Idaho Senator MIke Crapo supporting Idaho ethanol plant

U.S. Sen. Mike Crapo traveled to southern Idaho to tout the benefits of federally subsidized ethanol production.

Associated Press Spokesman Review

"It is now very clear the U.S. needs to start expanding its energy portfolio," he said during Saturday’s visit. "This is something I’m committed to in a big way."

Congress is debating a Senate version of the Energy Policy Act that includes an amendment replacing the gasoline additive MTBE with ethanol over the next four years. As part of the program, the federal government may offer $750million in grants to encourage ethanol production and create extremely high demand for the product, which can be made using corn, grain or potatoes.

"Ethanol means jobs for Idahoans and new markets for our farm goods. It is good news for our rural communities in search of new revenue streams and for our cities needing cleaner air," Crapo, R-Idaho, wrote in a letter.

Experts estimate nearly 2 million gallons of ethanol would be needed — creating as many as 300,000 jobs nationally if the bill passes.

Crapo said the legislation may be passed in the next one to two months, but could be bogged down in committee discussions until early next year.

"I hope it’s passed soon," he said. "We’ve been working on the energy bill on and off for the past several months."

Members of the Magic Valley Energy Coalition have reportedly begun efforts to develop an ethanol plant in Mini-Cassia within the next year. The coalition, a local group of farmers and businessmen, joined with the Idaho Falls-based Intrepid Technologies and Resources in November to work on the project. Sixty-five new jobs may be created at the plant, along with increased opportunities in what could become an enlarged local agriculture market.

In a study performed by ethanol production consultant firm BBI International of Colorado last year, 10 southern Idaho counties were found to have high ethanol production potential. Figures were based on the availability of the wheat, corn and potato crops necessary for production of the additive.

J.R. Simplot Co. operated two small ethanol plants in Heyburn and Caldwell, although the Heyburn plant was closed in the spring.

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