The Environmental Protection Agency’s final tailpipe emission standards, released March 20, are designed to force-march society into an electric-only climate solution and will hurt family farms, consumers and the rural economy, according to farm groups that are opposing them and seeking more ethanol use instead.
The Kansas Corn Growers Association cited a recent study in which economists at the University of Nebraska say the resulting large drop in corn demand will lead to a permanent 50% decrease in the price of corn. That could cost the top five corn-producing states, including Indiana, more than $100 billion in farmland value.
Hurts High Plains growers
KCGA leaders said, “EPA is ignoring the environmental and economic benefits of ethanol, a carbon-smart fuel that is already a clean air solution in affordable vehicles desired by consumers. Instead, the agency is forcing a one-size-fits-all approach by mandating electric vehicles as the only climate solution. The plan relies almost exclusively on the use of electric vehicles, requiring 67% of automakers’ production to be EVs by 2032.”
Responding to EPA’a announcement of the final standards, Sen. Deb Fischer (R-NE) said, “The Biden administration’s revised standard responds to a slowdown in sales as Americans realize not just the cost and unreliability of electric vehicles, but also the dirty truth behind this supposedly ‘clean’ technology. Continuing to force EVs on automakers and the public will only exacerbate their serious environmental, safety and human rights concerns. Instead of delaying these standards, President Biden should abandon this attempt to appease climate activists and allow the market to take its course. More practical, market-driven changes—like allowing the year-round sale of E15 ethanol—would help achieve environmental goals for America’s vehicle fleet.”
Senate Budget Committee Ranking Member Chuck Grassley (R-IA) cited a new cost estimate by the Congressional Budget Office. “The CBO released a 10-year budget and economic outlook projecting a $224 billion increase in the cumulative deficit caused by higher electric vehicle tax credit claims and reduced gas tax revenues,” he said. “CBO noted the EV Rule is the largest factor to contributing to these revisions.”
Electric future?
“The future is electric,” said John Bozzella, president and CEO of the Alliance for Automotive Innovations, in a statement of support released by the White House. “Automakers are committed to the EV transition–investing enormous amounts of capital and building cutting-edge battery electric vehicles, plug-in hybrids, traditional hybrids and fuel cell vehicles that drive efficiency and convert petroleum miles to electric miles.”
The EPA’s standard sets final national pollution standards for passenger cars, light-duty trucks and medium-duty vehicles for model years 2027 through 2032 and beyond. According to the White House, “These standards will avoid more than 7 billion tons of carbon emissions and provide nearly $100 billion of annual net benefits to society, including $13 billion of annual public health benefits due to improved air quality, and $62 billion in reduced annual fuel costs and maintenance and repair costs for drivers.”
Compared to the existing model-year 2026 standards, the final MY 2032 standards represent a nearly 50% reduction in projected fleet average greenhouse gas emissions levels for light-duty vehicles and 44% reductions for medium-duty vehicles.
“With transportation as the largest source of U.S. climate emissions, these strongest-ever pollution standards for cars solidify America’s leadership in building a clean transportation future and creating good-paying American jobs, all while advancing President Biden’s historic climate agenda,” said EPA Administrator Michael S. Regan at a live-streamed event. “The standards will slash over 7 billion tons of climate pollution, improve air quality in overburdened communities and give drivers more clean vehicle choices while saving them money.”
Reduced choice
But by 2026, farmers shopping for a half-ton or three-quarter-ton truck for work could find that half of the pickups on the showroom floor will be electric and not suitable for heavy duty farm use, according to the KCGA. “Consumers will face similar challenges, with a dwindling number of affordable, practical vehicle choices.”
The Renewable Fuels Association, which represents ethanol producers, said, “By failing to recognize and appropriately credit the benefits of ethanol, the 2027-2032 tailpipe emissions standards finalized … by the U.S. Environmental Protection Agency disregard an obvious near-term opportunity for achieving significant vehicle efficiency improvements and greenhouse gas emissions reductions.”
“While we share the Biden administration’s vision for reducing carbon emissions and increasing energy efficiency, today’s final rule certainly isn’t the best way to accomplish that goal,” said RFA President and CEO Geoff Cooper. “Clearly, the substantive concerns raised by automakers, ethanol producers, fuel suppliers, consumer groups and many others went unheard by the White House and EPA. Today’s final rule effectively forces automakers to produce more battery electric vehicles based on the false premise that they are ‘zero-emission vehicles.’ ”
Urged lifecyle approach
The RFA contested the administration’s emissions estimates. It said it urged EPA to adopt a full-lifecycle analysis of emissions during the rule-making comment process. “RFA strongly encouraged EPA to abandon its de facto EV mandate and instead adopt a technology-neutral, full lifecycle analysis approach for assessing the true greenhouse gas impacts of various transportation options. Unfortunately, EPA’s final rule continues to ignore the significant upstream emissions related to electricity generation, as well as the substantial emissions involved in battery mineral extraction and processing.”
“If our nation is to reach its goal of net-zero GHG emissions by mid-century, we’ll need both cleaner, more efficient cars and cleaner, more efficient fuels,” RFA said in those comments. “And we’ll need to account for their emissions honestly using a full lifecycle approach. Focusing only on emissions from the vehicle—while ignoring emissions related to the extraction and production of the fuel used to power the vehicle—will almost certainly result in falling far short of the administration’s overall climate goals.”
In a nationwide survey of 1,991 registered voters conducted recently, 68% said they oppose policies that mandate EVs, up from 63% when the same question was asked in September 2023. Meanwhile, more than two-thirds of voters responding support policies that expand the availability of high-octane mid-level ethanol blends and flex fuel vehicles.
David Murray can be reached at [email protected].
