Friday, February 21, 2020


Trump's agriculture department announces 30% biofuel goal for 2050

P.J. Huffstutter, Mark Weinraub

WASHINGTON/CHICAGO (Reuters) - The U.S. Department of Agriculture on Thursday announced a goal for biofuels to make up 30% of U.S. transportation fuels by 2050, a move that could bolster an industry that has been otherwise battered by the Trump administration.

Refineries are currently required to blend 20.09 billion gallons of biofuel in 2020, about 10% of projected crude oil production, according to the U.S. Energy Information Administration.

President Donald Trump has been criticized by the corn-based ethanol industry after his Environmental Protection Agency (EPA) granted exemptions to the blend requirement for dozens of oil companies over the last two years.

The biofuel goal, which also included getting the blend rate to 15% in 10 years, is part of a new department-wide sustainability initiative aiming to boost farm production by 40% and cut the farm sector’s environmental impact by 50% during the same period. The environmental goal also could deflect criticism from farmers and ethanol producers in an election year.

“I think, really, that’s maybe one of the easiest to achieve, with going from E10 to E15 … that’s a 50% increase,” USDA Secretary Sonny Perdue said at a news conference.

Ethanol producers were waiting to see the reaction of the EPA, which has thwarted the move toward a 15% blend rate in the past even as the USDA has called for increased production of the corn-based fuel, said Todd Becker, chief executive officer of Green Plains Inc , which operates 13 ethanol plants.

“I don’t think this is a supportive EPA of ethanol,” Becker said. “I think they are being dragged into it kicking and screaming.”

The EPA said in a statement that it looks “forward to continuing working with USDA to support sustainable farming.” It noted that it approved E15 for year-round sales in 2019.

Trump’s first term ends in 2021, and he is campaigning for re-election in November.

The plan stands in stark contrast to the Trump administration’s ongoing approach toward environmental issues. Trump has described climate change as a “hoax.” Over the past two years, the EPA has granted more than 30 biofuel waivers to refineries, including facilities owned by Exxon Mobil Corp and Chevron Corp .

The farm community’s anger over the administration’s ethanol policy has continued and given a potential opportunity to Democratic rivals, who hope rural voters in corn-producing states such as Iowa may be more open to voting for a Democrat – or simply not turn out on election day.

2020

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2019

Sec. Perdue is open to carbon markets for farmers, Pingree says
Food & Environment Reporting Network-May 14, 2019
Agriculture Secretary Sonny Perdue expressed support for carbon ... knew a lot about the idea of carbon markets, had a price in his head.” ... which Pingree supports, but said didn't include “enough elaboration on agriculture.


SECRETARY PERDUE IS OPEN TO CARBON MARKETS FOR FARMERS, PINGREE SAYS

By Leah Douglas 5/15/2019 USDA

Agriculture Secretary Sonny Perdue expressed support for carbon markets for farmers during a meeting, Representative Chellie Pingree said on Monday. An upcoming agriculture appropriations bill will likely include language that urges USDA to research the possibility of such markets, added the Maine Democrat, speaking at a Food & Environment Reporting Network event.

“He sat in my office for an hour,” Pingree said of her meeting with Perdue, though she didn’t specify when the meeting occurred. “He was surprisingly receptive, knew a lot about the idea of carbon markets, had a price in his head.”

Agriculture is responsible for about 10% of greenhouse gas emissions in the U.S., but farms also have the ability to sequester carbon from the atmosphere through measures such as planting of cover crops. But planting those crops isn’t always profitable enough to make it worthwhile, especially if the crop can’t be sold. One way that environmental, food, and farming groups have proposed solving this dilemma is through carbon markets, or paying farmers for the amount of carbon they sequester.

“He brought it up, that the USDA should be the place that the standard’s set,” she continued. “Honestly, I was pretty surprised.”

The Trump administration has expressed skepticism about climate change, and the president announced a withdrawal from the Paris climate accord that was designed to keep global warming below 2˚ Celsius. But Pingree said Perdue was open to discussing new carbon market opportunities for farmers as a way to get money into their pockets.

Pingree said that she is working on putting language into an upcoming agriculture appropriations bill that would urge USDA to “research the opportunity for farmers to participate in carbon markets, and what would be appropriate metrics.” A sticky issue is figuring out how to measure soil carbon so farmers can be compensated.

“We talked to [Perdue] about that and he didn’t oppose it,” she said.

In March, a coalition of environmental organizations and food companies announced their efforts to build a market that would pay farmers for carbon sequestration and cleaner water. General Mills, ADM, Cargill, McDonald’s, and The Nature Conservancy are among 10 groups involved in the effort. The program would give farmers credits for their efforts to sequester carbon or protect water quality, and then companies could buy those credits to reach their own sustainability goals. They plan to build the market by 2022.

In her remarks, Pingree noted that few members of Congress have made agriculture, and particularly its relationship to climate change, a central issue. “We’ve been trying to push [carbon markets] with Congress,” she said. “Farmers have an opportunity here. Let’s get them in early and change the dialogue.”

Pingree also noted that literacy among members of Congress about climate change is lower than other pressing policy issues. “We debated repealing the healthcare bill 60 times, or 55 times. Members of Congress are extremely well versed in preexisting conditions,” she noted. “But we haven’t talked about climate change for a really long time. Everybody told us it’s not an election-year issue. Also, we didn’t have hearings or anything else going on. We don’t even know what the current science is for the most part.”

In April, Pingree released a five-point plan to engage farmers around responding to climate change. The five initiatives included building healthy soil, supporting pasture-based livestock, reducing food waste, and investing in rural energy. The plan was released in response to the Green New Deal, which Pingree supports, but said didn’t include “enough elaboration on agriculture.”

Pingree has represented Maine’s first congressional district since 2010. She sits on the House Agriculture Committee and the House Appropriations Committee, where she serves on the Subcommittee on Agriculture, Subcommittee on Interior and the Environment.

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