American Coalition for Ethanol (ACE) CEO Brian Jennings is asking President Trump to “provide a much-needed boost to ethanol producers and rural America in response to the mounting economic harm as a result of the sudden and severe drop in ethanol demand” due to the COVID-19 pandemic.
“More than half of U.S. ethanol production capacity is already offline, high-skill jobs are being shed, livestock and food processing customers are facing supply disruptions, and our members’ working capital is vanishing. Ethanol use could fall by more than 3 billion gallons in 2020, eliminating the market for at least a billion bushels of U.S. corn,” Jennings wrote in the letter. “As you did on April 21, when you directed the Secretaries of Energy and Treasury to formulate a plan to provide funds to the oil and gas industry, we urge similar action for our sector.”
Jennings says one action the administration could take would be having EPA use existing statutory authority to ensure the 20.09 billion gallons of renewable fuel required by the Renewable Fuel Standard — and promised by EPA this year — will be consumed.
ACE also encourages industry advocates to join in requesting the Administration quickly establish a plan to aid ethanol producers struggling to survive the catastrophic economic fallout of COVID-19 by utilizing its Action Center.