Wednesday, June 3, 2009

Vilsack urges farmers to embrace carbon emissions cap

GENESEO, Ill. — U.S. Agriculture Secretary Tom Vilsack said he understands the skepticism in rural areas over the proposal to cap carbon emissions but urged about 200 people here to embrace the change for its potential opportunities.

Vilsack, a former Iowa governor, visited the high school here Monday as part of a series of stops in recent weeks aimed at touting the federal stimulus package and explaining the department’s role in rural America.

He took questions for about an hour.

Afterward, he ate lunch at Sweet Peas Grill, a local spot.

“We ought not to be fearful of this future. We ought to embrace it,” Vilsack said.

The Obama administration and congressional Democrats are trying to put in place a system that would cap carbon emissions.

A House committee passed a plan last month. Polluters who couldn’t come in under the cap could purchase credits in an open market.

Major energy producers and users, including farm groups, are afraid the plan will drive up their costs.

“I understand the skepticism out in the countryside about this,” Vilsack said.

But as agriculture practices improve, he said, farmers might find they can make money if they’re compensated for their changes.

Some agriculture groups are unhappy with the House bill, in part because it isn’t more explicit about authorizing farmers to sell emission credits. Vilsack told reporters later he thinks the plan will be more specific by the time it makes its way through Congress.

The concern over costs is real, said Jim Kaitschuck, executive director of the Illinois Pork Producers Association, who attended the forum.

“Our industry can’t take on any more cost right now,” he said.

Vilsack also heard concerns from pork producers about the viability of their industry and the scarcity of credit.

“We need access to capital right now.” Kaitschuck said.

The secretary also commiserated with area pork producers over the H1N1 flu scare.

The use of the phrase “swine flu” has angered some pork farmers, and the Agriculture Department has tried to get some countries that have banned imports to reverse themselves.

Vilsack said there’s been some progress, but added, “This has been very frustrating to me.”

The secretary directed people to turn around and look at news reporters in the back of the room when he was asked how farmers should respond to mounting losses because of the scare.

“What that good-looking, handsome, well-coiffured talking head on the television doesn’t understand is there’s a hard-working family whose livelihood depends on ... getting it right,” he said.

He also defended ethanol subsidies when a questioner said they are pushing up food and livestock feed prices.

The secretary said there are programs that benefit pork producers but are unpopular with other livestock groups, such as a national animal identification system.

He added converting the country’s energy supply is also a national security priority.