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An attempt to end the 54-cent-a-gallon tariff on foreign ethanol has been turned away in the U.S. Senate.

This story in the Des Moines Register says that Sen. Judd Gregg of New Hampshire had made the argument that it was costing motorists on the East Coast:

“I would rather buy ethanol from Brazil than oil from Venezuela. It just makes a lot more geopolitical sense in how we protect ourselves,”Gregg said.

Usually, you see votes in the Senate split along party lines, but this one had more of a regional feel to it as Midwestern Senators sided with protecting their homegrown ethanol. Plus, the corn-rich, and thus ethanol-rich, Midwest would continue to enjoy the 51-cent-a-gallon federal ethanol incentives. The Senate ended up voting 56-36 to reject a procedural move that was needed to add the tariff repeal to a pending energy bill.

Defending the tariff, Sen. Charles Grassley, R-Ia., said that ethanol supplies were adequate and that fuel additive is being imported in spite of the levy.

“There is imported ethanol shipped into New York and Baltimore harbor today,” he said.

A bill pending in Congress would provide grants to community colleges to implement renewable energy education and training programs.

This press release from the Renewable Fuels Association says the New Era Act, introduced by Iowa Congressman Bruce Braley, is before a congressional committee and would promote an educated and skilled workforce to meet the demands of an expanding renewable fuels industry:

In prepared testimony before the House Small Business Committee Subcommittee on Contracting and Technology, Hawkeye Renewables Founder and CEO Bruce Rastetter stated on behalf of his Iowa-based ethanol company that there is no lack of demand or interest for jobs in the biofuels industry. However, he added that a large majority of interested individuals are not adequately educated in the field.

“As our industry continues to grow, the demand for skilled and educated workers provides a plethora of job opportunities for individuals interested in ethanol production in the U.S.,” said Renewable Fuels Association President Bob Dinneen. “For the benefit of our communities’, we must respond to this demand by providing opportunities for education on renewable fuels in our community colleges.”

You can read the full text of Rastetter’s testimony at www.ethanolrfa.org.

REX Stores, usually known for selling televisions, stereos, and appliances is buying into ethanol.

According to this story posted on BizJournals.com, REX will invest between $35 million and $62 million in ethanol-producer One Earth Energy, which plans to start to build a 100-million-gallon-a-year plant this year in Gibson City, Illinois:

This purchase will allow Rex to secure a majority ownership interest with Earth Energy. However, this percentage will be determined based upon the participation by other investors in the offering.

Additionally, Rex has entered into an agreement with One Earth to fund up to an additional $6 million in interim financing in the form of secured debt, bearing an interest rate of 9 percent annually. The interim funding is intended to allow One Earth to proceed with development and construction schedule for ethanol production facility.