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Ethanol trade group spent $162,000 lobbying in 1Q



By AP
23 June 2008 @ 04:18 pm EST

WASHINGTON - The Renewable Fuels Association, which represents the U.S. ethanol industry, spent nearly $162,000 in the first quarter lobbying on federal regulations that encourage use of the fuel, according to a recent disclosure form.

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The ethanol industry has come under fire as food prices have risen worldwide, especially for commodities like corn. With more corn being used for ethanol, critics say there's less of the crop available for people and animals to eat, which inflates prices.

The industry contends the biofuel is helping to ease the nation's reliance on foreign oil, and that ethanol makes only a tiny contribution to rising food prices.

The trade group, whose members include Archer-Daniels-Midland Co., Aventine Renewable Energy Holdings Inc., VeraSun Energy Corp. and Pacific Ethanol Inc., lobbied on renewable fuels legislation and waivers of fuel requirements, according to an April 21 filing with the House clerk's office. The group spent $714,000 lobbying last year.

Ethanol opponents are urging Congress to roll back a federal mandate that increases the amount of ethanol and other biofuels used by U.S. drivers.

Besides Congress, the Renewable Fuels Association lobbied the Environmental Protection Agency, and the departments of Agriculture and Energy in the first three months of the year.

Copyright 2008 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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