SAF Information Act Introduced in House

Cindy Zimmerman

Reps. Mike Flood and Troy Carter

U.S. Representatives Mike Flood (R-NE) and Troy A. Carter, Sr. (D-LA), last week introduced legislation that would require more reporting of data about Sustainable Aviation Fuel (SAF).

The Sustainable Aviation Fuel (SAF) Information Act would direct the Energy Information Administration (EIA) to include regular reporting of Sustainable Aviation Fuel (SAF) on their weekly and monthly reports, consistent with other fuel types that are regularly reported on by the agency.

“Nebraska is the second largest producer of biofuels in the nation and we’re constantly working to grow our bioeconomy,” said Rep. Flood. “Sustainable Aviation Fuel is an incredible growth opportunity that can help expand the biofuels industry and our rural economy. This commonsense legislation directs the EIA to start including SAF in data sets they publish, allowing stakeholders and industry to better understand how production is developing. Thank you to my colleagues, especially Congressman Carter, for stepping up and pushing to help include SAF in key reports as the industry takes off.”

“Aviation currently represents approximately 10 percent of our nation’s transportation-related greenhouse gas emissions,” said Congressman Carter, Sr. “Without coordinated action between government and industry, these emissions will continue to increase as more people and goods fly through our skies. Sustainable aviation fuel is an exciting, new green fuel with a proven record of success. I’m proud to introduce this bipartisan legislation to ensure America is on track to meet the growing demand for cleaner transportation and healthier communities. I’m committed to supporting innovative, eco-friendly aviation solutions like this.”

Original co-sponsors of the bill include Reps. Salud Carbajal (D-CA), Chris Pappas (D-NH), Don Bacon (R-NE), Dina Titus (D-NV), and Hillary Scholten (D-MI).

Among the industry supporters of the Sustainable Aviation Fuel Information Act are the Renewable Fuels Association, National Corn Growers Association, American Soybean Association, the SAF Coalition, Greater New Orleans Inc., American Sugar Cane League, National Corn Growers Association, Growth Energy, Renewable Fuels Nebraska, the Nebraska Soybean Association, the Nebraska Corn Growers Association, and the Louisiana Farm Bureau Federation.

corn, Ethanol, Ethanol News, Renewable Fuels Association, RFA

USDA Forecasting Record Corn and Soybean Yields

Cindy Zimmerman

The latest Crop Production report from USDA’s National Agricultural Statistics Service (NASS) is forecasting record corn and soybean yields this year, with higher total production for soybeans and slightly lower for corn.

Corn production is expected to be down 1% from last year at 15.1 billion bushels while soybean production is forecast to be 10% higher than 2023 at a record high 4.59 billion bushels.

Average corn yield is forecast at record high 183.1 bushels per acre, up 5.8 bushels from last year. NASS also forecasts record high yields in Idaho, Illinois, Indiana, Iowa, Louisiana, Michigan, Nebraska, South Dakota, Washington, and Wisconsin. As of Aug. 4, 67% of this year’s corn crop was reported in good or excellent condition, 10 percentage points above the same time last year.

Soybean yields are expected to average a record high 53.2 bushels per acre, up 2.6 bushels from 2023. If realized, the forecasted yields in Arkansas, Illinois, Indiana, Mississippi, Missouri, and Ohio will be record highs.

corn, Soybeans, USDA

EPA’s Rod Snyder Steps Down

Cindy Zimmerman

Snyder addresses ethanol stakeholders in Washington DC March 2024

The head of EPA’s newly created Office of Agriculture and Rural Affairs announced he was stepping down this week, after only five months in the new position.

Rod Snyder became senior adviser for agriculture at EPA in October 2021 after serving as president of Field to Market: The Alliance for Sustainable Agriculture for seven years. EPA Administrator Michael Regan announced the new office and Snyder as head of it at Commodity Classic in March.

Two weeks later, Snyder addressed members of the American Coalition for Ethanol meeting in Washington D.C., talking about important topics such as updates to the GREET model for implementation of Inflation Reduction Act tax credits and summer sales of E15.

In an exclusive interview with Agri-Pulse, Snyder said he had no “specific plans for his next career move” but will be focusing on his family and personal life. There has been no statement from EPA yet regarding a replacement for Snyder in the ag office.

ACE, EPA, Ethanol, Ethanol News

Vilsack to Speak at ACE Conference

Cindy Zimmerman

Agriculture Secretary Tom Vilsack will be a keynote speaker at the American Coalition for Ethanol 37th annual conference in Omaha next week. Secretary Vilsack will speak on Thursday, August 15, at 9:00 AM Central.

“Under Secretary Vilsack’s extraordinary leadership, USDA has provided critically important support to expand ethanol use and help ensure corn ethanol is part of the climate solution,” said Brian Jennings, ACE CEO. “Most notably, we appreciate USDA’s investments in the Higher Blends Infrastructure and Incentive Program and our Regional Conservation Partnership Program projects to validate the carbon benefits of climate-smart agriculture practices which can help ethanol producers and farmers realize new market opportunities, including tax credits created under the Inflation Reduction Act. Given his tremendous record of support, we are honored to host Secretary Vilsack at this year’s event.”

“The Gold Standard” themed conference kicks off Wednesday, August 14, with a welcome reception at 5:00 PM Central and concludes 11:30 AM Central on Friday, August 16, at the Omaha Marriott Downtown at the Capitol District. The Secretary’s remarks on Thursday will follow updates from ACE leadership, including Dave Sovereign, ACE Board President representing Golden Grain Energy, ACE CEO Brian Jennings and ACE CMO Ron Lamberty, and a keynote address from Lee Blank, CEO of Summit Carbon Solutions.

Coming off the Olympics, the two-year anniversary of the Inflation Reduction Act and its lucrative tax credits, including important updates and announcements when it comes to the gold-standard lifecycle modeling tool for ethanol (the GREET model), ACE’s 2024 event theme this summer is fittingly “The Gold Standard.” The biofuel industry is setting the standard for clean energy solutions to ensure ethanol remains the gold-standard clean fuel for years to come.

Click here to find more information on The ACE annual conference.

ACE, ACE Ethanol Conference, Ethanol, Ethanol News, USDA

Amazon Joins SAF Coalition

Cindy Zimmerman

Amazon has joined the growing membership of the Sustainable Aviation Fuel (SAF) Coalition.

“We are thrilled that Amazon has joined the SAF Coalition. Their addition to our growing membership marks a pivotal moment for our collective efforts to scale SAF production and create a more sustainable future,” said SAF Coalition Executive Director Alison Graab. “With a significant presence in the logistics and transportation sectors, we look forward to the insights they will bring.”

The SAF Coalition has grown to more than 50 organizations across the SAF value chain since its launch earlier this year. Encompassing airports, airlines, aircraft manufacturers, agribusinesses, feedstock producers, labor unions, and technology companies, the coalition advocates for policies and incentives that will rapidly increase the development, production, and adoption of sustainable aviation fuels.

Membership in the coalition includes biofuels organizations such as the Renewable Fuels Association, SAF producers LanzaJet and Gevo, and airlines American, Southwest and United, among dozens of other organizations and companies.

aviation biofuels, Ethanol, Ethanol News, SAF

Business SAF Coalition Comments to USDA

Cindy Zimmerman

The Business Aviation Coalition for Sustainable Aviation Fuel is urging the Biden administration to follow the approach the government uses for existing biofuel programs when it develops rules to quantify and verify greenhouse gas emissions from various feedstocks for producing sustainable aviation fuel (SAF) to determine the level of Inflation Reduction Act tax incentives available to SAF producers.

“The BizAv SAF Coalition encourages the Department to enable as much adaptability and flexibility in its framework as is practicable and encourages the USDA to embrace a performance-based approach in its analysis, focusing on outcomes rather than prescriptive and exclusionary lists of acceptable feedstocks,” the coalition said in its letter.

Without the right approach and flexibility with the greenhouse gas rules, the U.S. will not be able to meet the SAF Grand Challenge goals, the coalition said. “It is likely that we will only achieve those goals through the existing scale and capabilities of U.S. agriculture through access to sustainable crop-based feedstocks,” the coalition said.

Read the coalition’s letter to USDA here.

aviation biofuels, Ethanol, Ethanol News, SAF

Ethanol and DDGS Exports Down But Still Strong in June

Cindy Zimmerman

The latest export figures for the month of June were lower than the previous month but still strong for the year, according to the latest report from the Renewable Fuels Association.

U.S. ethanol exports hit a record high for the month of June, reaching 145.9 million gallons (mg), though this marked a 6% decline from May. Shippers targeted just thirteen markets, with the largest share heading to Canada for the 39th consecutive month. Our neighbor imported 44.7 mg (93% denatured fuel), which is 25% less than May and the lowest volume for the year. Exports to the United Kingdom accelerated, increasing by 144% to 25.8 mg (64% denatured fuel). Other significant markets included the European Union (16.7 mg, +17%), India (14.7 mg, up from nearly zero), Colombia (12.2 mg, +52%), the Philippines (9.3 mg, -42%), and Mexico (8.2 mg, +55%). U.S. ethanol exports for the first half of 2024 total 962.8 mg, a remarkable 41% increase compared to the same period last year.

In addition, exports of dried distillers grains (DDGS) dropped 7% in June to 945,592 metric tons (mt). Exports to Mexico, our largest DDGS market for the sixth straight month, were up one percent from May. Exports rose 2% to South Korea, 19% to Indonesia, and over 30% to China, the largest volume since January 2022. However gains were offset by reduced shipments to Vietnam, the European Union, Canada, Colombia, and Japan.

Distillers Grains, Ethanol, Ethanol News, Exports, Renewable Fuels Association, RFA

Fluid Quip Commissions Largest MSC™ Protein System

Cindy Zimmerman

Fluid Quip Technologies (FQT) has completed the world’s largest MSC™ System to date at Tharaldson Ethanol in Casselton, North Dakota. This is the 12th system installed which is designed to expand the production of corn fermented protein, a high-quality protein ingredient in animal feed.

“Our MSC™ Technology is critical to not only creating a high-quality protein ingredient for pet food, but also allowing ethanol plants to achieve greater corn oil yields” said Neal Jakel, President of Fluid Quip Technologies, “FQT is excited to commission our largest MSC™ System and continue to collaborate with our customers to maximize the value of every kernel of corn. The project is a testament to the market and value the team has achieved as nutrition customers look for more corn fermented protein to utilize in their rations.”

Fluid Quip Technologies provided the MSC™ Technology as well as the engineering, design, procurement, construction management and startup services for the project. The completion of this MSC™ System brings overall production capacity of FQT MSC™ protein products to over 750,000 tons per year. The thirteenth FQT MSC™ system is currently under construction at the Ensus UK Limited’s facility in the UK.

corn, Distillers Grains, Ethanol, Ethanol News, Facilities, livestock feed

Farmers Touting Tech to Lower Carbon Score

Cindy Zimmerman

L-R: Iowa farmers Scott Henry, Rachel Fishback, and Brad McDonald

Farmers discussed the potential for technology to help lower their carbon intensity (CI) scores at the recent Tech Hub LIVE conference in Des Moines.

Brad McDonald, an Iowa farmer and Chief Operating Officer of Continuum Ag, talked about how incentives for adopting regenerative agriculture practices such as cover crops and no till to lower CI scores could generate a new revenue stream for farmers who sell grain to ethanol plants.

“So us as farmers can help the ethanol industry lower their CI score by producing a low CI grain. How do we do it? By using cover crops, no-till, and manure instead of synthetics. If you do those three things, that’s the trifecta to lower your score,” McDonald said. “And now I’m providing a brand new value to the ethanol industry that I should be compensated for. So at the end of the day it’s all tied to what is your actual score of the practices that you’re implementing on your farm.”

Scott Henry who farms in Nevada, Iowa, shared that he’s interested in technology that helps him simplify. “Whether it be carbon intensity scores or certain practices and products that help us reduce reliance upon synthetics that are out there….where we’re trying to really focus our operation is if we can simplify things on the farm and so that would that’s first and foremost.”

Other breakout sessions and roundtable discussions at the conference focused on ways ag tech companies can help farmers adopt these practices that could start generating a premium for their crop starting in 2025.

Carbon, Ethanol, Ethanol News, Farming, technology

Minnesota Awards $3 Million for E15 Infrastructure

Cindy Zimmerman

The Minnesota Department of Agriculture recently awarded over $3 million in infrastructure grant funding to 16 retail service stations in the state to increase access to Unleaded 88.

“With the EPA’s recent decision to allow year-round E15 sales for 2024 and beyond, the MDA is pleased to partner with these service stations to expand access to this lower-cost, cleaner fuel alternative at the pump for Minnesotans while supporting our state’s agricultural community,” said Agriculture Commissioner Thom Petersen.

Grant funds can be used to cover costs associated with the replacement or upgrading of current station equipment so it can be certified as compatible with E25 or higher motor fuel blends. To be eligible, grantees must be a retail petroleum dispenser in Minnesota with no more than 10 sites.

According to the Minnesota Bio-Fuels Association, the state leads the nation in providing consumer access to Unleaded 88, with nearly 500 stations across the state offering the 15% ethanol blend of fuel.

“The Minnesota Bio-Fuels Association is grateful for the robust investment in biofuel infrastructure provided by the Minnesota Department of Agriculture. These grant funds will help more retailers finance upgrades to their equipment so that they can offer Unleaded 88, which we know provides cost savings for consumers, improves air quality, and contributes to stronger rural economy,” said Brian Werner, executive director of the Minnesota Bio-Fuels Association (MN Bio-Fuels).

The 16 stations that were awarded the grant funding had participated in a competitive application review process which began in August 2023 through the Agricultural Growth, Research, and Innovation (AGRI) Biofuels Infrastructure Grant program.Funding for this program was made available by AGRI and the Minnesota Corn Growers Association.

E15, Ethanol, Ethanol News