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Iowans were pleased to hear from Iowa Lt. Governor Kim Reynolds and Governor Terry Branstad during the 8th Annual Iowa Renewable Fuels Summit. The two focused their remarks on one very important policy for Iowa: the Renewable Fuel Standard (RFS). The legislation is under attack by Big Oil and the Environmental Protection Agency (EPA) took a step back for the country when they released their proposed 2014 renewable fuel volumes for the RFS.

Reynolds noted that Midwesterners are passionate about the RFS. “From our farm fields to our Main Streets to our Legislative Chambers, Iowans understand how important it is to maintain a strong RFS,” said said.

There are tremendous benefits that currently flow from the RFS explained Reynolds, including: diversifying our nation’s energy portfolio and reducing our reliance on overseas oil; giving consumers lower cost choices at the fuel pump; and, raising family incomes and driving growth in rural America.

“We need to let people know that the ethanol industry supports more than 38,000 jobs and the biodiesel industry supports 62,000 jobs. We need to let people know that this one proposed rule by the EPA would directly jeopardize an estimated 37,400 ethanol jobs and 7,500 biodiesel industry jobs,” said Reynolds.

She stressed that the 2014 RFS proposal would place an unnecessary hardship on families throughout Iowa and throughout rural America. That one purposed rule would place an unnecessary hardship on families throughout rural America.

Listen to Iowa Lt. Governor Kim Reynolds remarks: Kim Reynolds Remarks

Iowa Governor Terry Branstad continued the call to continue the course of the RFS. He noted that in 2012, during the drought, corn prices were $8 a bushel, but now they are actually close to $4 a bushel. “The EPA’s proposed rule would result in corn prices below the cost of production and a reduction in agriculture land values. In addition, the misguided proposal would hurt farm equipment dealers, manufacturers and would cause significant loss of jobs throughout rural America.”Read More

The Iowa Office of the Attorney General has reviewed the Environmental Protection Agency’s (EPA) proposed 2014 Renewable Volume Obligations as part of the Renewable Fuel Standard (RFS) and concluded that the EPA must return to the forward course the legislation intended.

“It’s clear that Congress intended to establish the RFS to foster increased production of renewable fuels, and waiving the standard would contravene the intent of Congress,” said Iowa General Attorney Tom Miller during a press conference held during the 8th Annual Iowa Renewable Fuels Summit sponsored by the Iowa Renewable Fuels Association (Iowa RFA).

Miller writes in the letter to the EPA, “…the current proposal ignores the express terms of the statute and would contravene Congressional intent to foster increased production of renewable fuels.” Miller noted in the letter that according to the Clean Air Act, the EPA is authorized to waive the RFS only when implementation of the statutory standards would severely harm the economy or when there is an “inadequate domestic supply” – not distribution capacity – of renewable fuel, not blended fuel.

This is not the case, said Miller.

Renewable fuels are a critical part of Iowa’s economy according to Miller and provide a key market for agricultural crops and jobs. “If the EPA waived national fuel standards, not because of an inadequate supply of renewable fuel, but rather because of limited distribution capacity of blended fuels, it would be removing the incentives adopted by Congress to foster increased production of renewable fuels and greater energy independence,” concluded Miller.

Listen to press conference with IA General Attorney Tom Miller here: EPA's 2014 RFS Proposal Defies Statute

View the 2014 Iowa Renewable Fuels Summit photo album.