legislation
-
Press peddles Republican talking points on energy bill
I’m seeing this kind of thing all over the place: Faced with stiff Republican opposition that is backed by Bush’s veto threat, Democrats made misstep after misstep in trying to pass this energy bill. It was too ambitious. It tried to force utilities to increase production of renewable energy in the face of fierce opposition […]
-
Agriculture is drunk on corn-based ethanol
Thomas Dobbs is Professor Emeritus of Economics at South Dakota State University, and a W.K. Kellogg Foundation Food & Society Policy Fellow.
-----
American agriculture is becoming addicted to corn-based ethanol, and the economic and environmental effects of this addiction call for some intervention!
The explosive growth in U.S. ethanol production from corn is having worldwide ramifications. December 6 articles in The Economist ("Cheap no more" and "The end of cheap food") trace the impacts of ethanol production on prices of other crops and on food. Rising crop prices can benefit farmers not only in the U.S., but also farmers who have marketable surpluses in other countries.
Many consumers, however, are hurt by the rising food prices. This is especially true of urban and landless rural poor in developing countries. According to The Economist's food-price index, food prices have risen in real (inflation-adjusted) terms by 75 percent since 2005. International Food Policy Research Institute data cited by The Economist indicates "the expansion of ethanol and other biofuels could reduce caloric intake by another 4-8 percent in Africa and 2-5 percent in Asia by 2020."
The growth in ethanol production is hardly a market phenomenon. According to The Economist, Federal subsidies for ethanol production already come to over $7 billion a year. Moreover, many previous years of cheap corn that resulted from Federal farm program subsidies helped lay the economic foundation for ethanol plants already built or under construction.
Implications for energy and farm policies?
What are the policy implications of this "food versus fuel" conflict that past and present energy and farm policies have created? As far as the ethanol industry is concerned, its interests trump all other interests, including those of taxpayers and the poor who can least afford higher food prices.
-
Payment limits topple, but the livestock title looks good — for now
Update [2007-12-14 13:5:54 by Tom Philpott]:The Senate just passed the farm bill, 79-14. Presumably the livestock title is intact. Now it’s time to mount an epochal battle to defend that important title as Congress reconciles the House and Senate versions, which will take place in early 2008. The Senate is set to vote on the […]
-
Louisiana’s Sen. Landrieu votes against party, for Big Oil
When the energy bill went before the Senate yesterday morning, it had been stripped of the Renewable Energy Standard, but it still retained the tax package, which would have reversed $13.5 billion in tax breaks to oil and gas companies to help pay for $21 billion worth of investment in renewable energy. Republicans, as always, […]
-
Drown my sorrows in rivers and celluloid
Ugh. That was rough. I need a pick-me-up, and the Wild and Scenic Environmental Film Festival can't come soon enough. I've never been, but Nevada City is special and the South Yuba River Citizen's League does great work.
-
Once in place, the RFS will be nigh impossible to eliminate
Several posts during the past week, and countless ones elsewhere, have asked people to support the Energy Bill making its way through Congress. Some people have no problem with one of its major provisions, which calls for substantially expanding the Renewable Fuels Standard (RFS) -- the regulation that requires minimum amounts of ethanol, biodiesel, or other biofuels to be incorporated into the volume of transport fuels used each year. Indeed, some would even welcome the prospect.
Many others do not like the idea, but seem to feel that it is a price worth paying in order to preserve solar investment tax credits as well as production tax credits for large-scale renewable projects. (A national Renewable Electricity Standard has already been dropped from the bill.) Some of those people then argue, in effect, we can always go back and repeal the RFS next year.
Next joke.
-
Sen. John Kerry defends Dem decision not to force a filibuster on the energy bill
I took part this evening in a short conference call with Sen. John Kerry (D-Mass.) and a few other bloggers. It got a bit heated. He passionately defended the Senate’s accomplishments and urged critics to acknowledge the difficult position Congress is in at the moment, with the omnibus budget bill approaching. First, I asked him […]
-
President says he will sign energy bill
The White House just released a statement saying that the president will sign the just-passed energy bill into law: Last January, President Bush called on Congress to reduce our nation’s consumption of gasoline by 20 percent in 10 years by modernizing CAFE standards and greatly expanding the use of alternative fuels. We congratulate the United […]
-
Final roll call of votes on the weakened energy bill
Here's the official roll call (the names won't be up for a few minutes yet). A bittersweet day, to say the least.