Canadian Renewable Fuels Association (CRFA)

Canadian Renewable Fuels Association (CRFA)

May 01, 2008 09:17 ET

Reality Check: OXFAM Gets Facts Wrong on Biofuels

OTTAWA, ONTARIO--(Marketwire - May 1, 2008) - OXFAM Canada has made numerous claims on biofuels that are factually incorrect. Here are the facts.

FACT: There are no credible scientific studies to back up any of OXFAM Canada's statements on biofuels. OXFAM has no biofuels expertise or scientific studies of its own in regard to the biofuels industry in Canada.

FACT: Oil and gas prices are up 100% in one year. Oil at over $100/barrel has a disproportionately negative impact on the developing world, where annual incomes are dramatically lower than in the developed world.

FACT: The price of rice is at an all-time record high. Rice has no relation to biofuels production, as biofuels are not made with rice, and corn is not grown in rice paddies.

FACT: Countries such as Haiti have untapped biofuels potential in crops like sugarcane. Biofuels would help Haiti and other developing nations grow a sustainable economy and free them from the regressive over $100/barrel oil tax.

FACT: Last year, the U.S. produced a record amount of ethanol (8 billion gallons). In the same year where they produced a record amount of corn ethanol, they actually increased the amount of corn for export. In fact, they had so much corn, that after all of their corn commitments, the U.S. had a 10% corn surplus.

FACT: Over 80% of the cost of food is marketing costs including energy and labour. Corn accounts for less than 5% of the price of a box of corn flakes.

FACT: Government of Canada studies and the peer reviewed science is clear.
Ethanol and biodiesel reduce harmful greenhouse gas emissions and air pollution, and have a positive energy balance.

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