IRFA Calls on API to Stop Misleading Iowans on RFS
January 15, 2014
Press Contact: T.J. Page
ISU Economist Bruce Babcock Pokes Holes in API’s Misinformation
JOHNSTON, IOWA – The Iowa Renewable Fuels Association (IRFA) today urged the American Petroleum Institute (API) to stop misleading Iowans on the federal Renewable Fuel Standard (RFS) in its desperate attempt to preserve its near-monopoly over the transportation fuels market.
API recently launched a telemarketing campaign in Iowa that includes automated phone calls claiming the RFS increases food prices. Iowa State University economics professor Bruce Babcock stated, “We’ve studied the RFS extensively, and maintaining the federal RFS at intended levels for 2014 would have essentially no impact on food prices.”
“While API attempts to mislead Iowans, the facts show that corn prices are already at—or below—the cost of production, and countless reports and studies have found that the largest driver of food prices is, in fact, the price of oil,” stated IRFA Policy Director Grant Menke. “Iowans deserve better. The facts are clear, renewable fuels like ethanol and biodiesel are helping to reduce greenhouse gas emissions, support American jobs, increase energy security, and revitalize rural America.”
Reporters interested in reaching Prof. Babcock can contact him at: (515) 294-5764
Iowa is the leader in renewable fuels production. Iowa has 42 ethanol refineries capable of producing over 3.8 billion gallons annually, with three cellulosic ethanol facilities currently under construction. In addition, Iowa has 12 biodiesel facilities with the capacity to produce nearly 315 million gallons annually.
The Iowa Renewable Fuels Association was formed in 2002 to represent the state’s liquid renewable fuels industry. The trade group fosters the development and growth of the renewable fuels industry in Iowa through education, promotion, legislation and infrastructure development.