#FEW16 Panel Focuses on Unlocking Marketplace Access

Joanna Schroeder

few-16-7A conversation took place during the FEW Ethanol Workshop this week that focused on how to get greater market access for ethanol blended fuels. The panel, “Exploring Strategies to Unlock Greater Marketplace Access for Conventional and Advanced Biofuels,” featured ethanol experts on the frontlines of increasing ethanol infrastructure across the country. These are the men (and shout out to the women out there) who are working with fuel retailers and others to assist them in offering their customers more options at the pump.

The panel was moderated by Tom Bryan, president of BBI International & Editor in Chief of Ethanol Producer Magazine. The panelists included:

  • Dave VanderGriend, CEO, ICM Inc.
  • Robert White, Vice President of Industry Relations, Renewable Fuels Association
  • Mike O’Brien, Vice President of Market Development, Growth Energy

Listen to the full panel discussion here: Exploring Strategies to Unlock Greater Marketplace Access

You can find photos from the 2016 FEW here: 2016 FEW Photo Album

Coverage of the Fuel Ethanol Conference is sponsored by
Coverage of the Fuel Ethanol Conference is sponsored by Novozymes
Audio, biofuels, E15, E85, Equipment, Ethanol, FEW, Growth Energy, RFA

USGC Works with Korea on #Ethanol Fuel

Joanna Schroeder

Koreans are learning about the potential for #ethanol use as a fuel. A U.S. delegation that included the U.S. Grains Council (USGC), Renewable Fuels Association (RFA), Growth Energy and USDA’s Foreign Agricultural Service, held a workshop in Seoul, Korea to give an outlook on global ethanol supply and demand. The group also shared information about past experiences with ethanol policy. The workshop served as a forum for discussion about opportunities of using ethanol in their fuel supply.

Korea-ethanol1Today Korea only uses ethanol for industrial, not fuel, purposes, and the audience at the event had little background with blending. The country consumes about 3 billion gallons of gasoline per year, more than any market in Asia other than China, India and Japan.

“With more than 60 representatives from Korea’s energy industry in attendance, we laid the groundwork to create a favorable atmosphere for the introduction of bioethanol in Korea in the future,” said USGC Director in Korea Haksoo Kim, who participated in the conference. “While this workshop was just step one, the engaged questions and interested audience suggest we are making a difference.”

Following the workshop, the group held meetings with Korea’s energy association, K-Petro, and the largest non-fuel ethanol company in Korea, Changhae Ethanol, to discuss experiences and technologies from the U.S. fuel ethanol industry.

“Based on the feedback we received from this activity, we believe that the energy industry in Korea wants to cooperate with us to learn more about fuel ethanol and possibly develop Korea’s fuel ethanol industry in the future,” Kim said. “To build on our success from this workshop, we will work on developing a follow-up program for late this year or early next year.”

biofuels, Education, Ethanol, Growth Energy, International, RFA, USGC

.@BIO says @EPA Sending the Wrong Signal

Joanna Schroeder

@EPA is sending the wrong signal for advanced biofuels according to the Biotechnology Innovation Organization (BIO). The #biotech organization has released a new analysis that finds investment patterns clearly demonstrate the EPA is sending a sustained market signal that disincentivizes advanced biofuels, causing a $22.4 billion shortfall in necessary investment.

Figure 2: Annual and Cumulative Number of Second-Generation Biofuel Deals by Type. Data from Bloomberg New Energy Finance; Ocean Park Advisors; United Nations Environment Programme.

Figure 2: Annual and Cumulative Number of Second-Generation Biofuel Deals by Type. Data from Bloomberg New Energy Finance; Ocean Park Advisors; United Nations Environment
Programme.

“EPA recognizes that its delays in rulemaking [under the Renewable Fuel Standard/RFS] from 2013 to 2015 undercut investment in advanced biofuels. The agency fails to recognize, however, that its methodology – including in the newly proposed 2017 rule – also undercuts investment in advanced biofuels,” said Brent Erickson, executive vice president of BIO’s Industrial & Environmental Section. “Data on investment in the biofuel sector bears out that EPA’s methodology has forced producers to consolidate investment in conventional biofuel production capacity and distribution infrastructure, while sacrificing investment in advanced.”

Erickson continued, “Following yet another year of policy instability, BIO now estimates that EPA’s rulemaking delays, unwarranted expansion of its waiver authorities, and methodology for setting annual RVOs has caused a $22.4 billion shortfall in investment in advanced biofuels. EPA is sending a sustained market signal that disincentivizes and discourages advanced biofuel producers, who have reached a stage where investment in proven technologies and processes could rapidly expand availability of cleaner, low-carbon transportation fuels.”

He added that this trend can change course if the EPA modifies in 2017 proposed rule to increase renewable fuel volumes and to “obviate competition among biofuel developers”. This action, said Erickson, would ensure the U.S. transportation fuel market is open to every gallon of renewable fuel that can be produced.”

advanced biofuels, BIO, EPA, RFS

#FEW16 Panel Focuses on Realizing Ethanol Potential

Joanna Schroeder

few-16-6Some of the biofuel industry’s top leaders took to the stage at the Fuel Ethanol Workshop (FEW) this week to discuss opportunities for the biofuels industry to help it achieve its true potential in the light of the Renewable Fuel Standard and the EPA’s apparent dragging of the feet in getting renewable fuel volumes to mandated levels and higher. One element of the discussion was continuing to build out infrastructure for mid-level and higher level blends of ethanol such as E15 and E85, an effort that would break through the so-called blend wall.

The panel discussion, “Pathways to Fully Realizing the Bold Promise of the Broader Biofuels Industry,” was moderated by Tim Portz, executive editor of Ethanol Producer Magazine. Panelists included:

  • Brian Jennings, Executive Vice President, American Coalition for Ethanol
  • Geoff Cooper, Senior Vice President, Renewable Fuels Association
  • Anne Steckel, Vice President of Federal Affairs, National Biodiesel Board
  • Brooke Coleman, Executive Director, Advanced Biofuels Business Council

Listen to the full panel discussion here: Pathways to Fully Realizing the Bold Promise of the Broader Biofuels Industry

You can find photos from the 2016 FEW here: 2016 FEW Photo Album

Coverage of the Fuel Ethanol Conference is sponsored by
Coverage of the Fuel Ethanol Conference is sponsored by Novozymes
ACE, advanced biofuels, Audio, Biodiesel, Ethanol, FEW, NBB, RFA

.@Novozymes Helps #Ethanol Producers Unlock Potential

Joanna Schroeder

A common theme that will never go away is how to make more with less. One way ethanol plants can identify ways to save resources as well as money is through better data management and analysis. During this year’s Fuel Ethanol Workshop (FEW), Novozymes’ Technical Services Manager, Laurie Duval educated ethanol producers on just this topic in her presentation, “Unlocking the potential of your plant data for profitability.” Duval manages a team of field scientists that are in the plants implementing Novozymes’ products and helping customers troubleshoot their problems. She also works with data analytics and digital customer engagement tools.

few-16-5Duval explained in an interview with Energy’s Chuck Zimmerman during FEW that many of the plants are just collecting their data and storing it for review later. But if they can find ways to better bring their data to the forefront and analyze it regularity, then they can start to look for trends earlier and maybe catch some problems before they occur and before they cost them lots of money. Data analytics could even create some trends where ethanol plants are actually able to optimize around parameters that can help them make more ethanol or more products. “And that’s really the goal of getting better with data in the plants,” Duval noted.

Novozymes is working with data solutions companies throughout the industry together with their customers, trying to find, on a case-by-case basis, the best way to work with those individual plants and the systems they have to help them improve their profitability.

Interested ethanol facilities can contact Laurie Duval directly or their technical scientist.

To learn more about using data to increase profitability, listen to Chuck’s interview with Laurie Duval here: Interview with Laurie Duval, Novozymes

You can find photos from the 2016 FEW here: 2016 FEW Photo Album

Coverage of the Fuel Ethanol Conference is sponsored by
Coverage of the Fuel Ethanol Conference is sponsored by Novozymes
Audio, biofuels, Ethanol, FEW, Novozymes

#Ethanol Industry: Don’t Legislate Changes to the #RFS

Joanna Schroeder

Several ethanol industry leaders testified today during the Energy and Power Subcommittee’s hearing on the Renewable Fuel Standard (RFS). The EPA recently released its proposed rules for 2017 and 2018 and while the biofuel industry wants to see higher blending volumes, Big Oil wants to see lower blending volumes, says the ethanol industry, because the energy program’s continued implementation would mean further loss of market share.

According to the ethanol industry, the RFS has been an unmitigated success and repealing or dramatically reforming the program will reverse the gains already made under the program such as the reduction of dependence on foreign sources of oil and the reductions in carbon emissions. Modifying the RFS backward would also, says the ethanol industry, devastate investment in next generation biofuel technologies and halt progress.

rfalogo1According to the Renewable Fuels Association, (RFA), in 2015, 14.8 billion gallons of ethanol was produced, supporting 85,967 direct jobs, while net petroleum import dependence fell to just 25 percent, and would have been 32 percent without the addition of domestically produced ethanol. In addition, RFA says the use of ethanol in gasoline in 2015 reduced greenhouse gas emissions from transportation by 41.2 million metric tons — equivalent to removing 8.7 million cars from the road for an entire year.

Dinneen said during his testimony, “The incumbent industry has already lost 10 percent of the market. If the RFS is implemented consistent with the statute, the market will make the final push to see cellulosic ethanol and other advanced biofuels to fruition, resulting in the loss of 30 percent of the market. It is important to note that Congress did an excellent job of crafting the RFS, building in a great deal of administrative and market flexibility to deal with issues as they arise,” Dinneen told the subcommittee. “You wrote a good law in 2005. Don’t be bullied by the hyperbole and scare mongering by the incumbent industry that fundamentally disagrees with the need for alternative, low carbon options for consumers.…[T]here is nothing wrong with the RFS that cannot be fixed with what is right with the RFS, and there is no need to legislate changes to a program that is working well today.”

growth-energy-logo1New Growth Energy CEO Emily Skor, who keynoted the opening day of the Fuel Ethanol Workshop (FEW) yesterday, also submitted testimony for the official record. “…We urge the Environmental Protection Agency (EPA) to keep the RFS moving forward, and this committee to work towards fixing the actual issues standing in the way of full implementation. However, the regulatory hurdles and market barriers to entry that impact the E15 marketplace are not being discussed at today’s hearing. E15 is a less expensive, high performance fuel, but unlike E10, it cannot be sold during the summer driving season due to a 26 year-old legislative oversight in the Reid Vapor Pressure (RVP) statutory restrictions. Legislation has been offered in the House of Representatives to fix this problem (H.R. 1736) and this committee should spend time considering how to address this issue…

biofuels, E15, E85, Ethanol, Growth Energy, RFA, RFS

.@Novozymes Fanø Excited about Bioenergy University

Joanna Schroeder

Earlier this year, Tina Sejersgård Fanø assumed the role of executive vice president for Novozymes Agricultural and Bioenergy division. Part of this division, she said, is their biofuel business and that biofuels are a big and very interesting business for them. This is Fanø’s first time at the Fuel Ethanol Workshop (FEW) and Chuck Zimmerman was able to speak with her about Novozymes’ approach in the current market.

few-16-4The company has clients across the globe and Fanø said the largest number are based in the U.S. “We know that the market for ethanol producers is very competitive, and what we want to secure is that we can do whatever we can to help producers increase their market in advancing their business.”

This said, they work closely with their clients to get to know their business. Novozymes offers educational opportunities such as Bioenergy University so the company can better advise them on such things as how they can improve their business margins, increase ethanol yields, reduce the use of chemicals and more. Ultimately, says Fanø, they work on creating solutions that are specific for their customer’s needs.

“It’s all about helping our customers succeed,” stressed Fanø. “I’m especially thrilled with our Bioenergy University because it helps our clients get better at what they do, and try to put more education behind that small piece of the whole puzzle we are helping with.”

To learn more about Novozyme’s biofuel business, listen to Chuck’s interview with Tina Sejersgård Fanø here: Interview with Tina Sejersgård Fanø, Novozymes

You can find photos from the 2016 FEW here: 2016 FEW Photo Album

Coverage of the Fuel Ethanol Conference is sponsored by
Coverage of the Fuel Ethanol Conference is sponsored by Novozymes
Audio, biofuels, Ethanol, FEW, Novozymes

NBB Shares #Biodiesel Success Story with Congress

Joanna Schroeder

During a congressional hearing today in Washington, D.C. focused on the future of the Renewable Fuel Standard (RFS). Anne Steckel, National Biodiesel Board (NBB) vice president of federal affairs, shared biodiesel’s success story and stressed that the industry is delivering the majority of advanced biofuels under the energy program and is poised to do even more.

nBB“Biodiesel and renewable diesel are the unsung heroes of the RFS Advanced Biofuel program,” Steckel told the Energy and Power Subcommittee focused on RFS implementation issues. “If you take away one thing from my testimony today, I hope it is the following – while there are certainly areas that could be improved, the RFS has made tremendous progress in developing Advanced Biofuels and delivering them to American consumers. Biodiesel and renewable diesel have made up the vast majority of Advanced Biofuels in the RFS, including filling more than 90 percent of the category in the last two years.

Steckel called on the EPA to strengthen its recently announced RFS proposal, which includes a biodiesel volume of 2.1 billion gallons in 2018, just 100 million gallons higher than the 2017 volume finalized last year. The industry already appears poised to exceed 2.1 billion gallons of RFS production this year, she noted.

There remains significant untapped production capacity on the ground today, and biodiesel producers across the country will tell you they stand ready to invest and expand and hire with strong, stable policy,” her testimony reads. “However, we continue to believe the agency is underestimating the volume of biodiesel that can be delivered.

advanced biofuels, Biodiesel, NBB, RFS

.@EthanolRFA: API Pushing the Same Push Poll

Joanna Schroeder

Yesterday the American Petroleum Institute (API) unveiled new anti-ethanol results from its May Harris Poll. Bob Dinneen, president and CEO of the Renewable Fuels Association (RFA), said of the poll, “API, an oil trade group which has made its top priority to get rid of the Renewable Fuel Standard (RFS), is yet again relying on push polling to foster its narrative that the public doesn’t support biofuels. With its push poll, API poll suggests a remarkable 77% of voters are concerned about higher ethanol blends.”

Today, Dinneen, along with Executive Director of the Advanced Biofuels Council Brooke Coleman, testified at the Energy and Power Subcommittee hearing’s on the RFS. This hearing comes shortly after the EPA held an RFS hearing on its proposed 2017 and 2018 rules in Kansas City. The API poll was intentionally released to coincide with the RFS comment period that ends July 11, 2016. Both Dinneen noted the strong support for consumer choice at the pump and consumers’ purchases of ethanol blends.

Screen Shot 2016-06-21 at 10.59.45 PMDinneen, whose association coined the mantra “Don’t Mess with the RFS” several years ago, went on to call API’s poll “bunk”. He notes that it stands in “stark contrast” to a poll conducted on behalf of RFA by Morning Consult conducted last week that found not only do voters support the RFS by a greater than 3:1 margin, they support the continuation of the energy program. In addition, the poll found by a 2:1 margin that voters oppose efforts to reduce or repeal the RFS.

“API posed its two biofuel-related polling questions in a callously misleading way. By contrast, the RFA asked no leading questions. When voters are given a question devoid of prejudice, it’s amazing what happens.” Dinneen added, “the American public clearly wants alternatives to Big Oil, and biofuels can help reduce our petroleum dependence, while cleaning the environment and boosting the rural economy.”

According to RFA, here is API’s first misleading question:

‘As you may know, much of the gasoline in the U.S. market currently contains up to a 10% ethanol blend. Most auto manufacturers have said they will not cover vehicle damage caused by higher ethanol fuel blends. Given that situation, how concerned are you about government requirements that would increase the amount of ethanol in gasoline?’

RFA says…“What’s the truth? Auto manufacturers explicitly approve of E15 (15% ethanol, 85% gasoline) use in more than 70% of MY2016 vehicles, according to a December 2015 RFA analysis of warranty statements and owner’s manuals. But you wouldn’t know it from API’s biased polling question. There is not a single example of E15 destroying a consumer’s engine. API’s reference is so prejudicial, the result they got was preordained.

According to RFA, here is API’s second misleading question:

‘Do you agree or disagree that using even more corn for ethanol production could increase consumer prices here in the U.S. and increase hunger among the world’s poor?’

RFA says…“A report issued just last week by the World Bank and others found that biofuels from crops do not harm food supplies, and besides, corn used for ethanol comes from field corn, not the sweet corn that humans consume. API’s claim that ‘even more corn for ethanol production could increase consumer prices here in the U.S. and increase hunger among the world’s poor’ doesn’t pass muster and is another example of the desperate lengths they will go to mislead and misinform the public.”

E15, Ethanol, Ethanol News, RFA, RFS

Kum & Go Offers Consumers the Fuel of NASCAR – #E15

Joanna Schroeder

What better way to promote E15 than in conjunction with some of the fastest cars on the planet- NASCAR race cars. This weekend E15 was featured at the Iowa Speedway during the American Ethanol E15 250 presented by Enogen. On hand for the race was Jim Pirolli with Des Moines, Iowa-based Kum & Go, who is one of the Midwest’s leading fuel retailers in rolling out ethanol fuel blends including E15.

enogen-jim-pirolliChuck Zimmerman was able to learn more about Kum & Go’s commitment to ethanol before the official start of the race. Pirolli said the fuel retailer has had ethanol in their gasoline for more than 40 years dating back to when it was called gasohol. In the late 1990s, they rolled out E85, one of the first retailers in the country to do so. Then a year ago they made the decision to launch E15- the fuel of NASCAR. When they decided to do this, said Pirolli, they did a lot of work with Growth Energy and American Ethanol to look at consumer preferences as well as to better understand what cars can use E15, and what drivers are going to want at the pump both now and in the future. All signs pointed to ethanol so Kum & Go decided E15 was the way to go for the next generation, higher octane, more environmentally friendly fuels.

Today Kum & Go has E85 at 200 stores and they have rolled out E15 at 30 stores with plans for E15 pumps at more than 100 stations by year end.

Pirolli said customers love E15. The company is currently doing a blue hose campaign to drive consumers to the stores. Once there, they look for the blue hose that pumps E15, the fuel of NASCAR drivers. “They see that E15 is 10 cents cheaper than E10 and they understand that it’s a safe fuel to use and that it will give them better performance, and they are filling up.”

To learn more Kum & Go’s E15 plans, listen to Chuck Zimmerman’s interview with Jim Pirolli here: Interview with Jim Pirolli, Kum & Go

You can find lots of photos from Iowa Speedway race weekend here: Enogen Syngenta NASCAR Photo Album

American Ethanol, Audio, biofuels, E15, E85, Enogen, Ethanol, NASCAR, Syngenta