Ohio Governor Petitions EPA on E15

Cindy Zimmerman

Ohio Governor Mike DeWine sent a letter Friday to Environmental Protection Agency Administrator Michael Regan asking that the agency permanently remove restrictions around the sale of 15 percent ethanol (E-15) fuel.

“E-15 offers Ohio consumers cleaner emissions, more fuel from renewable sources, and, perhaps most critically, a less expensive fuel option,” said Governor DeWine. “By permanently removing unneeded summertime E-15 regulations, we can encourage more Ohio gas stations to offer E-15 and give Ohioans an option that provides real gas price relief.”

Earlier this year, the U.S. EPA issued an emergency waiver for 2022, allowing for the sale of E-15 during the summer months when environmental regulations typically prohibit its use. Governor DeWine is requesting that the summer waiver become permanent beginning in the summer of 2023.

Renewable Fuels Association President and CEO Geoff Cooper thanked Gov. DeWine for joining eight governors from Iowa, Illinois, Kansas, Minnesota, Nebraska, North Dakota, South Dakota and Wisconsin that took a similar action earlier this year.

“Gov. DeWine should be applauded for pursuing a simple regulatory solution that will allow consumers in Ohio to benefit from E15’s lower cost and lower emissions throughout the year,” said Cooper. “We continue to call on other states and the EPA to take similar action, so that the benefits of E15 can be permanently enjoyed by drivers across the nation.”

The E15 blend currently provides drivers savings of up to 40 cents a gallon or more, compared to regular unleaded E10 gasoline. Cooper also highlighted recent research from refining sector experts that showed the action sought by the governors would impact gasoline production costs by just 1.5 cents per gallon or less in the Midwest.

E15, Ethanol, Ethanol News, Renewable Fuels Association, RFA

RFA Revved Up for 2022 Fuel Ethanol Workshop

Cindy Zimmerman

The Renewable Fuels Association is packing up the UTV and heading to Minneapolis next week to take part in the 38th annual International Fuel Ethanol Workshop and Expo next week.

This year, RFA has three staff members speaking at the conference, while also showcasing its recent build with Hauk Designs, the Flex-Fuel Can-Am UTV, at its Expo Booth.

“We are thrilled to be back again attending the 2022 Fuel Ethanol Workshop and Expo,” said RFA President and CEO Geoff Cooper, who provided the keynote address at last year’s FEW. “With some of our leading staff speaking each day of the conference, and with a great presence in the Expo again this year, we hope to help attendees see the great opportunity and innovation that lies ahead for our industry.”

RFA Vice President for Industry Relations Robert White will be presenting a look at today’s U.S. ethanol industry in the annual FEW Ethanol 101 Workshop, at 1:30 p.m. Monday. During the FEW General Session Tuesday morning, RFA Senior Vice President for Government and Public Affairs Troy Bredenkamp takes part in an executive roundtable on cementing ethanol’s place in tomorrow’s fuels portfolio. Finally, at 1:30 p.m. on Wednesday, Vice President for Technical and Regulatory Affairs Kelly Davis will moderate a breakout panel on exploring new uses for ethanol to diversify markets.

The Fuel Ethanol Workshop runs June 13-15.

Ethanol, Ethanol News, FEW, Renewable Fuels Association, RFA

Navigator to Provide Carbon Services for POET Plants

Cindy Zimmerman

Navigator CO2 Ventures has signed an agreement to provide carbon capture, utilization, and storage (CCUS) services to POET biorefineries on Navigator’s Heartland Greenway system.

The agreement outlines Navigator’s integrated CCUS services for approximately five (5) million metric tons of POET’s biogenic CO2 annually and establishes a collaborative path for the development of a central carbon offset marketplace and carbon use logistics platform. The system will phase in 18 of POET’s bioprocessing facilities across Iowa, Nebraska, and South Dakota, and is on schedule for operational in-service in 2025.

“We recognize that now is the time to take bold action to preserve our planet for future generations,” said Jeff Broin, POET Founder and CEO. “POET has been a leader in low-carbon biofuels and CO2 capture for commercial use for decades, and this project is another significant step in utilizing bioprocessing to accelerate our path to net-zero. We choose our partners carefully, and we believe Navigator has the expertise to deliver long-term value to rural America by further positioning agricultural commodities as a viable source of low-carbon liquid fuels to power our future.”

The companies say the joint effort will create the largest combined distribution network for high-quality, biogenic CO2. With the addition of POET to the platform, Navigator’s Heartland Greenway system will provide CCUS services for more than 30 industrial processors across the agriculture and food production value chains, representing over 10 million tons of annual CO2 emissions, including the two largest bioethanol producers in the United States.

biofuels, Carbon, carbon capture, Ethanol, Ethanol News

Indy 500 Highlights Ethanol’s Role in Global Market

Cindy Zimmerman

The U.S. Grains Council (USGC) in collaboration with the Indiana Corn Marketing Council, hosted delegations from Japan, South Korea, India and Indonesia at the recent Indianapolis 500 to see the role ethanol plays in the annual race.

Fourteen participants from Indonesia, Japan and Korea were in Illinois to gain on-the-ground experience including stops at farms, retail stations and ethanol plants.

In a similar fashion, a group of 11 participants from India’s automobile trade, government and petroleum industry were in Missouri to get a better understanding of the U.S. ethanol value chain and the environmental, economic and health benefits ethanol presents. Discussions at the various facilities spanned across the technology of ethanol pumps, retail infrastructure and production capacity.

Upon arriving in Indiana, both groups had the opportunity to meet with several drivers competing in the race before taking part in an educational session on ethanol blending and its benefits. The group heard from several speakers during the session: ethanol distributors and retailers, an automotive repair shop and a race organizing agency. The presentations facilitated technical conversations about best practices for ethanol blending among participants from the various countries.

Ethanol, Ethanol News, Indy Racing, USGC

Millions and Billions of Miles on E15

Cindy Zimmerman

NASCAR drivers have driven 20 million E15 miles on the track while regular drivers have logged more than 30 billion miles off the track on the 15% ethanol blend fuel, according to Growth Energy.

E15 is currently available at more than 2600 stations in 31 states and is offering drivers a lower priced alternative fuel with rising gas prices. E15 is approved for more than 96 percent of light duty vehicles, which account for 98 percent of all vehicle miles traveled in the United States. Even before the recent run-up in oil prices, it was estimated that nationwide access to E15 could save drivers $12.2 billion annually in fuel costs.

Sunoco Green E15 has powered NASCAR since 2011 and reduced greenhouse gas emissions by 20 percent across NASCAR’s three national touring series while also increasing horsepower on the racetrack. To celebrate the 20 million mile mileston, Austin Dillon drive the No. 3 Get Bioethanol Chevrolet for Richard Childress Racing Sunday at the NASCAR Cup Series Enjoy Illinois 300 presented by TicketSmarter.

E15, Ethanol, Ethanol News, NASCAR, Racing

RFA CEO Comments on Final EPA Actions

Cindy Zimmerman

The final regulatory actions taken today by the Environmental Protection Agency (EPA) bring certainty back to the Renewable Fuel Standard and pave the way for future growth in the production and use of low-carbon renewable fuels, and will lead to lower gas prices and greater energy security, according to the Renewable Fuels Association.

“At long last, the RFS is being put back on track. Today’s actions by EPA and the Biden administration restore integrity and stability to the RFS program after several years of wanton mismanagement and abuse by the previous administration,” said RFA President and CEO Geoff Cooper. “The combination of a strong RVO for 2022, restoration of illegally waived volume from 2016, and a new direction for the SRE program puts the RFS program on solid footing for the future. We thank Administrator Regan and President Biden for honoring their commitments to implement the RFS in a way that is fair, transparent, and focused on growth.”

Cooper also noted that today’s package couldn’t have come at a more important time, as consumers are facing record high gas prices driven by instability in global energy markets. “By requiring petroleum refiners to blend larger volumes of low-cost biofuels like ethanol, today’s actions will put downward pressure on gas prices and provide economic relief to American families facing record high pump prices,” he said. “In the last few days alone, wholesale ethanol prices have been as much as $1.30 per gallon lower than gasoline, leading to significant savings at the pump for consumers of ethanol-blended fuels like E10, E15, and E85.”

RFA released an explainer documenting how ethanol reduces prices at the pump, due to its lower cost and the fact that it augments the overall fuel supply.

Cooper says they are disappointed with the EPA’s decision to reopen and retroactively lower RFS requirements for 2020, which they believe is entirely unnecessary. “The RVO already includes a self-correcting mechanism that caused actual renewable fuel volume requirements to adjust lower when COVID led to reduced gasoline and diesel consumption. In addition, EPA has consistently acknowledged in the past that it lacks the authority to go back in time and reopen annual RVOs that have already been finalized and implemented.”

Listen to Cooper’s comments on the EPA announcement and also USDA’s announcement that COVID recovery payments for biofuels producers for losses incurred in 2020 are finally going out to producers.
RFA CEO Geoff Cooper (7:32)

Audio, Ethanol, Ethanol News, Renewable Fuels Association, RFA

EPA Finalizes RFS Rules

Cindy Zimmerman

The Environmental Protection Agency finalized a package of actions Friday setting biofuel volumes for the Renewable Fuel Standard (RFS) program for years 2020, 2021, and 2022, and introducing regulatory changes intended to enhance the program’s objectives.

EPA also established a 250-million-gallon “supplemental obligation” to the volumes finalized for 2022 and stated its intent to add another 250 million gallons in 2023, to address the remand of the 2014-2016 annual rule by the DC Circuit Court of Appeals in Americans for Clean Energy v. EPA.

To promote efficiency and opportunity in producing biofuels, this action also establishes a regulatory framework that allows biointermediates to be included in the RFS program, while ensuring environmental and programmatic safeguards are in place.

According to the Renewable Fuels Association, the final regulatory actions taken by EPA “bring certainty back to the Renewable Fuel Standard and pave the way for future growth in the production and use of low-carbon renewable fuels”, and will lead to lower gas prices and greater energy security. However, RFA President and CEO Geoff Cooper says they are disappointed with the EPA’s decision to reopen and retroactively lower RFS requirements for 2020, which they believe is entirely unnecessary.

American Coalition for Ethanol (ACE) CEO Brian Jennings agreed. “While we strongly object to the unnecessary retrospective cut EPA is making to 2020 volumes, we are pleased the Agency is upwardly revising the 2021 volumes to align more closely with actual consumption and upholding base conventional volume of 15 billion gallons for 2022, along with 250 million supplemental gallons to address the DC Circuit court order in 2017.”

Clean Fuels Alliance America is pleased the final rule recognizes the continued growth of biodiesel, renewable diesel and other clean fuels and establishes readily achievable program obligations. Vice president of federal affairs Kurt Kovarik says they particularly support EPA’s decision to deny pending small refinery exemptions and its consistent finding that the program benefits Americans without hardships for refiners. “EPA’s denial of pending small refinery exemptions for 2019 through 2021 assures our industry that the volumes set today will be fully met, even with compliance flexibilities. This is an important first step in restoring integrity to the program.”

Kovarik says they encourage the agency to quickly finalize new feedstocks pathways, such as that for canola oil.

ACE, Biodiesel, biofuels, Clean Fuels Alliance, EPA, Ethanol, Ethanol News, Renewable Fuels Association, RFA

USDA Provides COVID Payments for Biofuel Producers

Cindy Zimmerman

It was June 15, 2021 when Agriculture Secretary Tom Vilsack announced additional aid to agricultural producers and businesses as part of the USDA Pandemic Assistance for Producers initiative, which included $700 billion for biofuels producers, for losses incurred in 2020.

Not quite an entire year later, USDA finally made good on that promise today, providing more than $486 million for 62 producers located in “socially vulnerable communities” with a total of more than 100 biofuel producers and 195 facilities.

USDA is making payments to 195 biofuel production facilities to support the maintenance and viability of a significant market for agricultural producers of products such as corn, soybean or biomass that supply biofuel production. These biofuel producers experienced unexpected market losses on a combined 3.7 billion gallons as a result of COVID–19.

For example:

In Iowa, Southwest Renewable Energy LLC is receiving a payment of $3 million. It suffered a market loss on 14.3 million gallons of ethanol due to the pandemic.
In Illinois, Adkins Energy is receiving a $774,000 payment. Its biomass-based diesel production suffered a market loss on almost 3.5 million gallons due to the pandemic.
In Texas, White Energy Holding Company is receiving a $21 million payment for production at two facilities. Its ethanol production suffered a market loss on 98 million gallons due to the pandemic.

The investments USDA is making today will support biofuel producers in California, Colorado, Georgia, Hawaii, Illinois, Indiana, Iowa, Kansas, Kentucky, Massachusetts, Michigan, Minnesota, Missouri, North Carolina, North Dakota, Nebraska, New York, Ohio, Pennsylvania, South Dakota, Tennessee, Texas, Utah, Virginia and Wisconsin.

Ethanol, Ethanol News, USDA

Input Sought for Ethanol Book

Cindy Zimmerman

August 8, 2005 was a pivotal moment for the U.S. ethanol industry with the signing of the Energy Policy Act that created the first Renewable Fuel Standard (RFS). After 30 years of working toward recognition as a viable alternative fuel that could help reduce our dependence on foreign oil while providing a new market for corn growers, the tide was finally turning.

The road getting to the first RFS was long and bumpy and the ride since 2005 has been chaotic. It’s a story that needs to be told and Energy.AgWired is taking on the task and we need input from the people who have lived it.

This website was started in September 2005, just weeks after the signing of the bill, and it contains an archive of photos and interviews over the years since that time. I would like to hear from the farmers and ethanol producers and industry leaders who were part of getting us to where we are today, the stories of the pioneers and the champions who made it happen.

Please feel free to comment on this post or send me an email cindy@zimmcomm.biz and tell me your story.

Ethanol, Ethanol News

Export Exchange is Back for 2022

Cindy Zimmerman

The Renewable Fuels Association, U.S. Grains Council (USGC) and Growth Energy are pleased to open registration for the first Export Exchange since 2018, scheduled for October 12-14, 2022, in Minneapolis.

The biennial event had to be cancelled due to COVID in 2020 and again in 2021 but this year the sponsoring organizations expect to bring together 200 international buyers and end-users of coarse grains and co-products, including distiller’s dried grains with solubles (DDGS), with approximately 300 U.S. suppliers and agribusiness representatives.

“Export Exchange is uniquely focused on connecting international grain buyers with U.S. suppliers,” said Chad Willis, USGC chairman and farmer from Minnesota. “We are excited to have members of the export industry join us and so many of our customers in Minneapolis this fall to learn the latest about U.S. exports and how to purchase.”

Reported sales associated with the last Export Exchange in 2018 included approximately 1.3 million metric tons of grains and co-products worth $403 million traded either at the conference or immediately before or after.

“Over the past few decades, DDGS has evolved into an invaluable component of the global animal feed market. Today, one out of every three tons of DDGS produced in the United States is exported to customers around the world,” said RFA President and CEO Geoff Cooper. “Export Exchange offers unparalleled opportunities for face-to-face engagement between U.S. producers and existing and potential DDGS customers.”

Registration and more information is available at ExportExchange.org.

corn, Distillers Grains, Ethanol, Ethanol News, Export Exchange, Exports, Grains, Renewable Fuels Association, RFA, USGC