Friday, January 16, 2009

Energy Independence

Renewable EnergyAgricultural producers are among the largest seasonal fuel consumers in the United States and face significantly increased operating expenses due to the inflated cost of petroleum products. The extraordinary prices of gasoline, diesel fuel, natural gas and petroleum derived input products such as fertilizer, chemicals and propane are adding yet another economic burden to rural America.

In addition to having to pay more to run their machinery and pay their bills on the farm, producers are seeing added costs during this energy crisis, as the high energy costs paid by suppliers, processors, etc. are being passed on to producers as surcharges for almost everything they purchase. Farmers and ranchers are unable to pass along these increased production costs as other businesses can, because they do not set the prices for their commodities.

Expanding domestic production of energy, especially renewable energy, will help lead this country to being energy independent. Congress should create new standards for fuel efficiency so as to decrease consumption of foreign oil. Furthermore, Congress should enable expanded production of flexible-fuel vehicles so as to initiate an expanded market for ethanol. Congress should also make it clear that ethanol mixes greater than 10 percent, such as a 20 percent, blend is viable in practically any vehicle. Public education of such issues is a vital component of any energy initiative. Creating higher standards of efficiency, and through an educated public, the potential for energy independence becomes a true possibility.

It is for these reasons that NFU supports increasing fuels from the farm as a means to becoming energy independent. endcap.gif