ACE Members Happy to be Back on the Hill

Cindy Zimmerman

Rep. Randy Feenstra (R-IA) meets with Charlie and Alex Good, Rick Schwarck, and Lisa Coffelt

This year was the 12th year that the American Coalition for Ethanol led a fly-in on Capitol Hill, but the last one was four years ago so members were very pleased to be back in person.

“Congress just opened up about a month a half ago,” said Rick Schwarck, President and CEO of Absolute Energy in St. Ansger, Iowa. “Face to face conversations are just more impactful, I believe.”

For Charlie Good and his son Alex, it was important for them to present the fuel retailer perspective in Washington D.C. right now at this critical time for E15. “I’m at about 25 percent of sales every day at E15 now,” said Good, owner of Good & Quick convenience store in Nevada, Iowa which offers ethanol blends up to E85. “We have an ethanol plant right outside of town, 80 to 90 percent of my customers are farmers, I’m from rural America. It’s huge for me.”

Listen to interviews with Schwarck and Good at the ACE Fly-in.
ACE-DC 23 Rick Schwarck, Absolute Energy (1:50)

ACE-DC 23 Charlie Good, Iowa (5:48)

Photos

2023 ACE DC Fly-in Photo Album

Find more audio from the ACE Fly-in here:
ACE Fly-in Virtual Newsroom

ACE, Audio, E15, Ethanol, Ethanol News

USDA Under Secretary Stresses Support for Ethanol

Cindy Zimmerman

USDA Under Secretary for Farm Production and Conservation Robert Bonnie spent an hour with members of the American Coalition for Ethanol last week, answering questions on various topics and stressing the administration’s support for biofuels.

“I hope you know this administration has a strong commitment to ethanol,” Bonnie began. “There’s a lot of alignment between things that can be good for climate, and that can be good for agriculture, and that can create rural jobs, and biofuels is a perfect example of that.”

Bonnie talked about some of what USDA is doing for conservation and the climate, including Climate Smart Commodities projects and incentives in the Inflation Reduction Act. “Agricultural productivity itself is a climate strategy,” he said.

Listen to Bonnie’s conversation with ACE members here:
ACE-DC 23 Robert Bonnie, USDA (53:55)

Photos

2023 ACE DC Fly-in Photo Album

Find more audio from the ACE Fly-in here:
ACE Fly-in Virtual Newsroom

ACE, Audio, Ethanol, Ethanol News, USDA

Japan to Allow Access for US Ethanol

Cindy Zimmerman

Japan published a new biofuels policy last week that will allow the United States to capture up to 100 percent of Japan’s on-road ethanol market, according to the Office of the United States Trade Representative.

“The new biofuels policy Japan announced today is the result of close collaboration between our two countries and it will further allow U.S. producers to meet Japan’s demand for more diverse energy sources,” said Ambassador Katherine Tai. “Ambassador Emanuel and the staff across the U.S. government deserve huge credit for working through the technical details that led to this outcome, which is just the latest sign of a strengthened partnership between our two countries.”

According to the new biofuels policy under the Sophisticated Methods of Energy Supply Structure Act, exports of U.S. ethanol could increase by over 80 million gallons annually, representing an additional $150-200 million in exports each year. We will continue working with Japan to increase its on-road ethanol demand and further align its biofuels policies with that of the United States.

Renewable Fuels Association President and CEO Geoff Cooper, U.S. Grains Council President and CEO Ryan LeGrand, and Growth Energy CEO Emily Skor issued a joint statement in response:

“The U.S. ethanol community applauds the Japanese government for joining other countries in recognizing the role ethanol can play in the global effort to address climate change at the same time it takes steps to decarbonize its transportation sector. Countries around the world are recognizing that biofuels like ethanol are a simple, inexpensive and effective solution they can deploy today to help them lower their carbon emissions and meet their climate goals. We will continue to work closely with Japan and other nations to find more ways for us to collaboratively decrease carbon emissions. The U.S. ethanol industry will engage with Japan on additional ethanol consumption efforts both within the on-road and sustainable aviation sectors as the country implements its new regulation.”

Ethanol, Ethanol News, Exports, International, Renewable Fuels Association, Trade

USDA Reports Higher Corn and Soybean Acres Expected

Cindy Zimmerman

The 2023 Prospective Plantings report finds farmers expect to plant more corn and soybeans this year than last year.

According to USDA’s National Agricultural Statistics Service (NASS), producers surveyed across the United States intend to plant 92.0 million acres of corn in 2023, up 4% from last year, and 87.5 million acres of soybeans this year, up slightly from last year.

Planted acreage intentions for corn are up or unchanged in 40 of the 48 estimating states. The largest increase is expected in North Dakota, where producers intend to plant 800,000 more acres than in 2022. If realized, the planted area of corn in Arizona and Idaho will be the largest on record. Soybean acreage increases from last year of 100,000 or more are expected in Minnesota, North Dakota, South Dakota, and Wisconsin. Record high acreage is expected in Illinois, Nebraska, New York, Ohio, and Wisconsin.

NASS also released the quarterly Grain Stocks report to provide estimates of on-farm and off-farm stocks as of March 1. Key findings in that report include:

Corn stocks totaled 7.40 billion bushels, down 5% from the same time last year. On-farm corn stocks were up 1% from a year ago, while off-farm stocks were down 10%.
Soybeans stored totaled 1.69 billion bushels, down 13% from March 1, 2022. On-farm soybean stocks were down slightly from a year ago, while off-farm stocks were down 21%

corn, Soybeans, USDA

ACE Fly-in Gives Lawmakers Ethanol Education

Cindy Zimmerman

Dave Sovereign (L) and Sen. Chuck Grassley

Senator Chuck Grassley of Iowa is possibly the biggest supporter of ethanol in Congress, but he can always use more information to share with his colleagues who may disagree.

During the American Coalition for Ethanol (ACE) Fly-in this week, Golden Grains Energy chairman Dave Sovereign, who is also a farmer and a fuel retailer near Cresco, Iowa, gave the senator some hard numbers to show how higher blends of ethanol save consumers real money. “The numbers are staggering,” said Sovereign. “We’re in a community of about 4,000 people, a county of 10,000, and we showed over $200,000 in savings in fuel costs.”

Sovereign is also president of the ACE Board of Directors and was pleased with the energy of the members who went to meetings with lawmakers and their staffs on Capitol Hill this week. “We had great conversations and I think we did a lot of positive things while we were here.”

ACE-DC 23 Dave Sovereign, Golden Grain Energy (4:33)

It has been four years since the last fly-in and ACE CEO Brian Jennings said it was great to be back with members telling their stories at such a critical time for the industry. “It’s great to see so many members, whether it’s corn farmers or ethanol producers or retailers, enthusiastic about standing up and speaking out for this industry,” said Jennings. “And the timeliness of this couldn’t be better with the summer driving season coming up and certain bills that were introduced.”

Jennings says grassroots members of ACE making that connection with their members of Congress is very important. “I think this helps the Senators Grassley, Ernst and Klobuchar of the world be re-energized to fight even harder on our behalf,” he said.

ACE-DC 23 ACE CEO Brian Jennings (5:58)

Photos

2023 ACE DC Fly-in Photo Album

Find more audio from the ACE Fly-in here:
ACE Fly-in Virtual Newsroom

ACE, Audio, Ethanol, Ethanol News

Next Generation Fuels Act Introduced in House

Cindy Zimmerman

A bipartisan group of 20 lawmakers in the House Thursday introduced the Next Generation Fuels Act, legislation to phase in higher gasoline octane levels through the greater use of ethanol and companion to the bill introduced last week in the Senate.

American Coalition for Ethanol members meet with Rep. Angie Craig this week

The legislation was introduced with co-sponsors Rep. Mariannette Miller-Meeks (IA-01) and her Republican colleagues in the Iowa congressional delegation, Reps. Ashley Hinson (IA-02), Zach Nunn (IA-03), and Randy Feenstra (IA-04), as well as Reps. Nikki Budzinski (D-IL), Darin LaHood (R-IL), and Angie Craig (D-MN).

Additional original co-sponsors include Reps. Don Bacon (R-NE), Dan Kildee (D-MI), André Carson (D-IN), James Comer (R-KY), Mike Bost (R-IL), Mike Lawler (R-NY), Mike Flood (R-NE), Brad Finstad (R-MN), Mary Miller (R-IL), Eric Sorensen (D-IL), Elissa Slotkin (D-MI), Emanuel Cleaver (D-MO), and Marcy Kaptur (D-OH).

The Next Generation Fuels Act is supported by the National Corn Growers Association, Renewable Fuels Association, American Coalition for Ethanol, National Farmers Union, American Farm Bureau Federation, and many other farm and biofuels organizations and companies.

ACE, E15, Ethanol, Ethanol News

Senator Klobuchar Fires Up ACE Fly-in Participants

Cindy Zimmerman

Sen. Amy Klobuchar (D-MN), co-sponsor of both the Consumer and Fuel Retailer Choice Act of 2023 and the Next Generation Fuels Act in the Senate, left the American Coalition for Ethanol DC Fly-in participants fired up after a day of Capitol Hill visits.

Specifically the Retailer Choice Act would address the number one priority for ethanol right now, which is year-round sales of E15 nationwide. “There is absolutely no argument for not doing that. We were doing it, it was going fine, and then the court steps in, and then we did it for the summer – I mean, come on! It’s just a ridiculous situation.”

Listen to the senator’s remarks here:
ACE-DC 23 Sen. Amy Klobuchar (16:06)

2023 ACE DC Fly-in Photo Album

Find more audio from the ACE Fly-in here:
ACE Fly-in Virtual Newsroom

ACE, E15, Ethanol, Ethanol News

ACE DC Fly-in Kicks Off With EPA Official

Cindy Zimmerman

Environmental Protection Agency Senior Agricultural Advisor Rod Snyder was happy to be able to join the American Coalition for Ethanol to kick off the organization’s first fly-in since 2019, but he unfortunately had little to say about the most important issue on the industry’s plate – allowing sales of E15 this summer.

“While I can’t comment specifically at this time, please note that the agency is continuing to consider available options for this year and discussions are on-going,” said Snyder, who was very careful not to make any statements that might indicate what EPA may or may not do, despite the fact that time is running out.

When pressed by ACE members, Snyder said, “We’re trying to leave no stone unturned in terms of exploring what we can do. Certainly, we are very committed to working within the constraints of the law to make sure any steps we take are not challenged or overturned.”

Snyder noted that the waiver last year had never been done before and since it was announced April 12 last year by President Biden himself at an Iowa ethanol plant he does expect a level of involvement by the White House if it goes that route.

Listen to his remarks here:
ACE-DC 23 EPA Sr. Ag Advisor Rod Snyder (32:13)

Photos

2023 ACE DC Fly-in Photo Album

ACE, Audio, E15, EPA, Ethanol, Ethanol News

New Poll Says Voters Want E15 Available Year-Round

Cindy Zimmerman

Voters say they want their E15, according to a new Morning Consult poll for the Renewable Fuels Association.

With retail gas prices remaining elevated, nearly 70 percent of poll respondents support increasing the availability of E15 to help lower fuel prices and support energy independence. Just 13 percent of those surveyed did not support expanded availability of E15. Meanwhile, 62 percent support recently introduced bipartisan legislation that would allow the lower-carbon E15 blend to be sold year-round nationwide. Only 15 percent of respondents do not support the legislation, while 23 percent had no opinion. Morning Consult polled 1,978 registered voters March 20-23, across all demographics.

Click here for the topline data.

In addition, the poll found that ethanol favorability and support for the Renewable Fuel Standard have reached record highs with 69 percent of respondents expressing a favorable opinion of ethanol, while 66 percent support the RFS. These are the highest numbers since RFA kicked off baseline polling in June 2016.

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

Ethanol Watching Carbon Pipeline Future in Iowa

Cindy Zimmerman

The Iowa House approved a bill last week that would restrict the use of eminent domain by carbon pipeline companies and thereby “create a de facto ban on new projects that allow Iowa ethanol producers to install carbon capture and sequestration (CCS) technology,” according to the Iowa Renewable Fuels Association (IRFA).

The legislation would require pipeline companies to obtain voluntary easements for 90% of their proposed route before they would be allowed to use eminent domain for the remainder. “This bill will hurt Iowa ethanol production, which hurts Iowa corn prices, which hurts Iowa farmers and the economy,” said IRFA Executive Director Monte Shaw. “IRFA will continue to fight for a fair and equitable path forward for CCS technology in the Iowa Senate.”

Iowa Governor Kim Reynolds commented on the carbon pipeline issue during a press availability earlier this month at the National Ethanol Conference in Orlando, noting that she had to be careful what she said.

“We have legislation going through the chamber so I have to be careful about how I comment, it’s been my policy not to weigh in to existing legislation,” said Reynolds. “But I’ve made it very clear there are laws on the books, eminent domain should be used as a last resort. Landowners should be compensated well.”

Reynolds said she believes carbon capture and sequestration is “the future of ethanol so it’s extremely important” and that as governor, her “role is to add value to what we do and ethanol and biofuels is a big component for that.”

Listen to Reynolds’ comments here:
Gov. Reynolds comments on carbon pipelines (2:05)

Audio, Carbon, carbon capture, Ethanol, Ethanol News