Just some more anti ethanol stuff

[Mark, ncIA]

Gored,

You lost me with the CBO's $1.78 taxpayer fee, care to explain or link?  Sorry for my ignorance.

EPA's mandate number for 2012 corn based is 12.6 billion gallons, with 1.36 Bg of biodiesel, advanced bio-fuels & cellulosic ethanol.  That leads to ~4.6 billion bu. domestic demand.  Export 50 million/month and you beat USDA's 4.75, jump that to 100 and ethanol demand is > 5 bil. bu.

[GoredHusker]

The Congressional Budget Office (CBO).  I can't explain their number, but it is the number they use which means it is the number the gov't uses.  I wouldn't exactly say they have a lot of credibility considering they have put numbers together that show the gov't and people will actually save money with Obamacare. 

I'm really not sure what 2012's numbers have to do with anything considering this is 2010.  The numbers I used were for 2011 which will affect the 2010 crop.  The 2012 numbers do obviously show that something will give.  We can't progressively continue to ratchet up the numbers when we can't continue to raise enough corn.  When it's all said and done, I firmly believe we not only lose the blenders credit and tariff but will also lose the mandates. 

[John_Walter]

In Dan Looker's latest story (click here) on Agriculture.com, Brian Jennings, executive vice president of the American Coalition for Ethanol, is quoted as saying that the fate of the tax credit will depend on negotiations between leaders of Congress and the White House.

(A bill to extend middle class tax cuts also includes a one-year extension of the ethanol tax credit through 2011.)

“I think this is very much inside baseball,” Jennings told Agriculture.com. “If there is an agreement on Bush tax cuts, we have a chance to be in the game.”

“We stand a slightly better than 50% chance of getting a one-year extension of VEETC somewhere between 45¢ and 36¢,” he said.

Again, the drama continues...

John