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The American Clean Energy and Security Act of 2009
Washington, D.C. – On June 26, the U.S. House of Representatives passed the “American Clean Energy and Security Act of 2009” (H.R. 2454) by a vote of 219 to 212. The Fertilizer Institute (TFI) President Ford B. West issued the following statement:
“TFI takes exception to H.R. 2454. As written, the legislation will render the U.S. nitrogen industry uncompetitive and threatens to force fertilizer production overseas to countries that do not regulate emissions resulting in a loss both for the economy and for the cause of reducing CO2 emissions.
We believe that H.R. 2454 will cause fuel switching and drive up the price of natural gas. Every $3 increase in the price of natural gas adds more than $1 billion to the cost of nitrogen production. Additional increases in the domestic price of natural gas caused by fuel switching will lead to an even more severe competitive disadvantage. U.S. producers will face a stark choice of losing market share to imports or moving production overseas – neither choice is good for the U.S. economy, the environment or U.S. food security.
TFI also believes that U.S. farmers can play an important role in the reduction of climate change related emissions. Nevertheless, H.R. 2454 lists several agricultural practices to avoid or reduce greenhouse gas (GHG) emissions that reflect a lack of understanding of the science behind the nitrogen cycle and the essential role of plant nutrients in food production. GHG emissions can come from all types of nitrogen sources applied to the soil, regardless of whether these are applied as commercial fertilizer or manure. Whether a farmer chooses to use commercial or organic fertilizer sources, they need to adopt best management practices.
The Waxman-Markey legislation jeopardizes the domestic fertilizer industry that is such a vital link in food production, food security and the U.S. economy. We believe that it is important for Congress to implement a climate change policy that preserves our ability to compete in a global marketplace while reducing GHG emissions to protect the environment.”
The bill now goes to the Senate. The committee mark up of a climate bill has been postponed until after the August recess. Majority Leader Harry Reid met last week with White House energy advisor Carol Browner and the six Senate committee chairmen with jurisdiction over the bill (agriculture, commerce, energy, foreign relations, environment, tax) and this group came to the conclusion that they will need more time to deal with this complex legislation. Both floor time and garnering enough Senate votes remains a big problem for the White House. Southern and Midwestern Democrats have lengthy concerns with this bill. In addition, this last week at the G-8 summit, China, India and other developing countries refused to commit to specific goals for cutting greenhouse gases by 2050 despite heavy negotiating by President Obama. The White House still would like to make significant progress on climate change legislation before the international climate change talks in Copenhagen, Denmark in December, 2009. The Obama Administration believes that lack of Senate progress on a climate change bill prior to the Copenhagen meeting will put US negotiators in a weak position in advancing an international global warming treaty.
USDA is working on a report on the agriculture cost impacts of the Waxman-Markey bill. It is unclear if USDA will use EPA numbers (which underestimates costs) to come up with a cost impact for agriculture.
Dr. Ralph Franklin, Jr., 74, died Friday, June 12, 2009. Ralph was retired from the Agronomy Department, Clemson University but continued to manage the Certified Crop Advisor Program in SC.
A memorial service will be held at a later date. In lieu of flowers, memorials may be made to Friends for Life, PO Box 340, Sapphire, NC 28774. For more information or to sign Ralph’s guestbook online, please go to. http://www.moorefhbrevard.com/sitemaker/sites/MooreF2/obit.cgi?user=ralph-franklin#