Biofuel producers snuggling up to Congress to beg for their subsides back

posted at 8:41 pm on March 25, 2014 by Erika Johnsen

Much like their fellow “green”-energy lobbyists in the wind industry struggling beneath the oh-so-crushing burden of not yet having their egregiously generous production and investment tax credits restored after their expiration at the end of 2013, biofuels enthusiasts are again ramping up their own calls for their restoration of their particular pork-tastic tax credits. Via The Hill:

A coalition of biofuel advocacy organizations sent a letter Monday to the top tax lawmakers in the Senate urging them to renew expired tax credits that helped their industry.

The credits, which incentivized advanced biofuel production and infrastructure, expired Dec. 31, along with a slew of popular tax breaks.

“Advanced biofuel tax credits have allowed the biofuels industry to make great strides in reducing the cost of production and developing first-of-kind technologies to deploy the most innovative fuel in the world,” the groups said in their letter to Senate Finance Committee Chairman Sen. Ron Wyden (D-Ore.) and Ranking Member Orrin Hatch (R-Utah). …

Representatives of the Advanced Ethanol Council, the Advanced Biofuels Association, the Algae Biomass Organization, the Biotechnology Industry Organization, Growth Energy, the National Biodiesel Board and the Renewable Fuels Association signed the letter.

Yep. There is an Algae Biomass Organization, and it too wants its specially interested due.

This group’s particular plea mostly applies to what are known as advanced or second-generation biofuels from various types of biomass from which it’s difficult to extract fuel (hence the explicit subsidy-mongering), and in the meantime, we’re still waiting for the Environmental Protection Agency to decide if they want to move forward on a reduction to the mother of all biofuels subsidies, the Renewable Fuel Standard. When the EPA announced late last year that they finally planned to acknowledge that the RFS’s mandate requiring an annually-increasing amount of ethanol to be blended into the nation’s gasoline supply could not coexist with the reality of declining free-market demand for gasoline, the old-fashioned corn-based biofuels lobby went into an almighty uproar, and they’ve been lobbying Congress and the administration on the regular to get them to keep plowing forward with the unworkable mandate to protect their overgrown industry. The EPA is supposed to finalize the standard for the coming year every November 30th, but we’re still waiting on the 2014 version because of the accompanying political difficulties (and yes, the standard will be enforced retroactively). Maybe sometime this year they’ll actually get around to telling us.


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No more subsidies!

Whitey Ford on March 25, 2014 at 8:55 PM

No more corruption!

KOOLAID2 on March 25, 2014 at 9:03 PM

OT: White House will extend Obamacare sign up deadline into April.

Rewriting law is a piece of cake.

fogw on March 25, 2014 at 9:10 PM

Is that silhouette of a person in the pic….

Obama with his pen and his phone?

Electrongod on March 25, 2014 at 9:11 PM

I convert food into methane all day, and I have yet to see a subsidy.

Exninja on March 25, 2014 at 9:11 PM

OT: White House will extend Obamacare sign up deadline into April.

Rewriting law is a piece of cake.

fogw on March 25, 2014 at 9:10 PM

There is no law……

We have a king that is flucking up this great land of ours…

But the stock market is booming..

(cheers)

Long live the King…

Electrongod on March 25, 2014 at 9:13 PM

OT: Deadline for ObamaCare signup delayed two weeks…for now.

d1carter on March 25, 2014 at 9:18 PM

OT: Deadline for ObamaCare signup delayed two weeks…for now.

d1carter on March 25, 2014 at 9:18 PM

“We must pass it to see what’s in it…”

Why?

It isn’t law…

Electrongod on March 25, 2014 at 9:22 PM

ObamaCare is like a White sale at Sears Roebuck…

If you don’t get the sale….

Just extend the deal…

Electrongod on March 25, 2014 at 9:24 PM

Suffer, you parasites!! John D Rockefeller found ways to create kerosene cheaper AND find uses for the resulting by-products WITHOUT feckin’ Federal subsidies! Because it was his own money on the line, Rockefeller found the processes that produced the most benefit for the least money expended–and we, all of us, prospered accordingly.

Now, no thanks to the socialists on Capitol Hill, untried/unproven technologies are begging for no-accountability grants, tax breaks and loans on OUR dime just because they can. No thanks.

Newtie and the Beauty on March 25, 2014 at 9:37 PM

Newtie and the Beauty on March 25, 2014 at 9:37 PM

What she said!

captnjoe on March 25, 2014 at 10:11 PM

I look forward to the day when this government no longer forces us all to put corn in our gasholes.

Another Libertarian on March 26, 2014 at 3:37 AM

Algae biomass is an energy recapture system when utilized at commercial and industrial sites (as opposed to the wild, sunlight stuff). That means that out of the waste heat from such facilities it recaptures a fraction of it to produce biomass. It is NOT a source of future fuel because you have to expend more fuel and energy to run it: it is a recapture system in that setting. The free sunlight stuff, that’s different, but not as energy intensive.

Basically if, after decades of ‘perfecting’ you can’t stand on your own, then it is not economically viable.

If it WERE viable, they would have such high sales so that applying for federal money would cost too much versus just selling the equipment.

ajacksonian on March 26, 2014 at 7:36 AM

Ethanol never made economic sense but was a solution for pollution at the time. It has now been out dated for decades. Let it die.

CW20 on March 26, 2014 at 9:35 AM

Sara Palin cleaned up the corruption in Alaska in 2.5 years, some are in jail. Did you ever see that in the media? The truth hurts sometimes.

mixplix on March 26, 2014 at 11:58 AM

“Advanced biofuel tax credits have allowed the biofuels industry to make great strides in reducing the cost of production and developing first-of-kind technologies to deploy the most innovative fuel in the world,” the groups said in their letter to Senate Finance Committee Chairman Sen. Ron Wyden (D-Ore.) and Ranking Member Orrin Hatch (R-Utah). …

I think this is not about reducing production costs and developing technology.

It is about the quarterly earnings of Archer Daniel Midlands and their ilk.

We don’t have the money to keep giving corporate welfare.

If there is a way to make a buck ADM will find a way. Let them try doing it honestly instead of through graft.

Maybe we can reconsider once we have paid off the current national debt, and have a 4-5 trillion dollar budget surplus.

s1im on March 26, 2014 at 9:51 PM