Legislature approves ethanol standard

“This important legislation will benefit our farm families, provide a lasting boost to our state’s economy (and) improve our air quality,” said Gov. Matt Blunt, who has championed the E-10 standard since taking office, in a news release.

Blunt’s office predicts the standard will require about 350 million gallons of blended fuel per year to meet demand. About 115 million gallons of that will be produced by the state’s three ethanol plants in Macon, Malta Bend and Craig. A fourth plant is being constructed in Laddonia, and others are in the planning stages, including a 200-acre plant in Joplin.

The state has committed $5.3 million toward ethanol production in its fiscal year 2006 budget.

Supporters of the ethanol standard say it could improve the environment and infuse dollars into the economy through increased corn production. Opponents, including gasoline retailers, worry the cost of altering stations to carry the fuel blend could spell higher prices at the pump.