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‘Indirect Land Use Change’ … four words that are killing the renewable fuels industry. Based on fuzzy logic and unproven science, ILUC suggests the simplistic notion that as biofuel crops displace food crops in the U.S., farmers in other parts of the world destroy rainforests to make up the difference. In doing so, this deforestation releases thousands of tons of stored carbon, effectively negating the benefits of biofuels grown in the U.S. Never mind that there is no actual data to prove this with any degree of certainty.
My experience as the CEO of a major biodiesel producer has been that most Americans inherently want to do the right thing. However, all consumers are resistant to change. To make a change to alternative fuel, whether it’s biodiesel, E85 or a plug-in hybrid, they want some assurances: it needs to work; it’s safe; and it performs in the ‘old’ way. Our industry has spent years and billions of dollars to create a clean and renewable fuel that is the same or better quality than petroleum, works the same as current fuels, and is sustainable.
To date, the debate around ILUC has been primarily focused on renewable fuels. It’s ironic that we don’t ask these same questions of current fossil fuels. What are the Indirect Land Use Changes from the Canadian tar sands projects? Or from using electricity powered by coal stripped from our nation’s hills, leaving massive lakes of toxic groundwater? Why is the renewable fuel industry being held to a standard for ILUC that doesn’t exist for the fuels that we currently are addicted to?

Indirect Land Use Change should be treated as an issue that is debated by the unbiased scientific community, based on peer reviewed facts and not funding by special interests with a specific agenda. The discussion regarding renewable fuels and its positive effects is being overshadowed by debates promoted by special interests with deep pockets, who are highly motivated to obfuscate the issue.
So what can we do? There are options available, like renewable fuels that can provide a significant and meaningful choice to the consumer. Unfortunately, the renewable fuel industry is being threatened by a smear campaign that vilifies the agriculture industry which provides the raw materials for today’s biofuels, while totally ignoring the gross environmental degradation being caused by the status quo – crude oil extraction.
Obviously, we need fossil fuels to transition to the next form of energy, just like we need soy bean oil and canola oil to transition to the next generation of renewable ‘bio-distillates.’ The biodiesel industry can play a major role in our renewable energy policy and consumption of fuels, but it must survive and prosper to innovate and bring new and more viable solutions to the public.

We can and will do this at Imperium Renewables. There is major innovation in the development of dedicated bio-energy feedstocks, the technology to produce second generation biofuels such as biojet fuel, renewable diesel, and other forms of gasoline replacements. We can bootstrap ourselves as an industry and a nation to solve these issues. We just need the same financial, regulatory, and political support that other forms of energy have historically received in America.
We need a supportive business and policy environment in order to develop the industry in the same way as other energy industries. Petroleum has a 100 year head start and coal was 50 years before that. Let’s give renewable fuels a chance to prosper under that same climate. Absent real support, and confronted by disingenuous, selectively applied ILUC standards, the renewable fuels industry will not be able to realize the promise of homegrown, clean fuel.
— John Plaza is founder and CEO of Imperium Renewables, www.imperiumrenewables.com
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