After writing last week about the Iowans for Consumer Fuel Choice organization and its opposition to the Iowa biodiesel mandate, some interesting developments took place. One, there have been a host of media reports that appear to be stemming from the American Trucking Associations-the teamsters and Big Oil are backing ICFC-that claim the Iowa B5 legislation is dead.

On March 1, Truckinginfo.com published this brief article:

Iowa Committee Strikes Down Bill For Biodiesel Blend

A bill to institute a 5 percent biodiesel blend in Iowa was shot down by the Iowa House Ways and Means Committee, according to the American Trucking Associations.

A similar bill, the Iowa Biodiesel Fuel Quality Standard, was passed in the state Senate last year with bipartisan support.

According to reports by the ATA, the Iowa Motor Truck Association played a large role in convincing committee members that the rule would mean a 6 to 8 cents per gallon upcharge for diesel fuel prices. The association also said the legislation would do little to reduce U.S. imports of petroleum from Iraq.

The ATA said it supports the voluntary use of alternative fuels, such as biodiesel, but it is adamantly against state alternative fuel mandates.

Randy Olson with the Iowa Biodiesel Board and a few other stakeholders in Iowa told me yesterday that they agreed there is a lot of misinformation floating around in the media regarding this bill. Truckinginfo.com cited the American Trucking Associations as the source of its information-go figure. Is this a tactic by the trucking association to kill the bill before it's even voted on? If so, that is deplorable.

On March 2, yesterday, the ICFC put out a press release stating that economist Wayne Newkirk reviewed and addressed the effects of a state mandate on demand, prices, employment and tax receipts, as well as the impact to fuel marketers and retailers.

In the release, ICFC states: "With a state biodiesel mandate, Iowa retailers will be at a competitive disadvantage with competitors in neighboring states. Representatives from the Iowa Motor Truck Association warn that more than 75 trucking companies have said if forced to buy biodiesel in Iowa, they will purchase their fuel outside the state."

"Bypassing Iowa retailers is not an empty promise," said Brenda Neville, president of the Iowa Motor Truck Association. "Motor carriers typically use an on-board computer program to help plan travel routes and identify the most cost effective refueling options. Given fuel capacity to travel as many as 1,200 miles per tank, drivers can easily opt to refuel elsewhere."

What is this? Now Big Oil and the teamsters, under the guise of a consumer advocacy group, have resorted to strong-arming the legislature with fear?

The release goes on to say that Newkirk estimates costs emanating from losses in employment, motor carriers bypassing Iowa, and related declines in tax revenue could exceed $100 million in lost revenue to the state. He also sees spillover effects from the B-5 mandate in terms of transportation costs ($49 million), pipeline upgrades ($500,000 to $2 million per location/terminal) and increased jobber expenses ($12.5 million).

The struggle between Big Oil and renewable fuels continues, despite efforts by those who say we need to "work together" and essentially try to "be friends" with Big Oil. With all of the figures ICFC is throwing around regarding the mandate and its cost to consumers, how much money would consumers save if they weren't footing the bill for all of these ridiculous campaigns against biodiesel? With friends like these…huh?