(May 25, 2010)  Washington – The Renewable Fuels Association urged the Chair and Ranking Member of the House Ways and Means Committee to “include an extension of the expiring tax incentives for ethanol in any legislative package designed to promote green job growth and economic revitalization.”

In a letter sent on May 24 to Chairman Sander Levin and Ranking Member David Camp, the RFA encouraged the lawmakers to adopt the provisions of H.R. 4940, the Renewable Fuels Reinvestment Act. This legislation would extend through 2015 four key tax incentives for the production and use of ethanol from all feedstocks.

“By including an extension of these important incentives in any green jobs legislative package, Congress will advance the goal of providing cleaner, renewable energy alternatives and save existing green jobs while promoting additional job opportunities from an expanding biofuel industry,” wrote RFA President and CEO Bob Dinneen.

As the letter notes, “Ethanol has been an extremely useful weapon in the fight for energy independence and our efforts to promote more clean and renewable alternatives to imported petroleum based fuels.” The letter highlights the nearly 400,000 jobs ethanol has helped support, the reduction in oil imports by 364 million barrels in 2009, and the savings of approximately 10 cents per gallon of ethanol-blended fuel.

Specifically, the letter showcases the excitement generated by the opening of the Osage Bio Energy ethanol biorefinery in Hopewell, Virginia. According to company sources, more than 1,200 applications were received to fill the 43 full-time positions with the plant. Of the 43 people hired, roughly half were unemployed at the time of the job offer.

In addition, the RFA points out that a failure to extend tax incentives for the use of ethanol would result in the loss of 112,000 jobs and the reduction of America’s ability to supply its own renewable fuel by nearly 40 percent. As Dinneen wrote, “The benefits domestic ethanol production has provided and the promises for the future are not guaranteed. There is still a role for the federal government to play in continuing the evolution of this domestic industry.”

Currently, H.R. 4940 introduced by Representatives Earl Pomeroy (D-ND) and John Shimkus (R-IL) has 41 original cosponsors. Identical legislation has been introduced in the Senate by Finance Committee Ranking Member Senator Charles Grassley (R-IA) and Budget Committee Chairman Senator Kent Conrad (D-ND). That bill has 9 cosponsors to date. The bills have been referred to the House Ways and Means Committee and the Senate Finance Committee, respectively.