agriculture * food * energy * environment
4 Sep
By Robert Pore
When the country of origin meat labeling campaign began back in the 1990s, a key point the proponents emphasized was that the American people deserved to know where the meat they fed their families originated from.
After years of battling the meat industry, country of origin labeling is now the law of the land. Now, proponents of alternative energy are proposing using the same tactics but instead of focusing on food, it’s all about the origin of where the fuel you put in your car comes from.
According to Gen. Wesley Clark, co-chairman of Growth Energy, American citizens want to know where “their hard-earned dollars ultimately go every time they fill up their cars and trucks.”
“Most Americans don’t want their paychecks going to Venezuela and other regimes that don’t agree with and support the U.S.,” Clark said. “Requiring country of origin labeling of our fuel supply will empower consumers with the knowledge and ability to make informed decisions.”
Well, Clark isn’t that far off, as Hugo Chavez’s Venezuela is the second leading supplier of oil to the United States.
According to the U.S. Energy Information Administration, imports in June 2009 three countries exported more than 1.00 million barrels per day to the United States
.The top five exporting countries accounted for 64 percent of United States crude oil imports in June while the top ten sources accounted for approximately 82 percent of all U.S. crude oil imports.
The top sources of US crude oil imports for June were Canada (2.001 million barrels per day), Venezuela (1.119 million barrels per day), Mexico (1.099 million barrels per day), Saudi Arabia (0.902 million barrels per day), and Nigeria (0.769 million barrels per day).
The rest of the top ten sources, in order, were Angola (0.435 million barrels per day), Iraq (0.374 million barrels per day), Russia (0.305 million barrels per day), Columbia (0.286 million barrels per day), and Brazil (0.269 million barrels per day). Total crude oil imports averaged 9.172 million barrels per day in June, which is an increase of (0.241) million barrels per day from May 2009.
EIA reports that Canada remained the largest exporter of total petroleum in June, exporting 2.529 million barrels per day to the United States, which is an increase from last month (2.206 thousand barrels per day). The second largest exporter of total petroleum was Venezuela with 1.237 million barrels per day.
Clark is calling on the United States Congress and the White House to take action to dramatically enhance the market transparency of the nation’s fuel supply by requiring a national standard of country of origin labeling (COOL) for fuel.
According to Growth Energy, the Label My Fuel initiative would create a COOL standard similar to requirements already in place for common consumer items, including apples, beef, cars and coffee. The goal is to help create consumer awareness of the costs and national security implications of the nation’s addiction to foreign oil.
Growth Energy also has a website promoting the cause, labelmyfuel.com,, which showcases the costs
of American dependence on foreign oil, and serves to rally grassroots support for Congressional action on COOL for fuel legislation.
“America’s dependence on foreign oil has a staggering impact on both our national and economic security,” Clark said. “Supply disruptions and sudden price hikes have shocked the wallets and pocketbooks of everyday Americans one too many times.
According to Growth Energy, the economic implications of America’s dependence on foreign oil are
“astounding”:
— The U.S. Department of Energy found that America’s dependence on foreign oil has cost our country more than $7 trillion dollars over the last 30 years.
— The United States has sent as much as $500 billion a year overseas for oil — a massive transfer of wealth.
— The Center for Forensic Economic Studies estimates that for every dollar spent on foreign crude oil, an additional $1.55 is removed from the U.S. economy.
— According to the Institute for the Analysis of Global Security, American taxpayers foot a $50 billion-a-year bill to secure petroleum shipping lanes.
“American ethanol is the only existing alternative to gasoline today that is creating jobs, cutting greenhouse gas emissions and reducing our dependence on foreign oil,” said Tom Buis, Growth Energy CEO. “Country of origin labeling for fuel will let consumers know if they are pumping a domestic-made fuel, like ethanol, or fuel from a foreign source.”
The campaign, if successful, could be a boom to Nebraska’s ethanol industry which is recovering from its economic doldrums it faced last year.
The Renewable Fuels Association reported last week that U.S. ethanol producers continued setting new records for production, as demand for renewable alternatives to gasoline grow. They point to a recent report from the Energy Information Administration (EIA) that said American ethanol facilities produced 694,000 barrels per day (b/d) in June 2009. That is up 109,000 b/d from a year ago.
Ethanol demand, as calculated by the Renewable Fuels Association, continues to outpace production. According to RFA calculations, demand was 721,000 b/d in June, up from 633,000 b/d a year ago. EIA also reports fuel ethanol imports of 29.5 million gallons in June.
The news is good for the nation’s growing alternative fuel industry, according to the U.S. Energy Information Administration. EIA reported that renewable energy sources (i.e., biofuels, biomass, geothermal, hydroelectric, solar, wind) provided 11.6 percent of domestic U.S. energy production in May 2009 – the latest month for which data has been published.
For the first five months of 2009, EIA reported that renewable energy production was 5.5 percent higher compared to the same time period in 2008, and 9.7 percent higher than the same period in 2007. Comparing the first five months of 2009 to the first five months of 2008, wind increased by 29.9 percent, hydropower increased by 8.7 percent, geothermal increased by 0.7 percent, and biomass + biofuels increased by 0.5 percent, while solar remained largely unchanged.
For the first five months of 2009, EIA reported that U.S. renewable energy production was comprised of hydropower (35.9%), wood + wood wastes (30.2%), biofuels (19.1%), wind (9.0%), geothermal (4.5%), and solar (1.1%).
On the other hand, domestic energy production from fossil fuels dropped by one percent during the first five months of 2009 compared to the same period in 2008 while nuclear power’s contribution increased by 1.9 percent.
“As Congress continues to debate energy funding priorities and climate legislation, it would do well to take note of the clear trends in the nation’s changing energy mix,” said Ken Bossong, Executive Director of the SUN DAY Campaign. “Fossil fuel use is dropping sharply while month-after-month the mix of renewable energy sources continues to set ever-higher records and is now even outpacing nuclear power.”
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