Obama's EPA to Farmers: No Ethanol Waiver, If You Go Out of Business, Tough
November 19, 2012 11:23 AM
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Big corporate corn farmers celebrate major win, share prices in corn corps. inch higher
Battered by a drought, and hit a second time by the U.S. government's artificial inflation of corn prices, many small livestock farmers were desperately hoping that the Obama administration’s and its appointed leadership at the
U.S. Environmental Protection Agency
agree to a temporary waiver
on blending requirements of ethanol in vehicles.
I. Big Corn Gets a Helping Hand from the Obama Admin.
The EPA on Friday echoed the sentiments of big corn special interests saying it found no evidence that "significant harm" would be caused by not granting a waiver.
The decision came as somewhat of a surprise. Many sources had expected the Obama administration to
instead punt on the issue
; the decision to side with the well-heeled special interests to push a program that is unpopular and likely will now cost American jobs was unexpected.
The auto industry has also vigorously opposed the EPA's decision to
bump ethanol blending requirements to 15 percent
. They argue that the higher blend will
ruin the engines of older vehicles
, increasing emissions and forcing consumers to pay for expensive repairs or abandon their vehicles.
Obama and Bush both backed big corn special interests. [Image Source: Politically Incorrect]
The EPA has alleged that it knows the science behind fuel blending better than the engineers who make cars, essentially
calling the automakers liars
The decision will also impact consumers, as ethanol provides less gas mileage in traditional engines that gasoline. In other words, unless gas stations start charging less at the pump (which seems rather unlikely) consumers will be paying the same amount per gallon, for less equivalent fuel.
Even environmentalists are outraged at the Obama administration, given that ethanol has been shown to not only waste energy, but also increase carbon emissions.
, Michal Rosenoer, biofuels policy campaigner at Friends of the Earth, to
The Detroit News
If the worst U.S. drought in more than 50 years and skyrocketing food prices are not enough to make EPA act, it falls to Congress to provide relief from our senseless federal support for corn ethanol. The RFS is a broken policy — rather than giving us clean energy, it's incentivizing biofuels like corn ethanol that are exacerbating our economic and environmental problems.
Congress needs to cut corn ethanol from the RFS entirely to protect the economy and the environment from this destructive and dirty fuel.
But despite the united opposition, the Obama administration appears resolute in following its predecessor, the Republican Bush administration, in choosing to side with the big corn special interest groups.
II. EPA to Small Farmers: "Deal With It"
Gina McCarthy, assistant administrator for EPA's Office of Air and Radiation fires back at the critics, commenting, "We recognize that this year's drought has created hardship in some sectors of the economy, particularly for livestock producers. But our extensive analysis makes clear that congressional requirements for a waiver have not been met and that waiving the RFS will have little, if any, impact."
In other words, the EPA admits it recognizes that farmers are struggling, resorting to desperate measures like feeding their livestock candy waste; but when it comes to bucking a key special interest's agenda the EPA's answer to farmers is basically "tough luck".
EPA claimed to be sympathetic to farmers, but refused to help them with a waiver.
[Image Source: US News]
Over 200 members of Congress, eight state governors, and numerous college professors sign a letter arguing that the blending targets would indeed have a dire impact on farmers.
So who wins? The biggest winners are the corn and ethanol industry, particularly the growers, who benefit the most from the artificial inflation of corn prices. Many of these growers are not even family owned, but rather are large corporate farms run by deep-pocketed entities like Archer Daniels Midland Comp. (
) and ConAgra Foods, Inc. (
). Indeed, both companies saw a rise in share prices following the EPA's decision.
Big corn donates deeply to federal politiicans, who in turn reward it with billions in subsidies.
[Image Source: Agriculture.com]
So the word is official -- the U.S. will continue to manipulate prices in the fuel department, despite the cost to consumers, the environment, automakers, livestock farmers, and U.S. jobs. That's bad news for most -- unless you happen to be an Archer Daniels Midland shareholder.
The Detroit News
This article is over a month old, voting and posting comments is disabled
RE: Whats new?
11/19/2012 7:40:27 PM
Endless welfare handouts occur with both parties. Remember corporate welfare? Corporations are people too, remember that?
RE: Whats new?
11/19/2012 10:52:13 PM
You guys do realize the alternative to Barack Obama, one of the greatest Presidents of all time, and the only in
lifetime to look out for
well-being, was Mitt Romney, someone who will be quickly forgotten because he
interests in mind.
Don't get me wrong here, I've voted Republican in my lifetime. The problem is the modern Republican party is a joke, the same joke that nominated Mitt Romney, probably the worst of all contenders (other than Rick Perry obviously.) I mean the guys own CHURCH won't stand behind him because of his ridiculous immigration policy.
Back to the topic (whatever the hell that is) this article has nothing to do with technology and all to do with politics, and Jason, I like how you used your moderator privilages to -1 my comments. I saw my first comment go from 3 to -1 between 2:45:20-2:46:45pm CST Nov 19 2012, just one minute after you finished your following posts. Glad to see you read the comments and modify their ratings according to your liking.
You should just apply online for Fox News forums if you want to sensationalize and modify peoples opinions to reflect your own.
RE: Whats new?
11/19/2012 11:53:47 PM
Meh... I run all my lawn equipment on non-ethonal gas.
Now running my 1999 Subaru on it to... got a %12 boost in my fuel economy.
Was running a consistent 20mpg (hundreds of datapoints to support this)
On Non-E gas, I'm now getting 22.5mpg (a few dozen datapoints to support this).
It's a tie in $$/mile price wise, but hey... no Ethonal is probably going to save me.
www.puregas.org for non-e gas near you! :)
RE: Whats new?
11/20/2012 12:06:13 AM
one of the greatest Presidents of all time
When it's not election season, even a lot of Democrat's aren't happy with him. Hard-left doesn't like him, the entire right doesn't. Just a segment of the center-left. The guy managed to win a campaign of personalities.
Meanwhile, under his watch, economy's done nothing. EPA's run wild. Middle East has gone from shitty to shittier. Iraq's on the verge of seeing Kurdistan say "To hell with this already" and going its own way. Afghanistan, depending on Karzai, could be Taliban run again by decades end at this rate. In Asia, despite a "pivot", our allies are worried we're full of words and no deeds if it came down to it. Ah, and that "reset" with Russia? Yeah, that got us.. lets see.. nothing, except a nuclear treaty that has us, again, cut more than they do. Seems legit.
And for all that extra debt, we've got something to show for it, right? High-speed maglev trains EVERYWHERE, right? Maybe flying cars? A glorious military victory against evil? Men on Mars, asteroids getting mined?
Oh wait, we don't have ANYTHING to show for it? Hmm.
Yeah. Best President ever. Totally makes Eisenhower look like a nitwit.
RE: Whats new?
11/21/2012 6:54:49 PM
Sometimes I really wish you (D) bags would actually say useful things instead of talking points. Fox News? Really? Did Fox News make the 6 TRILLION new debt? Did Fox News have 8%+ unemployment for 4 years? Did Fox News cut our credit rating? Did it spend our money on massive green projects that went bankrupt? Did it make it law that you HAD to buy health insurance from the private sector as a requirement of good citizenship by perverting the Interstate Commerce Clause? Did Fox News make it law that any American can be held indefinitely without due process? Did Fox News kill an American ambassador and provide guns to Mexican criminals?
Or did Fox News just report it when Obama did these things.
And you call us sheep? If I was a Democrat leader I would Stalin you. I would steal all our possessions and stuff you in an gas chamber myself because you all literally BEG for it.
"Nowadays you can buy a CPU cheaper than the CPU fan." -- Unnamed AMD executive
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