.

Instead, Congress designed the RFS to increase America’s energy security, lessen our dependence on foreign oil (which often comes from hostile regions), extend its commitment to America’s rural communities and green energy investors and innovators, and encourage infrastructure development. The RFS now supports more than 852,000 jobs across America. And thanks to the promise of the RFS, green energy investors have brought three commercial scale cellulosic ethanol facilities online, producing the world’s cleanest motor fuels from agricultural residue.

In the face of this challenge to their market monopoly, the oil industry has grown increasingly reluctant to comply with the RFS. More and more, oil companies have refused to invest in infrastructure for renewable fuel, despite their obligation to do so under the law. Instead, the oil industry has invested in a lobbying effort with hundreds of millions of dollars behind it, pressuring the EPA to thwart the spirit and intent of the RFS. Even oil interests from Saudi Arabia have entered the fight.

In 2013, the EPA caved to oil lobbyists and issued a proposed rule that tossed aside the Consumer Choice Provision, changing the rules on renewable fuel investors midstream and threatening hundreds of thousands of jobs. Just as the advanced biofuels industry was reaching a commercial stage where new biorefineries could be built at lower capital costs, the EPA’s proposed rule chilled investment in the industry. The Administration later took the disastrous proposal off the table, but much of the damage has already been done; since 2013, an estimated $13.7 billion of investment in advanced biofuels has been frozen. $13.7 billion.

When the EPA releases the proposed rules for 2014, 2015 and 2016 in the next week, it must choose between rural economies and American innovation on the one hand and oil company profits on the other. Oil companies are pouring millions into a lobbying effort to convince EPA to do what Congress refused to do nearly a decade ago: propose a rule that would set lower RVO levels based on the oil industry’s refusal to comply with the law.

It isn’t just the biofuels industry that should be worried. If the EPA allows the world’s cleanest motor fuels — a product of American labor, innovation, and investment — to be threatened, simply because the oil industry refuses to live up to its commitments under the law, what can we expect will happen to other clean energy and climate policies? The choice is clear: America’s rural economies or more imported oil from hostile foreign regions; 852,000 American jobs supported by the RFS, or more pollution and spills. Let’s hope that instead of protecting the oil industry’s monopoly and stranglehold on our gas prices, the EPA decides to choose rural economies and American green energy innovation.

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EPA’s Choice: American Jobs and Innovation, Or Oil Industry Profits?

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Poll: Americans Overwhelmingly Support the Renewable Fuel Standard

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Poll: Americans Overwhelmingly Support the Renewable Fuel Standard

Posted 29 April 2015 in

National

A new poll conducted by Morning Consult on behalf of the Renewable Fuels Association shows that an overwhelming majority of Americans support the Renewable Fuel Standard (RFS). In the poll of 2,047 registered voters conducted at the beginning of April, 62% of respondents indicated they support the successful policy.

Some of the key findings from the survey include:

Support for the Renewable Fuel Standard Is Strong Across the Political Spectrum
Nearly two out of every three registered voters (62%) support the RFS. The policy receives broad, bipartisan support from Democrats (65%), Republicans (57%), and Independents (61%).
 
Two-thirds of Voters Support Federal Tax Incentives for Cellulosic Ethanol Expansion
The survey shows that 65% of voters support federal tax incentives to assist the emerging cellulosic ethanol industry, which produces the world’s cleanest motor fuel.
 
Fifty-one Percent of Voters Oppose Tax Incentives for Oil Companies
A majority of voters oppose the federal government providing tax incentives to oil companies.

With the RFS opening up the market to new fuel sources, the renewable fuel industry has delivered significant economic, national security, and environmental benefits for our nation.

President Obama and the EPA should join the majority of voters in supporting a strong Renewable Fuel Standard.

Learn more about the survey and view key data.

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Poll: Americans Overwhelmingly Support the Renewable Fuel Standard

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3 Fact Checks You Should Read

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3 Fact Checks You Should Read

Posted 10 April 2015 in

National

From ethanol subsidies that don’t exist to drawing incorrect conclusions from shaky research, Big Oil and its allies have been busy this week — spreading outright lies and misinformation about biofuels and the Renewable Fuel Standard. Luckily, organizations like Media Matters for America and the Renewable Fuels Association have been holding them accountable. Check out some of the best fact checks from the past week in this round-up.
 

The Motley Fool Criticizes Ethanol Subsidies That Don’t Exist
The multimedia financial services company The Motley Fool criticized ethanol for allegedly relying on government subsidies — despite the fact that subsidies for corn ethanol, which comprises the vast majority of ethanol used in the country, ended years ago.
Read the fact check from Media Matters for America.
 
Study: Big Oil Tells the EPA One Thing & Shareholders Another on the Renewable Fuel Standard
A new study published this week by University of Calgary professor James Coleman shows that for years, Big Oil hasn’t been completely honest about the RFS. They’ve been telling the EPA one thing (that the RFS is a horrible, economy-killing law) and telling their shareholders another thing (that it’s no big deal).
Read the full story in the Des Moines Register.
 
Study Based on Shaky Foundation of Faulty Data and Conclusions
A recent study published in Environmental Research Letters by authors at the University of Wisconsin uses error-prone satellite data to suggest that growth in U.S. corn and soybean production from 2008 to 2012 drove massive conversion of grassland, forest, and other “native” lands to cropland. The authors attribute these purported land conversion events, in part, to “increased demand for biofuels.”
However, contrary to the study’s results, there is no empirical evidence to support the argument that U.S. cropland has expanded since 2008, let alone that large tracts of native grassland and forest have been converted to crops.
Read the fact check from the Renewable Fuels Association.

 

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3 Fact Checks You Should Read

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Winners & Losers? Changing the Equation at the Pump

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Winners & Losers? Changing the Equation at the Pump

Posted 27 March 2015 in

National

Opponents of the commonsense, bipartisan Renewable Fuel Standard like to say that Washington “shouldn’t pick winners and losers” when it comes to energy policy.

It’s hard to make this argument with a straight face, however, especially since Washington has been favoring oil companies with special tax breaks, an oil spill bailout fund, and other favorable policies for more than a century.

It was, after all, President Woodrow Wilson who signed the “percentage based depletion allowance” into law back in 1913 … a tax break which is, incredibly, still on the books after more than 102 years. In contrast, the ethanol tax credit expired in 2012.

The dominance of oil companies has given them a near monopoly on the marketplace and the power to use exclusive supplier/distributor contracts to dictate which fuels retailers can and cannot make available to consumers. There is a long, well documented history of oil companies exerting this control to prevent consumers from having access to a wider range of renewable fuel options — higher octane options that deliver better engine performance but cost less and cut into their bottom line.

The Renewable Fuel Standard changes that equation, and ensures that homegrown, American made renewable fuel has a chance to access the marketplace. It is providing new fueling options for American consumers and creating market certainty so that businesses are investing billions of dollars in next generation technologies like cellulosic ethanol production. Without it, that investment would quickly shift overseas, and America would become ever more dependent on foreign oil.

Gutting the RFS means allowing oil companies to prevent competitors from accessing the market. Now THAT is picking a winner … the same winner Washington has been picking for a century.

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Winners & Losers? Changing the Equation at the Pump

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