Farm Bureau Faults EPA Diesel Proposal

August 21, 2000

The American Farm Bureau Federation has told the Environmental Protection Agency that farmers and the rural economy would be hurt by a proposal that could disrupt supplies and raise prices for diesel fuel. The EPA proposal calls for diesel fuel sulfur levels to be cut from 500 parts per million to between 50 and 15 parts per million. Such a move, Farm Bureau said, could raise the threat of fuel supply disruptions in rural areas, excessively spike the price for diesel fuel and hurt the bottom lines of farmer-owned refineries and cooperatives.

"American agriculture is vitally dependent on a reliable and affordable supply of diesel fuel in carrying out its food-supply, natural fiber, renewable energy and other missions," Farm Bureau wrote to EPA. "We are concerned that the EPA's proposal to reduce sulfur levels in diesel fuel will have adverse consequences for American agriculture and rural America."

Farm Bureau recommended EPA withdraw and reconsider the proposal. But failing that, the organization recommended that EPA cap sulfur levels in highway diesel fuel at 50 parts per million - a 90 percent reduction from current levels; allow maximum compliance flexibility for farmer-owned cooperative refiners; help farmer-owned cooperatives secure necessary financial resources to meet the new requirements; exempt farmer-owned cooperatives from selling low-sulfur diesel during the regulation's phase-in period; and, continually analyze the supply, price and farm engine performance implications of moving to the new ultra-low sulfur standard.

"We are proud of agriculture's ongoing role in helping achieve clean air progress," Farm Bureau wrote. "But, we are concerned that an overly stringent diesel fuel sulfur proposal could unnecessarily harm U.S. agriculture and rural America, particularly during a time of continuing economic hardship that threatens the survival of many farmers, ranchers and the agricultural sector as a whole."