Iowa Biodiesel Board Elects New Chair

Cindy Zimmerman

The Iowa Biodiesel Board has elected Nathan Nolte, biofuels sales manager for Ag Processing Inc., to serve as the chair of the Iowa Biodiesel Board.

AGP, a prominent farmer-owned cooperative, is the largest soybean processor west of the Mississippi and is a leading biodiesel producer. The Omaha-based company operates three biodiesel plants, two of which are in Iowa. They are AGP Algona and AGP Sergeant Bluff, which the company says was first commercial scale biodiesel plant in the nation. AGP employs about 640 people companywide. Nolte, who has worked for AGP since 2010, grew up on a farm in southeast Nebraska.

“I’m passionate about the benefits biodiesel can deliver to society, and the value it adds to the business of farming,” Nolte said. “I look forward to the challenge of taking over as chair during a pivotal time in Iowa, as the state implements some of the most comprehensive pro-biofuels state legislation anywhere in the country.”

The Biofuels Access Act, led by Governor Kim Reynolds and passed earlier this year, expands incentives for biodiesel production and encourages the use of ever-higher blends. It is the first piece of legislation passed in the U.S. to incentivize 30% biodiesel (B30).

Biodiesel, biofuels

Fuel Tax Credit Retroactively Extended for Propane Vehicles

Cindy Zimmerman

The Propane Education & Research Council is encouraging propane autogas fleet operators to take advantage of the Alternative Fuel Tax Credit, which was included in the Inflation Reduction Act.

Propane autogas fleet operators who apply for the tax credit will be able to claim a credit for every gasoline gallon equivalent of propane autogas purchased, or about 37 cents per gallon. The bill not only extends the credits through Dec. 31, 2024, but fleet owners can also apply for credits retroactively for any fuel purchases made in 2022. Tax exempt entities that use propane autogas from an on-site fueling station for a vehicle fleet also qualify for the incentive.

The new law also extends the Alternative Fuel Vehicle Refueling Property Credit, which allows operators to claim up to six percent or $100,000 of the cost of installing qualified alternative fuel vehicle refueling property, including propane autogas refueling equipment.

Propane

MN Bio-Fuels Appoints New Executive Director

Cindy Zimmerman

The Minnesota Bio-Fuels Association (MN Bio-Fuels) has appointed Brian Werner as its new executive director.

Prior to joining MN Bio-Fuels, Werner was the deputy legislative director / senior legislative assistant for renewable energy and agriculture for Sen. Amy Klobuchar.

During that time, he supported Klobuchar’s work to protect mandatory funding for Farm Bill energy title programs, maintain stability in the implementation of the Renewable Fuel Standard, provide economic relief for biofuel producers negatively affected by the coronavirus pandemic, and secure federal investment in biofuel infrastructure.

“After a decade and a half in our nation’s capital working on agriculture and biofuel policy, I am honored and beyond excited to be coming home to lead MN Bio-Fuels. It is clear that farm-based, homegrown biofuels are a key solution to many of the issues we face today – reducing carbon emissions, strengthening national security, promoting rural economic development, and lowering energy costs for consumers,” Werner said.

Biodiesel, biofuels, Ethanol, Ethanol News

Ethanol Report on The Set

Cindy Zimmerman

When Congress passed the Energy Independence and Security Act of 2007 (EISA) that authorized the Renewable Fuel Standard (RFS), annual volume requirements were specified through the year 2022 for renewable fuels. But that does not mean this year is the end of the RFS.

After this year, the law requires EPA to set RFS volumes for 2023 and beyond, in coordination with the Secretary of Energy and the Secretary of Agriculture, according to a specific set of factors in a rulemaking commonly referred to as “The Set.”

In this edition of the Ethanol Report, Renewable Fuels Association President and CEO Geoff Cooper and National Corn Growers Association CEO Jon Doggett discuss what the set means for the ethanol industry and farmers.

Ethanol Report 9-27-22 (13:10)

The Ethanol Report is a podcast about the latest news and information in the ethanol industry that has been sponsored by the Renewable Fuels Association since 2008.

Choose an option to subscribe

Audio, biofuels, corn, EPA, Ethanol, Ethanol News, Ethanol Report, NCGA, Renewable Fuels Association, RFA

Renewable Fuels Industry Holds Briefing on Set Rule

Cindy Zimmerman

Fuels America held a webinar briefing with industry stakeholders Thursday about the future of the Renewable Fuel Standard.

Under the Renewable Fuel Standard (RFS) program in the Clean Air Act, the Environmental Protection Agency (EPA) sets annual biofuel blending requirements in accordance with volumes determined by Congress through 2022. After 2022, in a rulemaking commonly referred to as “The Set,” the EPA is required to establish volume requirements for 2023 and beyond according to a specific set of factors in the law. Under a consent decree in the matter of Growth Energy v. U.S. Environmental Protection Agency, EPA is required to propose volumes for 2023 no later than November 16, 2022 and finalize them no later than June 14, 2023.

The briefing included comments from Brooke Coleman, Advanced Biofuels Business Council; Emily Skor, Growth Energy; Jon Doggett, National Corn Growers Association; Geoff Cooper, Renewable Fuels Association; and Donnell Rehagen, Clean Fuels Alliance America.

Cooper said RFA believes a strong SET rule could do much to further carbon intensity reduction efforts. “The RFS is the only statutory program on the books today that requires fuel decarbonization,” said Cooper. “So we believe EPA really has an opportunity to double down on the authority to decarbonize fuels under the RFS.”

Rehagen concentrated more on the biomass-based diesel side of the industry – biodiesel, renewable diesel and sustainable aviation fuels. “Beyond the carbon benefits, we are very proud of the fact that we are having some very positive benefits on human health as well,” he said. “Particulate matter is an increasingly significant factor in declining human health and our fuels bring a significant reduction in particulate matter.”

Listen to the briefing here:
Fuels America briefing 58:44

Audio, aviation biofuels, Biodiesel, biofuels, Clean Fuels Alliance, corn, Ethanol, Ethanol News, RFA

DriveClean Initiative Launches

Cindy Zimmerman

A diverse coalition of organizations has launched DriveClean, a multi-sector initiative to work on bipartisan legislation creating a market-based, technology-neutral national Clean Fuel Standard (CFS) during the 118th Congress that convenes in January.

The coalition is made up of organizations representing agriculture, utilities, renewable fuel producers, environmentalists, technology firms, EV charging companies, and truck and bus manufacturers. Among those groups are the American Coalition for Ethanol; Alder Fuels; Christianson CPAs & Consultants; ClearFlame Engine Technologies; CleanFuture; Electrify America; e-Mission Control; Great Plains Institute; Low-Carbon Fuels Coalition; Fulcrum Bioenergy; POET; Propel; Rivian; Renewable Fuels Association (RFA), and World Energy – just to name a few.

“The biofuels industry applauds the efforts of the DriveClean initiative, which build on the many successes of the federal Renewable Fuels Standard while leveling the playing field for additional home-grown fuels and technology,” said Geoff Cooper, RFA President and CEO. “Our members are ready to help push Clean Fuel Standard legislation across the finish line and put the U.S. on an achievable path to meeting near- and long-term decarbonization goals.”

“There are few tools that have proven more effective than Clean Fuel Standards for driving rapid decarbonization, as has been seen in states like California. They are performance-based, technology-agnostic, and fuel-neutral, the perfect combination for unlocking the private sector to invest, innovate and drive down carbon emissions,” said Dr. BJ Johnson, Co-Founder and CEO at ClearFlame Engine Technologies, who spoke at the recent 2022 American Coalition for Ethanol Conference.

Listen to his presentation at the ACE here:
ACE22 remarks BJ Johnson, ClearFlame Engine (14:00)

ACE, ACE Ethanol Conference, Audio, Ethanol, Ethanol News, Renewable Fuels Association, RFA

USDA Lowers Corn Use Outlook

Cindy Zimmerman

USDA’s World Agricultural Supply and Demand Estimates report for September calls for lower supplies, smaller feed and residual use, reduced exports and corn used for ethanol, and tighter ending stocks for the 2022-23 corn crop.

Projected beginning stocks for 2022/23 are 5 million bushels lower based on essentially offsetting export and corn used for ethanol changes for 2021/22. Corn production for 2022/23 is forecast at 13.9 billion bushels, down 415 million from last month on reductions to harvested area and yield. The national average yield is forecast at 172.5 bushels per acre, down 2.9 bushels. Harvested area for grain is forecast at 80.8 million acres, down 1.0 million. Total U.S. corn use is cut 250 million bushels to 14.3 billion. Feed and residual use is lowered 100 million bushels based on a smaller crop and higher expected prices. Exports are cut 100 million bushels to 2.3 billion while corn used for ethanol is lowered 50 million to 5.3 billion. With supply falling more than use, ending stocks are down 169 million bushels to 1.2 billion. The season-average corn price received by producers is raised 10 cents to $6.75 per bushel.

corn, Ethanol, Ethanol News, USDA

USDA Announces Climate Smart Commodities Project Funding

Cindy Zimmerman

The U.S. Department of Agriculture is investing up to $2.8 billion in 70 selected projects under the first wave of the Partnerships for Climate-Smart Commodities funding opportunity, with more projects to be announced later this year. More than 450 proposals were submitted for the funding opportunity and the strength of the projects identified led USDA to increase its investment from the initial $1 billion to more than $3 billion.

Among the proposals approved this round that benefit the biofuels sector is $30 million for the GEVO Climate-Smart Farm-to-Flight Program. The project aims to create critical structural climate-smart market incentives for low carbon-intensity corn as well as to accelerate the production of sustainable aviation fuel, which includes an immediate market opportunity to sell climate-smart, low-climate-impact corn.

Secretary of Agriculture Tom Vilsack discussed the announcement with reporters Tuesday afternoon and made the official announcement Wednesday morning.
Vilsack Climate Smart Partnership press call 32:26

Vilsack Climate Smart Partnership announcement 12:50

Audio, aviation biofuels, biofuels, corn, Ethanol, Ethanol News, USDA

RFA CEO Joins White House Climate Law Celebration

Cindy Zimmerman

RFA CEO Geoff Cooper arrives at the White House Tuesday

Renewable Fuels Association (RFA) President and CEO Geoff Cooper attended an event at the White House Tuesday to celebrate passage of the Inflation Reduction Act which includes provisions to benefit the biofuels sector.

“There are lots of tax credit and grant provisions in there for renewable fuels and we are most excited about the sustainable aviation fuel tax credit,” said Cooper during a reporter roundtable Tuesday morning. “We see huge opportunity for ethanol in the SAF space in the future. There’s already significant investment being made in our industry to transform some existing first generation biorefineries into sustainable aviation fuel facilities.”

Cooper says other provisions in the legislation for the ethanol industry include the Clean Fuels Production Credit, which is a performance based, technology neutral credit. “We already have lots of ethanol in the marketplace today that is reducing greenhouse gas emissions by 50 percent,” he said.

Cooper commented on a number of other ethanol industry issues, including the potential of railway and port transportation strikes. “If we can’t move ethanol, plants have to shut down – it’s that simple.”

Listen to the entire roundtable here:
RFA Reporter Roundtable 40:36

Audio, biofuels, Carbon, carbon capture, E15, Ethanol, Renewable Fuels Association, RFA

Clean Fuels and EPA Pause Food Waste Records Litigation

Cindy Zimmerman

Clean Fuels Alliance America and the U.S. Environmental Protection Agency have agreed to pause on a lawsuit challenging new recordkeeping requirements for biodiesel and renewable diesel producers who use separated food waste, such as used cooking oil, as a feedstock.

The parties agreed to put the case in abeyance through November 30, 2022, while Clean Fuels and its members continue working with the Environmental Protection Agency to develop practical compliance options for biodiesel and renewable diesel producers. “We appreciate EPA’s willingness to meet with our members, listen to the issues they faced in complying with the new recordkeeping requirements, and work cooperatively to help our members meet the requirements,” said Clean Fuels’ Vice President of Federal Affairs Kurt Kovarik.

On August 11, 2022, the Court of Appeals granted Clean Fuels’ motion to sever the dispute from the RFS Power Coalition case, a consolidated group of challenges to EPA’s final 2020 Renewable Fuel Standard rule. Clean Fuels sought this action because EPA had failed to revise the new separated food waste requirements in the rewritten 2020 RFS rule and because Clean Fuels’ members demonstrated harm from the new requirements. When the Court granted Clean Fuels’ motion for severance, it put the case on a track for quicker resolution. EPA and Clean Fuels members have been working to develop alternative methods for biodiesel and renewable diesel producers to meet the new recordkeeping requirements.

Biodiesel, biofuels, Clean Fuels Alliance, EPA, renewable diesel