45Z on the Issues List for ACE Fly-in

Cindy Zimmerman

LtoR – Chad Miller and Rod Jorgenson, Al-Corn; Rep. Angie Craig, Mark Heckman and Matt McBain, Edeniq

The 45Z Clean Fuel Production tax credit was supposed to be implemented this year, but so far the incentive to help make more sustainable aviation fuel (SAF) has yet to even see proposed guidance to make it happen and ethanol producers are looking for answers.

Mark Heckman took part in the American Coalition for Ethanol (ACE) DC Fly-in last week and 45Z was his main interest, both as an Iowa farmer and Vice President of Sales for Edeniq Inc., a company that quantifies and qualifies the advanced biofuels coming out of the ethanol facilities.

“We need 45Z. We need that pretty clear. We need that certainty so that these facilities can invest in themselves and make the hard decisions that need to be made,” said Heckman. “We need it extended. It can’t be just a three-year time period, which we’re halfway through the first year and if decisions are being made, those decisions that are being made today most of it won’t materialize or manifest until next year. So you really only have a year and a half of credits that you’re going to be able to capture.”

The tax credit is part of the Inflation Reduction Act, which is a Trump Administration target, but some programs and funding are being retained, such as the Higher Blends Infrastructure Incentive Program (HBIIP) which was released by USDA this week.

In this interview, Heckman also talked about ACE teams bringing the importance of continued strong renewable Volume Obligations under the Renewable Fuel Standard.

2025 ACE Fly-in Mark Heckman, Edeniq 9:43

2025 ACE DC Fly-in Photo Album

ACE, Audio, aviation biofuels, corn

Ag Secretary Gets Earful About E15

Cindy Zimmerman

LtoR – Rep. Miller-Meeks, Sec. Rollins, Elite Octane CEO Nick Bowdish, Sen. Ernst, Gov. Reynolds

Secretary of Agriculture Brooke Rollins heard a lot about the ethanol industry’s need for year-round, nationwide E15 during her trip to Iowa yesterday, starting with her visit to the Elite Octane ethanol facility in Atlantic, Iowa.

“We’re very bullish for the next three years with President Trump leading the way. The seeds of policy change to drive profitability for our corn and soybean farmers in this state are going to be biofuels,” said Nick Bowdish, President and CEO of Elite Octane. “With E15, not only the legislative fix for RVP, but deeming all the infrastructure at these retailers to be compatible for E15…that combined with a strong RFS and RVO standards, we’re very bullish this administration has the farmers’ back and is going to deliver for Iowa.”

Rollins reiterated the administration’s support for E15 several times during her visit Monday, including at the Iowa Ag Leaders Dinner. “We’ve got E15. We’ve got a lot of things we’ve got to do, but know that you have such a strong advocate, not only at USDA but also at the White House with President Donald Trump,” said Rollins. “In addition, USDA is aggressively exploring additional ways to unleash American energy and to incentivize the production and use of homegrown biofuels, including working alongside my friends at the EPA to develop the renewable volume obligation as well as supporting EPA’s review of any potential emergency waivers on fuel to allow the nationwide year-round sale of E15.”

Rollins’ trip to an ethanol plant in one of the nation’s top producing states was encouraging to ethanol organizations like the Renewable Fuels Association (RFA), of which Elite Octane is a member. “We thank Secretary Rollins and President Trump for releasing USDA funding that will help expand the domestic market for American-made renewable fuels,” said RFA President and CEO Geoff Cooper. “We look forward to continuing to work together with USDA under Secretary Rollins’ leadership to grow new market opportunities for U.S. ethanol producers and our partners in agriculture.”

USDA Sec. Rollins biofuels comments at Ag Leaders Dinner 4:26

Audio, E15, Ethanol, Ethanol News, Renewable Fuels Association, RFA, USDA

Illinois Increases Biodiesel Blend Rate 

Cindy Zimmerman

Effective today, April 1, biodiesel blend requirements in Illinois are increasing from B14 to B17, marking another step toward advancing cleaner fuel options.

The bipartisan B20 bill passed in 2022 raises the bar on biodiesel use by increasing the minimum biodiesel blend level eligible for tax exemption. Starting today, this means 17% of every gallon of biodiesel sold in Illinois between Apr. 1 and Nov. 30 will be derived largely from domestically produced, renewable vegetable oil, with soybeans being the top contributor.

Illinois Soybean Association (ISA) Chairman and Illinois soybean farmer Ron Kindred is proud to see the continuation of efforts that support our state’s farmers. “Increasing biodiesel blend rates is a win for farmers, consumers and the environment,” said Kindred. “Every step forward strengthens our energy security, drives demand for homegrown feedstocks, and supports rural economies.”

Next year, the minimum biodiesel blend levels eligible for a tax exemption will increase to the full 20 percent.

Biodiesel, Soybeans

USDA Secretary Announces HBIIP Funding in Iowa

Cindy Zimmerman

Secretary Rollins and Sen. Ernst tour Elite Octane

Secretary of Agriculture Brooke Rollins visited an Iowa ethanol plant Monday to announce USDA will release obligated funding under the Higher Blends Infrastructure Incentive Program (HBIIP) for 543 projects totaling $537 million in 29 states. That funding had been included in the Inflation Reduction Act (IRA).

Secretary Rollins made the announcement at Elite Octane in Atlantic, Iowa, along with an entourage that included Senator Joni Ernst (R-IA), Iowa Governor Kim Reynolds, Reps. Zach Nunn and Mariannette Miller-Meeks, and Iowa Secretary of Agriculture Mike Naig.

“President Trump is honoring our commitment to America’s farmers, ranchers and small businesses, especially here in Iowa where corn and soy growers are crucial to supporting ethanol and biodiesel production,” Secretary Rollins said.

In a press availability with the other dignitaries, Rollins was first asked about nationwide, year-round E15. “This is a priority of our administration,” said Rollins. “We hear you and we understand how important it is.”

Questioned about tariff negotiations and whether the administration would be willing to compensate farmers impacted adversely as it did in the first Trump term, Rollins said, “My hope and prayer and goal is that we don’t have to do that again, that in fact these tariff re-negotiations will be so positive for our farmers and ranchers and ag community on the front end.”

Gov. Reynolds, Elite Octane CEO Nick Bowdish, Sen. Ernst, Rep. Nunn and Rep. Miller-Meeks also make comments in the press conference.

USDA Sec. Rollins at Elite Octane 16:17

Audio, Ethanol, Ethanol News, USDA

New Research Evaluates Gasoline as Carcinogen

Cindy Zimmerman

The International Agency for Research on Cancer (IARC) evaluated the carcinogenicity of automotive gasoline and some oxygenated gasoline additives and published findings last week in The Lancet Oncology.

The Working Group evaluated automotive gasoline as carcinogenic to humans (Group 1) on the basis of sufficient evidence for cancer in humans and the combination of sufficient evidence for cancer in experimental animals and strong mechanistic evidence in exposed humans. Automotive gasoline causes cancer of the urinary bladder and acute myeloid leukaemia in adults.

That was news that Rick Schwark with Absolute Energy took to Capitol Hill last week at the annual American Coalition for Ethanol DC Fly-in. “Gasoline is made of two main parts…it’s the aromatic compounds that are the issue and that’s where the octane comes from in gasoline,” said Schwark. “Ethanol’s high octane replaces them.”

Those compounds include Methyl tert-butyl ether (MTBE), ethyl tert-butyl ether (ETBE), tert-butyl alcohol (TBA), diisopropyl ether (DIPE), and tert-amyl methyl ether (TAME). MTBE and ETBE were both classified as possibly carcinogenic to humans (Group 2B) on the basis of sufficient evidence for cancer in experimental animals.

Schwark adds that the Hormel Institute at the University of Minnesota is finding similar results in its breast cancer research.

2025 ACE Fly-in Rick Schwark, Absolute Energy 3:32

2025 ACE DC Fly-in Photo Album

ACE, Audio, Ethanol, Ethanol News

Secretary Rollins to Visit Ethanol Plant

Cindy Zimmerman

Sec. Rollins at 2025 Commodity Classic

U.S. Secretary of Agriculture Brooke Rollins will be in Iowa Monday, March 31, with a full schedule that includes a visit to an ethanol plant.

Secretary Rollins will start the day with at Elite Octane in Atlantic, Iowa, where she will be joined by Iowa Governor Kim Reynolds, Senator Joni Ernst (R-IA), Reps. Zach Nunn and Mariannette Miller-Meeks, and Iowa Secretary of Agriculture Mike Naig. Rollins will also tour a hog farm, and meet with soybean producers and agriculture leaders from across Iowa, capping off the day by delivering the keynote speech at the Iowa Ag Leaders Dinner.

Tariffs and trade are likely to dominate any remarks the secretary makes as this week is the “big” week for reciprocal tariff announcements promised by President Donald Trump. Rollins announced Friday she will visit six international markets in her first six months as Secretary to expand markets and boost American agricultural exports.

On her agenda are Vietnam, Japan, India, Peru, Brazil, and the United Kingdom. The UK was the second largest market for U.S. ethanol exports last year, according to the Renewable Fuels Association, while India was ranked fourth. Peru was ninth on the list last year and there is room to grow as USDA lists ethanol exports as one of the key prospects for Rollins’ visit. India, Japan and Brazil are all extremely important markets for the ethanol industry in terms of growth potential and trade imbalances.

Ethanol, Ethanol News, Exports, USDA

Back to the Future with the RFS

Cindy Zimmerman

For the first time in 20 years, the Senate has a strong ethanol champion as Majority Leader in Sen. John Thune (R-SD). The last time was another South Dakotan, Democrat Tom Daschle, who was instrumental in crafting the Renewable Fuel Standard (RFS).

Jonathon Lehman speaks at ACE DC Fly-in

Jonathon Lehman, who has been the American Coalition for Ethanol lobbyist for many years, served as Counsel to Sen. Daschle and helped to write the legislation. “When we started the RFS in the early 2000s, it was really in response to the farm economy at the time and really low commodity prices,” said Lehman. “We knew at the time that you really needed to increase demand and that is where the RFS came into play is to really drive corn demand via the ethanol industry and soybeans via biodiesel and create this new market opportunity.”

Ironically, Daschle lost his seat in the Senate before the RFS was passed into law in 2005, and he lost it to John Thune who was serving in the House. “Senator Daschle was the lead sponsor of the RFS on the Senate side back in the early 2000s while John Thune was the lead sponsor on the House side,” said Lehman. “So he’s been a core kind of champion of biofuels throughout his entire his entire career.”

Lehman provided insights and background for members of ACE prior to their visits on Capitol Hill this week.

2025 ACE Fly-in Jonathon Lehman 7:08

ACE, Audio, Ethanol, Ethanol News, RFS

ACE Members on Capitol Hill

Cindy Zimmerman

Members of the American Coalition for Ethanol (ACE) are on Capitol Hill this week with a laundry list of topics to discuss with Congressional offices, but topping the list is year-round, nationwide E15.

“It’s time to get this done, it’s overdue. We came so close last year. Let’s not let that momentum fall by the wayside,” said ACE CEO Brian Jennings. “We know that we have strong support from Republicans and Democrats in Congress. We know that leadership in this new Congress is working with us to try to get it done, particularly the Senate Majority Leader. And we know that there are a handful of must-pass bills that Congress will consider, and so there’s a select few opportunities I we we prefer to get this done before the summer driving season.”

Other important issues facing the industry include the impact of potential tariffs, continuation of the Renewable Fuel Standard, and the supply-demand situation.

“You could argue this is the most important fly-in we’ve done the last 14 years because we’re on the cusp of accomplishing some really important things,” said Jennings. “We’re also on the razor’s edge of having the farm economy continue to go in the wrong direction. And if we do get some of these trade markets taken away from us, seeing some really concerning fundamentals in the ethanol supply demand domestically.”

ACE CEO Brian Jennings discusses E15 and other issues at the Fly-in
2025 ACE Fly-in Brian Jennings, ACE 10:14

2025 ACE DC Fly-in Photo Album

ACE, Audio, E15, Ethanol, Ethanol News

Sen. Thune Calls for Farm Bill and Year-round E15

Cindy Zimmerman

Senate Majority Leader John Thune (R-SD) took to the floor yesterday to urge Congress to help farmers who are struggling.

“Many commodity producers are bracing for the prospect of serious financial losses this year,” said Thune. “These challenges are real. That’s why last December, Congress approved relief funding for agriculture producers hit by economic headwinds, as well as those affected by natural disasters.”

But, Thune says, that is only temporary relief and no substitute for a new farm bill and the stability nationwide E15 could provide. “When I became Majority Leader, I made it clear that a full and updated farm bill would be a priority for the new Republican majority. Secretary Rollins has been clear that this is a priority for the Trump administration as well….As is a stable biofuels policy, including year round access to E15 and timely and meaningful updates to the renewable volume obligations that matter to ethanol producers in America’s heartland.”

Sen. Thune floor speech 4:35

Audio, E15, Ethanol, Ethanol News

Ag and Biofuels Groups Seek Exemption to Shipping Rules

Cindy Zimmerman

The United States Trade Representative‘s office is holding public hearings this week on proposed actions in the Section 301 investigation of China’s targeting of the maritime, logistics, and shipbuilding sectors for dominance that would result in new fees being imposed on Chinese vessels. The first hearing was held on Monday, March 24 and the second will be on Wednesday, March 26.

More than 100 agricultural and biofuels organizations sent comments in a letter to USTR seeking an exemption for agricultural exports from both newly proposed fees on Chinese vessels and graduated sourcing requirements for U.S. built and flagged vessels “until such time as our nation’s ship production can meet the requirements needed to keep U.S. agriculture competitive in the global market.”

“While we support President Trump’s effort to rebuild the United States position and power in global shipping, we are worried the current fees and timelines cannot be achieved without substantial economic harm on the farm and in rural America,” the letter stated. “These are not idle concerns. U.S. commodity prices and agriculture exports have already been negatively impacted due to uncertainty regarding when trade actions would become effective. Vessel operators have told U.S. exporters they intend to pass on 100 percent of the cost of the port fees.”

The Renewable Fuels Association was one of the groups signing the letter and president and CEO Geoff Cooper says shipping transportation is vital to ethanol exports, which hit record levels last year. “Efficient, reliable, and timely export transportation service is critical to the viability of our industry, and the imposition of these fees would be devastating to our marketplace. We urge the U.S. Trade Representative to recognize the vital importance of American agriculture products to the world economy, and grant the requested exemptions.”

Ag group, Ethanol, Ethanol News, Exports, Renewable Fuels Association, RFA, Trade, transportation