Tag Archives: billions

Since 2004, the United States government has offered a 45-cent per gallon tax credit (originally 51 cents per) for gasoline containing 10 percent ethanol. Corn growers and refiners saw corn prices skyrocket as ethanol production expanded, benefitting them while costs for human food and livestock feed also increased. But now, at the end of the year, the billions spent on yearly corn ethanol subidies expires. Environmentalists have changed their initial support for the program, as analysis found that the ethanol program resulted in negligible environmental advantages to make more expensive food worthwhile. As Ronald Bailey wrote for Reason.com, “an analysis by the EPA found that current ethanol production techniques actually result in higher emissions of greenhouse gases than refining and burning ordinary gasoline.” With both right and left-wing groups unsupportive of renewing the volumetric Ethanol Excise Tax Credit, should Congress give any attention to its expiration date? added by: cberlin1