Oct 29 2010
The Biotechnology Industry Organization (BIO) applauded Obama administration’s dedication in aiding rural economy and also helping in decreasing the nation’s addiction to foreign oil by constructing a strong local biobased and biofuel manufacturing division.
BIO, along with Advanced BioFuels Association and the Algal Biomass Organization, presented a letter to the President expressing gratitude for the essential campaign announced by the administration explaining the policies which are required to aid companies to commercialize advanced biofuels and bring it to the markets.
BIO also thanked Tom Vilsack, the Agriculture Secretary, for stating the absolute rules and funding, for the Biomass Crop Assistance Program which would provide crucial help to the farmers growing new energy crops. The Secretary was also thanked, for announcing the launch of five USDA regional Biomass Research facilities, which would be used for developing superior feedstocks, for biobased products and biofuels, and also for declaring that inside two months, funds for five Biorefineries would be released under the Biorefinery Assistance Program. BIO thanks the administration for the increased use of biofuels in government vehicles, and for the memorandum of understanding with the Federal Aviation Administration.
BIO’s Executive Vice President, Industrial and Environmental Section, Brent Erickson declared that for reducing usage of foreign oils, it is essential that the U.S. must quickly develop and also produce huge quantities of superior biofuels. A wide-ranging national policy is required, which would motivate commercialization of the biobased products, and the advanced biofuels. He noted that the programs which were announced would create a robust base for biofuel policies. These policies when combined with loan guarantee program reforms, a supportive tax policy and a continued dedication to the Renewable Fuel Standard would create several job opportunities for Americans and at the same time deliver sustainable fuels for transportation.
Currently, around 65 projects are underway in 30 states. Investment and job opportunities are plenty for research institutions, rural growers and the industry. Regardless of the commitment shown by the Obama government and the Congress, and also the swift technological developments, raising capital for an advanced biofuel production facility on a grand scale is not feasible yet because of the present inadequate federal policies. BIO is eagerly waiting to work in tandem with the Congress and the White House to surmount the challenges faced by the economy by developing a uniform tax code for renewables, restructuring federal loan guarantee programs to step up erection of biorefineries while trying to meet the Renewable Fuel Standards. BIO has also published a white paper and a report on Biobased plastics and Biofuel Production. Currently this sector with a market share of 4% generates 5700 direct jobs with an expected 40,000 jobs.