Ag Industry Integral to America’s Future
During a press conference hosted by Growth Energy, Iowa Ag Secretary Bill Northey stressed the importance of the ethanol industry to agriculture. Northey told the tale of how corn farmers were looking for a way to sell their excess corn back in the 80s and so they created the ethanol industry. And it worked. Last year, ethanol used 4 billion bushels of corn out of a total of 13 billion total bushels and many new companies and technologies have sprung up to support the industry’s growth, such as those companies offering corn farmers precision ag technologies.
But to keep the ag industry strong, the country must pass long-term energy policy that will support increased market access for ethanol. “It is vital that Congress and the EPA move forward and approve these needed long-term policy proposals,” Northey said. “It is important that we send a signal to the industry and investors that support structures that will remain in place and allow the industry to continue to advance and adopt new technologies including eventually cellulosic ethanol.”
The Green Jobs Waiver, or E15 waiver would do just this. It would help to open up the markets for more ethanol. But any decision on this front is still a ways a way. According to Tom Buis, the CEO of Growth Energy, the EPA and DOE will finish testing on 2007 and newer cars this month and 2004 and newer cars by the end of November. No one knows for sure how the EPA will rule, but there is widespread confidence that E15 will be approved.
Approving the extension of the ethanol tax credit is also important in sending the message to investors that this industry is here to stay.
Northey also stressed that success of the ethanol industry has allowed the success of other companies as well, many who are participating at this year’s Farm Progress Show. Therefore, Northey concluded, it is not only important for many states’ economies and the agricultural industry for ethanol to succeed, but it is ultimately important for all forms of alternative fuels.
You can listen to the Growth Energy press conference here. Growth Energy Press Conference During Farm Progress Show
Precision Pays coverage of the Farm Progress Show is sponsored by:
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The company has developed a new hydrated-ethanol fuel called EM60 (a mixture of 60% ethanol and 40% water) to combine with diesel fuel to power diesel engines. “Just like oil and water don’t mix, ethanol and diesel don’t mix,” Dickey said. So, they run two lines into the diesel engine. “The only time the ethanol, water and diesel are together is at the point of combustion and it really works well. The engine runs cooler, it runs more efficient and the emissions are reduced.”
Many of you corn growers using precision technology are very aware of the challenges we’ve had in the ethanol business, especially battling groups with an agenda to distort facts and misinform the public. Growth Energy is a group that was formed to battle that problem on Capitol Hill.
The USDA’s Animal and Plant Health Inspection Service (APHIS) is seeking comments until July 6 on the proposed petition to deregulate genetically modified (GM) corn that improves ethanol production.
Utilizing precision farming equipment when you’re harvesting corn will pay off even more once you can start harvesting corn cobs for cellulosic ethanol production. That’s what I learned at POET’s Project LIBERTY field day in Emmetsburg, IA this week. POET is working with ag OEM’s like John Deere to develop harvest equipment to collect cobs for the plants they plan on building in the near future. They plan to begin building a cellulosic ethanol production component of their Emmetsburg plant in late 2009 with production expected to begin in 2011.