Biodiesel/renewable policy must change, say senators

By:  Julie Harker

Findings by the National Biodiesel Board show a downturn in production and the blame is being placed on a “lack of certainty of federal policies.”

North Dakota Senator Heidi Heitkamp and four fellow U.S. senators Wednesday called for the Administration and Congress to support policies that promote biodiesel production and jobs.

The study found almost 80% of biodiesel producers had scaled back production this year and nearly 60% of biodiesel plants had been idled or shut down. Heitkamp says, “Eighty-five percent have delayed or cancelled their expansion plans and 98% attribute the weak industry conditions to the RFS (Renewable Fuels Standard) proposal and the expiration of the biodiesel tax incentive.”

Minnesota Senator Al Franken said the nation’s renewable energy policy is harming the entire renewable fuels industry, “This is not the time to tell investors that we’re backing off ethanol. Not when we’ve reached that point when we’re actually seeing commercially-scaled ethanol plants. That is an enormous benchmark.”  Franken pointed to the three commercially-scaled cellulosic ethanol plants getting ready to go online this year in Iowa.

Joining Senators Heitkamp and Franken were fellow Democrats Dick Durbin of Illinois, Joe Donnelly of Indiana, Maria Cantwell of Washington, and Amy Klobuchar of Minnesota.