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Tuesday, November 11, 2008 2:57 PM

Ethanol Crowd vs. the Grocery Guys

Ethanol subsidies have long been a hot-button issue on Capitol Hill and it's sure to get hotter when Congress considers energy legislation in 2009. Today, a new group, "Growth Energy," launched to "promote clean, green ethanol as America's best renewable fuel." But the group's web site (here) makes it clear what the ethanol crowd is really fired up about. "About two years ago, the Grocery Manufacturer's Association initiated a massive smear campaign against ethanol," the web site says. "It's been their goal since early 2007 to turn public opinion by placing the blame for high food prices specifically on our industry."

The CEOs of the founding member companies of Growth Energy are: Jeff Broin of POET; Wayne Hoovestol of Green Plains Renewable Energy; Al Jentz of Amaizing Energy; Steve McNinch of Western Plains Energy: Bruce Rastetter of Hawkeye Renewals, and Dave Vander Griend of ICM,

I asked if this group came together in response to Barack Obama's election and group spokesman Jin Chon said no. The group was in the works for many months before the election, he said. "Ethanol producers are very optimistic about working with the new administration" Chon said. "Obama has said he is committed to renewable fuels."

No doubt it doesn't hurt that Illinois -- Obama's home state -- is a major corn producer.

                                                                                                          -- Bara Vaida

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