Local legislators divided on biofuels mandates

Renewable fuel standards under governor's consideration

OLYMPIA — A proposal aiming to make the state a leader in biofuels production has passed through the Legislature and awaits the governor's signature, but area legislators remain divided over the mandates provided in the bill.

Rep. Janea Holmquist is championing bills that would create a minimum renewable fuel standard for the biodiesel and ethanol sold at Washington fuel pumps. It's an idea Holmquist said she first received from farmers in the Columbia Basin. Senate Bill 6508, a companion bill to the biofuels bill Holmquist introduced this session, would require two percent of the state's aggregate consumption of gasoline and diesel to be ethanol and biodiesel by Dec. 1, 2008. The bill was sent to the governor earlier this week, after passage by both houses of the Legislature.

"This measure provides a standard that would increase production and use of biofuels in our state. This would involve fuels that could be produced by Washington farmers," Holmquist said in a news release. "That's good for our state's economy and for the creation of jobs."

But a few of Holmquist's fellow Republican legislators in central Washington think the mandates in the bill will be problematic for farmers, and at least one is asking for the governor's veto.

Moses Lake Republican Sen. Joyce Mulliken sent a letter to Gov. Chris Gregoire Tuesday, asking her to veto SB 6508 and send it back for further work. She said she has heard concerns from farmers about the 2008 certain date.

Farmers have shown a concern about a certainty for profit, growing canola seed with irrigated farming, and about the use of the fuel in their farm equipment, she said. Mulliken herself notes she is concerned about what the bill would do to other industries that would be required to use the biodiesel, and about the high costs for the product before refining and markup is added.

"It's just a little too soon to put the mandates on the public and set up our farmers for failure," Mulliken said in an interview.

Mulliken said she has received a different reactions from farmers about biofuels bills. Many of the state's farmers she has spoken to are supportive of biofuels, but not the mandates in the legislation.

Mulliken contends the Legislature is getting mixed messages from different groups on the bill, and is asking for the governor's veto at the very least of the two sections which require the mandates.

Not contained in those two sections is the requirement that by mid-2009, requirements would make all state agencies to use a minimum 20 percent biodiesel as compared to total volume of all diesel purchases made by the agency for operation of diesel-powered vehicles, vessels and equipment.

In her letter to Gov. Gregoire, Mulliken questioned whether the bill is good for farmers and noted the lack of support it received from agricultural districts in eastern Washington. SB 6508 passed both the house and the senate, but Holmquist's vote was the sole "yes" vote from the 9th, 12th, and 13th districts that make up Grant and Adams counties.

Mulliken said she thinks there is an opportunity for the state to become a leader in the production of biofuels but said if legislation is passed without adequate and accurate information it would have the "potential to devastate our agricultural community," she said.

Holmquist continues to champion the biofuels proposals, and said the timing was right for the bill given federal mandates that took effect this year requiring the inclusion of biofuels and biodiesel in gasoline products. She said legislation gives state industries an opportunity to participate in the federal mandates by providing some of the renewable fuels.

Holmquist issued a statement Wednesday reiterating her own support for the biofuels legislation, and also pointing to support by the Washington State Farm Bureau, which represents 35,000 farmers and ranchers across the state.

Holmquist said she has worked with all the stakeholders in developing her biofuels bill, including local farmers, and said the legislation is the product of their input.

"The stakeholders understand that a mandate is necessary to provide the incentives and assurances to create a market for biofuels in Washington," Holmquist said.

Farm bureau assistant director for government relations John Stuhlmiller said in Holmquist's statement the Bureau is behind the bill. He said it implements Bureau policy on renewable energy and provides opportunities for farmers.

"We believe that these opportunities will translate into rural economic development and will offer more hope to struggling family farmers and their communities," he said.

The interests involved understand concerns that a market must be available to the farmers growing feedstock for biofuels, Holmquist said. That is why the bill provides certain agricultural triggers and the legislation allows flexibility for the requirements to be suspended under certain conditions.

"This final bill is the needed tool for those farmers who want the ability to become established in the biofuels industry," Holmquist said. "The Washington Farm Bureau has been involved in helping to shape the bill right from the beginning."

Holmquist said while the state will have to monitor progress and make adjustments in the future, she said the legislation taken is "bold action toward growing our own energy in our state."