Imperfect Weather: Ethanol Industry to Stay Propped Up by Renewable Fuels Standard?

Michelle Perez, senior agriculture analyst with the Environmental Working Group in Washington claims “Our ethanol policy requires perfect weather, and not surprisingly, we aren’t getting it.”

Corn prices closed at $7.91 per bushel on June 13, 2008.

The Renewable Fuels Standard (RFS) mandates 9 billion gallons of ethanol production this year, boosted to 10.5 billion gallons in 2009 and increasing to 15 billion gallons by 2015.

On June 30, the U.S.D.A. will release a corn crop assessment for 2008.

What do you think of the RFS?

Is corn ethanol all that?