EPA proposal a ‘make-or-break’ deal for Iowa farmers, jobs
The future of Iowa's biofuel market could be in jeopardy.
Iowa Senator Charles Grassley said he might block President Donald Trump's nominees for key posts at the Environmental Protection Agency.
Grassley met with EPA Administrator Scott Pruitt Tuesday to talk about his plans to scuttle the Obama-era "clean power" plan.
Monte Shaw, with the Iowa Renewable Fuel Association, said that Trump promised to help grow the biofuels industry and that it is Pruitt's job to follow through on that promise.
"On every front, he's taken shots at rural America,” Shaw said.
Thirty-two senators across party lines have come out against Pruitt's proposal to slash corn ethanol numbers.
Pruitt spoke to KCCI in August about the renewable fuel standard.
“Overall I think that, from a conventional perspective and the exporting of ethanol, we should be optimistic and encourage about where we’re heading as a country,” Pruitt told KCCI.
"He's trying to roll back the entire renewable fuel standard, and we're asking folks to stand up and say ‘No. This is not what President Trump promised us,’” Shaw said.
Shaw said Pruitt appears to be answering to his interests in the petroleum industry.
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“If that happens not only will the 11,000 new jobs disappear, but we'll cut back into the 40,000 jobs that we had before,” Shaw said.
During his campaign and his last visit to Iowa, Trump promised to protect and grow the industry.
"I really think this is a make-or-break moment for the president and his relationship with rural America,” Shaw said.
Shaw said that right now, a bushel of corn is worth less than it takes to harvest it.
Shaw said that if Pruitt's proposals go through it would be a nail in the coffin to an industry of Iowa farmers already struggling.
"We're likely to see the farm economy crater and maybe go back to a farm depression as bad as we saw in the 1980s,” Shaw said.
Governor Kim Reynolds will hold a press conference at 1:30 p.m. Wednesday to discuss the EPA proposal on the biofuel industry. The conference will be held at Two Rivers Cooperative in Pella.
Reynolds will discuss her phone conversation with Trump, which is scheduled for Wednesday morning. The Iowa Renewable Fuels Association will release results from a new expansion economic impact study during the press conference.