Obama Pander: Increase Ethanol Despite All Evidence it Is a Bust

The Hill reports that during a visit to a Macon, Missouri ethanol plant this week, President Obama said that he wants to triple ethanol production over the next twelve years:

President Barack Obama on Wednesday touted ethanol – both the current variety and next-wave fuels – as a key part of his energy strategy and a way to revive rural economies.

Obama endorsed expanded ethanol production during a speech at a Macon, Missouri plant owned by POET, the country’s largest ethanol producer.

“I believe in the potential of what you are doing right here to contribute to our clean energy future but also to our economy,” Obama said at the plant that produces 46 million gallons per year.

Obama noted funding for ethanol projects and research in last year’s stimulus law, and also cited his interagency biofuels working group. The administration wants to see ethanol production tripled over the next 12 years, he said.

The comments come as the Environmental Protection Agency (EPA) is considering raising the fuel blend ceiling from 10 to 15 percent, a move heavily lobbied for by the ethanol industry as a way of forcing increased reliance on its product.

Key administration officials, as well as Members of Congress, are also reportedly pursuing legislation that would mandate increased flex fuel vehicle production by the auto industry. Flex fuel vehicles are capable of running on fuel that is up to 85 percent ethanol, and are heavily produced by government-controlled General Motors.

Fiscal conservative, environmental and social justice groups remain staunchly opposed to increased production of ethanol, given the raft of expensive subsidies from which the industry benefits and without which many observers say it would perish, and given it’s negative environmental effects and alleged impact on third world food prices and connection to hunger and malnutrition.

Last year, the ethanol industry spent $1.5 million on lobbying aimed at boosting federal support for the fuel in the face of such opposition. Judging by Obama’s comments this, it may have worked.