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Ihnen's Testimony Underscores NCGA Support for Renewable Fuels Legislation (7-06-01)

"It is time for us to declare our energy independence" from foreign suppliers of petroleum and support passage of "The Renewable Fuels and Energy Security Act of 2001" (S.1006), according to Hurley, S.D., farmer Darrin Ihnen.

As Vice President of the South Dakota Corn Growers Association, Ihnen voiced support of this bill today when he testified at a Senate Energy Committee field hearing on the bill in Sioux Falls, S.D. Sen. Tim Johnson (R-SD) scheduled the meeting, and he introduced the bill along with Sen. Chuck Hagel (R-NE). S. 1006 sets national standards for replacing energy used to power highway vehicles with renewable energy. Those standards call for ethanol comprising as much as 3 percent of all highway fuels by 2011 (9 billion gallons of ethanol) and as much as 5 percent by 2016 (16 billion gallons).

Ihnen's testimony noted "the amount of corn needed to meet the requirements of the bill grows steadily from about 700 million bushels in 2003 to 1.9 billion bushels 2011 and almost 2.5 billion bushels in 2016." A dramatic growth in the ethanol industry helps the United States decrease its dependence on imported oil, advancing the President's goal of energy security.

Equally important, though, are the implications for boosting the economy of rural America. "We project that S. 1006 will triple corn-based ethanol production by 2011 and lead to a more-than-four-fold increase in all grain-based production by 2016," Ihnen testified.

Discussing the collateral economic benefits delivered by this growth, Ihnen cited a $10 billion investment in ethanol plants and their equipment alone. "However, the economic activity generated by this investment by the additional employment and investment opportunities would be like a Marshall Plan for rural America. Thus, S. 1006 holds the potential to address our dependence on foreign oil, and holds the promise of economic independence for rural America."


Last reviewed July 6, 2001



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