Battle brewing over corn ethanol subsidies

[Geee]

Daily Caller:

When former Vice President Al Gore, who was recently dubbed a “modern day patron saint” – ”St. Al of Green” — by the Wall Street Journal, reversed his position on corn ethanol subsidies last week, not many thought it would foreshadow a contentious debate in Congress’ lame duck session.

But ethanol subsidies, a decades-old source of revenue for corn farmers, are up for renewal on December 31. Yet what has been a relatively easy “yes” vote in the past, is now facing some major opposition.

On Tuesday, a bipartisan group of 17 senators (9 Democrats and 8 Republicans) sent a letter to their respective party leaders, urging them to end the ethanol subsidy. Authored by Democratic California Sen. Diane Feinstein and Republican Arizona Sen. Jon Kyl, the letter proclaims, “Eliminating or reducing ethanol subsidies and trade barriers are important steps we can take to reduce the budget deficit, improve the environment and lessen our reliance on imported oil.”

The letter also argues that if the current subsidy – 45 cents per gallon of gasoline with blended ethanol – were renewed for another five years, $31 billion would be paid out to oil companies. The senators additionally called for an end to the 54-cent tariff on imported ethanol from places like Brazil and Australia.