Manitoba Wildlands  
Reform For Biofuel Subsidies 13 January 09

Ethanol pump imageGovernment subsidies for corn-based ethanol are fueling heated debates in the United States. Support for biofuels has been blamed for record high food prices and conversion of agriculture land for ethanol production. Both sides of the debate are working hard to influence President-elect Barack Obama's administration.

Nearly $5 billion in US government subsidies has been pumped into ethanol subsidies. The International Institute for Sustainable Development (IISD), with head offices in Winnipeg, Manitoba, is urging Tom Vilsack, Obama's nomination for US Agriculture Secretary, to stop increasing mandatory fuel consumption levels for biofules and take into account environmental effects when developing ethanol policy.

"As prices for agricultural commodities come down from the record highs set earlier in 2008 this year, Tom Vilsack will come under intense pressure to cushion farmers with various subsidies, including those for biofuels," said Mark Halle, Director of IISD Europe. "However, we urge the new U.S. Agriculture Secretary to resist special interest lobbying, and promote policies based on their economic and environmental merits."

"We hope IISD will share their ethanol analysis with the Manitoba government," said Gaile Whelan Enns of Manitoba Wildlands.

View January 6, 2009 Guardian article
View September 2007 report, Biofuels - At What Cost? Government for ethanol and biodiesel in selected OECD countries (PDF)
View December 2008 IISD press release
View December 22, 2008 Business Green article

Sources: IISD, Business Green, Guardian
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