Center for Advanced BioEnergy Research, University of Illinois at Urbana-Champaign

Thursday, February 25, 2010

Ethanol tariff supporters, opponents square off for battle as year-end renewal date looms

Biofuels Digest
February 23, 2010

In Washington, ethanol-friendly lawmakers and the the Brazilian Sugarcane Industry Association (UNICA) are beginning the first skirmishes of what will be a year-long battle over the renewal of the 54-cent US ethanol tariff. Brazilian sugarcane ethanol typically costs 50-80 cents per gallon less than US corn ethanol.

US lawmakers in coastal states looking for reduced emissions from sugarcane ethanol and lower ethanol prices are set against legislators in farm states as well as energy independence hawks. The ethanol tariff expires at year end.

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