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Corn Growers Tackle RFS Implementation as Next Task (8-15-05)

When President George W. Bush signed the energy bill into law on August 8, the arena for the National Corn Growers Association’s (NCGA) work on the renewable fuels standard (RFS) moved from the U.S. Congress to the U.S. Environmental Protection Agency (EPA).

“The passage and signing of the historic energy bill including a 7.5-billion-gallon RFS, as well as the other key renewable provisions in the bill, is a huge win for corn growers,” said Leon Corzine, NCGA president. “However, following the celebration, it is now critical that we focus on implementation of the RFS, and this begins with the rule-making process at the U.S. EPA.”

The intricate details of the RFS will be decided through an initial round of decisions by the EPA beginning in fall 2005 and is expected to continue over the next 12 to 18 months.

One of the first judgments by EPA will determine the pro rata share of the RFS that each refiner, blender and importer of gasoline and diesel fuel will be responsible for blending. Each refiner, blender or importer’s share will be based on the amount of gasoline and diesel fuel produced the previous calendar year. This process could begin as early as November. The EPA must also address the definition of the term “blender” early in the process.

Corzine noted NCGA will be an active participant in the RFS-decision process at the EPA, protecting the interests of corn-based ethanol at this critical juncture. He noted the details involved are complicated, but in order to ensure the growth and prosperity of the ethanol industry, corn growers will be highly involved throughout the entire process.

“It will take a lot of energy and tremendous amount of resources on the part of NCGA and its states associations to make sure the rules are implemented to ensure continued growth of the industry, as well as the farmer’s ability to participate. It is a lot like the cliché, “Our work is never done,” and, in this case, it is true.”

The EPA will also be working with the U.S. Department of Energy (DOE) on a study concerning boutique fuels and their impact on fuel availability, fungibility, cost and air quality. This study is due to Congress one year after enactment.


Last reviewed August 15, 2005



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