http://www.farmandranchguide.com/display/inn_news/Regional%20News/news03.txt Farm & Ranch Guide: News Column Biodiesel bill becomes law in Minnesota
By ANDREA JOHNSON, Valley Editor Farmers are closer to developing an important new avenue for their soybeans as a result of Minnesota legislature. Minnesota will mandate a 2 percent inclusion of biodiesel into the state's petroleum diesel supply beginning in 2005 if certain requirements are met. Biodiesel is an alternative fuel made from renewable fats or oils, such as soybean oil. The Minnesota House and Senate passed a bill on March 11 requiring biodiesel blended with all diesel fuel sold in the state - with a few exceptions. Diesel fuel used at nuclear power plants, by train engines, and by mining equipment is exempted from the act. Gov. Jesse Ventura, on March 15, said he would not sign or veto the bill. By not vetoing the legislation, Ventura allowed the bill to become law under Minnesota statues. In a letter to Senate President Don Samuelson, D-Brainerd, Ventura said he supports the bill's role in creating a new market for soy oil and a new economic development opportunity for rural Minnesota. However, he declined to sign the bill because he has "reservations about any mandate from the government." Minnesota is the first state in the nation to require the biodiesel addition to commercial diesel supplies. "On behalf of the Minnesota Soybean Growers Association (MSGA) and all of the other farm groups and others who fought so hard for this bill, I can only say we are absolutely thrilled and grateful for the support of the legislature and the governor," said Ed Hegland, MSGA president. According to language in the bill, two out of three items must happen before the mandate goes into effect. First, 8 million gallons of biodiesel production capacity must be in place in Minnesota. Second, 18 months must have passed after the federal or state government enacts, through taxes imposed, tax credits or otherwise creates a 2 cent or more/gallon reduction in the cost of diesel fuel containing at least 2 percent biodiesel. Third, the date June 30, 2005 must have passed. Legislation is already pending in the U.S. Senate to provide tax credits for biodiesel use. Biodiesel plants are also being planned in several southern Minnesota communities. In Europe, biodiesel is already used, with existing capacities for over 7 million gallons production/month, according to the MSGA. In the United States, American Biofuels, Southern States Power, and West Central Soy are building new biodiesel plants. Eleven U.S. plants now produce 60-80 million gallons of biodiesel annually. "Biodiesel is definitely a part of the national energy plan, and I'm proud to represent Minnesota - the first state in the nation to require its use," said Hegland. According to the North Dakota Soybean Council, biodiesel contains no petroleum, but it can be blended with diesel at any level or used in its pure form. Biodiesel and biodiesel blends have proven successful in more than 40 million road miles and more than 100 major fleets nationwide currently use the fuel commercially. More than $25 million in soybean checkoff money has funded biodiesel development in the United States. Now in Minnesota, soybean growers hope to put all of that research to good use as the state gears up for biodiesel production. ------------------------ Yahoo! Groups Sponsor ---------------------~--> Buy Stock for $4. No Minimums. FREE Money 2002. http://us.click.yahoo.com/BgmYkB/VovDAA/ySSFAA/9bTolB/TM ---------------------------------------------------------------------~-> Biofuels at Journey to Forever http://journeytoforever.org/biofuel.html Biofuel at WebConX http://www.webconx.com/2000/biofuel/biofuel.htm To unsubscribe from this group, send an email to: [EMAIL PROTECTED] Your use of Yahoo! Groups is subject to http://docs.yahoo.com/info/terms/
