advertisement

---

Two bills recently entered Congress that could be a boon to the U.S. ethanol industry and railroads’ ethanol-related carloads.

On Tuesday, Sens. Amy Klobuchar (D-Minn.), Tom Harkin (D-Iowa) and Kent Conrad (D-N.D.) introduced the Farm-to-Fuel Investment Act (S. 1403), which proposes to reduce U.S. dependence on foreign oil by encouraging farmers to produce “cellulosic energy” crops used to produce biofuels, including biodiesel and ethanol.

The bill would amend the Farm Security and Rural Investment Act of 2002 and provide three years of transition assistance to farmers who produce dedicated energy crops, such as switchgrass, within 50 miles of a biorefinery.

“I believe that North Dakota can help this nation grow its way out of our dependency on foreign energy — whether it’s from cellulosic ethanol or biodiesel,” said Conrad in a prepared statement.

The bill already has drawn support from the National Farmers Union and
Renewable Fuels Association.

“The legislation … is a logical first step in bringing farmers and biorefineries together to grow the feedstocks for cellulosic ethanol facilities across the nation,” said Renewable Fuels Association President and Chief Executive Officer Bob Dinneen.

Meanwhile, Rep. Marcy Kaptur (D-Ohio) last week introduced the Biofuels Energy Independence Act of 2007 (H.R. 2218), which proposes to create a biofuels feedstock reserve and authorize the U.S. agriculture secretary to provide and guarantee federal loans for the production, distribution, development and storage of biofuels.