25 x ’25 Could Help Rural Economy

Cindy Zimmerman

25x25 logo The alliance known as 25X’25 has just completed a study that outlines the positive impact producing 25 percent of the nation’s energy supply from renewable sources by 2025 could have on rural America.

According to J. Read Smith, co-chair of the 25x’25 Project Steering Committee, “Not only would reaching the goal drastically reduce our dependence on foreign energy sources, it would also have an extremely favorable impact on rural America and the nation as a whole. This report says we could see more than $700 billion in economic activity and 5.1 million new jobs.”Read Smith

The economic analysis was conducted by researchers at the University of Tennessee addressing two different scenerios:

The impacts of producing 25 percent of the nation’s electric power and motor vehicle fuels from renewable resources, utilizing findings from a new RAND report, and

A second scenario which outlines how agriculture and forestry resources could produce 25 percent of the nation’s total energy demands.

The press release from 25x’25 includes links to the full report and summary findings.

Here is an interview with J. Read Smith on the study and the goals of 25x’25: Listen To MP3 25×25 (6 min MP3)

Audio, Biodiesel, Ethanol, News, Research

The Andersons Run With Marathon

Cindy Zimmerman

AndersonsMarathon Oil Corporation and The Andersons, Inc. are planning to start construction immediately on an ethanol plant in Greenville, Ohio.

MarathonAccording to a joint press release, the Greenville site will be the first to be constructed by The Andersons Marathon Ethanol LLC, a 50/50 joint venture between The Andersons, Inc. and Marathon Petroleum Company LLC, a wholly owned subsidiary of Marathon Oil Corporation.

The plant will produce 110 million gallons of ethanol and 350,000 tons of distillers dried grain per year and is expected to be in production in the first quarter of 2008.

Ethanol, News

Ethanol Plant Permit Applications Abound in Illinois

Cindy Zimmerman

The Illinois Environmental Protection Agency is snowed under with air permit applications from ethanol plant projects.

According to a story from the Illinois Farm Bureau publication FarmWeek, there were 13 applications in September alone.

On average, an ethanol project receives a permit about six months after submitting an application. Permits for controversial projects or those that go through a public hearing can take nine months.

Ethanol, News

Biodiesel Boost For Economy

Cindy Zimmerman

NBB The National Biodiesel Board this week released a new economic study that shows “how biodiesel plants are a boon to the U.S. economy as they sprout up across the nation.”

According to the study:

America’s biodiesel industry will add $24 billion to the U.S. economy between 2005 and 2015, assuming biodiesel growth reaches 650 million gallons of annual production by 2015.

Biodiesel production will create a projected 39,102 new jobs in all sectors of the economy.

Additional tax revenues from biodiesel production will more than pay for the federal tax incentives provided to the industry. It will keep $13.6 billion in America that would otherwise be spent on foreign oil. This total impact of biodiesel on the economy includes the temporary impacts of construction, the permanent impacts of annual production and the direct value of biodiesel and co-products (glycerin).

The economic analysis was done by John M. Urbanchuk of LECG and funded by the soybean checkoff through the United Soybean Board.

Read the news release, or view the results of the study.

Biodiesel, Research

Three More Nebraska Ethanol Plants Planned

Cindy Zimmerman

Central Bioenergy Nebraska-based Central Bio-Energy has announced plans to build three 100 million-gallon-per-year ethanol plants in Seward, Howard and Chase counties in Nebraska.

According to a press release, the announcement was made in the Nebraska State Capital Rotunda in Lincoln on Thursday. These plants will employ 150 full-time staff, with combined annual payroll in excess of $6 million. This investment will make CBE one of the leading ethanol producers in Nebraska, officials said. Projected annual revenues, when all three plants are operational, will approach $600 million.

The release noted counties, but not specific locations. The Lincoln Journal Star did a story on the announcement Friday with quotes from CBE officials declining to give specifics about the plant locations.

In the article, Matt Stryson, chairman of the Seward County Economic Development Board, “alluded to a virtual whirlwind of ethanol activity in which plant announcements in Nebraska have become almost a weekly occurrence.”

“I think what’s happening is that there is a time frame where there’s kind of a competition going on as far as ethanol plants being built,” he said. “And they’re all kind of under the gun for a time frame, and whoever gets built first is going to have an advantage.”

Ethanol, News

Survey Shows Importance of Ethanol Information

Cindy Zimmerman

E An informed consumer is the ethanol industry’s most effective tool for increasing awareness of the cleaner, renewable fuel. A national survey by the Ethanol Promotion and Information Council, or EPIC, found that when respondents are provided with relevant information about ethanol, their interest to purchase increased by nearly 20 percent.

“These findings demonstrate that when consumers are presented with the simple facts about ethanol-enriched fuel, they’re more than willing to make a commitment to the environment and American jobs,” says Reece Nanfito, senior director of marketing for EPIC. “It’s critical that the industry maintain a clear and concise public awareness campaign.” graph

Another interesting finding of the research was that a majority of Americans reject the food versus fuel debate concerning ethanol. Only 10 percent of respondents agreed with the argument that using corn for ethanol will limit the food supply.

“From our research it appears that consumers are taking a very common sense approach to food versus fuel,” says Tom Slunecka, executive director for EPIC. “When explained how agriculture and the production of corn is advancing in this country, few people feel there is any concern of a loss of the availability of food or fiber to consumers.”

Ethanol’s impact on the economy and the environment struck a chord with respondents. A strong majority — 61 percent — considered it a positive that ethanol benefits the American economy. Fifty-eight percent believe that ethanol-enriched gasoline is better for the environment than standard gasoline. Respondents found “better for the environment” as the most relevant benefit of ethanol.

EPIC, Ethanol, News

Biofuels Big at NAFB

Cindy Zimmerman

The National Association of Farm Broadcasters annual meeting in Kansas City brings about 100 broadcasters and a few hundred more agricultural industry company and organization representatives together each year. Hundreds of interviews are done in a span of six hours during an event called “Trade Talk.”

Ethanol and biodiesel were especially big topics at Trade Talk this year – at least half of the over 100 entities represented included biofuels in their talking points. These included ag groups like American Agriculture Movement, National Corn Growers, American Soybean Association, and American Farm Bureau; government agencies like EPA and USDA; and companies like Pioneer, Monsanto and Garst Seed.

EPIC at NAFB

Also among those represented were the Ethanol Promotion and Information Council, Renewable Fuels Association, and the National Ethanol Vehicle Coaltition.

The picture is of Team Ethanol Indy car driver Jeff Simmons being interviewed by David Niedfeldt of KWBE radio in Beatrice, NE. In the background, NAFB past president Emery Kleven of Nebraska interviews EPIC executive director Tom Slunecka.

It was a real pleasure for me to meet Jeff Simmons. I found him to be a very genuine and engaging spokesperson for the ethanol industry.

Here’s my interview with him: Listen To MP3 Meet Jeff Simmons (7 min MP3)

Audio, EPIC, Ethanol, News

Talking Biofuels in Kansas City

Chuck Zimmerman

Lyle OrwigCindy and I are attending the National Association of Farm Broadcasters Convention in Kansas City this week. It follows the National Agri-Marketing Association’s Agribusiness Forum. I’m sure we’ll have several posts for you over the next few days that will include interviews with some people we hope you’ll find interesting. For example, at yesterday’s Forum session one of the presenters was Lyle Orwig, Charleston/Orwig. He’s being interviewed afterward during the break by Roger Ward, a farm broadcaster. Lyle was talking about the biofuels impact on food companies and their suppliers.

Another presenter on his panel was Hugh Whaley, Osborn & Barr Communications. Hugh was representing the soybean industry and the United Soybean Board in particular. He says that there was a lot of interest from the group in the kinds of soybean varieties that are in development that will help provide more oil for both food and fuel use. He also says that feeding soybeans to animals is still the biggest use of the commodity but that may be challenged in the future as the biofuels business grows.

You can hear my interview with Hugh here: Listen To MP3 Hugh Whaley Interview (4 min MP3)

Audio, Biodiesel, Ethanol

Make That Six Times

Cindy Zimmerman

Ethanol Hot Rod Mark Thomas is now a six-time International Hot Rod Association Funny Car champion.

Thomas, a farmer from Louisville, Ohio, won the International Hot Rod Association Alcohol Funny Car Division world championship once again this year, beating his nearest opponent by more than 100 points.

The World Champions will be crowned Saturday, December 9, at the 2006 IHRA Awards Banquet in Greensboro, N.C.

Read more from the Renewable Fuels Association.
Learn more about Mark and his passion for ethanol as a farmer and a driver by listening to the Domestic Fuel interview with him.

Ethanol, News, Racing

Presidential Farm-City Week Message

Cindy Zimmerman

White President Bush gave special recognition to domestic fuels in his annual Farm-City Week proclamation this year.

“Farmers are playing an increasingly important role in reducing our dependence on foreign oil by growing crops such as soybeans and corn that can be used as alternative sources of energy,” the president said in his proclamation.

National Farm-City Week is an annual event celebrating the vital partnership between America’s rural and urban industries. Held traditionally the week before Thanksgiving, it will be November 17-23 this year.

During National Farm-City Week, and throughout the year, we honor the farmers, ranchers, and all those working to build strong relationships between our rural and urban communities. Our economy is strong and growing, and behind the numbers are the stories of hard-working Americans who help spur our economic prosperity and feed our country and the world.

Biodiesel, Ethanol, Government, News