Ethanol Industry Has What It Takes

Cindy Zimmerman

It was a somber yet determined group of ethanol industry representatives that met last week in Omaha for the American Coalition for Ethanol 32nd annual conference, in the wake of the EPA granting another 1.43 billion gallons of refinery waivers.

ACE CEO Brian Jennings says they had a tough and honest board meeting prior to the start of the conference. “People are generally optimistic, but there’s going to be some pain here for a while,” he said.

Jennings says the board approved a new growth strategy combining octane with low carbon. “Refiners can’t show meaningful reductions in greenhouse gas emissions,” said Jennings. “The more ethanol you add to a gallon of gasoline, the better you make it in terms of reducing greenhouse gas emissions. So we think it’s that double barrelled strategy.”

If the refinery waiver announcements had not been made the Friday before the conference, Jennings says it might have been a very different meeting. “But now we know what we are dealing with,” said Jennings.

The theme of the conference this year was “What it Takes” and Jennings says it takes a lot of “grit and toughness and determination” for ethanol producers to keep going in the face of great challenges “but that really epitomizes who these people are.”

ACE Conference wrap up interview with CEO Brian Jennings

2019 ACE Conference Photo Album

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RFA Urges Australia to Choose Ethanol Over Petroleum Reserve

Cindy Zimmerman

The head of the Renewable Fuels Association (RFA) sent a letter to Australia’s energy minister last week encouraging them to strongly consider U.S. ethanol imports as a cleaner, more affordable alternative to purchasing oil from the U.S. Strategic Petroleum Reserve.

The letter, from RFA President and CEO Geoff Cooper, cited news reports of Australia’s request for access to the U.S. Strategic Petroleum Reserve “as a hedge against potential oil supply disruptions that appear increasingly likely given the volatile situation in the Strait of Hormuz.” Ethanol is a better option to protect Australian consumers from supply shocks, Cooper said.

Cooper wrote that part of the challenge Australia is facing with renewable fuels growth— biofuels represent less than 2 percent of the country’s liquid transportation fuel supply—is the result of the 5 percent tariff and customs tax of A$0.401 per liter for ethanol imports. “These severe measures have made fuel ethanol imports generally uncompetitive with gasoline and domestically produced ethanol,” Cooper wrote in his letter to Angus Taylor, Australia’s Minister for Energy and Emissions Reduction.

“Removing or at least significantly reducing the tariff and custom tax barriers to imported ethanol does not necessitate a complex negotiation with the U.S. government over our Strategic Petroleum Reserve,” Cooper added. “Nor will it take much time. U.S. ethanol is available today for export to Australia. … U.S. ethanol can provide near-immediate relief to your transportation fuel supply shortage with the added benefit of providing Australia with a tangible demonstration of its commitment to carbon reduction.”

Read the letter.

Ethanol, Ethanol News, Exports, RFA

RFA Hosting Free Ethanol Safety Webinar

Cindy Zimmerman

The Renewable Fuels Association, in partnership with TRANSCAER®, is hosting a free ethanol safety “Train the Trainer” webinar on Tuesday, August 20, for ethanol emergency response teams.

The webinar will take place from noon to 2 p.m. ET and is the fourth and final webinar to be funded through a Federal Railroad Administration/TRANSCAER grant. It is designed to train a group of individuals who can then turn around and pass that information forward, equipping entire communities with the knowledge necessary to respond to any potential ethanol-related emergency.

Led by national hazardous materials trainer Joel Hendelman, the webinar is open to all professional individuals above the technical level of training who are interested in learning how to teach ethanol emergency response.

Registration is limited 100 attendees. Certificates will be awarded to all completing the webinar. For more information or to register, visit www.rfa.traincaster.com.

Ethanol, RFA, safety

Ethanol is Number One Priority for Grains Council

Ethanol is the number one priority for the U.S. Grains Council today, according to USGC CEO Ryan LeGrand, who spoke at the American Coalition for Ethanol (ACE) conference last week in Omaha.

“There’s nothing more important to us right now than ethanol,” said LeGrand.

The council has seven priority markets, with Mexico being one of the most significant. While the three major metropolitan areas of Mexico still prohibit ethanol blends, which is expected to change soon, LeGrand says it is still a 720 million gallon market now – with the potential of 1.2 billion gallons.

Listen to his remarks here:
ACE Conference Keynote – USGC CEO Ryan LeGrand

ACE Senior Vice President Ron Lamberty has been playing an active role in USGC efforts to educate Mexican retailers about ethanol blends. He hosted a panel at the conference with USGC Mexico Director Stephan Wittig and consultant Jorge Lerdo to talk about the ethanol technical information forums they have been hosting for Mexican petroleum equipment installers and retailers, and their optimism for increased use of ethanol blends around the country.

Listen to their conversation here:
ACE Conference Mexico Market Update

2019 ACE Conference Photo Album

ACE, AgWired Energy, Audio, Ethanol, Exports

ACE: Carbon and Octane Future for Ethanol

Cindy Zimmerman

Low carbon and high octane are the future for ethanol, according to leaders of the American Coalition for Ethanol speaking Thursday at their annual conference in Omaha.

ACE Board President Duane Kristensen of Chief Ethanol in Nebraska said that as the agriculture and ethanol industries are dealing with challenging market conditions, things have to change. “With uncertainty surrounding the RFS and trade negotiations, we must engage in meaningful dialogue to find ways to increase demand for ethanol in our fuel supply domestically with E15 and higher ethanol blends, as well as in markets around the globe that are beginning to recognize ethanol’s high octane and environmental benefits in renewable fuels policies,” Kristensen said.

Listen to his remarks here:
ACE Board President Duane Kristensen opening remarks

ACE CEO Brian Jennings acknowledged the positive development of year-round E15, but pointed out the good news is being undermined by the bad and said now is the time for new strategy. “We’ve come to the conclusion we cannot merely play defense on the RFS and hope trade wars subside. We need to turn the page, to go on offense. We need a new vision for how to increase demand for ethanol and break free from the status-quo,” Jennings said.

“Combining ethanol’s high octane and low carbon strengths into a new growth strategy not only allows us to go on offense, it gives our champions in Congress something to be for as the discussion about climate change begins to ramp up in Washington,” Jennings added. “ACE members have what it takes to make things happen.”

Listen here:
ACE CEO Brian Jennings opening remarks

2019 ACE Conference Photo Album

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Nebraska Governor Thanks Ethanol Industry

Cindy Zimmerman

Nebraska Governor Pete Ricketts welcomed members of the American Coalition for Ethanol (ACE) meeting in Omaha this week by thanking them for what they do.

“Ethanol is a very important industry, on a national and on a state level,” said Gov. Ricketts, noting that Nebraska is the second largest ethanol producing state in the nation with 25 plants employing 1400 people.

The governor acknowledged the difficult times facing the industry but encouraged everyone to continue to promote the benefits of ethanol with three simple points. “Save money at the pump, it’s great for the environment, and it’s going to help our farmers and ranchers,” he said.

ACE members also thanked Gov. Ricketts for his ethanol advocacy by presenting him with the organization’s Policy and Legislative Leadership Award.

Listen to the governor’s remarks here:

Gov. Pete Ricketts remarks to 2019 ACE Conference

Photos

2019 ACE Conference Photo Album

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ACE Elects Board of Directors

Cindy Zimmerman

New ACE Board members Troy Knecht and Owen Jones

The American Coalition for Ethanol (ACE) announced new members of its board of directors Wednesday as the organization’s 32nd annual conference got underway in Omaha, Nebraska.

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

Duane Kristensen, representing Chief Ethanol Fuels
Scott McPheeters, representing KAAPA Ethanol
Dan Root, representing Minnesota Corn Growers Association
Rick Schwarck, representing Absolute Energy
Dave Sovereign, representing Golden Grain Energy
Chris Studer, representing East River Electric Cooperative-

Two new members were elected to serve on the board of directors for a three-year term:

Troy Knecht, representing Redfield Energy
Owen Jones, At-large Member

Listen to interviews with both of them here:
ACE Conference interview with attendee Troy Knecht, Redfield Energy

ACE Conference interview with attendee Owen Jones, South Dakota

2019 ACE Conference Photo Album

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ACE Conference Kicks Off in Omaha

Cindy Zimmerman

The American Coalition for Ethanol (ACE) annual conference begins today in Omaha starting with a welcome reception this evening sponsored by nine state corn grower organizations.

Business gets underway tomorrow morning with a welcome from Nebraska Governor Pete Ricketts, followed by industry updates and a keynote presentation by new U.S. Grains Council CEO Ryan LeGrand.

With the bottom line a big concern for ethanol producers, there are several sessions and the final general session panel on Friday devoted to improving profitability. That last session on “Steps to a Biorefinery” will feature speakers from Fluid Quip Technologies (FQT), ICM Inc., and ACE member plant Golden Grain Energy (GGE), moderated by consulting firm Ascendant Partners Inc.

Follow the conference action here and on Twitter and Facebook with the hashtags #WhatItTakes #ACECONF19.

Get a preview of the annual meeting this year from ACE Senior Director of Operations and Programming Shannon Gustafson.

Interview with Shannon Gustafson, ACE
ACE, ACE Ethanol Conference, Audio, Ethanol

Growth Energy and GasBuddy Launch Unleaded88 on App

Cindy Zimmerman

Growth Energy and GasBuddy have partnered to bring Unleaded 88 to GasBuddy’s database and app.

Unleaded 88 is 15 percent ethanol, or E15, approved for cars 2001 and newer, and GasBuddy is a smartphone app and website used by millions of drivers every month to avoid paying full price for fuel. It is the world’s largest database of real-time, crowdsourced gas price data covering more than 150,000 North American gas stations.

This new partnership allows GasBuddy’s app users access to a comprehensive database of Unleaded 88 fuel at more than 1,800 retail locations around the country. Additionally, Growth Energy and GasBuddy have launched an advertising campaign within the app to promote the benefits of the renewable fuel to consumers.

E15, Ethanol, Growth Energy

Coalition Wants EPA to Reconsider Higher Ethanol Blends

Cindy Zimmerman

A coalition of ethanol, agriculture, and clean fuel organizations has requested judicial review of a recent Environmental Protection Agency (EPA) rulemaking that would limit ethanol blending and restrict the use of blender pumps. The Urban Air Initiative (UAI) and National Farmers Union (NFU) are leading the alliance.

The petitioners believe that while the rule EPA approved to allow year round sales of E15 is a successful step forward, it puts new limitations on higher ethanol blends. “Specifically, the petitioners will argue that EPA misinterprets the “substantially similar” provision of the Clean Air Act to artificially limit ethanol blending. Because ethanol is a fuel additive used in EPA’s vehicle certification process, petitioners maintain that it is not subject to any volume limitations under the sub-sim law.”

Compounding the problem, according to Urban Air Initiative (UAI) president David VanderGriend, is a provision that would effectively make ethanol blender pumps subject to crippling new regulations. The rule would treat blender-pump retailers as fuel manufacturers, subjecting them to the same regulations as refineries. Consequently, blender pumps would only be allowed to dispense E15 and E85.

In addition to UAI and NFU, the petitioners include South Dakota Farmers Union, Farmers Union Enterprises, Jackson Express, Jump Start, the Clean Fuels Development Coalition, the Nebraska Ethanol Industry Coalition, Big River Resources, LLC, Fagen, Inc., Glacial Lakes Energy, LLC, and Little Sioux Corn Processors.

blends, EPA, Ethanol, Ethanol News, NFU, Urban Air Initiative