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Congress ends corn ethanol subsidy
watts up with that? ^ | December 28, 2011 | Anthony Watts

Posted on 12/28/2011 9:29:12 AM PST by Ernest_at_the_Beach

Interesting timing, especially when some biomass companies are switching from wood chips to corn, because they couldn’t turn a profit on wood chips. Looks like all the wheels are coming off the bus now.

To Survive, Some Biofuels Companies Give Up on Biofuels – Technology Review

Gevo, a prominent advanced-biofuels company that has received millions in U.S. government funding to develop fuels made from cellulosic sources such as grass and wood chips, is finding that it can’t use these materials if it hopes to survive. Instead, it’s going to use corn, a common source for conventional biofuels. What’s more, most of the product from its first facility will be used for chemicals rather than fuel.

As the difficulty of producing cellulosic biofuels cheaply becomes apparent, a growing number of advanced-biofuels companies are finding it necessary to take creative approaches to their business, even though that means abandoning some of their green credentials, at least temporarily, and focusing on markets that won’t have a major impact on oil imports. This is hardly the outcome the government hoped for when it announced cellulosic-biofuels mandates, R&D funding, and other incentives in recent years.

Here’s the story on the subsidy ending from the Detroit News:

Congress adjourned for the year on Friday, failing to extend the tax break that’s drawn a wide variety of critics on Capitol Hill, including Sens. Tom Coburn, R-Okla., and Dianne Feinstein, D-Calif. Critics also have included environmentalists, frozen food producers, ranchers and others.

The policies have helped shift millions of tons of corn from feedlots, dinner tables and other products into gas tanks.

Environmental group Friends of the Earth praised the move.

The end of this giant subsidy for dirty corn ethanol is a win for taxpayers, the environment and people struggling to put food on their tables,” biofuels policy campaigner Michal Rosenoer said Friday.

Dirty Corn Ethanol? I’m all for ending taxpayer siphoning, but dirty corn ethanol? 

Full story  h/t to Lawrence Depenbush


TOPICS: Business/Economy; Government; News/Current Events
KEYWORDS: corngas; cornsubsidy; e85; energy; ethanol; ethanolsubsidy; farmerfathead; farmpimps; subsidy; welfare

1 posted on 12/28/2011 9:29:19 AM PST by Ernest_at_the_Beach
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To: Ernest_at_the_Beach

I’m going to guess that we will be importing it from Brazil.


2 posted on 12/28/2011 9:31:42 AM PST by Sacajaweau
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To: All
From the Detroit News article:

***********************************EXCERPT**************************************

Washington —The United States has ended a 30-year tax subsidy for corn-based ethanol that cost taxpayers $6 billion annually, and ended a tariff on imported Brazilian ethanol.

3 posted on 12/28/2011 9:32:41 AM PST by Ernest_at_the_Beach ( Support Geert Wilders)
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To: Ernest_at_the_Beach

Corn ethanol has always been a boondoggle and has been little more than an elaborate farm subsidy program. Without the subsidies watch the price of ethanol/gasoline blends go up and consumers will abandon gasohol.


4 posted on 12/28/2011 9:33:03 AM PST by The Great RJ ("The problem with socialism is that pretty soon you run out of other people's money" M. Thatcher)
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To: Ernest_at_the_Beach; WL-law; Berlin_Freeper; Horusra; Darnright; rdl6989; bamahead; Nervous Tick; ..
 


Beam me to Planet Gore !

5 posted on 12/28/2011 9:33:41 AM PST by steelyourfaith (If it's "green" ... it's crap !!!)
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To: Ernest_at_the_Beach

About time.


6 posted on 12/28/2011 9:34:03 AM PST by CodeToad (Islam needs to be banned in the US and treated as a criminal enterprise.)
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To: Ernest_at_the_Beach
The subsidy has ended, but not the mandate.

This means $5 a gallon gasoline by November 6, 2012.

Buh-bye, Barry.

7 posted on 12/28/2011 9:34:42 AM PST by E. Pluribus Unum (FOREIGN AID: A transfer of money from poor people in rich countries to rich people in poor countries)
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To: Sacajaweau
If we need it....not sure why.

More from the Detroit news article:

****************************************EXCERPT****************************************

The subsidy has provided the oil and agribusiness industries with 45 cents per gallon of ethanol blended into gasoline. By some estimates, Congress has awarded $45 billion in subsidies to the ethanol industry since 1980.

8 posted on 12/28/2011 9:35:46 AM PST by Ernest_at_the_Beach ( Support Geert Wilders)
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To: Sacajaweau

The bribe money can go directly to the politician’s Cayman Island accounts-no trail inside the USA.


9 posted on 12/28/2011 9:37:22 AM PST by Farmer Dean (stop worrying about what they want to do to you,start thinking about what you want to do to them)
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To: Ernest_at_the_Beach

Barack just lost most of the Midwest.


10 posted on 12/28/2011 9:38:02 AM PST by IronJack (=)
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To: The Great RJ

so this summer i can pay 15 cents per ear of corn again :) and have plenty of it


11 posted on 12/28/2011 9:39:20 AM PST by Principled
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To: E. Pluribus Unum

subsidy has ended but not the mandate?

jeez

so my corn will still be expensive AND so will gas.

just damn.


12 posted on 12/28/2011 9:41:07 AM PST by Principled
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To: E. Pluribus Unum
The subsidy has ended, but not the mandate.

That is the heart of the problem.

More half-a**ed action from congress.

As long as the mandate to force the use of ethanol in gasoline exists there will be no relief at the pump.


13 posted on 12/28/2011 9:42:18 AM PST by Iron Munro ("Don't pick a fight with an old man. If he is too old to fight he'll just kill you." John Steinbeck)
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To: Ernest_at_the_Beach

Corn ethanol is not sustainable, and the farmers I’ve talked to know it... but they’re locked into the Govt underwritten merrygoround of debt and increased production for their survival.

Part of the death spiral for the American Heartland.


14 posted on 12/28/2011 9:42:29 AM PST by LomanBill (Animals! The DemocRats blew up the windmill with an Acorn!)
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To: Principled
"so this summer i can pay 15 cents per ear of corn again :) and have plenty of it"

And with any luck, the price of silage will drop, and we won't be paying $5/lb for "cheap" steak. Now if we could just get oil prices down a bit...
15 posted on 12/28/2011 9:44:36 AM PST by CowboyJay (Lowest Common Denominator 2012 - because liberty was overrated)
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To: Ernest_at_the_Beach

http://southwestfarmpress.com/government/dance-ethanol-giants-us-and-brazil-shuffle-game


16 posted on 12/28/2011 9:44:59 AM PST by Sacajaweau
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To: The Great RJ
Without the subsidies watch the price of ethanol/gasoline blends go up and consumers will abandon gasohol.

In favor of...what? All gas has up to 10% ethanol in it by law.

Will straight unleaded gasoline now be available or will it continue with the US buying their ethanol from Brazil?

17 posted on 12/28/2011 9:47:11 AM PST by Bloody Sam Roberts (Some folks need an education...don't give up or we'll lose the Nation - Grand Funk Railroad)
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To: Sacajaweau

bttt


18 posted on 12/28/2011 9:49:03 AM PST by Matchett-PI ("One party will generally represent the envied, the other the envious. Guess which ones." ~GagdadBob)
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To: Iron Munro

Just listen to the local news and as of Jan. 1 the NC State tax on gasoline will go up $.04 per gallon with an additional $.04 a gallon because of the end of the subsidy.
Happy New Year to NC from our Republician leaders.


19 posted on 12/28/2011 9:53:48 AM PST by devildognc (We've lasted through the preliminary bouts; the main event is coming up. But it's not for sissies.)
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To: Principled
Pawlenty defends ethanol subsidies (First Newt, now Tim, Who's Next?) not to worry, I'm sure Newt has a brilliant , nuanced answer . http://www.freerepublic.com/focus/f-news/2711962/posts

meanwhile, T-paw stuck us with this:

Pawlenty signs bill increasing ethanol content in gasoline by Laura McCallum, Minnesota Public Radio May 10, 2005

Minnesota is the first state with a law mandating 20-percent ethanol use by the year 2013.

http://news.minnesota.publicradio.org/features/2005/05/10_ap_ethanol/

20 posted on 12/28/2011 9:57:08 AM PST by WOBBLY BOB (Congress: Looting the future to bribe the present.)
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To: The Great RJ

Abandon?

I never wanted the overpriced reduced performance trash in the first place!

All of my cars are pre-computer, none of them run as well on the gasahol trash.


21 posted on 12/28/2011 10:06:25 AM PST by Loyal Sedition
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To: Ernest_at_the_Beach

Range Fuels broke ground on its first commercial-scale cellulosic ethanol facility in Soperton, Georgia in November 2007.

The plant plant was built, and ran one batch of alcohol in January 2011
as proof of meeting conditions set by grants and financiers,
and was then immediately shut down because it was not profitable to operate.

All of this after receiving:
a $76 million grant from the US Department of Energy,
a $6 million grant from the State of Georgia,
and an $80 million loan guaranteed by the U.S. Biorefinery Assistance Program.

08/19/2010
Range Fuels Begins Commercial Cellulosic Operations in Georgia
http://www.sustainablebusiness.com/index.cfm/go/news.display/id/20885

01/24/2011
Range Fuels Closing Georgia Cellulosic Ethanol Plant
http://www.sustainablebusiness.com/index.cfm/go/news.display/id/21755


22 posted on 12/28/2011 10:21:35 AM PST by Repeal The 17th (We have met the enemy and he is us.)
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To: Ernest_at_the_Beach
a cousin of mine built a ethanol plant in a barn along time ago in Minniesoda. I don't think he got any subsidies tho. he then went into fish emulsion after that flopped. ya need a lot of corn to make the ethanol.

side note.. I seen where Kellogg's may stop making Corn Pops next year. what next? Cocoa Puffs? Cap'n Crunch?

posted from a lowly single processor laptop. (but I'm looking)

23 posted on 12/28/2011 10:30:06 AM PST by NormsRevenge (Semper Fi ... Godspeed .. Monthly Donor Onboard .. Obama: Epic Fail or Bust!!!)
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To: Ernest_at_the_Beach

The sooner they get dirty ethanol out of my gas the better.


24 posted on 12/28/2011 10:40:18 AM PST by pallis
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To: Sacajaweau
Well Damn...

From that article ....see link at post # 16:

*********************************EXCERPT****************************************

Flawed carbon accounting schemes at both the federal and state level are creating a dynamic where the U.S. is importing ethanol from Brazil while simultaneously exporting greater volumes back to Brazil.


25 posted on 12/28/2011 10:41:51 AM PST by Ernest_at_the_Beach ( Support Geert Wilders)
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To: pallis

See #25.


26 posted on 12/28/2011 10:44:22 AM PST by Ernest_at_the_Beach ( Support Geert Wilders)
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To: WOBBLY BOB

20%? Ouch. My boat and truck would hate that, maybe even throw up from drinking it.


27 posted on 12/28/2011 10:48:04 AM PST by catbertz (Easter egg...I wants it.)
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To: NormsRevenge

Be sure and check out the AMD Llano based Quad laptops with integrated graphics on the chip,,,,,good graphics with decent cpu performance ....especially compared to a single CPU based portable....yuk.


28 posted on 12/28/2011 10:48:58 AM PST by Ernest_at_the_Beach ( Support Geert Wilders)
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To: Ernest_at_the_Beach
More:

*********************************EXCERPT*************************************

This “ethanol shuffle” is occurring exclusively as the result of state and federal fuel regulations that “treat Brazilian sugarcane ethanol as if it were the Holy Grail of biofuels,” according to Geoff Cooper, the Renewable Fuels Association’s Vice President of Research and Analysis.

29 posted on 12/28/2011 10:52:37 AM PST by Ernest_at_the_Beach ( Support Geert Wilders)
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To: catbertz

We’ll see if any of our brave GOP leadership here in MN will repeal this BS.


30 posted on 12/28/2011 10:53:52 AM PST by WOBBLY BOB (Congress: Looting the future to bribe the present.)
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To: Ernest_at_the_Beach

Don’t forget that we gave Brazil millions (down payment) for offshore exploration. And don’;t forget that Brazil now has ties with the Muslims.


31 posted on 12/28/2011 10:58:28 AM PST by Sacajaweau
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To: LomanBill

The death spiral from this ethanol crap is no longer avoidable, investor land owners will be the result.
Stop the subsidies, stop the mandates, abolish the Dept
of Agriculture. FUBO FUGOP Send us a candidate who will chop this govt nightmare. There is no more time for trimming the fat.


32 posted on 12/28/2011 11:29:47 AM PST by NWHawk
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To: Ernest_at_the_Beach

Let Brazil have the advantage by letting them keep all their ethanol, and we can keep our corn for food, trade problem solved, energy saved.


33 posted on 12/28/2011 12:01:48 PM PST by pallis
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To: Ernest_at_the_Beach

Is its use still mandated? Gas prices are going to go up.


34 posted on 12/28/2011 2:01:14 PM PST by Born to Conserve
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To: Ernest_at_the_Beach

This was always the plan. Make it seem free at first, then stick it to the middle class.

They did the same thing with the ocean fishing license; free the first year so nobody complains, then charge.

There really needs to be a gallows in downtown Washington D.C. Even if they don’t use it, it should be there, in the windows, as they vote.


35 posted on 12/28/2011 2:14:24 PM PST by Born to Conserve
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To: Ernest_at_the_Beach

Write your congress and demand an end to EPA’s ethanol mandates.


36 posted on 12/28/2011 2:49:23 PM PST by steveab (When was the last time someone tried to sell you a CO2 induced climate control system for your home?)
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To: Born to Conserve
There really needs to be a gallows in downtown Washington D.C. Even if they don’t use it, it should be there, in the windows, as they vote.

For the first term the gallows is there, we will not use it. After they get used to seeing them not being used they will resume their old behavior.

Then like the ocean license fee, we will start using the gallows when the next Congress takes their seat. Then we will see how they like it...
37 posted on 12/28/2011 5:04:26 PM PST by OneVike (Just a Christian waiting to go home)
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To: Ernest_at_the_Beach

Drop the sugar tariff while they’re at it.


38 posted on 12/29/2011 7:28:32 PM PST by 1010RD (First, Do No Harm)
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