GoodFuels

Anti-Ethanol Group Loses Credibility

Secretary of Agriculture Ed Schafer says “almost nobody” is talking about the biofuels industry “going backward” - just a few notable exceptions like the Grocery Manufacturers Association and the governor of Texas.

Speaking to the media after a speech at the Cellulosic Ethanol Summit Wednesday, Schafer said the group that held a press conference yesterday calling for an end to ethanol subsidies “stood up there with no credibility whatsoever,” when they claimed that it will take 18-24 months for the lower commodity prices to bring food prices back down.

“I just think that they are totally off base,” Schafer said. “They’re trying to justify their corporate policy in increasing costs to the consumer by blaming it on somebody else - that’s just simply wrong.”

Schafer is especially concerned that the group is working against important public policy for energy independence. “Why would be they be against energy independence?” he asked. “They’re working against economic activity. Why would they be against economic activity?”

Why indeed. He thinks in the end they will get what they deserve, “which will likely be lower purchases of their products because of their increased prices.

I asked the secretary several other questions relating to the biofuels industry, including what he sees as the Bush administration legacy regarding biofuels, his trip this week to Brazil for an International Conference on Biofuels and whether an auto industry bailout might mean more flex fuel vehicles.

Listen to my Q&A with Schafer here: