US Rep Rice: Renewable fuel standard doing more harm than good

In 2005, Congress enacted the renewable fuel standard, requiring fuel refiners to blend biofuels — primarily corn-based ethanol — into gasoline. The intent was to protect the environment and grow our fuel reserves, but this has not materialized.

In fact, corn ethanol is hurting the environment. The EPA says its greenhouse gas emissions are 33 percent higher than gasoline’s and that increased production is a significant cause of water pollution in the Mississippi River basin and the Gulf of Mexico.

But the problems with the mandate go far beyond environmental damage:

▪ A 2014 Congressional Budget Office report concluded that complying with the mandated volume levels would increase the price of diesel by 30 to 51 cents per gallon and gasoline by 13 to 26 cents by 2017. According to the Department of Energy, corn ethanol contains 33 percent less energy than gasoline per unit of volume and reduces fuel economy by 3 to 4 percent.

▪ As an avid boater, I have seen the damage caused by ethanol-blended fuel. Having already lost two outboard engines to ethanol-related problems, I’m concerned that new EPA proposed standards will only increase the problems. Nearly 90 percent of vehicles are not designed to use fuel that exceeds E10; it is actually illegal to use fuel that exceeds E10 in small engines and in vehicles built before model year 2001.

▪ With about 40 percent of our nation’s corn being used to produce ethanol, agricultural commodity prices have increased by 20 to 40 percent, according to the National Research Council. In 2009, the Congressional Budget Office estimated that taxpayers spent $1 billion more in food and nutrition programs because of high corn prices.

Combine higher food prices with engine repair expenses, and consumers are seeing their budgets shrink. CBO estimates that U.S. food expenditures in 2017 would be $3.5 billion higher if the renewable fuel standard is left untouched.

I’m working with U.S. Rep. Bob Goodlatte, R-Va., who has introduced legislation that would repeal the standard, to improve the economy and the environment for all Americans. I hope everyone will encourage their members of Congress to join us in passing this bill without delay.

This story was originally published September 17, 2015 at 1:57 PM with the headline "US Rep Rice: Renewable fuel standard doing more harm than good."