The truth is out: Congress’ attempt at “energy security” helped cause a global food crisis. According to a confidential World Bank study, as reported by The Guardian, biofuels are the primary cause of the global food crisis, forcing up world food prices by 75%. This is a shocking difference from the usual 3% impact the U.S. government has been reporting. In America, the production of these biofuels was legislated by Congress, through subsidies and mandates requiring their production.
The biofuel bonanza began with the rush to provide what Congress terms “energy security,” by way of biolfuels that would supposedly make us less dependent on foreign oil. By labeling high gas prices and the oil markets as an issue of “energy security,” they were able to push through legislation thathas nothing to do with securing our nation. As usual, government intervention did not take into account the far-reaching costs, while it did focus on misguided projections of possible benefits.
The outcome? Despite increased production of biofuels, as an “energy alternative,” the price of gas at the pump has topped $4 per gallon, and the price of a barrel of oil has increased to $143. The production has not changed global climates, though it was intended to save the world from global warming. The real result is a shortage of grain for food, and food prices that have reached crisis levels. As David King, UK government’s former chief scientific adviser, is quoted in the Guardian article, “All we are doing by supporting these is subsidizing higher food prices, while doing nothing to tackle climate change.”