Friday, May 15, 2009

Oil Imports Widen Trade Deficit...Again

oil imports
Should Americans buy domestic renewable biofuels or continue to send our money overseas?   That's a good question we should all consider based on the latest trade figures from the US government.

The U.S. trade deficit widened during March, as the price and use of imported oil both climbed.

The U.S. deficit in international trade increased to $27.58 billion from February's $26.13 billion, according to the U.S. Commerce Department. 

The value of crude oil imports increased in March to $11.98 billion, from $10.00 billion in February. 

The average price per barrel of imported crude in March rose by $2.14 to $41.36 from $39.22. 

Last year, imported oil topped at $124.66 billion in July.

Thursday, May 14, 2009

It's Time for Farmers to Take Back 'Sustainable'

Ethanol critics continue to look for ways to confuse policymakers and the public in their continuing campaign of disinformation.  Over the years they've tried many tricks: saying it couldn't be done, saying it was too expensive and saying it raised food prices.  Now their trick is to say that modern farming practices aren't "sustainable".   But the facts always prove them wrong.  We saw this wonderful essay this week and thought it would add more thoughtful points to the food vs fuel discussion.  Reprinted by permission by the California Farm Bureau Federation.

Troy Hadrick California Farm Bureau farmer sustainable
It's time for farmers to take back "sustainable"
By Troy Hadrick

It's hard to get through the day anymore without hearing the word "sustainable." In fact, I was recently asked if I was a factory farmer or if I raised cattle sustainably. Who judges what's sustainable and what isn't? It seems that the word has been hijacked and is being used by people who are opposed to modern agriculture.

Sometimes you just have to shake your head when you hear the term. When I hear about sustainable wood, it always puzzles me. Are there some trees that don't grow back?
But in food production, we hear more and more that modern agriculture can't continue down the same path it's currently on. What exactly led to that false notion, and how would anyone possess the kind of knowledge needed to back up that sweeping statement?

Skeptics say we should go back to how we used to raise crops and livestock. But how far back should we go? To the 1950s? Or how about the 1870s? Maybe we could go back to when everyone raised just their own food?

Broadly, it is frequently true that so-called sustainable practices are those techniques used before the combustion engine was invented. Every industry has adapted and used technology to improve production methods and output. That includes agriculture.

From a farmer's perspective, there are two questions that should have to be answered before any agricultural practice can truly be considered sustainable. First, will the farm and ranch families implementing the practice be able to generate enough income to continue farming or ranching? Will those families be sustainable? And second, will the practice help producers increase food production to keep up with a growing population? If the answer to either of these questions is no, then, from my perspective, it should not be considered sustainable.

If farmers and ranchers can't make a living, they obviously won't be around very long. That's not what I would call a sustainable practice. Or if America's farmers and ranchers are forced to use production methods that do not yield enough food for everyone, would you consider that sustainable? I wouldn't.

At the end of the day, agriculture has a single, yet vital, responsibility—to provide food, fiber, fuel and other basics of life for an ever-growing world. The agriculture industry that some folks like to envision is better described as nostalgic rather than sustainable or even realistic. Our society wouldn't have developed into what it is today if 25 percent or more of our workforce was still required to grow food. For the past century, we have continually produced more food with less farm inputs. With the technologies available today, that trend will continue.

American agriculture has a longer track record than any other sector in this country. Many families are producing food on the same land their ancestors did. That is proof of sustainability. Farmers and ranchers know a thing or two about being sustainable since our livelihood depends on it. It's time we take our word "sustainable" back and encourage everyone to think about and use its real definition.

(Troy Hadrick, a South Dakota rancher, is a member of the American Farm Bureau's Young Farmers and Ranchers Committee. He may be contacted at troyhad@gmail.com.)


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Wednesday, May 13, 2009

Biofuels Done Right

biofuels done right corn ethanol
A new campaign by American farmers and supporters of biofuels now includes a full-page ad (pdf) running in Politico, a Capitol Hill newspaper.

The ad stresses facts about corn and ethanol that are often distorted by critics:
  • Technological innovations over the last 20 years have cut the land needed to produce one bushel of corn (56 pounds) by 37 percent and decreased soil loss by 69 percent.
  • Energy used to produce a bushel of corn has decreased by 37 percent since 1987 and greenhouse gas emissions per bushel dropped 30 percent.
  • Over the past 25 years, farmers have slashed the amount of fertilizer required to grow corn. Producing a bushel of corn today requires nearly 40 percent less nitrogen than in 1980. 
  • Natural gas is by far the largest supplier of energy for ethanol production, used in 85 percent of ethanol production. 
  • Ethanol production results in nearly twice as much energy than used in its production – and using ethanol in place of conventional gasoline helps cut greenhouse gas emissions by up to 59 percent.
  • Ethanol is replacing more and more foreign oil. The production of 9 billion gallons of ethanol in 2008 is equivalent to eliminating 10 months of imports from Venezuela.

Tuesday, May 12, 2009

Senator Thune Opposes EPA Indirect Land Use Proposal

John Thune ethanol South Dakota Opposition continues to grow against the EPS's recent decision to include carbon outputs resulting from indirect land use in other countries when calculating ethanol's lifecycle carbon emissions.

Senator John Thune (SD) recently spoke out against the EPA's decision:
"Homegrown biofuels are a major component of our nation's strategy for energy independence, but the EPA's decision to measure carbon resulting from foreign indirect land use undercuts this effort," said Thune. "Ethanol is a clean, renewable fuel that creates thousands of jobs in this country, and the federal government should not use unproven models to undermine its success. This new EPA rule is a major blow to the renewable fuels industry."
Opponents to ethanol continue to use shaky science to support their arguments.  All the while, the US continues its dependence on foreign high-priced oil.

Monday, May 11, 2009

Senator Lugar Slams EPA Ruling

A proposed EPA rule uniquely applying a life-cycle greenhouse gas emissions standard to ethanol has been met with fierce opposition in the US Senate.

Senator Lugar (IN) expressed his disappointment with the recent EPA decision:
“At this time when we all seek to work with the President to improve the economy through new energy investment, it is unfathomable that the EPA would act to curtail a great boon to rural development,” U.S. Sen. Dick Lugar wrote today in a letter to Environmental Protection Agency Administrator Lisa Jackson.
 
Lugar said that the proposed EPA rule uniquely applying a life-cycle greenhouse gas emissions standard to ethanol was “highly speculative and imperfect” and “economic models simply do not accurately capture indirect emissions with an acceptable degree of certainty. . . I urge you to halt consideration of lifecycle greenhouse gas emissions due to lack of sufficient information, and work with Congress to find a workable solution.”

The senator also spoke out against the new rule at the Senate Agriculture Committee Hearing on Thursday. Watch the video below.



Thursday, April 23, 2009

Tell the EPA to Allow Higher Blends of Ethanol

The US EPA is currently taking comments from citizens regarding allowing high blends of ethanol.  Write to the EPA to let them know you support higher blends of ethanol! Currently, blends up to 10% are allowed (E10).  

Via American Coalition for Ethanol (ACE)

Via Growth Energy

Via the National Corn Growers Association

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Monday, March 2, 2009

Oil Imports Fuel Trade Deficit

foreign oil imports dirty oilWhere did our money go? To help fuel our trade deficit and fuel the coffers of dangerous regimes.

Recently, Senator Richard Lugar highlighted the issue:
Americans spent a record $453.3 billion on imported petroleum in 2008, a figure representing two-thirds of the U.S. trade deficit of $677.1 billion, according to new statistics from the U.S. Census Bureau (http://www.census.gov/foreign-trade/statistics/highlights/annual.html).
The 2008 import average price per barrel of crude oil was also a record high of $95.23.

The cost of imported oil last year reached nearly $1500 per U.S. citizen. According to the U.S. Department of Energy, per capita annual gasoline consumption for Hoosiers was 517 gallons (http://apps1.eere.energy.gov/states/energy_summary.cfm/state=IN).

He went on to share the dangers of our dependence upon foreign oil:
“The hundreds of billions of energy dollars sent to dangerous regimes abroad could be spent to build a new energy economy here,” Lugar said. “A simple and effective means of strengthening U.S. national security is to dramatically reduce our oil dependence.”

Source: Sen. Richard Lugar

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