Vilsack: Increase in ethanol in gas may come quickly
By Seth Nidever snidever@hanfordsentinel.com
Agriculture Secretary Tom Vilsack says the government should be able to move quickly to increase the amount of ethanol allowed in gasoline. Speaking at the National Farmers Union annual convention today in Virginia, Vilsack told farmers that the cap on ethanol content in gasoline should be increased from 10 percent to 12 percent or 13 percent "fairly quickly" without causing problems to car engines and equipment.
Officials at Great Valley Ethanol, the firm seeking to build a local ethanol plant, called the 10 percent cap an "arbitrary number" and said increasing domestic energy production is a good idea.
The company still has plans to build a corn ethanol facility south of Hanford, but difficulty obtaining financing and the low price of gas have delayed the opening, according to GVE president Edward Settle.
Local grower Craig Pedersen called Vilsack's proposal "controversial," but he added that "as a corn grower, I would like to see it."
"From a dairy perspective, it's going to be the exact opposite," Pedersen said.
Many dairy farmers blame ethanol production for driving up grain prices. The high prices many got locked into last year are combining with historically low milk prices to generate an economic crisis in the dairy industry.
"I think the timing couldn't be worse," said Selma dairyman Steve Nash. "If we've got any chance to recover, we certainly don't need to lose any corn out of the pipeline."
"I think it's bad. It's about time the government woke up and stopped chasing a food and feed source for energy," said local dairy farmer Rod Kamper.
The reporter can be reached at 583-2432.
(March 9, 2009)
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aufever wrote on Mar 9, 2009 12:28 PM: