South Dakota Lawmakers Encouraged to Reject Legislation That Would Cripple State’s Ethanol Industry

Midwest Ag Future Urges Defeat of HB1133

(PIERRE SOUTH DAKOTA)       As South Dakota lawmakers consider changes to how the state reviews and approves infrastructure projects, Midwest Ag Future today said the proposed legislation would cripple the state’s ethanol industry and urges legislators to defeat it.  House Bill 1133 would change how South Dakota regulates proposed carbon capture projects, effectively putting a halt to their development.   If approved, the changes would go into effect after some carbon capture projects have already applied for permits – changing requirements after the process is already moving forward. Midwest Ag Future today urges legislators to vote no on HB1133 and the effort to place unnecessary restrictions on South Dakota’s agriculture and ethanol industries.

“Ethanol is a critical part of South Dakota’s economy and its future.  Finding ways to safely capture and store the carbon dioxide created when ethanol is produced is incredibly important,” said Toby Mack, Executive Director of Midwest Ag Future.  “The bill being considered would threaten to kill the proposed carbon capture projects and in the process cripple ethanol’s future in South Dakota.  Not only do we call on lawmakers to reject this measure, but it’s time for legislators to stand up for farmers, landowners, and for the future of South Dakota’s agriculture economy.”

The Biden Administration has made reducing carbon emissions a key part of the country’s climate change goals.  Unless there are ways to capture and store carbon produced when energy is created and industry operates, the country will not be able to reach its climate goals.

Capturing, transporting, and storing carbon is critical to the future of ethanol and the broader agriculture industry. Proposed projects would make sure farmers continue to have a market for the corn they grow, create more than 10,000 high-quality jobs during construction, and support over a thousand jobs when they are operational.

“Carbon capture technology is crucial to our ongoing efforts to reduce carbon emissions. The proposed legislation would have an impact far beyond the borders of South Dakota,” said Mack. “A recent article in Iowa stated that without the proposed carbon capture projects, ethanol plants would be forced to close, causing the state to lose out on more than $10 billion annually. In addition to permanent storage underground, new developments are being made for other uses of CO2. 230 million metric tons of CO2 is used annually for fertilizer production, oil, and gas recovery, food and beverage production, metal fabrication, cooling, fire suppression, and stimulating plant growth in greenhouses. This new market has been estimated to top $5 trillion annually.”

About Midwest Ag Future

Midwest Ag Future is an organization that brings people together to support the processes that will help the agriculture industry, farmers, and Main Street America; guaranteeing they remain priorities in our lives for future generations. Midwest Ag Future aims to share important information and amplify local agriculture, businesses, and other voices to highlight vast support for these projects across the Upper Midwest. To learn more please visit www.MidwestAgFuture.com.