Biodiesel Helps Grow Clean Energy Economy

Cindy Zimmerman

An Iowa biodiesel plant manager told a Congressional panel this week that small biodiesel producers are important components of the clean energy economy and deserve the support of stable policies.

Western Dubuque Biodiesel General Manager Tom Brooks, a member of the National Biodiesel Board (NBB), testified at a hearing on “Growing the Clean Energy Economy” before the House Small Business Committee Subcommittee on Rural Development, Agriculture, Trade, and Entrepreneurship, chaired by Rep. Abby Finkenauer (D-IA).

Brooks informed the Subcommittee that the industry’s growth over the past decade-and-a-half was supported by successful policies such as the biodiesel tax incentive and the Renewable Fuel Standard. However, instability in those federal policies is forcing small businesses to reduce investments and shutter production facilities.

“It’s ironic that EPA has shown such concern for the economic hardships facing small petroleum refineries,” Brooks stated. “The small refinery exemptions the agency is granting to every refiner that asks are simply shifting the hardship to even smaller biodiesel producers — small businesses like mine.”

Listen to his testimony here:
Western Dubuque Biodiesel General Manager Tom Brooks

Also on Tuesday, the National Biodiesel Board (NBB) and 33 of its members sent a letter to President Trump asking that he save small biodiesel producers harmed by his administration’s small refinery exemptions. The letter indicates that more than 200 million gallons of U.S. biodiesel production capacity has been idled as a result of policy instability.

“Every small refinery waiver issued by the Environmental Protection Agency has the potential to put a U.S. biodiesel producer out of business,” NBB writes in the letter to President Trump. “We anticipate that additional facilities will close over the next several months if you do not take quick action to restore RFS volumes for biodiesel and renewable diesel.”

The letter highlights additional policy headwinds that are harming the biodiesel industry, including the U.S. Department of Commerce’s recent proposal to virtually eliminate trade protections against heavily subsidized biodiesel imports.

Audio, Biodiesel, NBB

ACE Announces Scholarship Winners

Cindy Zimmerman

The American Coalition for Ethanol (ACE) is proud to announce the three winners of this year’s Scholarship Program.

Courtney Geraets, Jennifer Johnson and Megan Wheeland will each receive a $1000 scholarship to help further their collegiate education.

Courtney Geraets is from Dell Rapids, South Dakota, and is pursuing a degree in Counseling at Ave Maria University in Ave Maria, Florida. Courtney is the daughter of Paul and Amy Geraets. Her father Paul is affiliated with ACE ethanol producer member Dakota Ethanol in Wentworth, South Dakota.

Jennifer Johnson is from Las Cruces, New Mexico, and will be attending the South Dakota School of Mines and Technology in Rapid City, South Dakota, where she plans to study Metallurgical Engineering. Jennifer is the daughter of Everett and Julie Johnson. Her father is affiliated with ACE ethanol producer member Little Sioux Corn Processors in Marcus, Iowa.

Megan Wheeland is from Nelson, Nebraska, and will be pursuing a degree in pre-nursing/nursing at the University of Nebraska – Kearney in Kearney, Nebraska. Megan is the daughter of Kevin and the late Renae Wheeland. Her father is affiliated with ACE ethanol producer member Chief Ethanol Fuels in Hastings, Nebraska.

The ACE Scholarship Program has awarded $56,000 since it was initiated in 2004.

ACE, Education, Ethanol

‘Ethanol Days of Summer’ Contest Ends

Cindy Zimmerman

Labor Day signaled the unofficial end of summer and the official end of the Renewable Fuels Association’s (RFA) third annual “Ethanol Days of Summer” contest. The three-month contest offered consumers the chance to win $50 in free fuel per day, and more than 3,100 new users of E85prices.com registered and helped report prices for higher ethanol blends like E15 and E85, as well as conventional fuels.

“This contest has been a great way to introduce drivers to ethanol options they may not have been aware of, while having fun and helping others in an interactive way,” said RFA Vice President of Industry Relations Robert White. “Our E85prices.com website provides drivers with data at their fingertips, tracking the locations and prices of those ethanol stations closest to them. As we continue to build out our data collection capabilities, we look forward to providing consumers with even more information on ethanol blend pricing.”

The contest also highlighted the price discount between ethanol blends and regular unleaded fuel, reported on E85prices.com. The website is crowdsourced and provides pricing and locations for thousands of stations selling E85 and E15 blends across the country. By submitting prices they see, contest winners collectively received $4,950 in free fuel.

Contest, E15, E85, Ethanol, Ethanol News, RFA

Steps to a Biorefinery

Cindy Zimmerman

Diversifying ethanol plants into biorefineries was an important topic at the recent American Coalition for Ethanol (ACE) annual meeting in Omaha, as a strategy moving forward.

Steps to a Biorefinery was a panel at the conference with leading technology providers and producers discussing strategies for ethanol producers to diversify, become more efficient, and remain profitable well into the future.

Among the presenters was Jeff Scharping, Sales Director for ICM Inc., who also conducted a breakout session on “How Biorefineries Can Achieve Success by Adopting Focused Strategies.” Listen to his presentation here:
ACE Conference remarks Jeff Scharping, ICM Inc

Also on the panel were Neal Jakel, Partner and VP Strategy & Technology, Fluid Quip Technologies and Chad Kuhlers, COO, Golden Grain Energy LLC. Watch the Facebook Live video of the panel on the ACE Facebook page.

2019 ACE Conference Photo Album

ACE, ACE Ethanol Conference, Audio, biofuels, Ethanol

Political Pollster Plugs E85

Cindy Zimmerman

Political consultant, pollster, and “public opinion guru” Frank Luntz gave a surprising plug for the use of E85 (85 percent ethanol blended fuel) and the need for more flex fuel vehicles (FFVs) during an appearance on FOX News Channel’s The Ingraham Angle with Laura Ingraham last Thursday.

“There’s a gasoline, E85, it’s ethanol,” said Luntz during an interview about the “Climate Town Hall” with Democratic presidential hopefuls on CNN. “If our automotive companies make flex fuel vehicles at a cost of less than $100 per vehicle…it reduces our dependence or eliminates it.”

Luntz claims E85 could make America energy independent by Election Day 2020. “We can make this change right now, have a positive impact on the economy, consumers would pay 50 cents less for gasoline, the air would be cleaner, the cars would run more efficiently – it works for everyone,” said Luntz. “This is a real solution without all that craziness you saw from the Democrats.”

Ethanol advocate Marc J. Rauch, THE AUTO CHANNEL, took notice of the interview right away and commented on the reaction that Luntz got from Ingraham:

Show host Laura Ingraham looked stunned by Luntz’ ethanol advocacy, as if she had no idea that Luntz would talk about this safe, sane, domestic solution. At times, she appeared uncomfortable, nearly rolling her eyes, and made a short ill-informed comment about “more and more giveaways to corn growers.” Luntz responded pretty well with correct contrary information and proceed with his pitch.

Watch the clip on THE AUTO CHANNEL – listen to the audio here:

Frank Luntz plugs E85 on Laura Ingraham show
Audio, E85, Ethanol, Ethanol News

Court Rules Against NBB on Small Refinery Exemptions

Cindy Zimmerman

Last week, the U.S. Court of Appeals for the DC Circuit dismissed a petition filed by the National Biodiesel Board (NBB) on regarding the 2018 Renewable Fuel Standard rule EPA’s refusal to properly account for retroactive small refinery exemptions. The Court dismissed NBB’s petition on the technicality that the biofuel industry did not comment on the topic and provide EPA sufficient opportunity to address those comments.

NBB Vice President of Federal Affairs Kurt Kovarik says the court decision is frustrating. “EPA requested comment on its practice of ignoring retroactive small refinery exemptions but did not give notice of its intent to unleash a flood of the exemptions. The Court, however, faults the industry for not commenting specifically on that,” said Kovarik. “EPA’s flood of retroactive small refinery exemptions are causing severe economic harm to biodiesel and renewable diesel producers, forcing some to close their doors and lay off workers. It’s disappointing that the Court did not take this opportunity to address that harm.”

NBB challenged EPA’s decision to continue ignoring small refinery exemptions granted after the annual rule is established, even though the agency quietly ramped up granting these exemptions as it took comment on the rule. The Court declined to examine EPA’s flood of small refinery exemptions, but left room for future challenges on the issue.

Biodiesel, NBB, RFS

Ethanol Report DC Update

Cindy Zimmerman

Ethanol continues to be in the national news with President Trump indicating he will be announcing some type of small refinery waiver mitigation for the industry, as demands that the gallons waived be reallocated increase.

Renewable Fuels Association (RFA) president and CEO Geoff Cooper was in Washington DC this week and in this edition of The Ethanol Report he gives an update on what the industry wants from the administration, Brazil’s modest tariff rate quota increase, and educating Low Carbon Fuel Standard (LCFS) regulators.

Ethanol Report DC Update

Subscribe to the podcast via iTunes

Audio, Ethanol, Ethanol News, Ethanol Report, RFA

RFS Support is Key Iowa Voter Issue

Carrie Muehling

A majority of Iowa voters say the future of biofuels will play a role in how they vote in 2020, according to the Iowa Biodiesel Board.

New public opinion research shows a decisive 78 percent of voters in Iowa support expanding biofuel usage in the U.S. through the federal Renewable Fuel Standard. In addition, 77 percent of voters said it’s important to them that the president keep his promises on supporting the RFS.

The Iowa Biodiesel Board commissioned the bi-annual survey on biodiesel awareness and biofuel-related political values.

A professional public opinion research firm, Moore Information, conducted the online survey of 470 registered voters in Iowa in late July.

Biodiesel, RFS

Biodiesel Industry Spotlights Waiver Pain

Cindy Zimmerman

The biodiesel industry wants the administration to understand that they are hurting as much or more than ethanol producers as a result of EPA’s small refinery exemptions (SRE).

National Biodiesel Board (NBB) CEO Donnell Rehagen and Vice President of Federal Affairs Kurt Kovarik hosted a conference call with reporters Thursday to discuss the impact of small refinery exemptions on biodiesel and renewable diesel producers. The group estimates the small refinery exemptions have destroyed hundreds of millions of gallons of demand for biodiesel, which is forcing domestic producers to stop production and furlough employees, and NBB recently joined with other groups to request a meeting with President Trump to address a resolution to the demand destruction.

The NBB officials say biodiesel is getting forgotten in the media coverage about the waivers focusing on ethanol only, but the exemptions are actually causing disproportionate harm to biodiesel and renewable diesel, and “biodiesel must be addressed in any package the addresses lost gallons from the RFS.”

Kovarik said they just want to make it clear that the refinery exemptions are not “ethanol wa

Listen to NBB press conference here:
NBB press call on refinery waivers

Audio, Biodiesel, NBB

Governors Suggest Waiver Mitigation Actions

Cindy Zimmerman

The Governors’ Biofuels Coalition is offering some advice to President Donald Trump on how to mitigate the effects of the small refinery waivers on ethanol and biodiesel producers.

Coalition chair and vice chair, Minnesota Governor Tim Walz and South Dakota Governor Kristi Noem, sent a letter recommending actions the President might include in his promised “giant package” of initiatives for the biofuels industry, including:

– Request that EPA add the lost gallons to the pending 2020 Renewable Volume Obligations proposed rule
– Initiate another Biofuels Infrastructure Partnership (BIP) program through USDA
– Increase the minimum octane standard in gasoline to create an immediate market for more ethanol
– Direct EPA to enforce the Clean Air Act requirement to replace the aromatic toxics in gasoline with ethanol as a less expensive source of octane.

“Farmers, environmentalists, and consumers would all benefit from these actions,” the governors wrote. Governor Walz and Governor Noem also offered to work with the Administration to find solutions to address the impact the waivers have had on the nation’s agriculture community and ethanol producers.

Biodiesel, biofuels, EPA, Ethanol, Ethanol News