Winter Weather Impacts Ethanol Production

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Ethanol production plunged along with the temperatures across the country last week, according to the latest EIA data analyzed by the Renewable Fuels Association for the week ending January 30.

Ethanol production dropped 14.2% to 956,000 b/d, equivalent to 40.15 million gallons daily and the lowest weekly volume since mid-April 2024, reflecting the effects of the winter storm. Output was 14.0% lower than the same week last year and 8.8% below the three-year average for the week. The four-week average ethanol production rate declined 3.2% to 1.10 million b/d, equivalent to an annualized rate of 16.85 billion gallons (bg).

Ethanol stocks decreased 1.0% to 25.1 million barrels. Stocks were 4.8% less than the same week last year and 0.3% below the three-year average.

Refiner/blender net inputs of ethanol fell 10.4% to 791,000 b/d, equivalent to 12.16 bg annualized. Ethanol exports expanded 37.6% to an estimated 216,000 b/d (9.1 million gallons/day).

Ethanol, Ethanol News, Renewable Fuels Association, RFA

ACE Preparing for 15th Annual DC Fly-in

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ACE members meet with Sen. John Hoeven (R-ND) in 2025

The American Coalition for Ethanol (ACE) will hold its 15th annual Washington, DC Fly-in and Government Affairs Summit March 17-18, bringing ethanol producers, farmers, and other stakeholders to Capitol Hill at a critical time for the industry.

“With so many ethanol priorities hanging in the balance, direct engagement with Congress and the administration has never been more important,” said Brian Jennings, ACE CEO. “Both chambers will be in session, and in an election year, timing matters. We encourage ethanol supporters to join us in Washington this March to reinforce the need for timely action on E15 year-round, 45Z clean fuel production tax credit implementation, and final Renewable Fuel Standard volumes.”

Additional priorities for the industry are proper implementation of the Renewable Fuel Standard, including reallocation of small refinery exemptions, and policies to unlock new markets for ethanol, including renewable chemicals, maritime fuels, flexible fuel vehicles, sustainable aviation fuel, and expanded trade opportunities.

Event registration and sponsorship opportunities are available at ethanol.org/events/fly-in.

ACE, E15, Ethanol, Ethanol News

Chief Ethanol Partners with Whitefox and FQT for Innovation

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Chief Ethanol is partnering with Fluid Quip Technologies (FQT) and Whitefox Technologies to revamp, modernize, and innovate the equipment and process systems at its Hastings, Nebraska ethanol facility.

Under the partnership, Fluid Quip Technologies will serve as the primary engineering, integration, and construction partner, delivering its proprietary Low Energy Distillation (LED™) technology while Whitefox will supply its Integrated Cartridge Efficiency (ICE®) technology platform and advanced membrane-based technology as a key component of the upgraded process systems. By bringing together two of the most respected technology leaders in the ethanol innovation and equipment space, Chief is positioning Hastings at the forefront of next-generation, energy-efficient ethanol production.

This collaboration reflects Chief Ethanol’s long-term commitment to continuous improvement, operational excellence, and leadership in ethanol innovation. Rather than relying on conventional system upgrades, Chief intentionally assembled a best-in-class technology partnership to deliver a more advanced, lower-energy solution designed to push performance beyond traditional industry benchmarks.

Through this partnership, FQT and Whitefox are working together to provide a fully integrated distillation, dehydration, and evaporation system that materially reduces energy demand while improving overall plant efficiency. The integrated approach combines advanced process engineering with proprietary membrane technology to redefine what is possible in ethanol plant design and operation.

Ethanol, Ethanol News

Former Industry Leaders Warn of Farm Crisis

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A bipartisan group of former leaders of America’s major agricultural commodity associations and biofuels organizations, farmer leaders, and former senior USDA officials, sent a letter to Congress this week sounding the alarm about the current state of the farm economy and the potential for “widespread collapse of American agriculture.”

In a letter released today to the leadership of the House and Senate Agriculture Committees, twenty-seven former agricultural executives and officials with decades of experience detailed how current Administration policies have harmed the farm economy and the need to take substantial action. The signatories include past presidents and CEOs of the American Soybean Association, National Corn Growers Association, National Pork Producers Council, National Barley Growers Association, National Milk Producers Federation, US Grains Council, and Renewable Fuels Association, past Directors of the Illinois and Nebraska Departments of Agriculture, and other farm leaders and senior agricultural policy experts.

Among the letter signatories are former presidents of NCGA Harold Wolfe and Pam Johnson, past NCGA CEO Jon Doggett, former RFA chair Randy Doyal, and past RFA CEO Bob Dinneen.

“First and foremost, what we want to do is to start a conversation,” said Dinneen. “Let’s focus on the solutions. We outline what we think some of them might be, but we don’t have all the answers. Let’s figure that out. The bottom line is we’re in a perilous state, and we say that without hyperbole or exaggeration. It is perilous. We need to figure it out.”

Dinneen says the group offered nine actions that can be taken to help restore the farm economy. “Let’s end the tariffs on farm inputs. Let’s try to open up markets elsewhere. Let’s stop some of the chaotic trade policies that are out there. But there’s more than that. We think even on biofuels, there are things that can be done, and Congress has been irresponsible in not addressing the things that they could be doing to increase biofuel demand. Let’s get E15 year-round done once and for all.”

The former RFA executive says the creation of a Rural Domestic Energy Council instead of passing legislation is an insult. “You don’t need a council. You need legislative action. You need a backbone,” said Dinneen. “The failure of Congress to get year-round E15 done has really hampered the expansion of the Renewable Fuel Standard because EPA is reluctant to move beyond 15 billion gallons of corn derived ethanol without there being a place to put that. And as automobiles are becoming more fuel efficient and needing less fuel on a yearly basis, the need to grow that market and get more ethanol into each gallon so that you can break through that blend wall has been more and more critical. So E15 is important to allow the renewable fuel standard to do what it was supposed to do, and that is to drive increased demand for fuel ethanol.”

Read the letter to Congress and learn more in this interview with Dinneen.
Interview with Bob Dinneen (14:39)

Ag group, Audio, Ethanol, Ethanol News, Exports, Government

Treasury Releases Proposed 45Z Regulation

Cindy Zimmerman 1 Comment

The Department of the Treasury and the Internal Revenue Service today issued proposed regulations for domestic producers of clean transportation fuel to determine their eligibility for and calculate the clean fuel production credit, often referred to as the 45Z credit, as modified under the One, Big, Beautiful Bill. The clean fuel production credit provides businesses an income tax credit for clean transportation fuel produced domestically after Dec. 31, 2024, and sold by Dec. 31, 2029.

Today’s guidance also proposes rules to implement certain OBBB changes to the clean fuel production credit. OBBB changed the clean fuel production credit to:
Extend the credit to Dec. 31, 2029;
Limit feedstocks to those grown or produced in the US, Mexico, or Canada;
Add prohibited foreign entity restrictions;
Broaden sale attribution for fuel sold through related intermediaries;
Eliminate the special rate for sustainable aviation fuel;
Add an anti-abuse provision to prevent double crediting;
Prohibit negative emissions rates except for fuels derived from animal manure;
Require feedstock-specific emissions rates for fuels derived from animal manure; and
Exclude indirect land use changes from emissions rates.

Renewable Fuels Association President and CEO Geoff Cooper says the proposed rule is a step in the right direction. “The proposal appears to resolve some of the previous confusion around what constitutes a ‘qualified sale,’ and begins to integrate the important improvements to 45Z that resulted from the One Big Beautiful Bill Act, such as the removal of indirect land use change emissions from the carbon intensity scoring framework.

“However, much work remains to be done and many questions still need to be answered. First and foremost, ethanol producers are anxiously awaiting a new, revised version of the 45ZCF-GREET model, which will help shed light and provide clearer direction on several critical issues. In addition, questions remain to be resolved around the quantification of emissions related to low-carbon feedstock production at the farm level, implementation of foreign feedstock prohibitions, and provisions related to the use of energy attribute credits.”

Cooper said RFA looks forward to providing comments on the proposal to the Treasury Department and intends to testify at an upcoming hearing on the rule.

American Coalition for Ethanol (ACE) CEO Brian Jennings would like to see additional clarity on how ethanol producers can monetize low-carbon farming practices through the tax credit.

“We urge Treasury to continue working closely with the U.S. Department of Agriculture and the Department of Energy to develop and finalize the tools necessary to achieve full monetization of farming practices, such as USDA’s Feedstock Carbon Intensity Calculator (FD-CIC) and DOE’s 45ZCF-GREET model,” said Jennings. “Last year, USDA asked ACE to help peer-review and beta-test the FD-CIC, and we submitted reams of data and feedback on the tool. We are encouraged Treasury expects the 45ZCF FD-CIC to undergo periodic updates, including incorporation of new data gathered from real-world activities such as the USDA Regional Conservation Partnership Program (RCPP) activity being led by ACE. This work is specifically designed to address the perceived need for more empirical data on the low-carbon benefits of farming practices to help improve the accuracy of modeling tools. We are hopeful the FD-CIC and 45ZCF-GREET model will reflect the feedback we provided and are finalized soon.”

Written or electronic comments will be accepted for the next 60 days and a public hearing has been scheduled for May 28.

ACE, biofuels, Ethanol, Ethanol News, Government, Renewable Fuels Association, RFA

What is E15?

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When President Trump was in Iowa last week and spoke about E15, there were many on social media who asked the question, “What is E15 and why is the president talking about it?”

“I promised to support E15 all year round… I am trusting speaker Mike Johnson and Leader John Thune to find a deal that works for farmers, consumers, and refiners, including small and mid-sized refiners, to get E15 approved and they’re working on it and they’re very close to getting it done,” said Trump, during remarks in Clive, Iowa.

The fact is that very few people actually have any clue about E15, and the few who do know what it is, even within the industry, do not understand the issue that has been plaguing it for over a decade – mainly because it is very technical and makes absolutely no sense. It is an issue that cannot be explained in a simple sound bite. Simply saying that we need year-round, nationwide E15 does nothing to explain the issue, especially since retailers have been able to sell E15 during the summer months for the past several years, thanks to waivers.

So, what is the issue? E15 was first approved for use in new vehicles by the EPA in 2010, extended to 2001 and newer vehicles in 2011. This was granted by a partial waiver under the Clean Air Act. However, also under the Clean Air Act, gasoline sold during the summer ozone season (generally June 1–September 15) must meet lower Reid Vapor Pressure (RVP) standards to reduce evaporative emissions (a contributor to smog). E15 typically has a higher RVP than E10 and therefore doesn’t automatically qualify for the summer gasoline waiver that E10 enjoys — meaning E15 normally cannot be sold in most of the U.S. during summer.

That is the problem. Up until 2019, summer sales of E15 were prohibited in those regions with RVP volatility limits. In 2019, President Trump tried to fix the problem by having his first term’s EPA issue a regulatory action to extend the 1-psi RVP waiver to E15 during the summer season.

However, industry litigation led a federal court to determine the agency’s interpretation exceeded the authority in the Clean Air Act. As a result, the seasonal RVP restriction remained in effect in most parts of the country even after that 2019 rule. Since 2022, under President Biden, summer sales of E15 have been allowed by emergency waivers.

The first emergency fuel waivers specifically for summer E15 were issued under CAA Section 211(c)(4)(C) citing “extreme and unusual” fuel supply circumstances in April 2022 under the Biden EPA. These temporary (up to 20-day) waivers have been renewed multiple times each summer since then (2022, 2023, 2024, and 2025 under the Trump EPA), effectively allowing continued nationwide summer sales on a stopgap basis.

The summer restriction on E15 is basically a statutory problem baked into the Clean Air Act (CAA) which sets the Reid Vapor Pressure (RVP) limits for gasoline sold during the summer ozone season (June 1–Sept. 15). Congress wrote a specific 1-psi RVP waiver into the law only for gasoline containing exactly 10% ethanol (E10). That is why Congress is the only pathway for a final fix to the problem because only Congress can amend the Clean Air Act and explicitly extend the 1-psi RVP waiver to E15
or create a new ethanol-neutral standard tied to emissions, not blend level.

Now the question is, what are the chances that this newly-formed E15 Rural Domestic Energy Council can get that done and passed by the end of this month? If I were a betting person, I would not put my money on it.

E15, Ethanol, Ethanol News

Guatemala Agreement Will Boost Ethanol Exports

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USTR Jamieson Greer and Guatemala Minister of Economy Adriana Gabriela Garcia

The United States–Guatemala Agreement on Reciprocal Trade signed on Friday by U.S. Trade Representative Jamieson Greer and Guatemala’s Minister of Economy Adriana Gabriela Garcia will help boost exports of U.S. ethanol to that country.

“President Trump’s leadership is forging a new direction for trade that promotes partnership and prosperity in Latin America, further strengthening the American economy, supporting American workers, and protecting our national security interests,” said Ambassador Greer.

Renewable Fuels Association President and CEO Geoff Cooper thanked the Trump administration for securing the agreement which includes a requirement for 10 percent ethanol blends for on-road gasoline (E10), and a purchase commitment for at least 50 million gallons of American-made ethanol annually. “Our nation’s 200 ethanol biorefineries are well-positioned to help Guatemala deliver lower prices at the pump and cleaner air for their citizens,” said Cooper. “Other countries in the region—including Panama, Costa Rica, and El Salvador—also hold great promise for expanded ethanol use, and we are excited to see Central America opening its doors to this opportunity.”

Gasoline consumption in Guatemala for 2026 is estimated at approximately one billion gallons; thus, an E10 standard means 100 million gallons of ethanol will be needed. As Guatemala currently exports much of its domestically produced biofuel, the move to E10 provides U.S. producers with a new export opportunity valued at roughly $150 million.

Ethanol, Ethanol News, Exports, Renewable Fuels Association, RFA

Groups Urge Council to Focus on E15

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A broad coalition of trade groups representing ethanol producers, petroleum refiners, farmers, and retailers is urging the newly formed Congressional Rural Domestic Energy Council to focus on only E15 to get legislation accomplished by the end of this month.

The coalition of stakeholders sent a letter to the co-chairs of the new council on Friday outlining recommendations for consensus legislation to permit year-round, nationwide sales of E15 and improve long-term policy certainty across the transportation fuel sector.

“[T]he time window for arriving at a recommended legislative solution is short, with the council expected to submit legislative solutions to the full House by February 15th, only 16 days from today. We applaud this expedited time frame as fuel producers and retailers are making decisions now about product offerings over the next year, farmers are making planting decisions, and a legislative fix is needed as soon as possible to provide fuel producers and retailers with a predictable policy framework as we approach the summer driving season,” the organizations wrote.

To “achieve a solution in short order,” the groups urged lawmakers to build upon H.R. 1346, the Nationwide Consumer and Fuel Retailer Choice Act, which was amended and offered for consideration by Representative Adrian Smith (R-NE) last week before the Rules Committee. These include fixing outdated regulations on summer sales of E15 and limiting the marketplace distortions caused by Small Refiner Exemptions (SRE) under the Renewable Fuel Standard (RFS). “H.R. 1346 has broad support from the overwhelming majority of biofuels, agriculture, fuel retail, and oil refining interests, and is the most comprehensive pathway to a legislative solution,” the organizations wrote.

Signatories on the letter included the Renewable Fuels Association, Agriculture Retailers Association, American Farm Bureau Federation, American Petroleum Institute, Corn Refiners Association, Growth Energy, National Association of Convenience Stores, National Association of State Departments of Agriculture, NATSO, National Corn Growers Association, National Sorghum Producers, and SIGMA.

The letter was sent to Reps. Stephanie Bice (R-OK) and Randy Feenstra (R-IA), who have been assigned as co-chairs of the council.

AFBF, Ag group, corn, E15, Ethanol, Ethanol News, Renewable Fuels Association, RFA

ACE Elects 2026 Officers

Cindy Zimmerman

The American Coalition for Ethanol Board of Directors has elected its 2026 Executive Committee and Troy Knecht of South Dakota as the new board president.

Knecht is a farmer representing Redfield Energy, a 63 million-gallon-per-year (MGY) ethanol producer in Redfield, South Dakota. “It’s humbling to be the incoming President of ACE. I’m thinking of so many industry giants and leaders who currently serve on the board or have in the past,” said Troy Knecht. “I look forward to carrying on their legacy and the mission of ACE. Our grassroots efforts to support the ethanol industry and rural America are more important than ever right now, and I don’t take that lightly.”

Troy Knecht

Knecht replaces Dave Sovereign, who will now serve as chairman of the board. Sovereign is chairman of Golden Grain Energy’s Board in Mason City, Iowa and also serves on the board of Absolute Energy in St. Ansgar, Iowa.

“We are enormously grateful for the leadership and dedication Dave Sovereign has demonstrated during his five years as ACE board president,” said ACE CEO Brian Jennings. “Fortunately, Dave will continue serving on the board, where his experience and insight will remain a valuable asset to ACE and the industry. Further, Troy Knecht will be an outstanding president. We are excited he is stepping into the role and look forward to a strong year ahead for ACE and the ethanol industry.”

Chris Studer was elected to serve as Vice President of the ACE Board. He is Chief Member and Public Relations Officer for East River Electric Power Cooperative, which is a founding member of ACE dating back to 1987.

Re-elected to serve as officers on the 2026 Executive Committee are:
Ron Alverson, Secretary
John Christianson, Treasurer
Bill Dartt – Cardinal Ethanol in Union City, Indiana

ACE, Ethanol, Ethanol News

2025 Ethanol Exports Again Set Record in 11 Months

Cindy Zimmerman

Just like 2024, ethanol exports in 2025 topped the previous year and set a new record before the year came to an end, providing a needed lift for the industry according to the Renewable Fuels Association (RFA).

According to data released today by the Census Bureau, 2025 U.S. ethanol exports through November totaled 1.96 billion gallons, already surpassing annual shipments of 1.94 billion gallons in 2024, which had smashed the previous record. With one month of data to go, calendar year 2025 exports were on pace to exceed 2 billion gallons for the first time, which would represent 13 percent of U.S. ethanol production, also a record.

“We’re going to set a new record. It’s going to be big, well over 2 billion gallons, and that’s exactly what the industry needed,” said RFA President and CEO Geoff Cooper in a recent Ethanol Report podcast. “It’s been a badly needed source of demand growth. We’re continuing to see growth in shipments to Canada and the United Kingdom and the European Union, but also places like Colombia, Peru, the Philippines.”

While Brazil and China maintain punitive trade barriers against U.S. ethanol, Cooper said the Trump administration’s efforts last year have helped to open markets and ensure a level playing field for American ethanol. While in Iowa this week, President Trump mentioned some of the trade deals that benefit ethanol producers. “So Japan will now allow the United States to supply up to 100% of automobile ethanol, automotive ethanol, and import Large amounts of aviation biofuels from the United States,” said Trump. “The United Kingdom will import nearly $1 billion of ethanol. That’s part of their deal.”

Canada remained by far the top destination for ethanol, accounting for over one-third of total exports. Through November, 726 million gallons of ethanol had been shipped to this vitally important market, which also was already a new annual record. Notably, exports to the European Union were on pace to roughly double from 2024, making it our second-largest market. Other top destinations included India, the United Kingdom, and Colombia.

Ethanol, Ethanol News, Exports, Renewable Fuels Association, RFA