Grassley Promotes Expanded Use of Ethanol
Iowa Senator Cites Benefits to Environment, Farmers, National Security
Sen. Chuck Grassley of Iowa on Wednesday will advocate the expanded use of renewable, clean-burning ethanol by hosting a day-long symposium with Sen. Paul Wellstone of Minnesota and participating in a two o'clock news conference on Capitol Hill with a bi-partisan group of farm state senators.<P> Grassley will speak at the symposium from 12:30 to 1:00 p.m., in Dirksen 106, along with Kyle Simpson, Senior Policy Advisor to Energy Secretary Federico Pena. Sponsored by Citizen Action, the symposium is titled, "The Growing U.S. Dependence on Persian Gulf Oil Imports: The National Security & Economic Implications and What Can Be Done." Citizen Action is a national consumer watchdog organization.<P> Grassley will join other senators, including Sens. Tom Harkin of Iowa, Richard Lugar of Indiana, Carol Moseley-Braun of Illinois, Chuck Hagel of Nebraska, and Paul Wellstone of Minnesota, for a news conference at 2 o'clock, in S-325, the Senate Radio-TV Gallery, to react to the proposal of House Ways and Means Committee Chairman Bill Archer to eliminate the ethanol tax incentive.<P> An outspoken advocate for ethanol, Grassley serves as a senior member of the Senate Finance Committee.<P> Staff Contact: Jill Kozeny, The Ofc. of Sen. Chuck Grassley, 202/224-1308<P><HR> <CENTER><B>PREPARED REMARKS OF SENATOR CHUCK GRASSLEY<BR> NEWS CONFERENCE TO DEMONSTRATE SENATE SUPPORT FOR ETHANOL<BR> WEDNESDAY, JUNE 11, 1997</B></CENTER><P> Ethanol is good for farmers and jobs in rural America. It's good for the environment. And, in terms of our fight against dependence on foreign energy, the ethanol tax incentive is a bargain.<P> Today I co-hosted with Senator Wellstone of Minnesota and America's largest consumer group Citizen Action, a symposium on America's growing and dangerous dependence on foreign oil.<P> The bottom line is that every gallon of fuel we can produce domestically -- regardless of whether it comes from an Oklahoma oil well or an Iowa corn field -- is one less gallon that holds America hostage to foreign oil.<P> Foreign oil carries a heavy cost. In 1987, a former Secretary of the Navy estimated that the total cost of protecting our Persian Gulf oil supply line to be about 20 percent of our total military budget. That amounted to about $40 billion a year for taxpayers to defend foreign oil, or $140 a barrel. This was at a time when U.S. producers were getting just $18 a barrel.<P> On top of the military costs for foreign oil, taxpayers continue to support big oil with subsidies that total many billions more.<P> So today, domestic energy producers should consider that we have a lot in common and a lot at stake in our fight to reduce our dependence upon foreign oil. If we're going to work together we can't be shooting at each other. But that's exactly what's happening. The attempt to eliminate the ethanol subsidy is nothing more than an attempt by big oil interests to wipe out any competition from ethanol.<P> This week we'll see the outcome of a crucial decision on the ethanol tax incentive to be made by members of the House Ways and Means Committee. <P> Regardless of what happens in the House committee, we're here to demonstrate Senate support for ethanol.<P> Congress made a commitment to rural Americans, farmers, independent gasoline dealers, and ethanol producers to keep in place the ethanol tax exemption through the year 2000. With that, there shall be no compromise.<P> I'm taking action to make sure Congress keeps its commitments.<P> During the past several months, I have met with and talked to members of the House Ways and Means Committee. I've talked with Republican and Democratic members, most recently Congressman Charlie Rangel, the Committee's ranking Democrat.<P> I've also discussed this issue with Finance Committee Chairman Bill Roth. I am a member of the Finance Committee, and I've expressed to Senator Roth that this issue is a top priority for Iowa. The fact is, America cannot afford to waive the white flag of surrender to continued dependence on foreign sources of energy at the expense of consumers, farmers, the environment, and good-paying jobs in rural America.
