Trump Hits Cruz on Ethanol

trump-iowaDuring an appearance at the Iowa State Fairgrounds on Friday, Republican presidential front runner Donald Trump talked about his support for ethanol and how his primary rival in the state, Sen. Ted Cruz of Texas, supports oil.

“Where are the ethanol people?” Trump asked the crowd, which cheered in return. “I was here a month ago, I met with them all and they do a fantastic job – I toured the plants….it’s so important.”

Trump says he doesn’t understand why Sen. Cruz is doing so well in Iowa when he is against ethanol. “He’s got to come a long way because he’s right now for the oil,” Trump said. “I understand it. Oil pays him a lot of money. He’s got to be for oil, right? The oil companies give him a lot of money. But I’m with you. I’m with everybody. Look, I’m self-funding. I have no oil company. I have no special interest.”

After a question about Cruz and his lack of support for ethanol, Trump added, “If Ted Cruz is against ethanol, how does he win in Iowa, because that’s very anti-Iowa.”

Listen to Trump’s comments here: Trump comments on ethanol in Iowa

#Biodiesel Board Outlines Positives in #RFS Rule

nBBThe National Biodiesel Board (NBB) held a press call today to explain why they are so pleased with the final rule on volume obligations for biodiesel under the Renewable Fuel Standard (RFS).

First of all, NBB CEO Joe Jobe says the rule shows steady growth for biomass-based diesel from 2012 through 2017. “It grows the program from a billion gallons in 2012 to calling for two billion gallons in 2017,” he said. “So that’s a doubling of our industry that is pretty much on track to happen in a five year time period.” He adds that they hope to double again in the following five years.

In addition, Jobe says the rule shows a commitment on the part of the administration to utilize the RFS program to achieve greenhouse gas reduction in the heavy duty transportation sector and gets the program back on track.

At the same time, Jobe says they are continuing to work with Congress to have the biodiesel tax incentives extended, because that works with the RFS for continued growth in the industry. “They’re both important to us, they’re both priorities to us and they’re both needed in this still nascent stage of our industry,” said Jobe.

Also participating in the call with Jobe was NBB Vice President of Federal Affairs Anne Steckel: Biodiesel Board call on RFS volumes

Growth Energy Reacts Positively to #RFS Final Rules

Growth Energy reacted positively today after the Environmental Protection Agency (EPA) released the final Renewable Volume Obligations (RVOs) under the 2014, 2015 and 2015 Renewable Fuel Standard (#RFS). While the volumes were higher than in the proposed rules, on behalf of its members, Tom Buis, co-chairman, said that their members are pleased to see the #EPA moving the renewable fuels industry past the so-called ‘blend wall’.

growth-energy-logo1However, Buis said during a press call today that the EPA is still relying on flawed methodology that sets RVOs below the levels set by the legislation, “It is an important improvement from the proposed rule, and moves us closer to getting America’s most effective climate policy back on track and providing certainty for biofuels in the marketplace.”

“This final rule makes it possible to drive the growth of higher ethanol blends through the so-called blend wall, giving consumers choices at the pump, such as low-cost E15. Additionally, the numbers for 2016 represent a final rule closer to the statutory levels established by Congress, avoid the “reset” and indicate a more certain future for renewable fuels.

Buis continued, “However, we remain concerned that the final rule continues to rely on the “distribution waiver” that redefines supply as demand and was rejected by Congress when the RFS was enacted into law. Of particular concern is that by using such a waiver, the oil industry is being rewarded for its unwillingness to follow the law and invest in infrastructure to move toward cleaner, renewable fuel, which sets a dangerous precedent for the future of the program. The uncertainty this waiver will create risks sending investment in the next generation of renewable fuel overseas just as this new, homegrown industry is taking off.”

Jeff Broin, co-chairman of Growth Energy added during the press call, “In the future, we need to see a stronger and more consistent commitment to renewable fuel from Washington if we are ever going to realize the true potential of renewable fuels, including the development of cellulosic ethanol.”

Listen to the press call here: Growth Energy #RFS RVO Reaction Presser

Final #RFS Numbers Disappoint @EthanolRFA

rfalogo1The Environmental Protection Agency’s final rule for volume obligations under the Renewable Fuel Standard (RFS) “puts the future of biofuels and climate policy in the hands of the oil industry,” according to Renewable Fuels Association (RFA) president and CEO Bob Dinneen.

“Let’s give EPA props, I guess, for recognizing that gasoline demand is increasing and that they needed to increase those numbers accordingly,” said Dinneen. “But they didn’t change anything with respect to the methodology … they still reduced the numbers from the statutory levels and embraced the notion of the blend wall … they are effectively turning the nation’s renewable energy program over to the oil companies.”

Dinneen says the ethanol industry will be evaluating its options when it comes to taking EPA to court over the final rule. “What EPA has done here is a dramatic departure from a program that was working,” he said. “I believe when we finish our review of the final rule that we will want to stand up for the program, stand up for consumers, stand up for carbon reduction, stand up for rural America and put this program back where it belongs.”

With President Obama in Paris this week for the COP21 climate change summit, Dinneen considers today’s announcement ironic. “How in the world can the president speak with any credibility on climate change when he is ripping the guts out of a climate change program in his own backyard?” Dinneen asked.

Listen to interview here: Interview with RFA CEO Bob Dinneen on final RFS rule

Final #RFS RVO Numbers from @EPA

epa-150The Environmental Protection Agency (EPA) announced final volume requirements under the Renewable Fuel Standard (RFS) program Monday for the years 2014, 2015 and 2016, and final volume requirements for biomass-based diesel for 2014 to 2017.

The rule finalizes higher volumes of renewable fuel than the levels EPA proposed in June, according to Janet McCabe, the acting assistant administrator for EPA’s Office of Air and Radiation.

“The biofuel industry is an incredible American success story, and the RFS program has been an important driver of that success—cutting carbon pollution, reducing our dependence on foreign oil, and sparking rural economic development,” said McCabe during a press call with reporters. “With today’s final rule, and as Congress intended, EPA is establishing volumes that go beyond historic levels and grow the amount of biofuel in the market over time. Our standards provide for ambitious, achievable growth.”

The final 2016 standard for cellulosic biofuel — the fuel with the lowest carbon emissions — is nearly 200 million gallons, or 7 times more, than the market produced in 2014. The final 2016 standard for advanced biofuel is nearly 1 billion gallons, or 35 percent, higher than the actual 2014 volumes; the total renewable standard requires growth from 2014 to 2016 of more than 1.8 billion gallons of biofuel, which is 11 percent higher than 2014 actual volumes. Biodiesel standards grow steadily over the next several years, increasing every year to reach 2 billion gallons by 2017.

The RFS, established by Congress, requires EPA to set annual volume requirements for four categories of biofuels. The final rule considered more than 670,000 public comments, and relied on the latest, most accurate data available. EPA finalized 2014 and 2015 standards at levels that reflect the actual amount of domestic biofuel used in those years, and standards for 2016 (and 2017 for biodiesel) that represent significant growth over historical levels.

The final numbers were required to be released on November 30 under court order.

Listen to the EPA call here: EPA announces final RVO numbers

Experts Present Case for Ethanol vs Gasoline

ethanol-plant-rfaLeading experts in the field of lifecycle greenhouse gas (GHG) analysis and agricultural land use today responded to claims that corn ethanol and other biofuels are somehow worse for the climate than petroleum.

A panel of scientists and economists refuted the suggestion by anti-biofuel advocates that carbon accounting schemes should not credit bioenergy feedstocks for CO2 absorption based on the notion that the feedstock would have absorbed CO2 even if it wasn’t being used for biofuel. Renewable Fuels Association (RFA) Senior Vice President Geoff Cooper, who moderated the panel, called the assertion “illogical” and said “it’s a bit like saying the wind was going to blow anyway, so wind energy shouldn’t be counted as carbon neutral; or the sun was going to shine anyway, so we shouldn’t assume that solar panels are harnessing ‘free’ energy from the sun.”

California-based Life Cycle Associates (LCA) just released a new report on how biofuels have helped reduce GHG emissions in the United States since 2008 under the Renewable Fuel Standard (RFS2). “The lifecycle approach is the best metric for greenhouse gas emissions for biofuels because it takes into account the fact that this is short cycle carbon that was recently removed from the air,” said LCA Senior Partner Stefan Unnasch. “The alternative system means that you have to have global accounting of all agriculture… that’s simply impossible and the opportunities for fraud are present everywhere.” Even if such a carbon flow approach was possible, if done correctly it would show that bioenergy reduces GHG emissions compared to petroleum.

LCA scientist Susan Boland explains that their recent study actually found greater GHG emissions reductions from biofuels than expected. “We found that the RFS2 has resulted in significant GHG reductions, with cumulative CO2 savings of 353 million metric tonnes over the period of implementation. These emissions savings occurred even though cellulosic biofuels have not met the RFS2 production targets,” said Boland.

University of Illinois-Chicago economist Steffen Mueller noted that much is made about land going into biofuels production. “But that land area is really relatively small,” he said. “There’s a lot of other land available that we can use to optimize sequestration potential.” Commenting on the latest Department of Energy analysis, Mueller said “…ethanol produced from corn grain and corn stover provides substantial greenhouse gas benefits over gasoline.” The latest version of GREET shows life cycle emissions for corn ethanol in the range of 63.5‒66.4 gCO2e/MJ, which is over 30% less than the 94 gCO2e/MJ for gasoline.

Meanwhile, Purdue University economist Dr. Wally Tyner takes issue with the assumption land used for biofuel feedstock production would have grown the same feedstock for some other purpose or reverted to a natural state in the absence of biofuels demand. “If we hadn’t have had biofuels in the United States, we might still be paying farmers not to grow as we were before biofuels came along,” said Tyner. “So the assumption that all of this would have happened anyway I think is absurd.”

Listen to the call here: RFA GHG conference call

Growth Energy Intros ‘Bachelor’ Chris Soules RFS Ad

During a press call this morning, Growth Energy launched a week-long TV ad campaign featuring Iowa Farmer Chris Soules of “The Bachelor” and “Dancing with the Stars” fame. The ad focuses on the economic benefits of ethanol and the Renewable Fuel Standard (RFS) in rural America. The spot hits airwaves just days before the Obama Administration is due to announce its final rule on the RFS. The ad is airing in Iowa, Illinois, Ohio, and Indiana.

“I’m proud to be a part of something that protects something important to my family farm operation as well as thousands of others,” said Soules about why he became involved in efforts around promoting the positive benefits of the RFS. “I’ve been able to see first-hand the benefits of renewable fuels and how they affect my family’s enterprise and other families who haven’t even been involved in farming by providing jobs in clean energy that helps our country diversify our energy resources.”

Soules noted that in light of the recent events in Paris, it re-emphases the need for the U.S. to become energy independent with a diversified energy portfolio.

Soules was joined on the call by Tom Buis, co-chair of Growth Energy who noted that the RFS is a great American success story.

“We know our opposition is out there saying anything and doing anything in every possible way to keep the administration from rolling out an implementation of the volumetric standards of the 2014, 2015 and 2016 that are beneficial to this great nation,” said Buis.

The RFS proposal, as it currently stands, contains volumes that are below the legislative mandate. Biofuel supporters have been working to get the volumes back on track and moving forward as the law intended. Buis also noted that many eyes are on Paris for COP21 to see how countries, including America, identify strategies to reduce carbon emissions. Buis said the RFS has been a successful policy in doing just this.


Listen to the full press call here: Growth Energy-Chris Soules Ad Press Call

Fuels America Launches RFS Climate Ad Campaign

Leading up to COP21 in Paris in a couple of weeks Fuels America has launched a climate campaign targeted at President Obama. The campaign encourages him to tout the success of the Renewable Fuel Standard (RFS) during the climate talks. Fuels America is calling on the administration to get the RFS back on track. During the call biofuel industry representatives discussed how the decision on the RFS will be critical in determining if the U.S. will lead by example on climate action. The campaign includes full page ad in the New York Times and digital ads in the Beltway.

Screen Shot 2015-11-20 at 9.57.22 AM“If the President doesn’t reverse course on the disastrous proposal, he will effectively be letting the oil industry and climate deniers in Congress dictate our climate policy,” said Roger Johnson, president of the National Farmers Union, during the press call. “It will upend America’s most successful policy cutting greenhouse gas emissions and combatting climate change, and stifle investment in advanced biofuels in America.”

Speakers noted the threat to the advanced biofuels industry is significant with $13.7 billion in investment in advanced biofuels currently frozen according to a report from BIO. Chris Standlee, executive vice president of global affairs at Abengoa Bioenergy, noted during the call that Abengoa is looking to deploy its cellulosic ethanol technology overseas due to the uncertainty caused by the current state of the RFS. The company’s first cellulosic ethanol plant went online last October in Hugoton, Kansas.

“This Administration’s proposal inserts a loophole into the RFS—our country’s most aggressive climate policy in force today—and allows oil companies to continue ignoring their obligations under the law,” explained Standlee. “Our industry has fought and won this battle before—this waiver was sought for years by the oil industry and would allow them to control the RFS and restrict the deployment of the lowest carbon fuels in the world.”

Listen to the presser here: Fuels America Launches Biofuel Climate Ad Campaign Presser Continue reading

Propane Expands Production, Use Options

nafb-15-percPropane is expanding in production and the options for its use. During the recent National Association of Farm Broadcasting (NAFB) convention in Kansas City, Missouri, Cindy caught up with Cinch Munson from the Propane Education and Research Council (PERC) who said that there are 102.4 million barrels of propane in storage right now – a nearly 30 percent increase from a year ago. He credited strong production and a mild grain-drying season for the big inventories right now.

“We’re most of the way through harvest, and most of the grain that has come in is pretty dry,” he said, adding a possibly warm winter ahead could make the situation even better for consumers. “Propane prices right now are very good. So it’s a really good time for rural homeowners and ag operation owners to consider what they should do about this.”

Munson said new propane engines offer lots of advantages, especially in the ag markets. He added the positive supply outlook for propane and its domestic, environmentally friendly profile, as well as more machinery running on the fuel, make propane a great choice. Munson said consumers should talk to their local dealers or go to PERC’s website for more information.

“You really owe it to yourself to look at what’s out there.”

Cinch Munson, Propane Education and Research Council

RFA Updates E85Prices.com

e85-pricesThe Renewable Fuels Association has unveiled a redesigned version of its popular fuel market website E85prices.com.

According to RFA Vice President of Industry Relations Robert White, the layout of the site has been updated for easier navigation and redesigned with a modern interface for a cleaner presentation. “The all new E85prices.com website and mobile app make it easier than ever to locate E85 stations, search for the best prices for ethanol blends, and post your personal pricing experiences,” said White. “Both the website and the app are optimized for use on any device and allow easier interaction than ever before. It is our hope that these upgrades will lead to increased usage and reporting.”

nafb15-rfa-whiteDuring an interview at the National Association of Farm Broadcasting last week, White said they have been working on the upgrade since they acquired E85Prices.com earlier this year. “We think this will allow consumers and fleet operators a better ability to find E85 stations to use the fuel and find the best deal they can on E85,” White said, noting that 85 percent ethanol is approved for use only in Flex Fuel vehicles, of which there are now over 19 million on the road in the nation.

E85prices.com is now better integrated with Google for optimal search results that link back to the website. In addition, the E85prices.com mobile app also includes an updated interface that makes it easier for users to share the latest prices for the fuel in their areas.

ethanol-report-adIn this edition of the Ethanol Report, White talks about the update, as well as the increasing number of flex fuel vehicles on the road, the growing number of stations offering E85, and other topics related to higher ethanol blends in the marketplace.

Listen to this edition of the Ethanol Report here: Ethanol Report on Updated E85Prices.com