Senate Ag Hears Cap And Trade Concerns

One of Sen. Tom Harkin’s last acts as chairman of the Senate Agriculture Committee on was to preside over a Sept. 9 hearing on cap and trade and its effects on agriculture. Harkin (D-IA) expressed concerns about the structure of a cap and trade marketing system. “Markets that aren’t properly and carefully regulated will blow up and the economy and environmental goals of the program will blow up with it,” Harkin said.

Prior to hearing testimony from producers of corn and soybeans, dairy, rice, and grapes, ranking Republican Member Sen. Saxby Chambliss (R-GA) noted that Texas A&M University’s Agricultural and Food Policy Center (AFPC) last week released a report illustrating the effects of the House-passed American Clean Energy and Security Act on 98 representative farms in its database.

“The study says that 71 of 98 farms will be worse off under the House cap and trade plan, even in the early years of the program. Most concerning, the 27 farms that benefit do so only because other producers go out of business,” Chambliss said. “Not one rice farm or cattle ranch benefits, while only one cotton operation and one dairy benefit mainly due to the fact that they both grow a significant amount of feed grains.”

Ohio farmer Fred Yoder, past president of the National Corn Growers Association, was the first to testify on the producer panel. He raised concerns about language in the House bill that would penalize early actors who commenced no-till or other conservation practices earlier than 2001 and would be prohibited from participating in a carbon market. He also drew attention to an important provision in the bill related to the Renewable Fuels Standards that prohibits EPA from considering indirect land use change when conducting their life cycle analysis for corn based ethanol until a peer reviewed study can be conducted to verify the scientific accuracy of the current modeling. “The language in the House bill is a step in the right direction towards sound science a more rational life cycle analysis. We would urge the Senate to include the same provision in its version of the climate bill,” Yoder said.

Among those offering testimony on the subject of regulating carbon markets was David Miller, Iowa farmer and chief science officer for AgraGate Climate Credits Corp., a company affiliated with Iowa Farm Bureau. Miller gave his input on ways to structure and streamline the carbon credit program so that it would be an incentive to farmers and benefit the soil. “Market transparency is critical to the smooth operation of a carbon market, so that prices are publicly reported and readily available,” he told the committee.

He also indicated that right now offsets are valued differently for soil, forestry, or methane and value can even vary according to geographic location. “All these variances increase the transaction of costs associated with marketing carbon offsets,” Miller said. “The end brings fewer returns to the farmer or rancher hoping to enroll. That’s no incentive.”

This was the second hearing on the climate change bill in the Senate Agriculture committee and may not be the last. New Committee Chair Sen. Blanche Lincoln (R-AR) voiced concerns about passing cap-and-trade legislation at all this year. “If we do move forward, the regulation of carbon markets is something we need to get right,” said Lincoln.

(Source: ZimmComm New Media)

Leave a Reply

Legislation Stories

Corn soil
LegislationARA Member Testifies Before Senate Ag Committee
May 25, 2017
Agricultural retailers stand on the front-lines of the American economy. As trusted advisors to America’s farmers, ag retailers are uniquely Read More
Migrant farm workers
LegislationTrump: Immigration Crackdown Won’t Impact U.S. Agriculture
May 16, 2017
President Donald Trump said he would seek to keep his tough immigration enforcement policies from harming the U.S. farm industry Read More
Trump, Senate, Cabinet
LegislationTrump’s EPA Appointee Dismisses Half of Major Scientific Review Board at Agency
May 8, 2017
(Via NYTimes.com) EPA has dismissed at least five members of a major scientific review board, the latest signal of what Read More
Donald Trump
Crop InputsTrump Targets Agriculture with Latest Executive Order
April 26, 2017
(Via UPI.com) President Donald Trump on Tuesday took executive action in an effort to help grow the domestic agriculture industry Read More
Trending Articles
Migrant farm workers
LegislationTrump: Immigration Crackdown Won’t Impact U.S. Agriculture
May 16, 2017
President Donald Trump said he would seek to keep his tough immigration enforcement policies from harming the U.S. farm industry Read More
AGCO Ratliff featured
Eric SfiligojRemembering Robert Ratliff
May 15, 2017
With all the fast-paced happenings in agriculture this spring, with multiple mergers in the works and planting season in full Read More
Case sprayer nozzle closeup
EquipmentSpray Application: A Nozzle Renaissance
May 2, 2017
If you had asked four-decade ag veteran Mark Bartel, President of Wilger Inc., just a few years ago what lay Read More
ManagementWashington Update, Dow-DuPont Earnings, and the Passing of an AGCO Legend
April 27, 2017
Editors Paul Schrimpf and Eric Sfiligoj talk about the latest Beltway news, crop protection company 1st quarter numbers, and the Read More
Crop InputsFlying Under the Radar No More, FMC Goes Big
April 13, 2017
Describing FMC as “under the radar,” admittedly, is probably a stretch. But in a snap of the fingers, FMC upped Read More
Young Corn Plants
Crop NutritionStill Hunting Yields
April 1, 2017
There’s no denying it — the agricultural marketplace today is undergoing a fundamental shift in fortunes. Not too many years Read More
Latest News
ManagementTrip Report, PSM R.I.P, and Ag’s Reaction to Federal Bu…
May 25, 2017
Editors Paul Schrimpf and Eric Sfiligoj talk about their recent travels, the end for Process Safety Management (PSM), and how Read More
Corn soil
LegislationARA Member Testifies Before Senate Ag Committee
May 25, 2017
Agricultural retailers stand on the front-lines of the American economy. As trusted advisors to America’s farmers, ag retailers are uniquely Read More
Young corn plants in soil
Crop InputsFortenza Insecticide Seed Treatment Receives EPA Regist…
May 25, 2017
Fortenza seed treatment insecticide from Syngenta has received registration approval from the U.S. EPA for use on corn and cotton Read More
ManagementFarm Market iD’s Agriculture Database Now Covers More T…
May 25, 2017
Farm Market iD, farmmarketid.com, has announced the release of its 2017 Annual Update of its farm and land database. The Read More
Food IT Fork-to-Farm
Precision AgThe Mixing Bowl Event Connects Technology, Food, and Ag…
May 24, 2017
For the fourth consecutive year, The Mixing Bowl presents FOOD IT, under the theme “Fork to Farm.” Action-oriented entrepreneurs, industry Read More
Photo credit: The United Soybean Board/The Soybean Checkoff.
Seed/BiotechKansas State University Researchers Find New Pathogens …
May 24, 2017
A single seed seems so simple. Put it in the ground, give it some care, and you’ve soon grown food. Read More
Soybean Field
HerbicidesNew Dicamba Herbicide Premix Coming Soon from Syngenta
May 24, 2017
Syngenta has announced the name of its new herbicide featuring the active ingredients of S-metolachlor and dicamba. Upon registration by Read More
Eric SfiligojMonsanto ‘Picks Its Battles’ by Nixing Deere Deal
May 23, 2017
Having been in the trade journalism game since the mid-1980s, I remember several watershed moments during my career. One of Read More
FungicidesSyngenta Launches New Seed Treatment Fungicide
May 22, 2017
Syngenta has announced the launch of PLENARIS seed treatment fungicide for the control of downy mildew in sunflower. PLENARIS contains Read More
Corn close up
Crop InputsMonsanto’s First HPPD Herbicide Garners EPA Appro…
May 19, 2017
Monsanto announced today that EPA has federally approved Harness MAX Herbicide, the first herbicide in the Monsanto portfolio to provide Read More
ManagementPrecision Planting Deal, China Developments, and Enviro…
May 18, 2017
Editors Eric Sfiligoj and Dan Jacobs discuss the latest news on John Deere’s now dead deal for Precision Planting, China’s Read More
Soybean aphid leaf
InsecticidesMulti-state Research Reveals IPM Best Option for Treatm…
May 17, 2017
About 89.5 million acres of soybeans will be planted across the U.S. in 2017 — a record high, according to Read More
GROWMARK-2017-Interns
CropLife 100GROWMARK Names 2017 Summer Interns
May 16, 2017
Forty-two college students are exploring agricultural career opportunities this summer as GROWMARK interns. They are working at FS member cooperatives Read More
Migrant farm workers
LegislationTrump: Immigration Crackdown Won’t Impact U.S. Ag…
May 16, 2017
President Donald Trump said he would seek to keep his tough immigration enforcement policies from harming the U.S. farm industry Read More
Flooded corn in Indiana
FertilizerBoth Wet and Dry Conditions Threaten Nitrogen Loss
May 15, 2017
The weather is notoriously unpredictable, leading to challenges for planting, harvesting and applying the nitrogen (N) your corn crop needs. Read More
farmer Kip Tom
Precision AgAg Tech: On the Cusp of Something Big?
May 15, 2017
The investment and ag-tech sectors’ continuing courtship of agriculture, smoldering for three or four years now, was well in evidence at Read More
AGCO Ratliff featured
Eric SfiligojRemembering Robert Ratliff
May 15, 2017
With all the fast-paced happenings in agriculture this spring, with multiple mergers in the works and planting season in full Read More
Greg Musson, Gar Tootelian
ManagementOpinion: Shaking Your Perspective in Ag Retail
May 12, 2017
Some of you I’m sure have encountered our recently retired salesman extraordinaire, Dan Bellanger. He worked in the industry for Read More