NCGA News














Corn Growers See Opportunities for Ethanol in Bush Energy Plan (5-18-01)

The National Corn Growers Association (NCGA) sees opportunities for expanding ethanol markets in the energy plan announced yesterday by President George W. Bush.

"The President's plan sets the broad parameters for the debate on the specifics of energy policy and programs that must occur," said Boyd Smith, farmer from York, Neb., and vice chairman of the NCGA Customer and Business Development Action Team. "The President called for an enhanced use of renewable energy and increased conservation. We welcome the plan and the debate it will spur because it provides ethanol supporters a forum to promote expanding ethanol production and use.

The NCGA noted the plan's positive elements such as:

* The continuation of the ethanol excise tax exemption;

* The Energy Task Force also recognizes the environmental benefits of ethanol, citing its ability to reduce vehicles' smog-causing emissions." In addition, the report suggests that the elimination of MTBE as an oxygenate in gasoline will "likely spur greater reliance on ethanol."

* The recognition that ethanol is a potential fuel for advanced vehicles like fuel cells.

"While we believe ethanol deserves a more prominent and permanent place in energy policy, we will use this opportunity to continue to promote a clean, abundant, renewable fuel that can help solve the immediate and long-term energy crisis," Smith emphasized.

"For example, in defending his proposal to promote exploration in the Arctic National Wildlife Refuge (ANWR), President Bush stated that ANWR will produce 600,000 barrels of oil per day, just the amount the United States imports from Iraq. A recent proposal by Sen. Chuck Hagel (R-Neb.) and Tim Johnson (D-S.D.) also calls for producing enough ethanol to replace the equivalent of 600,000 barrels of oil per day.

"Corn growers point out that ANWR will run dry one day in the near future, but that ethanol is renewable. We're eager to fully develop ethanol, not only as a benefit to corn growers, but to benefit consumers and contribute to America's national security."

Last reviewed May 18, 2001



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