Commentary on Possible RFS Changes Continues

Thomas Landstreet, founding partner of N3L Capital Management and founder of Standard Research, writes in the Wall Street Journal that, "The political tide may be turning against the corn ethanol mandate. The Renewable Fuel Standard, which forces oil refiners to mix corn-based fuel into gasoline, is one of history’s great policy boondoggles.” He notes that even ex-Rep. Henry Waxman of California, a key sponsor of the original legislation establishing the standard, said that he favors phasing out the mandate.“There’s bipartisan support in Congress for such a move... but it will have to get past Iowa’s GOP senators... Iowa’s Republican senators, Chuck Grassley and Joni Ernst — otherwise solid conservatives — are in thrall to this corporate welfare program and will fight to the death to keep it. But the time has come to modify the ethanol mandate before the costs to the economy and the environment grow steeper.”