Senate Votes to Repeal Ethanol Subsidy
June 17, 2011 2:00 PM
comment(s) - last by
39% of all corn produced in the U.S. goes to ethanol production
House to vote next
Lawmakers in Washington are working hard to write and pass laws that would have fuel efficiency standards in the U.S. changing drastically in coming years. While some in Washington support the new standards for vehicle efficiency, others oppose the standards. Along with mandating better fuel economy across a carmakers fleet, Washington is also seeing green and renewable fuel alternatives for vehicles.
In the U.S., ethanol has been added into the fuel we run in vehicles for years. Ethanol is as high as 10% in fuels today and some that are against ethanol, which is derived from corn, claim that the biofuel is increasing the price of some food items in America. A report published by the GAO claims that the use of ethanol has driven the cost of some food items up as much as 20%.
With all of Washington in cost cutting mode in an effort to shore up the federal budget lawmakers are looking at everywhere money can be saved. One place that some in the Senate want to save money is by repealing the subsidy on ethanol. The
Thursday 73-27 to end a $0.45 per gallon tax credit on ethanol-blended gasoline starting on July 1. According to those that support the repeal, the subsidy cost taxpayers $5.6 billion last year.
Growth Energy, and ethanol association, CEO Tom Buis said, "The Senate missed an enormous opportunity to take real action on deficit reduction and energy policy when it failed to put oil subsidies and giveaways to the same test as ethanol."
On the other side of the coin, Kate McMahon coordinator of biofuels campaigns for Friends of the Earth said, "Senators scored a win for the public and for the environment by voting to end this $6 billion giveaway." She continued saying, "[the Senate delivered a message] that the ethanol industry's days of living high off the taxpayers' hog have come to an end."
The effort to end the ethanol subsidy now goes to the House for voting. White House spokesman Jay Carney says that the Obama administration supports a reduction in the ethanol subsidy, but does not support a full repeal. Some claim that 39% of the corn produced in the U.S. is currently going into fuel tanks. With the costs to reach the
regulations for fuel economy reaching nearly $10,000, some automakers are calling for the removal of ethanol from gasoline. Ethanol is renewable and greener than petroleum fuel, but reduces fuel economy.
This article is over a month old, voting and posting comments is disabled
RE: Good riddance.
6/17/2011 2:17:34 PM
Completely agree as well. I was watching the arguments on Cspan2 the other morning and it was the only time I've ever agreed with Dianne Feinstein.
I think the DT stats on food prices are way off. The price of corn has gone up 200% since 2005. This leads to higher prices for pretty much every animal product as their number one food source is corn.
RE: Good riddance.
6/19/2011 3:07:04 PM
"...it was the only time I've ever agreed with Dianne Feinstein."
That seems to say... better check this for overall quality. Congress has a habit of doing certain things for show (as does the White House -- such as with Dawn Johnsen's nomination).
"A lot of people pay zero for the cellphone ... That's what it's worth." -- Apple Chief Operating Officer Timothy Cook
Report Claims Cost to Hit 62 MPG by 2025 Would Add $10K to New Vehicles
June 15, 2011, 1:34 PM
Watch Out Valets, Corvette is Offering "Baby Monitor for Your Car"
August 19, 2014, 5:05 PM
GM Concedes That the Cadillac ELR Doesn’t Really Compete with the Tesla Model S
August 15, 2014, 5:42 PM
Ford Partners with DTE Energy to Deploy MI’s Largest Solar Installation
August 14, 2014, 10:57 AM
Thanks to Support from Dealers, Pennsylvania Paves Way for Tesla Direct Sales
August 12, 2014, 10:17 AM
GM to Bring More Diesel Vehicles to U.S. Market Despite Laggard Cruze Diesel Sales
August 7, 2014, 2:44 PM
Second Generation Chevrolet Volt to Bow at 2015 Detroit Auto Show
August 7, 2014, 10:46 AM
Most Popular Articles
Apple Scores Patents, Preps New Reversible USB Plug for iPhone 6 Connector
August 18, 2014, 1:32 PM
New AMD Fusion-Based Laptop From HP to Pack a Punch at $199
August 18, 2014, 4:13 PM
BlackBerry Reinvents Itself, Prepares for Potential Smartphone-Free Future
August 18, 2014, 7:51 PM
New Photos Show “Assembled” iPhone 6, Protruding Camera Ring
August 20, 2014, 2:32 PM
Lumia 830 Gets Major Upgrades Including New 20.1 Megapixel Toshiba Sensor
August 15, 2014, 6:00 PM
Latest Blog Posts
Space Terrorism is a Looming Threat For the United States
Apr 23, 2014, 7:47 PM
Facebook Aims to Provide Internet to "Every Person in the World" with Drones, Satellites
Apr 1, 2014, 10:20 AM
Retail Mobile Sites Experience Outages in Light of Simplexity's Bankruptcy
Mar 14, 2014, 8:48 AM
Tesla vs. BMW: Who Has the Safer EV?
Feb 1, 2014, 2:56 PM
Justice Leaks Details of Next HTC One Two Flagship Phone
Dec 5, 2013, 4:04 PM
More Blog Posts
Copyright 2014 DailyTech LLC. -
Terms, Conditions & Privacy Information