NCGA Praises Louisiana’s Work in Securing RFS (6-13-06)

The National Corn Growers Association (NCGA) congratulates the work of the Louisiana Soybean and Grain Research and Promotion Board and Farm Bureau Federation on securing a 2 percent renewable fuels standard (RFS) for Louisiana. Gov. Kathleen Blanco (D) signed the legislation into law on Tuesday, making the state the sixth to establish an RFS.

“Our corn and soybean growers are really excited for the opportunities,” said Kyle McCann Louisiana’s state checkoff manager. “We went for a minimal approach to at least get us into this arena to encourage renewable fuels production in state.”

The RFS applies to ethanol and biodiesel. Once production reaches 50 million gallons of ethanol and 10 million gallons of biodiesel in the state, a 2 percent requirement for use in the state’s fuel supply will kick in. There are no ethanol plants in operation in Louisiana, though there have been some companies exploring the idea. Grant Parish is home to the state’s lone biodiesel plant.

McCann said Louisiana’s law is different from other RFS legislation.

“Louisiana’s market will be different because the fuel will be produced before we use it,” McCann said. “We will have the production before the triggers go into effect.”

Mike Danna, director of public relations at the Louisiana Farm Bureau Federation, said the RFS positions Louisiana as a leader in biofuels in the South.

“The state is certainly in the enviable position among Southern states, and we hope this will attract investment in ethanol production in Louisiana,” said Danna. “We hope the requirement will stimulate production. Any market we can get our hands will be beneficial.”

Minnesota, Hawaii, Montana, Washington and Iowa are the other states that have RFS laws.