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Riots Can't Be Blamed on Ethanol

Riots Can't Be Blamed on Ethanol

Push being made for new energy policy.

Concerning the unrest in Egypt and elsewhere, Growth Energy CEO Tom Buis says we have had 40 foolish years of leaving our economy in the hands of OPEC, leaving our economic and national security in the hands of the Middle East. He says there is no better demonstration of how dangerous this policy is than right now, and it doesn't have to be that way.

"We have an alternative in American ethanol," Buis said. "What this country needs is an energy policy that gives Americans a genuinely free and open market, so alternatives like ethanol can compete against oil."

As the unrest in Egypt continues and spreads, several theories are surfacing as to why the riots are happening.  Bob Dinneen, president and CEO of the Renewable Fuels Association says don't blame American ethanol production.  Some claim that U.S. ethanol production is driving up food prices and stirring discontent, but Dinneen says that is just not supported by the facts.

"U.S. ethanol production demand represents just 3% on a net basis," Dinneen said. "Equally noteworthy, that 3% is of a growing supply of grain as farmers in the U.S. and around the world continue to produce more." 

According to Dinneen even the most red-faced ethanol detractor would have a hard time suggesting such a small market presence is driving prices.

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