California Loses Latest Anti-Ethanol Bid

August 3, 2001

The House has rejected a move to allow California to waive the federal oxygenate standard for reformulated gasoline, enhancing the chances that ethanol will become the main additive used in the state's gasoline supply. House members rejected the waiver measure, which was proposed by Reps. Christopher Cox (R-CA) and Henry Waxman (D-CA), by a decisive 300-125 vote.

American Farm Bureau Federation President Bob Stallman called it "an outstanding victory for all: farmers and ranchers, consumers, rural economies and the people of California. This is a strong sign that our nation's policy makers are beginning to understand the key role ethanol plays in our overall energy and environmental policies."

Stallman said increased ethanol use will help many sectors of the nation's economy and improve air quality. "Domestically-produced ethanol, from home-grown corn and other crops, helps boost commodity prices-increasing the return to farmers-helps reach clean air goals, will provide many needed rural jobs, and puts us another step closer toward energy independence," Stallman said.

Debate focused on the fact that the Cox-Waxman amendment was for California only. Members in opposition spoke strongly about the benefits of the RFG program and referred to a letter from EPA Administrator Christine Whitman calling for the amendment's defeat. Recalling EPA's denial earlier this summer of California's waiver request to EPA, Whitman said "The Federal RFG program has been extremely successful and cost-effective program that has provided substantial air quality benefits to millions of people throughout the country."

National Corn Growers Association President Lee Klein, Battle Creek, NE. said, "This was a hard-fought victory for corn growers who have worked to defeat this amendment in subcommittee, in full committee, and finally on the floor of the House. Without the support of champions on the Energy and Commerce Committee ... corn growers would not have been successful in fighting the nation-state of California. We thank these members for their hard work."