Sen. Pat Roberts Bids Farewell

Cindy Zimmerman

Sen. Pat Roberts, the Republican from Kansas who has served as a leader in both the House and Senate Agriculture Committees over his four decade career in Congress, said goodbye to his Senate colleagues Thursday in a farewell floor speech.

The outspoken senator who helped to write the past eight farm bills spoke about his background, how he went from journalist to politician, the importance of agriculture, the turbulence of the ’60s, and working together for the good of the country. “Let us once again become a body of respect, humility, cooperation, achievement, and yes, friendship. That can and should be our new normal,” said Roberts. “The entire country could use a little bit of what we say in Kansas – to the stars through difficulty.”

Listen to his farewell here:
Sen. Pat Roberts farewell floor speech 24:11

Government, politics

DOJ Opposes Supreme Court Review of RFS Waivers Decision

Cindy Zimmerman

The Department of Justice has recommended against a Supreme Court review of the Tenth Circuit Court’s ruling earlier this year that invalidated several small refinery exemptions issued by EPA under the Renewable Fuel Standard. The DOJ filed its response Wednesday to a petition submitted in September by oil refineries HollyFrontier Corporation and CVR Energy asking the Supreme Court to review the Tenth Circuit’s January decision.

The petitioners in the original Tenth Circuit Court challenge – the Renewable Fuels Association, National Corn Growers Association, National Farmers Union, and American Coalition for Ethanol – welcomed the government’s brief opposing Supreme Court review of the appeals court decision. RFA, NCGA, NFU and ACE plan to file their own brief with the Supreme Court today echoing the points raised by DOJ and adding others in opposing review of the Tenth Circuit’s decision.

DOJ told the Court in its brief that this issue did not warrant the high court’s review and stated that the refiners’ petition asking for review “should be denied.” Citing the standards established by the Supreme Court, the government conceded that the Tenth Circuit’s decision did “not meet this Court’s ordinary criteria for granting certiorari.”

A coalition of the original petitioners, with two additional biofuel organizations, filed a brief Tuesday challenging the Environmental Protection Agency’s August 2019 decision to exempt 31 small refineries from their obligations to comply with the Renewable Fuel Standard in 2018.

ACE, biofuels, Ethanol, Ethanol News, RFA

SIRE Announces Resignation of Longtime Board Member

Cindy Zimmerman

Southwest Iowa Renewable Energy today announced the resignation of former Iowa State Senator and farmer Hubert M. Houser as a member of SIRE’s board of directors and chair of the Board’s Nominating Committee, effective immediately.

Houser has been a member of the Board since 2005 as the owner of farm, cow-calf and poultry operation located near Carson, Iowa. He served in the Iowa Legislature from 1992 to 2015, first in the House of Representatives and then in the Senate (from 2002 to 2015).

Karol King, Chairman of SIRE’s Board of Directors said: “Hubert Houser is one of the key founders of SIRE, having worked for years to attract additional industry, in particular value-added ag business, to Pottawattamie County and southwest Iowa. Hubert’s leadership and vision included strategic steps to assemble sufficient real estate for SIRE, in advance of the Company’s formation. The respect for Hubert’s long history of public service and his experience with public entities and private business were key to SIRE over and over through the years.”

Mike Jerke, SIRE’s Chief Executive Officer, said: “Since joining SIRE, I have valued Senator Houser’s unique perspective, thoughtfulness and wisdom, I appreciated his consistent challenging of management to carefully evaluate short term and long term aspects of significant actions. Everyone at SIRE wishes Hubert the best as he continues expansion of his farming operations, with many new and innovative projects.”

Ethanol, Ethanol News

Biofuels Coalition Challenging Small Refinery Waivers in 2018

Cindy Zimmerman

A coalition of six biofuel and farm organizations filed a brief Tuesday challenging the Environmental Protection Agency’s August 2019 decision to exempt 31 small refineries from their obligations to comply with the Renewable Fuel Standard in 2018.

The Renewable Fuels Association, Growth Energy, National Corn Growers Association, National Biodiesel Board, American Coalition for Ethanol, and National Farmers Union, collectively known as the Biofuels Coalition for this case, submitted its filing to the D.C. Circuit Court of Appeals, arguing that EPA lacked the authority to issue such exemptions and that it acted in an arbitrary and capricious manner in attempting to do so.

“Among all of EPA’s indefensible actions surrounding small refinery exemptions in recent years, the Agency’s two-page decision to grant 31 waivers from 2018 RFS compliance really takes the cake. Enough is enough,” Coalition representatives said. “The EPA had absolutely no legal basis for continuing to destroy demand for renewable fuels, which is contrary to the intent of Congress for the RFS program. When it adopted the RFS in 2005, Congress clearly intended for small refinery exemptions to be temporary in nature. Yet, 15 years later, some refiners—most of whom have readily complied with RFS obligations in the past—are trying to claim they need more time to prepare for compliance with RFS requirements. If these exemptions were meant to be a ‘bridge to compliance’, as concluded by the courts, it should be obvious that we all crossed that bridge many years ago.”

ACE, Ag group, Biodiesel, corn, EPA, Ethanol, Ethanol News, Growth Energy, NBB, NCGA, NFU

Basse Expects China to Purchase Ethanol Soon

Cindy Zimmerman

Dan Basse of AgResource Company presented his 8th annual agricultural outlook American Seed Trade Association (ASTA) virtual CSS and Seed Expo this week.

While 2020 was rough on the ethanol industry, Basse believes renewable fuels will benefit under a Biden administration. “I think initially they’ll try to lean green so I think it’s favorable for the U.S. ethanol industry,” he said, forecasting about 5.3 billion bushels of corn to go into ethanol production next year.

Basse also expects demand for ethanol in China to increase and purchases to be made soon. “They’re now kicking tires to buy U.S. ethanol and some of those high value products which they can buy before the end of the year,” he said.

ASTA ethanol questions for Dan Basse, AgResource (3:06)

Basse is bullish on agriculture for the year ahead. “In my 40 years I’ve never seen a change as dramatic as we had in August and September in which we lost crops from a flash drought in the central U.S. and then we had this demonstrative Chinese demand that was pent up because of years of trade war,” he said. “We’re optimistic, we think the Chinese need to put on a happy face for the Biden administration.”

In this interview, Basse summarizes some of his main points in the agricultural outlook. His full presentation at the virtual ASTA CSS and Seed Expo is available on-demand for registered attendees.
ASTA Interview with Dan Basse, AgResource (11:45)

Find more content from ASTA CSS here:
2020 ASTA CSS & Seed Expo Virtual Newsroom

Audio, Ethanol, Ethanol News

Registration Open for 2021 National Ethanol Conference

Cindy Zimmerman

Registration is now open for the Renewable Fuels Association 26th annual National Ethanol Conference to be held in a fully digital format February 16-18.

Early bird registration is being offered before January 19 for significant savings on a packed program that already comes at a lower rate compared to 2020’s event.

“These rates for the National Ethanol Conference, along with a convenient schedule spread over three days, will allow more people to take part in what has been the most visionary policy and marketing event for the renewable fuels industry,” said RFA President and CEO Geoff Cooper. “Attendees will hear from leaders across the value chain and dive deep into topics such as ethanol’s place in a low-carbon future, federal energy policy in transition, and new research on how consumers view renewable fuels. As RFA celebrates its 40th anniversary next year, we’ve got a landmark event planned to match the milestone.”

In addition to enabling broader participation, the digital format will provide attendees the flexibility to view content live in real-time or on-demand and offer unique networking and business development opportunities.

The NEC is the nation’s most widely attended executive-level conference for the ethanol industry, providing an unequaled opportunity to engage key decision makers and industry executives about the latest opportunities and challenges affecting the industry today. Last year’s conference, which featured President George W. Bush as a special guest, attracted approximately 1,000 industry professionals representing 39 states, the District of Columbia, and 18 countries.

Director of Special Projects and Events Mary Giglio is the meeting planner for the digital event, which will be the 25th NEC she has planned and definitely the most unusual. In this interview, she talks about what they are planning for attendees.

Interview with RFA's Mary Giglio on the 2021 NEC (8:43)

Audio, Ethanol, Ethanol News, National Ethanol Conference

US Ethanol Exports Explode in October

Cindy Zimmerman

According to the latest analysis from the Renewable Fuels Association, U.S. ethanol exports in October rocketed 64% higher to 126.5 million gallons (mg), the largest volume since March.

Shipments crossing the border to Canada rebounded by 11% (35.6 mg), equivalent to 28% of total U.S. ethanol exports. The Netherlands purchased record gallons (24.2 mg) while sales to South Korea jumped to the largest monthly volume this year (15.0 mg). Other larger markets included India (11.6 mg), Colombia (11.1 mg), Norway (6.6 mg, a record high), Finland (3.8 mg), Nigeria (3.8 mg), Peru (3.5 mg), and Mexico (3.4 mg). Exports to Brazil were minimal for the fifth straight month. Global year-to-date exports of U.S. ethanol totaled 1.109 billion gallons, or 9% less than this time a year ago.

On the other hand, RFA reports that exports of dried distillers grains (DDGS) declined 18% in October to 951,500 metric tons (mt). While exports to the largest destinations moved higher, shipments to Japan scaled back after hitting a record high in September, accounting for half of the total month-on-month decline.

Distillers Grains, Ethanol, Ethanol News, Exports, RFA

Corn Growers Back Next Gen Fuels Act

Cindy Zimmerman

The National Corn Growers Association (NCGA) is supporting the Next Generation Fuels Act, introduced by U.S. Representative Cheri Bustos (D-IL) in September, as “the next step in corn farmers’ efforts to build on the success of the RFS.” NCGA leadership is urging members to contact their Congressional representatives and ask them to support the legislation.

The introduction of the bill follows several years of work by corn farmers to boost long term corn demand for clean, affordable ethanol. But introduction of this legislation is just the beginning of a long process.

The current Congress is set to adjourn by mid-December, making the next week a critical time to raise awareness and build additional support for the Next Generation Fuels Act. Building support and educating Members of Congress and their staffs now helps set the stage for the legislation to be reintroduced and considered in the new Congress in 2021.

The legislation focuses on growing the role of low carbon, affordable and renewable ethanol in the fuel supply. While the legislation does not require specific levels of ethanol blending, it removes barriers to higher blends of ethanol, creating more demand for farmers going forward.

corn, Ethanol, Ethanol News, NCGA

Renewable Energy Group Announces Changes

Cindy Zimmerman

Renewable Energy Group, Inc. this week announced organizational changes in its senior leadership team intended to “accelerate the company’s performance as a leader in a rapidly growing industry.”

Chad Stone will move from the Chief Financial Officer position into a newly created role of Senior Vice President, Commercial Performance, overseeing the company’s planning, scheduling and optimization functions to drive commercial performance of the business. Stone has been with REG as CFO since 2009. Todd Robinson, currently Treasurer and Executive Director, Investor Relations, will serve as interim CFO.

Brad Albin will be promoted to Senior Vice President, Manufacturing & Engineering, with continued oversight for this critical part of the company. Albin has been with REG since 2006, during which time he has led the substantial development and growth of the company’s production fleet and engineering function.

Natalie Merrill will be promoted to Senior Vice President, Business Development. Merrill joined REG in 2007 as a Senior Financial Analyst and has served in a variety of roles with increasing responsibility over the past 13 years.

Trisha Conley and Bob Kenyon, both new additions to REG earlier this year, will each be promoted to Senior Vice President, overseeing people development and sales and marketing, respectively. Conley came to REG from BP and Kenyon from Atlas Oil Company, and both have years of industry-related expertise.

Biodiesel, biofuels, REG, renewable diesel

McKinney: China Needs to Buy More Ethanol

Cindy Zimmerman

China is lagging behind in its purchases of energy products under the Phase One agreement, but USDA Under Secretary for Trade and Foreign Agricultural Affairs Ted McKinney says they could get there with more ethanol and distillers grains (DDGs).

During a virtual appearance at the Agricultural Retailers Association (ARA) annual conference this week, McKinney updated attendees on ag trade with a number of different regions, including China. McKinney says the question he gets asked a lot is “Will China make the 36.5 billion in purchases by December 31?”

“It’s looking tough,” he said. “The trajectory is right to meet that across a lot of commodities but we’re waning big time on purchases of energy…We think they could get there in a major way with the purchase of more ethanol and DDGs, but they’ve got to remove the CVDs (Countervailing Duties) on our DDGs.”

Listen to McKinney’s comment here:

USDA Under Secy Ted McKinney comments on China and Ethanol (1:06)

Audio, Distillers Grains, Energy, Ethanol, Ethanol News, Exports, Trade, USDA