Governor’s Column - January 4, 2008
by Governor Matt Blunt
Missouri Renewable Fuel Standard
We have taken many significant steps to make Missouri more energy efficient and environmentally-friendly. For example, when I ran for governor I promised to be a champion for renewable fuels. Together with Missouri’s General Assembly we have kept that promise with legislation I signed creating the Missouri Renewable Fuel Standard. Starting on January 1 of this year the gasoline sold in Missouri will be blended with 10 percent ethanol (E-10).
The fuel standard is a major step we are taking to position Missouri as a leader in ethanol production and utilization. The new requirement also helps further increase our country’s energy independence and, because ethanol burns cleaner than gasoline, our standard emboldens Missouri’s leadership in responsible stewardship of our environment.
All vehicles can run on E-10 without modification, and the market is growing for vehicles that can run on an even higher ethanol blend, E-85.
To help promote our renewable resources and alternative fuel, I have also required that at least 70 percent of new state-owned vehicles run on flex-fuel. In fact, Automotive Fleet Magazine ranked Missouri tenth against other states in the number of alternative fuel vehicles as a percentage of the total state fleet, and 59th in the country against thousands of private, state, local and federally managed vehicle fleets. Our state fleet currently includes 36 hybrid electric and 1,717 E-85 vehicles.
To help further enhance the use of alternative fuels in Missouri, I recently announced the creation of tax credits to help ensure that Missourians who own vehicles capable of running on alternative fuels have access to this cleaner burning, home grown renewable fuel. The proposed tax credits will help to offset the cost of installing or modifying pumps capable of dispensing fuel that contains 85 percent ethanol (E-85). I have also proposed income tax deductions for Missouri drivers who purchase a qualified hybrid vehicle and tax credits for the purchase of E-85 gasoline to increase consumption of alternative fuels in our state.
Too many believe protecting the environment comes at the expense of job growth and prosperity. I believe this is a false choice. We need not sacrifice economic growth. With new technologies, supporting green initiatives does not have to mean going into the red. Done right, it can not only lead to cleaner air and higher water quality, but greater profits and a stronger bottom line. That is the experience already in our state government.
Our “green initiative” has improved the energy efficiency of state government. Some relatively simple ideas are paying off big. In Jefferson City, we are in the process of capturing energy from a landfill that was previously being wasted and will use it to heat an entire prison, saving the state approximately $750,000 per year. We saved $1.5 million a year at current energy prices by using O3 and cold water, instead of hot water and regular laundry detergent, for inmate laundry. As energy prices climb, we will save even more. And we centralized the measurement and billing for state electrical bills to gain a better perspective on energy usage, and adjust accordingly. Altogether, our green initiatives at the state level have resulted in more than $15 million in savings every year for Missouri taxpayers as well as a significant reduction in our state’s carbon footprint.
The Missouri Renewable Fuel Standard Act is one of many steps we are taking to lessen our dependence on foreign energy sources and make Missouri more energy efficient and environmentally friendly.