Issue Position: Agriculture - Ethanol

Issue Position

I believe one way in which policy-makers can begin to improve our energy security is through a strengthened commitment to domestically grown renewable energy--and in particular, ethanol. By expanding our nation's use of ethanol, we can dramatically improve economic opportunities in rural areas of our nation, such as Idaho. Through the building of new ethanol plants and encouraging an increased use of ethanol by American energy consumers, our nation's farmers will be provided new and expanding markets for their crops. Ethanol production brings new jobs with good wages and good benefits to rural communities--something desperately needed in rural America.

In addition to its positive economic impacts, ethanol production allows our nation to move away from its dependence on foreign energy sources. Since 1992, U.S. domestic oil production has been reduced by 17 percent while our consumption of oil has increased by 14 percent. In 1973, our nation was reliant on foreign oil to meet 35 percent of our needs; today that reliance is at 60 percent and growing. Clearly, we need to do something to reverse this trend and encourage the production of new energy sources such as ethanol.

According to estimates by the United States Department of Agriculture, with every gallon of ethanol produced domestically, we displace seven gallons of imported oil. Current ethanol production is estimated to reduce our demand for foreign oil by 98,000 barrels per day. Those numbers demonstrate the way in which ethanol improves our domestic energy situation.
But perhaps the most important aspect of ethanol is not simply what we see in it today, but the promise it holds for the future. Ethanol production will help rural economies grow, provide farmers with new markets and boost commodity prices, improve our nation's energy security, and help to improve the environment.

Congress took a necessary step toward expanding ethanol production four years ago by extending the ethanol tax credit, a step that provided stability for those who have already invested in ethanol facilities and an incentive for those who are looking to get into the industry. In the next two years, I want Congress to enact new measures that encourage ethanol production and highlight the importance and advantages of agriculture-based fuels for American consumers.

I'll continue to strongly push for expanded ethanol production, particularly in light of the environmental concerns associated with Methyl-Tertiary-Butyl-Ether (MTBE). That is why I joined a number of my House colleagues in introducing legislation that would eliminate the use of MTBE within three years, maintain our nation's oxygen requirement for cities with higher levels of air pollution, and allow ethanol to serve these new markets. The ethanol industry estimates that if our legislation is signed into law, the demand for ethanol would nearly double over the next three years. That is real progress toward establishing new markets and opportunities for domestic agricultural commodities.

Through these simple steps and a continued vigilance in our promotion of domestically grown renewable energy, I strongly believe we can provide farmers and rural communities with new and expanded agricultural opportunities in the 21st century.

Source