06/06/05 Ethanol ruling, is it good for Idaho?

California, New York and Connecticut have been denied waivers that would have allowed them to sell gasoline without ethanol. The EPA denied the exemption of the oxygen requirement by saying there's no evidence that ethanol adds to ozone pollution. The American Farm Bureau and the National Corn Growers praised the Environmental Protection Agency's decision. The EPA's John Scholl says this ruling means more farm crops will be needed. SCHOLL "Good renewable homegrown, raised on the farm type fuels that certainly has a real economic impact for agriculture and as well as a positive environmental benefit for air quality." With the additive MTBE now banned as a fuel oxygenator states like California will have to produce their own ethanol or look elsewhere for it. We asked Jim Glancey who is building an ethanol plant in Burley if the EPA ruling will mean new refineries in Idaho. GLANCEY "Venture capitalists are slow to move sometimes. It just depends. It depends on where someone can produce it from and what can you produce it from." When his plant opens later this year or early next it will use cheese whey to produce the ethanol. It will also mark Idaho's return to ethanol production which ended when the Simplot Company closed two plants that used potato waste to make six million gallons annually. Voice of Idaho Agriculture Bill Scott