2021 Next Generation Fuels Act Introduced in House

Cindy Zimmerman

Rep. Cheri Bustos (D-IL) and a bipartisan group of co-sponsors this week introduced the Next Generation Fuels Act of 2021, establishing a high-octane, low-carbon fuel standard. A similar bill was introduced last September.

Renewable Fuels Association President and CEO Geoff Cooper says the bill lays out an “innovative roadmap to more efficient, more affordable, lower-carbon fuels.”

Specifically, the Bustos bill would establish high-octane (95 and 98 RON) certification test fuels containing 20-30 percent ethanol, while requiring automobile manufacturers to design and warrant their vehicles for the use of these fuels beginning with model year 2026. The bill also includes a low-carbon requirement, specifying that the source of the octane boost must reduce lifecycle greenhouse gas emissions by an average of at least 40% compared to a 2021 gasoline baseline, as measured by the Department of Energy’s GREET model. The legislation also includes a restriction on the aromatics content of gasoline, ensures parity in the regulation of gasoline volatility (Reid vapor pressure), corrects key variables used in fuel economy testing and compliance, requires an update to the EPA’s MOVES model, ensures infrastructure compatibility, and addresses many other regulations impeding the deployment of higher octane blends at the retail level.

However, American Coalition for Ethanol CEO Brian Jennings says faulty carbon accounting in the bill would penalize
efficient ethanol producers.

“While this legislation checks much off the ethanol industry wish list, like the previous version, its inadequate approach to carbon accounting would undermine many ACE-member plants and other U.S. dry mill producers who have made investments to reduce the carbon intensity of their ethanol,” said Jennings.

He says the act contains a new “low carbon” octane standard which requires high octane fuel to be produced from sources with average lifecycle GHG emissions at least 40 percent cleaner than gasoline. “Because every ethanol facility has its own unique carbon intensity (CI), the legislation’s use of “average” on pages 29-31 of the bill text to determine the lifecycle GHG emissions of ethanol shortchanges many producers like Poet, KAAPA, Little Sioux Corn Processors, Ringneck Energy and dozens like them that have invested in technology innovations to reduce the CI of their fuel.”

Jennings explains more here

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Christianson Receives Paul Dana Award for HBIIP Work

Cindy Zimmerman

The American Coalition for Ethanol (ACE) presented the 2021 Paul Dana Marketing Vision Award to Christianson PLLP during last week’s annual conference. Jamey Cline, Business Development Director with Christianson, accepted the award on the company’s behalf.

Following the roll out of the U.S. Department of Agriculture’s Higher Blends Infrastructure Incentive Program (HBIIP), Christianson helped biofuel and corn organizations field questions from fuel retailers about the grant application process and helped retailers directly navigate the complicated application process to receive federal funds to make upgrades at their stations to sell higher ethanol blends.

“As soon as the HBIIP grants were announced we looked at them from our client’s perspective and created a curated program to assist them through the grant application,” Cline said. “I am delighted to not only be acknowledged for the work we have accomplished this past year, but to be surrounded by a team of colleagues, and organizations like ACE, who are passionate about helping our clients and furthering the renewable fuels industry.”

ACE 2021 Interview with Jamey Cline, Christianson PLLP 3:40

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Ethanol Answer Man Honored with Merle Anderson Award

Cindy Zimmerman

Legendary “Ethanol Answer Man” Larry Johnson was honored posthumously with the American Coalition for Ethanol‘s highest award, the Merle Anderson Award, named after the organization’s founder. Johnson passed passed away July 19, 2020 at the age of 76.

Most famous for driving the ethanol “answer van” around the Midwest to address questions from the public about the benefits of ethanol, Johnson was a Minnesota farmer who saw ethanol as a way to help rescue the rural economy from the 1980s farm crisis. As the former President of the Minnesota Corn Growers Association and member of the National Corn Growers Association Board of Directors, Larry was also instrumental in pushing for public policies to benefit farmers and the ethanol industry. The award was accepted by Larry’s wife, Sandy, and children Adam, Aaron and Angela.

ACE 2021 Interview with Adam Johnson, son of the Ethanol Answer Man 1:55

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Hormel Receives ACE Grassroots Award

Cindy Zimmerman

Steffen Mueller, Gail Dennison, Rick Schwark, Brian Jennings

The American Coalition for Ethanol 2021 Grassroots Award was presented last week to The Hormel Institute for research into whether gasoline containing ethanol (such as E10, E15, and E85) results in lower emissions of toxic chemicals known to cause cancer.

The study was a collaboration between The Hormel Institute, University of Minnesota and the Energy Resources Center, University of Illinois Chicago, and was published in the International Journal of Environmental Research and Public Health (2021) by Dr. Steffen Mueller of the Energy Resources Center and Dr. Shujun Liu and Gail Dennison of The Hormel Institute.

The institute was also recognized for contributions throughout the COVID-19 pandemic, including their collaboration with ACE member Absolute Energy to provide hand sanitizer to the Mayo Clinic.

Learn more in these interviews with Dennison and Mueller.
ACE 2021 Interview with Gail Dennison, Hormal 2:59

ACE 2021 Interview with Steffen Mueller, Energy Resources Center 9:19

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Ethanol Groups Push EPA on Low Carbon High Octane

Cindy Zimmerman

Ethanol groups offered testimony to the Environmental Protection Agency Wednesday during a virtual hearing on proposed greenhouse gas emissions standards for 2023-2026 light-duty vehicles, urging the agency to focus on low carbon, high octane ethanol.

“If our nation is to reach its goal of net-zero GHG emissions by mid-century, we’ll need both cleaner, more efficient cars and cleaner, more efficient fuels,” Renewable Fuels Association President and CEO Geoff Cooper said in prepared remarks. “That’s why RFA’s member companies recently committed to achieving a net-zero carbon footprint by 2050 or sooner.”

RFA expressed its disappointment that EPA’s proposed GHG standards continue to focus solely on engines and vehicles, while ignoring the important influence of fuels on emissions and mileage. “Unfortunately, EPA’s proposal fails to recognize that the fuels we put into our engines can have as much—or more—impact on fuel economy and GHG emissions as the engine technologies themselves,” Cooper said, noting that the proposal assumes automakers will increase production of certain engine technologies that rely on higher-octane fuels. “The proposed rule counts on broad deployment of high-compression ratio engines that will require high-octane fuel but does nothing to ensure those high-octane fuels will actually be produced and available in the marketplace.”

American Coalition for Ethanol (ACE) CEO Brian Jennings highlighted three specific recommendations for EPA’s consideration in the final rule

Establish a minimum Research Octane Number (RON) rating for fuel in the range of 98 to 100 RON with 25 to 30 percent ethanol and provide automakers with a corresponding cert fuel for engine testing purposes.
Adopt the latest Department of Energy GREET model with respect to the lifecycle GHG emissions of ethanol and other transportation fuels.
Instead of putting EPA’s thumb on the scale to favor electric vehicles through multipliers and compliance credits, establish a technology-neutral approach that also provides automakers with incentives to produce flexible fuel vehicles (FFVs) and vehicles designed to achieve optimal efficiency and reduced emissions on high octane ethanol blends.

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

ACE Honors Jordan with Policy Leadership Award

Cindy Zimmerman

The American Coalition for Ethanol (ACE) presented its 2021 Policy and Legislative Leadership Award to Brendan Jordan, Vice President of Transportation & Fuels with the Great Plains Institute.

Jordan was honored for his leadership in helping establish the Midwest Clean Fuels Policy Initiative and being a driving force behind the introduction of clean fuel legislation in Minnesota and other Midwest states. John Christianson of Christianson PLLP presented Jordan the award following a conference panel discussing the status of clean fuel policies.

ACE Policy & Legislative Leadership Award – Brendan Jordan, Great Plains Institute
ACE 2021 Interview with Brendan Jordan, Great Plains Institute 5:34

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ACE Wraps up Successful Conference

Cindy Zimmerman

The American Coalition for Ethanol (ACE) wrapped up its 34th annual conference in Minneapolis on Friday after a great two days of exciting information that had attendees feeling upbeat about the future despite facing some of the same challenges.

ACE CEO Brian Jennings says everyone was happy to be together and drew strength from each other, even as news reports swirled on Friday that the administration was planning to hit the industry with another punch by possibly lowering the renewable volume obligations (RVOs) under the RFS. “Unnamed sources are telling Reuters well, we think they’re either going to lower them or they’re not going to issue them and that tells me people don’t know,” said Jennings.

The conference program focused heavily on the low carbon opportunities for ethanol.

“…ACE has been highlighting how climate-smart farming practices, efficiencies at ethanol plants, and the capture and sequestration of biogenic CO2 from facilities puts ethanol on a trajectory to reach both net-zero and net-negative emissions — a trajectory that is unique to ethanol,” Jennings stated in his remarks, adding that ACE has also “helped mobilize diverse coalitions comprised of some environmental groups and electric vehicle advocates to pursue new technology-neutral clean fuel policies at the state and federal level that will ensure a growing market for low carbon ethanol even as overall petroleum use declines.”

Listen to Jennings’ remarks and wrap-up interview below.

ACE 2021 CEO Brian Jennings remarks 19:36

ACE 2021 CEO Brian Jennings wrap up interview 9:24

2021 Annual ACE Conference Photo Album

ACE Conference Virtual Newsroom

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USDA Invests $26 Million in Biofuel Infrastructure

Cindy Zimmerman

The U.S. Department of Agriculture (USDA) is investing $26 million to build infrastructure to expand the availability of higher-blend renewable biofuels by 822 million gallons annually in 23 states.

The announcement includes investments in California, Connecticut, Florida, Georgia, Illinois, Indiana, Iowa, Kansas, Kentucky, Maine, Massachusetts, Michigan, Mississippi, Missouri, Nebraska, New Mexico, New York, North Carolina, Ohio, Oklahoma, Rhode Island, Texas and Wisconsin.

The National Biodiesel Board (NBB) notes that the grants include funding for 12 projects from California to Connecticut to support nearly 771 million gallons of biodiesel per year. Moreover, the combined projects will reduce the nation’s carbon emissions by more than 7.2 million metric tons each year at a cost of less than $2.25 per ton.

“Updating America’s infrastructure to expand consumer access to low-carbon biodiesel and Bioheat® fuel is a low-cost, high-return investment in meeting the nation’s goals for near-term carbon reductions,” said Kurt Kovarik, NBB’s Vice President of Federal Affairs.

Renewable Fuels Association President and CEO Geoff Cooper says the grants will help facilitate the continued expansion of lower-carbon, lower-cost fuel blends like E15 and E85. “RFA is proud to have assisted many of these retailers and marketers in identifying their equipment needs and preparing their grant applications. We look forward to continuing to work with these innovative retailers as their projects enter the next phase. RFA thanks USDA and Secretary Vilsack for continuing to prioritize this important program,” said Cooper.

Biodiesel, E15, E85, Ethanol, Ethanol News, NBB, Renewable Fuels Association, RFA, USDA

Minnesota Ethanol Champion Addresses ACE

Cindy Zimmerman

Rep. Angie Craig (D-MN) may be from a more suburban area of Minnesota, but she clearly recognizes the value of agriculture and biofuels to her state.

“I care about ethanol because I care about good ag and energy policy in this country,” said Craig during remarks today before the American Coalition for Ethanol (ACE) conference. “Ethanol drives rural investment, it provides markets for our family farmers and it helps us address climate change.”

As Co-Chair of the Congressional Biofuels Caucus, Craig immediately jumped into action after a federal appeals court struck down an EPA rule that lifted restrictions on the year-round sales of E15 and introduced the Year-Round Fuel Choice Act. “I’m headed back to Washington on Monday and I’m gonna fight like hell to get year-round sales of E15 into the reconciliation bill, I’m going to fight for corn ethanol infrastructure in that infrastructure bill, and I’m gonna keep hounding the administration for those RVO targets.”

Rep. Angie Craig (D-MN) – interview and address
ACE 2021 interview with Rep. Angie Craig 3:35
ACE 2021 Rep. Angie Craig remarks 19:29

2021 Annual ACE Conference Photo Album

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ACE Re-Elects Board Members During Annual Meeting

Cindy Zimmerman

The American Coalition for Ethanol (ACE) announced the re-election of several board members to the organization’s board of directors during its annual business meeting prior to ACE’s 34th annual conference in Minneapolis, Minnesota.

Seven incumbents were re-elected to the board of directors for three-year terms:

Cardinal Ethanol – Represented by Bill Dartt
Christianson PLLP – Represented by John Christianson
Dakota Ethanol – Represented by Ron Alverson
Granite Falls Energy – Represented by Kenton Johnson
Nebraska Public Power District – Represented by Brian Vasa
North Dakota Corn Growers Association – Represented by Anthony Mock
Renewable Products Marketing Group – Represented by Doug Punke
The annual conference officially gets underway this morning.

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