WASHINGTON –Tom Buis, CEO of Growth Energy, released the following statement regarding H.R. 3187, “The Affordable Food and Fuels for America Act,” introduced by Rep. Joseph Crowley on July 13, 2009 that would eliminate government investment in domestic renewable fuel production.
“Once again, American ethanol producers and farmers are being blamed for higher food prices when in fact the real culprit was none other than energy costs. Eliminating government investment in renewable fuels would deal a devastating blow to America’s progress in achieving energy independence. Substituting imported ethanol for imported oil does nothing to address our nation’s energy security. In contrast, the domestic production of nine billion gallons of ethanol in 2008 eliminated the need to import more than 300 million barrels of traditional gasoline, generated an estimated $11.9 billion in tax revenue and a net surplus of $7.1 billion for the Federal treasury and supported more than 494,000 jobs in all sectors of the economy. With U.S. unemployment rates skyrocketing, it is more important than ever to create jobs here at home that cannot be outsourced. Further, removing government investment would jeopardize the commercialization of advanced biofuels that will be built on the foundation of existing biofuels.”
“Multiple scientific studies have disproven the food industry’s false linkages between ethanol and higher food prices. No less a source than the Congressional Budget Office confirmed that the impact of ethanol production on food prices is minimal — one-half of one percentage point — while over the same period, higher energy costs had a far greater effect on food prices. Today, corn prices are at their lowest level since December of 2006 and are down by more than 50% since last year. Further, according to the latest USDA crop report, American farmers are expected to produce 12.3 billion bushels of corn this year, the second largest U.S. corn crop in history and more than enough to meet demand for food and fuel without impacting price.”
“Ethanol represents our best renewable fuel, affordable and available now to help reduce our dependence on foreign oil, while greening our environment and creating green jobs here at home. With gasoline prices up by 17.3% for the month of June, now is not the time to turn our backs on renewable energy.”
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About Growth Energy
Growth Energy is a group committed to the promise of agriculture and growing America’s economy through cleaner, greener energy. Growth Energy members recognize America needs a new ethanol approach. Through smart policy reform and a proactive grassroots campaign, Growth Energy promotes reducing greenhouse gas emissions, expanding the use of ethanol in gasoline, decreasing our dependence on foreign oil, and creating American jobs at home. More information can be found at GrowthEnergy.org.