Sunday, August 5, 2012

Waive corn-ethanol mandate

As drought conditions become the worst in 50 years and corn yields are expected to drop significantly, a coalition of meat and poultry organizations, which included the American Sheep Industry Association, and members of the U.S. House of Representatives this week asked the U.S. Environmental Protection Agency (EPA) to waive the federal mandate for the production of corn ethanol.

Corn harvest
In a petition delivered to EPA Administrator Lisa Jackson, the coalition asked for a waiver "in whole or in substantial part" of the amount of renewable fuel that must be produced under the Renewable Fuels Standard (RFS) for the remainder of this year and for the portion of 2013 that is one year from the time the waiver becomes effective.

The RFS requires 13.2 billion gallons of corn-based ethanol to be produced in 2012 and 13.8 billion gallons in 2013, amounts that will use about 4.7 billion and 4.9 billion bushels, respectively, of the nation's corn. Some agricultural forecasters now are estimating that just 11.8 billion bushels of corn will be harvested this year - about 13 billion were harvested in 2011 - meaning corn-ethanol production will use about four of every 10 bushels.

Source: ASI Sheep Industry News, 08.03.12.  Read full article.

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