Obama's EPA to Farmers: No Ethanol Waiver, If You Go Out of Business, Tough
November 19, 2012 11:23 AM
comment(s) - last by
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?
11/20/2012 4:12:26 PM
I doubt it was actually 51% that agreed with him. I know I voted for him, but only because of who he was running against. Romney was completely out of touch and a douchebag of epic proportions. If the right would put up a true fiscal conservative, and not just a reverse robin hood, I think they would have won handily.
Put up a candidate that is willing to make cuts across the board - drop entitlements and also drop tax cuts for the rich, cut programs that benefit rich and poor alike (and middle class) and I would vote for him easily.
RE: Whats new?
11/20/2012 5:08:51 PM
Ironically you got voted down because of the emotional backlash on the first 2 sentences of your response, and despite the fact that the rest of your post is spot on.
Nobody ever talks about all the loopholes Reagan closed that greatly favored the rich, funny how that works these days.
RE: Whats new?
11/21/2012 6:57:53 PM
Because Reagan is DEAD. Has been for some time. Amazing how Democrats ALWAYS bring up the past but never learn from it an omit blame for their leadership for ANYTHING.
"You can bet that Sony built a long-term business plan about being successful in Japan and that business plan is crumbling." -- Peter Moore, 24 hours before his Microsoft resignation
Obama's EPA May Punt on Ethanol Decision, As Big Corn Argues "Just Trust Us"
November 14, 2012, 3:40 PM
Obama's EPA Faces Decision Between Corn Ethanol Profits and Farm Jobs
October 12, 2012, 2:51 PM
EPA Clears the Way for E15 Fuel at Local Gas Stations
June 19, 2012, 9:34 AM
EPA Calls Automakers Liars, Says Cars Can Handle Higher Ethanol Blend
July 8, 2011, 10:32 AM
Ford and Toyota Blast EPA for Forcing Ethanol Blends on Public
July 6, 2011, 9:38 AM
Dual-Motor Tesla Model S P85D's "Insane Mode" Shocks Passengers
January 28, 2015, 11:18 PM
2016 Cadillac CTS-V Packs 640 hp Punch with 200 mph Reach
January 23, 2015, 3:25 PM
BMW Testing Tech to Allow Users to Auto-Park, Summon Cars Via Smartwatch
December 16, 2014, 9:30 AM
Lamborghini Offers Up $6,000 Leather-Bound Android Smartphone
December 12, 2014, 3:12 PM
Quick Note: GM Teases Next Generation Chevrolet Volt
November 20, 2014, 3:26 PM
Audi is Latest to Step Into the Hydrogen Game, Delivers A7 Sportback h-tron quattro
November 19, 2014, 1:41 PM
Most Popular Articles
Amid Tight Race w/ Evernote, Microsoft's OneNote Goes (Even More) Free, Adds Fresh Features
February 23, 2015, 11:15 AM
Google Steps up Snub of Adobe Flash, Auto-Converting Flash Ads to HTML5
February 25, 2015, 6:16 PM
Modern Glass (Windows 7 Aero Glass + Modern UI) Style is Coming to Windows 10
February 19, 2015, 1:05 PM
NVIDIA Bows to Outraged Overclockers, Will Restore Feature in Upcoming Driver
February 23, 2015, 12:30 PM
HTC's Sense UI is Garbage: A Tale of Disappearing Keyboards and Desperate Fixes
February 24, 2015, 11:00 AM
Latest Blog Posts
Sceptre Airs 27", 120 Hz. 1080p Monitor/HDTV w/ 5 ms Response Time for $220
Dec 3, 2014, 10:32 PM
Costco Gives Employees Thanksgiving Off; Wal-Mart Leads "Black Thursday" Charge
Oct 29, 2014, 9:57 PM
"Bear Selfies" Fad Could Turn Deadly, Warn Nevada Wildlife Officials
Oct 28, 2014, 12:00 PM
The Surface Mini That Was Never Released Gets "Hands On" Treatment
Sep 26, 2014, 8:22 AM
ISIS Imposes Ban on Teaching Evolution in Iraq
Sep 17, 2014, 5:22 PM
More Blog Posts
Copyright 2015 DailyTech LLC. -
Terms, Conditions & Privacy Information