WASHINGTON, Feb. 28 (UPI) -- The Bush administration does not back a change in tariffs applied to Brazilian ethanol, a top Energy Department official said Wednesday.
"In the shorter term, I support no change in tariff," said Andy Karsner, assistant secretary for energy efficiency and renewable energy, in a conference call with reporters. "Those policies are on a clock and that clock is beyond the duration of the administration."
Kranser was discussing the Energy Department's announcement Wednesday of an investment of $385 million to build six biorefineries over the next four years.
The United States imposes a 50 cent per gallon tariff on ethanol from Brazil, the world's No. 1 producer. Brazil's ethanol is primarily from sugarcane while in the United States, corn is used to make ethanol.
There have been calls to end the tariffs on Brazilian ethanol because of the Bush administration's ambitious plan for ethanol, which has driven up corn prices worldwide to record levels. But, experts say, those tariffs are unlikely to be lifted because of pressure from the U.S. farm lobby.
