Documentary: How Ethanol Fuels America

Joanna Schroeder

Syngenta has released a new documentary video entitled “Ethanol: Fueling Rural America’s Future – One Community at a Time.” According to the company, the video provides a platform for farmers, ethanol producers and industry advocates to share their passion for an industry critical to the future of agriculture and rural America.

Syngenta developed the video to reinforce the ethanol industry’s positive impact on the U.S. economy and American energy independence. The company says ethanol production is a vital Screen Shot 2014-03-03 at 9.57.34 AMcontributor to the national Gross Domestic Product, federal tax revenues, and the creation and support of new jobs across the country.

“As ethanol plants have moved into small towns and established their businesses, they have provided well-paying jobs and stabilized the corn market price,” said Jack Bernens, head of marketing and stakeholder relations for Syngenta. “That income is circulating back through rural communities. With the Renewable Fuel Standard (RFS) under scrutiny, we wanted to help tell that story.”

Ethanol is also helping consumers. A University of Wisconsin/Iowa State University study found that in 2011 ethanol reduced wholesale gasoline prices by $1.09 per gallon nationally. Looking ahead to the adoption of blends with an ethanol level greater than E10, Growth Energy reports that the more than 170 million cars manufactured since 2001 are currently eligible to use E15, while more than 16 million flex-fuel vehicles are on the roads today.

“This demonstrates that there is a market ready for a less expensive, higher octane, more environmentally friendly alternative fuel,” added David Witherspoon, head of renewable fuels for Syngenta. “We have the vehicles capable of using blends higher than E10, but greater access to stations capable of providing it and the petroleum marketing industry’s support are needed to make that access a reality.”

biofuels, corn, Ethanol

It Pays to Shop for Ethanol

Joanna Schroeder

An informal survey of gasoline retail locations in greater Des Moines, Iowa, revealed that while 87-octane gasoline prices remain relatively uniform across several retail brands, the price a consumer pays for premium gasoline varies greatly depending on whether the retailer blends its premium gasoline with ethanol. The Iowa Renewable Fuels Association (IRFA) reports that using premium gasoline blended with E10 (10 percent ethanol) can save up to 25 cents.

IA-pump-photoIRFA says the savings of ethanol are so great that consumers can pay approximately the same price for E10 premium gasoline as they would for 87 octane gasoline with no ethanol.

Here at the IRFA, we support consumer fuel choice, and consumers can save 25 cents per gallon by shopping at retail locations that offer premium blended with 10 percent ethanol,” said IRFA Executive Director Monte Shaw. “Fuel blended with 10 percent ethanol is approved for use in all cars, trucks and off-road motors available today, and vehicles that carry a recommendation for premium gasoline use are no different. By simply shopping for ethanol blended premium gasoline, consumers can save a lot of money while supporting Iowa’s economy.”

Speaking of E10, the Iowa Department of Revenue published January data for gasoline use and IRFA said that Iowa motorists saved more than $23 million in January by filling up with E10 – 103 million gallons of E10.

Shaw noted, “Priced at least 23 cents less than its 87-octane no ethanol counterpart, E10 is providing Iowans with huge savings. And those savings add up for both consumers and Iowa’s economy. The use of E10 is keeping at least $23 million in Iowa instead of sending it out of state or out of the country for petroleum. In fact, the true savings is likely more than $30 million for the month. Simply using ethanol is not only saving consumers some of their hard earned money, it’s also cleaning up our air and supporting Iowa jobs.”

According to IRFA, actual savings are even greater than $23 million because the Iowa Department of Revenue data does not account for ethanol blending that occurs outside of pipeline fuel terminals. In addition, while the typical E10 savings in the Des Moines metro area is 23 cents per gallon, E10 is priced at a more than 30-cent discount to E0 in many parts of Iowa.

biofuels, Ethanol, Iowa RFA

Biodiesel Official Fuel for Delmarva Tractor Pull

John Davis

TractorPullPhoto1The power of biodiesel will be on display next weekend for tractor pull fans in Delaware. According to this story on CapeGazette.com, those attending the very first Delmarva Tractor Pullers Association Super Pull next Saturday and Sunday at the Delaware State Fairgrounds in Harrington will feel that biodiesel power rumble deep in their chests.

“The Delaware Soybean Board is proud to partner with the Delmarva Tractor Pullers Association by providing biodiesel fuel for featured farm equipment and vehicles during the event,” said Travis Hastings, chairman of the Delaware Soybean Board. “This is the perfect venue to show that biodiesel is a powerful product with absolutely no compromise in performance.”

“A majority of the pullers are farmers. So by fueling their equipment on biodiesel, they’re using a product they possibly made,” said Jay Baxter, soybean farmer, charter member of the Delmarva Tractor Pullers Association and vice chairman of the Delaware Soybean Board.

Baxter and other soybean farmers pay a small assessment called a checkoff when they sell their soybeans. The checkoff, administered in Delaware by the Delaware Soybean Board and nationally by the United Soybean Board, is sponsoring the use of biodiesel at the Super Pull. The soybean checkoff helped develop biodiesel and supports marketing of biodiesel as a way to increase demand for soy.

There’ll be five divisions and 39 classes of pullers participating.

Biodiesel

Vilsack Focused on Ways to Help Biofuels

John Davis

classic14-vilsack1Ag Secretary Tom Vilsack says his discussions with his counterpart at the Environmental Protection Agency don’t focus on the message that biodiesel and ethanol advocates are already pushing: abandoning the current proposal that would cut the amount of biofuels mixed into the Nation’s fuel supply.

“I’m looking for ways to help this industry, regardless of what EPA does,” Vilsack told a group of reporters gathered at Commodity Classic, the annual meeting of corn, soybean, wheat and sorghum growers in San Antonio. While pointing out that he has been a long-time supporter of biofuels, he said it doesn’t make sense to repeat what EPA administrator Gina McCarthy is already hearing in the thousands of comments her agency has received. Vilsack believes a great way forward is marketing ethanol and biodiesel as exports. “Our team has put together a plan to expand trade promotion on biofuels by including biofuels folks on a new trip to China,” as well as planned pitches to India and Japan.

Vilsack added they can also address infrastructure issues to make sure that is not a barrier to getting more biofuels into the system. He sees making sure biodiesel and ethanol are successful as matters of national security importance, environmental concern, and economic interest. He just wants to make sure his Cabinet colleague has all the information he can provide her.

“Bottom line is: we’re going to continue to help this industry as best we can, advocate for it, and trust that EPA at the end of the day makes the right set of decisions.”

Listen to his remarks here: Vilsack Talks RFS at Commodity Classic
2014 Commodity Classic Photos

Audio, Commodity Classic, USDA

Growth Energy’s ‘State of the Industry’

Joanna Schroeder

Ethanol industry leaders met in Phoenix, Arizona this week to discuss the state of the renewable fuels industry. The event was kicked off by Jeff Broin, co-chair of Growth Energy’s Board of Directors with a “state of the industry” address.

Broin noted the resilience of the industry and outlined how Congress made a promise to America to reduce its dependence on foreign oil, to clean our environment and to create American jobs. He also stressed that the industry “will continue to hold Congress and the Growth_Energy_logo-1Environmental Protection Agency accountable,” and that as an industry, “we will do whatever we can to make sure they keep their promise.” Broin also discussed the importance of “educating Americans on the benefits of homegrown, renewable American ethanol.”

In conclusion, Broin concluded thanked all of Growth Energy’s members who have weathered the challenges in the renewable fuels industry and continue to succeed no matter the challenges, noting that collectively, “we can make ethanol a major player in the liquid fuels industry.”

The keynote address was delivered by Tom Buis, CEO of Growth Energy and he focused on the critical priorities of the ethanol industry. He outlined how defending the Renewable Fuel Standard (RFS), and building out the necessary infrastructure for higher blends of ethanol and widespread availability of E15 in the commercial marketplace will be the main priorities of the industry in 2014.

Buis also highlighted the importance of breaking down the so called “blendwall”. He explained that higher blends of renewables should be available to the American consumer, so they have a choice of a high octane, high performance fuel and also a choice of a fuel that supports American jobs, while also saving them money.

Buis also called on both members of Congress and the administration to stop accepting the status quo of fossil fuels and foreign oil. In stressing the importance of scaling the blendwall, Buis said, “President Obama, if you seek to reduce our dependence on foreign oil, create jobs here in the US that cannot be outsourced and strengthen the rural economy, and, if you truly want cleaner air, reduced greenhouse gas emissions, a better environment for our children and lower gas prices for American consumers, tear down this blendwall!”

In conclusion, Buis noted that this will not be an easy challenge, and that, “We all know that this is a battle – one over market share, and one that will not be accomplished overnight.”

But Buis reminded members why they are all fighting – “that we are fighting for American farmers, for the resilient men and women who work hard every day to fuel America and feed the world. For vibrant small town communities that have known hard times and are ready for a comeback. We are fighting for our brave troops. For those who fight for us, to ensure that they are never placed in harm’s way again, solely for our energy needs. We are fighting for the energy independence and national security of this great country – we are fighting for the United States of America.”

biofuels, conferences, Ethanol, Growth Energy

emPower Arizona Debuts During Arizona Solar Summit

Joanna Schroeder

Solar energy was the focus of the Arizona Solar Summit IV and during the event, the first public unveiling of the state’s new master energy plan, “emPOWER Arizona: Executive Energy Assessment and Pathways,” took place. On February 18, 2014 Arizona Governor Jan Brewer signed the executive order for the legislation- the state’s first comprehensive energy plan in more than 20 years.

The Arizona Solar Summit, hosted by Arizona State University LightWorks, ASU SkySong and the Sandra Day O’Connor College of Law and sponsored by NRG, provided the first opportunity for the public to learn about the master energy plan. The plan seeks to make gI_142186_az-solar-summit-logo_OKED-AdArizona a “collaboratory” of policy leaders, energy experts and universities.

Leisa Brug, Brewer’s energy policy advisor and director of the Governor’s Office of Energy Policy, led a panel discussion on the plan and its goals. Brug said that Arizona is already ahead of other states in terms of energy policy, and the new master plan will help the state continue to be a national leader in the field. “We’ll be a national model,” Brug said. “We see this as a tremendous way to buoy up our solar industry.”

Other issues covered during the event included the future of the utility sector; carbon dioxide mitigation; energy efficiency in the built environment; and more. In addition, keynote speaker William Harris, president and CEO of Science Foundation Arizona, called on the attendees to become active in the fight against climate change.

“People use this word ‘sustainability’ so often I don’t even know what it means,” Harris said. “I like how Charlie Bayless described it: ‘Treat the planet like you intend to stay.’ Get involved, stay involved and work with this issue.”

Alternative energy, Education, Solar

The Sorry State of Corporate Taxes

Joanna Schroeder

Citizens for Tax Justice has released a new five-year, comprehensive study of 288 profitable Fortune 500 companies finds that 26 paid no federal corporate income tax over the five-year period; 111 paid no federal corporate income tax in at least one of the last five years, and one-third paid a U.S. tax rate less than 10 percent over the same period, Citizens for Tax Justice and the Institute on Taxation and Economic Policy said today. “The Sorry State of Corporate Taxes: What Fortune 500 The Sorry State of Corporate TaxesFirms Pay (or Don’t Pay) in the USA and What They Pay Abroad —(2008–2012),” found that most multinational corporations in the study paid lower U.S. taxes on their domestic profits than they paid to foreign governments on their foreign profits.

Big Oil companies were part of the this list and the report found that several oil companies paid no taxes or negative taxes in at least one of the years between 2008 and 2012: Murphy Oil, Exxon Mobil, Occidental Petroleum, Devon Energy and HollyFrontier. The report found that Exxon Mobil actually got money out of the government, taking in more than $25 billion in one of those years while actually getting $954 million out of the taxpayers for a tax rate of negative 38 percent. Overall, the report finds, the oil, gas and pipelines industry paid taxes at an average rate of 14.4 percent in the five years measured making profits of more than $223 billion and paying taxes of only $32 million. During that same time period oil, gas and pipeline companies received $45 billion in subsidies.

“The incredible extent to which Big Oil takes advantage of the U.S. taxpayers should give serious pause to those considering whether to give the industry another huge giveaway they don’t need by gutting the Renewable Fuel Standard,” said Caren Benjamin, Executive Director, Americans United for Change, an organization that has called for more support of the renewable energy industry in continued support of the Renewable Fuel Standard (RFS).

“The ethanol industry voluntarily gave up their tax credit at the end of 2011, while Big Oil has fought tooth and nail to hold on to its billions of dollars in pointless and wasteful subsidies,” continued Benjamin. “Big Oil lobbyists claim these subsidies somehow benefit to the economy. But it’s clear they about as committed to boosting the American economy with these subsidies as Bernie Madoff was to building his clients’ retirement accounts. Bottom line: Anything they can do to suck more dollars in to their own pockets – from the government, from the taxpayers, at the pump, whatever it takes, they will do.”

Oil, Renewable Energy

Aging Wind Farms Should Not Be Thrown to the Wind

Joanna Schroeder

As the wind energy industry continues to grow, there has been debate about whether wind turbines have a more limited shelf-life than other energy technologies, such as solar panels. With the United Kingdom’s (UK) target of generating 15 percent of the nation’s energy from renewable resources such as wind farms by 2020, aging wind turbines could be a concern. According to researchers at the wind farm in the UKImperial College Business School, today there are 4,246 wind turbines across 531 wind farms generating 7.5 percent of the country’s electricity.

According to a new study from Imperial researchers, who carried out a comprehensive nationwide analysis of the UK fleet of wind turbines, using local wind speed data from NASA, the turbines will last their full life of about 25 years before they need to be upgraded. A previous study used a statistical model to estimate that electricity output from wind turbines declines by a third after only ten years of operation.

In response to this study, some opponents of wind power have argued that aging turbine technology could need replacing en mass after as little as 10 years. This could make wind energy an unattractive option in economic terms.

However, the Imperial research team found that the UK’s earliest turbines, built in the 1990s, are still producing three-quarters of their original output after 19 years of operation, nearly twice the amount previously claimed, and will operate effectively up to 25 years. This is comparable to the performance of gas turbines used in power stations.

The study also found that more recent turbines are performing even better than the earliest models, suggesting they could have a longer lifespan. The team says this makes a strong business case for further investment in the wind farm industry.Read More

Alternative energy, International, Wind

Growth Unveils No. 3 American Ethanol Chevy

Joanna Schroeder

No 3 American Ethanol ChevyGrowth Energy is hosting its fifth annual Executive Leadership Conference and during the event, the No. 3 American Ethanol Chevrolet SS was unveiled by Jeff Broin, Growth Energy co-chair and Tom Buis, CEO. Also on hand was Richard Childress (who sits on the Growth Energy Board) and NASCAR Sprint Cup Series driver and 2013 NASCAR Nationwide Series Champion, Austin Dillon.

The No. 3 American Ethanol Chevrolet SS will debut in the “The Profit on CNBC” 500 at Phoenix International Raceway on Sunday at 1 pm. (Mountain Standard Time).

“American Ethanol is extremely pleased to once again partner with Austin Dillon, Richard Childress and the entire RCR team to help promote a sustainable homegrown American fuel that is better for our environment, reduces our dependence on foreign oil and creates jobs right here in the U.S., while revitalizing rural economies across America and saves consumers at the pump,” said Tom Buis, CEO of Growth Energy.

Through American Ethanol, Growth Energy has been a long-time sponsor of Austin Dillon and Richard Childress Racing. Growth Energy is also a partner with NASCAR Green. By supporting the Sunoco Green E15 racing fuel, Growth Energy and NASCAR are both dedicated to reliable, home-grown, renewable fuel that is environmentally friendly.

American Ethanol, Ethanol, Growth Energy

Idea Leads to Cellulosic Ethanol, Scholarship

John Davis

classic14-basf-soyAn idea that started back when he was just an elementary school student has led a Tennessee high schooler to picking up a substantial scholarship that he says will help him further his own energy business. Caleb Brannon of Puryear, Tenn. was selected as the recipient of the 2014-2015 ASA Secure Optimal Yield (SOY) Scholarship, a $5,000 award presented to an outstanding high school senior who has achieved high academic and leadership requirements, and is planning to pursue a degree in an agriculture-related field at an accredited college or university.

“I’m really thankful to the American Soybean Association and BASF who were so generous in this scholarship,” he says. Brannon, a senior at Calloway County High School, will pursue a degree in agricultural business at Murray State University, Murray, Ky. beginning this fall. He already has his very own business, Brannon Agri-Energy, a company focusing on cellulosic ethanol that he actually thought up way back in the fifth grade!

“Our family farm was in a partnership with the University of Tennessee to grow switchgrass in a pilot program to be bailed and put in a coal-fired plant [in Alabama].” While other area farmers gave up after a few years, it led Brannon to researching other crops for what is now his cellulosic ethanol business, finding his own markets.

He adds that the scholarship money will free up what he would have spent on college to invest back into his business. But he says this is more than just his future; it’s the Nation’s future.

“I want to help our country become just a little bit more energy independent. That’s really important to me.”

Listen to Cindy’s interview with Brannon here: Interview with BASF SOY Scholarship Winner


BASF at the 2014 Commodity Classic Photos

Audio, Cellulosic, Ethanol, Ethanol News, Soybeans