MN Ethanol Industry Bounces Back in 2021

Cindy Zimmerman

Minnesota’s ethanol production and demand recovered last year from the slowdown in 2020, producing 1.27 billion gallons of ethanol in 2021, 33 percent higher than 2020’s volume, according to a new study by the University of Minnesota Extension.

The study found the ethanol industry contributed $1.3 billion in income for Minnesota residents while paying $123 million in state and local taxes. “This new study once again illustrates the importance of Minnesota’s ethanol industry to the state’s economy,” said Tim Rudnicki, executive director of the Minnesota Bio-Fuels Association.

The study said Minnesota’s ethanol industry used 454.1 million bushels of corn in 2021. This represented 31 percent of the 1.5 billion bushels harvested in Minnesota in 2021. The industry also produced 3.7 million tons of dried distillers grains with solubles (DDGS) and 332.3 million pounds of corn oil in 2021.

Ethanol, Ethanol News

RFA Partners with Hauk Designs on Flex-Fuel Can-Am UTV

Cindy Zimmerman

The Renewable Fuels Association is once again working with Hauk Designs on a new project that takes higher blends of ethanol to new places.

Following the successful flex-fuel Jeep Wrangler project in 2019, RFA and the Missouri Corn Merchandising Council are working together on a new Can-Am X3 project running on low-carbon E85 fuel, to be featured on Season 4 of the popular Hauk Machines television program.

“Kenny Hauk and his team once again helped us with an exciting project that will show the power of ethanol for those who like to take their fun off-road,” said RFA Vice President for Industry Relations Robert White. “As with all our projects, we want to demonstrate the many benefits of renewable fuels like ethanol and show how they can be used in recreational vehicles, whether those are Can-Am UTVs, motorcycles, snowmobiles, or fishing boats.”

A teaser for Season 4, showing the Can-Am playing in the snow before this project started and also showing off the 1200-hp RFA flex-fuel Jeep Wrangler, is now available online. Mini-episodes of the show will air on RFA social media when available.

E85, Ethanol, Ethanol News, Flex Fuel Vehicles, Renewable Fuels Association, RFA

Nuseed and bp Contract for Carinata as Biofuel Feedstock

Cindy Zimmerman

Nuseed and BP Products North America (bp) have entered into a 10-year strategic agreement for the use of Carinata oil in the production of sustainable biofuels.

Nuseed Carinata is a non-food cover crop that can be used to produce low-carbon biofuel feedstock that is independently certified, sustainable and scalable.

Increased global demand for biofuels is being driven by the need to access sustainable sources of energy to help achieve global greenhouse gas (GHG) reduction targets.

“Sustainable biofuels have a vital role to play in decarbonizing transport, said Carol Howle, executive vice president, trading & shipping at bp. “By working with Nuseed, we can use their sustainable feedstock to help decarbonize challenging transportation sectors such as aviation, supporting the production of sustainable aviation fuel (SAF) and other biofuels.”

Nuseed Group Executive Brent Zacharias said, “Nuseed Carinata is a proven, drop-in solution for biofuel processors that’s ready to scale globally on existing farmland between main food crops. Nuseed Carinata demonstrates how agriculture and energy companies can work together to meet demand for biofuels that lower lifecycle carbon emissions. This agreement enables us to accelerate the expansion of Carinata production to increase biofuel feedstock sustainably, while supporting higher economic returns on Nuseed’s investment in the Carinata platform.”

Nuseed is currently increasing commercial production in Argentina and planning expansion programs in South America and the United States. bp produces renewable diesel from biomass-based feedstocks and expects to initially target low-carbon biofuel markets in Europe and North America, including in the United States where it recently announced a project to expand renewable diesel production capability to an estimated 2.6 million barrels a year in 2022.

advanced biofuels, aviation biofuels, Carbon, feedstocks

Senators Urge Support for RFS

Cindy Zimmerman

A bipartisan group of U.S. senators led by Chuck Grassley (R-IA) and Amy Klobuchar (D-MN) sent a letter this week urging the Environmental Protection Agency (EPA) to prioritize the Renewable Fuel Standard (RFS) and to support biofuels.

Specifically, the lawmakers call on the Biden administration to maintain the blending requirements for 2022; deny all pending Small Refinery Exemptions (SREs); eliminate proposed retroactive cuts to the renewable volume obligations (RVOs); and set 2021 RFS volumes at the statutory levels.

The senators write that by the Biden administration taking those actions, “the EPA can quickly restore integrity, stability, and growth to the RFS and the U.S. biofuel sector while ensuring that the program continues to reduce greenhouse gas emissions, diversify our fuels, drive down gas prices, strengthen our national security, and drive rural economic opportunity.”

“These senators understand that the RFS is the most powerful and effective tool we have to immediately reduce greenhouse gas emissions from the transportation sector, keep consumer gas prices in check, and support a vibrant rural economy,” said Renewable Fuels Association (RFA) President and CEO Geoff Cooper. “RFA proudly stands with them in calling on the Biden administration to follow through on its commitments to put the RFS back on track.”

“As EPA prepares to make several important announcements regarding the RFS this year, the bipartisan backing and leadership of these senators is greatly appreciated,” American Coalition for Ethanol (ACE) CEO Brian Jennings said. “By taking the senators’ recommendations … EPA can fully utilize the RFS for its enacted purpose, to replace petroleum with low carbon alternatives, which will help grow demand for biofuels that benefit rural America as well as the Administration’s decarbonization goals.”

EPA’s public comment period on its proposals to cut the 2020 RVO and establish RVOs for 2021 and 2022 ends on Friday, February 4.

ACE, EPA, Ethanol, Ethanol News, Renewable Fuels Association, RFA

EPA to Host Biofuel Greenhouse Gas Modeling Workshop

Cindy Zimmerman

The Environmental Protection Agency (EPA) is hosting a virtual public workshop on biofuel greenhouse gas (GHG) modeling February 28 – March 1.

This workshop seeks to solicit information on the current scientific understanding of greenhouse gas modeling of land-based biofuels and how this information can be applied to a range of current and future actions. EPA is explicitly seeking comment on the following questions: 1) what sources of data exist and how can they be used to inform the assumptions that drive GHG estimates; 2) how best to characterize the sources of uncertainty associated with quantifying the GHG emissions associated with biofuels; and 3) what model(s) are available to evaluate the lifecycle GHG emissions of land-based biofuels, and do the model(s) meet the Clean Air Act requirements for quantifying the direct and significant indirect emissions from biofuels.

The information gathered through the workshop will be used by EPA for quantifying the greenhouse gas emissions under the Renewable Fuels Standard, including how to incorporate the best available science into updating the lifecycle analysis (LCA) used for biofuels, and “what steps EPA should take next in this work area.”

Due to the COVID-19 pandemic, this workshop will be held virtually only using Zoom.
Registration link: https://usepa.zoomgov.com/webinar/register/WN_GQe27rZQR2aRaqZ3GdSvcw

Biodiesel, biofuels, Carbon, EPA, Ethanol, Ethanol News

Seven Receive National Ethanol Conference Scholarships

Cindy Zimmerman

The Renewable Fuels Foundation has awarded seven recipients with the Robert Sather Memorial Scholarships to attend the annual National Ethanol Conference (NEC).

Those receiving scholarships include Jean Claude Mbarushimana, a Virginia Tech graduate student studying agricultural and applied economics. In addition, six members of the Renewable Fuels Association Young Professionals Network will be attending on scholarship: Daehwan Kim, an Assistant Professor of Biology at Hood College; Justin Diehm, Commodity Manager at East Kansas Agri-Energy; Kyle Sonderman, Lab Manager at Show Me Ethanol; Traci Menke, Executive Assistant at Renewable Fuels Nebraska; Jessica Sodeke, Ethanol Program Manager at Nebraska Ethanol Board; and Joe Shanle, Plant Manager, Trenton Agri Products.

Now in its 13th year, the NEC scholarship program was named in honor of Robert “Bob” Sather, an educator who helped found RFA member company Ace Ethanol in Wisconsin. Sather was a longtime Chair of the Renewable Fuels Foundation and the aim of the Bob Sather Memorial Scholarship is to encourage young adults aspiring to a career related to renewable fuels.

The 27th annual National Ethanol Conference takes place February 21-23 in New Orleans and is the nation’s most widely attended executive-level conference for the ethanol industry.

Ethanol, Ethanol News, National Ethanol Conference, Renewable Fuels Association, RFA

MN Soybean Members See Biodiesel Conference

Cindy Zimmerman

A dozen Minnesota soybean and biodiesel industry leaders had the opportunity to attend the recent National Biodiesel Conference on behalf of the Minnesota Soybean Research & Promotion Council’s (MSR&PC) See For Yourself (SFY) program.

The SFY Program was originally created as an evaluation to ensure checkoff dollars were being used effectively to support the biodiesel industry and to overall help farmers’ bottom line. As a result, collaboration between industry and the farmers has built the program to what it is today.

“The ultimate goal is to educate the fuel system in Minnesota,” said MSR&PC Director Jim Willers, who attended the conference. “We want any walk of life that has anything to do with diesel fuel to become educated on the ins and outs of biodiesel.”

In addition to Willers, those who attended included MSR&PC farmer board member Ron Obermoller, Nick Bredeson with Kibble Equipment and Dan Schmidt, Ag Partners Coop. Listen to the interviews below to hear their reactions to what they saw for themselves at the biodiesel conference.

NBB2022 Interview with Jim Willers, MN Soy (2:55)

NBB2022 Interview with Nick Bredeson, Kibble Equipment (1:50)

NBB2022 Interview with Dan Schmidt, Ag Partners Coop (2:25)

NBB2022 Interview with Ron Obermoller, MN Soy (4:20)

Audio, Biodiesel, Biodiesel Conference, National Biodiesel Conference, Soybean, Soybeans

Ethanol Report Previews 2022 NEC

Cindy Zimmerman

From emerging technologies and new uses to opportunities in global carbon reduction policies, market insights, and international and domestic marketplace developments, there is much to learn and experience at the 27th Annual National Ethanol Conference: Zeroing in on New Opportunities.

New Orleans is the place where the ethanol industry will meet February 21-23 and Renewable Fuels Association president and CEO Geoff Cooper says the agenda is packed but the best reason to go is to be in person again.

Cooper previews the NEC in this edition of The Ethanol Report.

Ethanol Report 1-31-22 (11:01)

The Ethanol Report is a podcast about the latest news and information in the ethanol industry that has been sponsored by the Renewable Fuels Association since 2008.

Choose an option to subscribe

Audio, Ethanol, Ethanol News, Ethanol Report, National Ethanol Conference, Renewable Fuels Association, RFA

EPA Extends RFS Compliance Deadlines

Cindy Zimmerman

The Environmental Protection Agency announced four actions Friday that include extending the 2019 Renewable Fuel Standard compliance deadline for small refineries as well as the 2020, 2021 and 2022 deadlines for all companies subject to biofuel usage mandates.

The final extensions (both for 2019-2022 and for 2023+) will help ensure that obligated parties are positioned to fully comply with their RFS obligations by ensuring that each year’s compliance deadline falls after the standards for the subsequent compliance year are known. The approach for 2023+ will also avoid EPA having to repeatedly extend compliance deadlines for obligated parties should promulgation of the subsequent year’s standards be delayed.

The ethanol industry expressed disappointment with the final rules. Renewable Fuels Association president and CEO Geoff Cooper said they are especially concerned by the new approach the agency is taking to future RFS compliance deadlines. “With this final rule, EPA just gave itself the power to perpetually delay implementation of yearly RFS blending requirements and continually kick the can down the road on compliance deadlines. This is not what Congress intended, and this approach could exacerbate the uncertainty and instability around RFS implementation that was created by the past administration. Ethanol producers, farmers, fuel retailers, and refiners need and deserve certainty and predictability when it comes to RFS implementation timelines. That’s why Congress put certain annual deadlines into the law for RFS implementation.”

Listen to Cooper’s comments on the final RFS compliance deadline rules
RFA CEO Geoff Cooper comments on EPA rules (5:08)

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

Last Ever National Biodiesel Conference Wrap

Cindy Zimmerman

The 2022 National Biodiesel Conference was the last one that will be held going forward with the official name change for the biodiesel board now being Clean Fuels Alliance America, or just Clean Fuels for short.

“Next year for our 20th conference it will be rebranded in keeping with the organization’s new name,” said Clean Fuels CEO Donnell Rehagen at the closing session of the conference last week.

The rebrand to Clean Fuels takes in renewable diesel and sustainable aviation fuel in addition to traditional biodiesel. “All those markets are a little bit different,” said Rehagen. “We recognize how important the biodiesel brand has been … so we’re not turning our back on biodiesel.”

Listen to Rehagen talk with reporters about the rebranding at the conference last week.
NBB22 Donnell Rehagen Press Conference (11:29)

“Our industry is diversifying to meet a growing number of needs,” said Clean Fuels Chairman Chad Stone with Renewable Energy Group during his address at the conference. “It’s not about either or, it’s about getting full value for biodiesel, and renewable diesel, and sustainable aviation fuel.”
NBB22 - Chad Stone, REG (13:39)

Find all the photos here:
2022 National Biodiesel Conference Photo Album

advanced biofuels, Audio, Biodiesel, Biodiesel Conference, Clean Fuels Alliance, renewable diesel