In the News

July 14, 2021

WASHINGTON – U.S. Senators Amy Klobuchar (D-MN) and Deb Fischer (R-NE) and Representative Angie Craig (D-MN) introduced a bipartisan bill to permit the year-round sale of E15, a blend of gasoline with 15 percent ethanol. This legislation follows the United States Court of Appeals for the District of Columbia ruling against year-round sales of E15. Original bill cosponsors include Senators Tina Smith (D-MN), Chuck Grassley (R-IA), Tammy Duckworth (D-IL), John Thune (R-SD), Tammy Baldwin (D-WI), Joni Ernst (R-IA), Dick Durbin (D-IL), Mike Rounds (R-SD), Jerry Moran (R-KS), and Roger Marshall (R-KS).

“We must work to diversify our fuel supply and invest in affordable, environmentally-friendly solutions for consumers. For the past three years, we’ve seen that making E15 gasoline accessible to drivers year-round is good for drivers, farmers, and the environment. It’s critical that we pass this bipartisan legislation to continue this progress and stay on the path to a greener future,” said Klobuchar.

“The recent D.C. Circuit Court ruling was a major blow to farmers and ethanol producers, and further highlighted the need to provide them with certainty. My legislation will ensure consumers continue to have access to higher ethanol blends at the pump and that E15 can be sold year-round. It will create significant economic opportunities for the hardworking men and women in rural America who are providing the country with a low-carbon solution,” said Fischer.

“I’m very disappointed in the D.C. Court ruling to overturn year-round sales of E-15,” said Smith. “Our country needs smart climate solutions like E-15–an affordable, cleaner fuel that lowers carbon emissions. The court's decision is also a major blow to Minnesota’s farm economy, where ethanol made from corn creates an estimated $6.7 billion in economic output. I’m going to fight to restore year-round sales of E-15 as soon as possible.”

“E15 and higher blend biofuels expand markets for family farmers, support economic growth in rural America and cut down on dangerous pollutants released into the air we breathe,” said Craig. “It’s long past time that the year-round sale of these renewable fuels was made permanent, expanding the market for lower-cost, lower-carbon fuel choices all across America. I’m proud to work with Representative Smith on this critical legislation to support our biofuels producers and family farmers, while expanding options at the pump for consumers across the country.”

In June, Klobuchar announced a new package of bipartisan bills with Senators Joni Ernst (R-IA) and John Thune (R-SD) to expand the availability of low-carbon renewable fuels, incentivize the use of higher blends of biofuels, and reduce greenhouse gas emissions.

Klobuchar and Ernst also partnered in February to introduce legislation to create a renewable fuel infrastructure grant program and streamline regulatory requirements to help fuel retailers sell higher blends of ethanol.

Representative Angie Craig

Jul 14, 2021

WASHINGTON, DC – Today, U.S. Representatives Angie Craig (D-MN) and Adrian Smith (R-NE) led Co-Chairs of the Congressional Biofuels Caucus in introducing the Year-Round Fuel Choice Act, bipartisan legislation that would ensure that the Environmental Protection Agency (EPA) can grant waivers to allow E15 and higher blend fuels to be sold at retailers year-round. Craig and Smith introduced the legislation after a federal appeals court struck down an EPA rule that lifted restrictions on the year-round sale of certain corn ethanol fuel blends. The legislation would provide key stability and predictability for family farmers and biofuels producers across the country.

Craig and Smith were joined in leading the introduction of the Year-Round Fuel Choice Act by caucus co-chairs Representatives Cindy Axne (D-IA), Rodney Davis (R-IL), Dusty Johnson (R- SD) and Mark Pocan (D-WI).

“E15 and higher blend biofuels expand markets for family farmers, support economic growth in rural America and cut down on dangerous pollutants released into the air we breathe,” said Representative Craig. “It’s long past time that the year-round sale of these renewable fuels was made permanent, expanding the market for lower-cost, lower-carbon fuel choices all across America. I’m proud to work with Representative Smith on this critical legislation to support our biofuels producers and family farmers, while expanding options at the pump for consumers across the country.” 

“I have long championed the uninterrupted sale of E15 to provide consumers consistency in their fuel tank and farmers consistency in their production,” said Representative Smith. “Time after time I’ve introduced legislation to emphasize and reinforce EPA’s authority to allow the year-round sale of E15. With the recent D.C. Circuit Court ruling to roll back RVP waivers, it’s imperative we clarify congressional intent once and for all: there is no reason E15 should not have the same regulatory relief as E10.”

Earlier this month, the D.C. Circuit Court of Appeals reversed an EPA rule that allowed retailers to sell E15 blends of ethanol year-round by granting a waiver from Reid Vapor Pressure requirements. The court ruled that the EPA had exceeded its authority by lifting summertime restrictions on the sale of ethanol blends. While the court’s ruling has not yet taken effect, Craig and Smith’s legislation would preempt any restrictions by providing a legislative fix to ensure the permanent year-round sale of E15 and higher blend biofuels. 

In Congress, Representative Craig has been a longstanding champion of family farmers and biofuels and an outspoken critic of efforts to weaken the Renewable Fuel Standard. Earlier this year, Craig led the introduction of the bipartisan Renewable Fuel Standard Integrity Act, which would ensure transparency in the small refinery waiver process. Craig also worked with Representative Randy Feenstra to introduce the bipartisan SRE Clarification Act  to clarify and rein in small refinery exemptions in order to prevent the further expansion and abuse of a waiver process that has negatively impacted family farmers and ethanol producers for several years.

The bipartisan Year-Round Fuel Choice Act is supported by Growth Energy, the Renewable Fuels Association and the National Corn Growers Association. The co-chairs were joined in introducing this legislation by Representatives Randy Feenstra (R-IA), Jeff Fortenberry (R-NE), Jason Smith (R-MO), Cheri Bustos (D-IL), Ashley Hinson (R-IA), Ron Estes (R-KS), Vicky Hartzler (R-MO), Mike Bost (R-IL), Mariannette Miller-Meeks (R-IA), Jim Hagedorn (R-MN), Blaine Luetkemeyer (R-MO), Jim Baird (R-IN), James Comer (R-KY), Michelle Fishbach (R-MN), Ron Kind (D-WI) and Darin LaHood (R-IL). 

Read the original press release here

Ethanol Producer Magazine

Jul 12, 2021

The USDA maintained its forecast for 2021-’22 corn use in ethanol in its latest World Agricultural Supply and Demand Estimates report, released July 12. The forecast for the season-average corn price was lowered.

When compared to last month, the July WASDE’s corn outlook is for larger supplies, greater feed and residual use, increased exports, and higher ending stocks.

Corn beginning stocks are lowered 25 million bushels to 1.082 billion bushels based on greater feed and residual use for 2020-’21 as indicated in the June 30 Grain Stocks report.

Corn production for 2021-’22 is forecast 175 million bushels higher, at 15.165 billion bushels, based on greater planted and harvested areas. The national average corn yield is unchanged at 179.5 bushels per acre.

According to the USA, total corn used for 2021-’22 is forecast 75 million bushels higher with increases for feed and residual use and exports. Feed and residual use is raised reflecting a larger crop.

Approximately 5.2 billion bushels of corn is expected to go to ethanol production in 2021-’22, a forecast maintained from the June WASDE. According to the USDA, 5.05 billion bushels of corn went to ethanol production in 2020-’21, up from 4.857 billion bushels in 2019-’20.

Corn exports are raised 50 million bushels, with sharply lower expected for Brazil. With supply raising more than use, ending stocks are up 75 million bushels.

The season-average farm price received by producers is lowered 10 cents to $5.60 per bushel.

Foreign corn production is forecast higher, with a projected increase for Russia based on higher indicated area. For 2020-’21, corn exports are raised for Argentina but lowered for Brazil for the local marketing year beginning March 2021. Foreign corn ending stocks for 2021-’22 are virtually unchanged from the June WASDE.

Read the original story here

Ethanol Producer Magazine

Jul 7, 2021

The U.S. Energy Information Administration increased its forecasts for 2021 and 2022 fuel ethanol production in its latest Short-Term Energy Outlook, released July 7. The outlook for 2021 and 2022 ethanol blending was maintained.

The EIA currently predicts fuel ethanol production will average 970,000 barrels per day in 2021, up from the June STEO's forecast of 960,000 barrels per day. Production is expected to increase to 1 million barrels per day in 2022, up from the prior month’s forecast of 990,000 barrels per day. Ethanol production averaged 910,000 barrels per day in 2020.

On a quarterly basis, the EIA currently predicts ethanol production will average 1 million barrels per day during the third quarter of this year, falling to 980,000 barrels per day in the fourth quarter. In 2022, ethanol production is expected to average 980,000 barrels per day during the first quarter, 1.01 million barrels per day in the second quarter, and 1.02 million barrels per day in the third and fourth quarters.

Ethanol blending averaged 820,000 barrels per day in 2020. Blending is currently expected to increase to 900,000 barrels per day in 2021 and 920,000 barrels per day in 2022. Both forecasts were maintained from the June STEO. The EIA said this level of consumption results in the fuel ethanol share of total gasoline, which was an estimated 10.2 percent in both 2019 and 2020, remaining near this level in 2021 and 2022.

The EIA said its forecast for ethanol blending assumes that growth in high-level blends is limited by a lack in consumer demand for fuels beyond E10 despite significantly elevated renewable identification number (RIN) prices, which could incentivize increased fuel ethanol blending by some gasoline blenders and retailers.

Read the original story here

Brownfield Ag News

July 6, 2021

Minnesota U.S. Senator Amy Klobuchar is confident E15 will remain a summertime choice at the pump despite last week’s court decision striking down the 2019 rule that allowed for year-round sales of fuel blended with 15 percent ethanol.

“The ethanol groups are going to ask for that (decision) to be stayed so it doesn’t take effect right away. Right now there’s a 45-day period anyway (because) it’s not the U.S. Supreme Court, it’s the Court of Appeals.”

Prior to the Reid Vapor Pressure waiver, E15 sales were prohibited between June and September.

Klobuchar tells Brownfield she’s working on a bill that would require E15 be sold year-round.

“That would be a really good way to get at that. And given that we now have a 3-year track record where it worked, we have a good argument to make and a bunch of moving bills to put it on.”

She suggests the circuit court decision is not a disaster for E15 because the judges found that EPA just needs to better support its RVP waiver authority. 

Read the original story here

Whitefox Technologies

Jul 6, 2021

Mason City, IA – Whitefox Technologies is excited to announce that Golden Grain Energy LLC will install a Whitefox ICE® membrane dehydration system at its 120 million gallons per year (mmgy) plant in Mason City, Iowa. 

The plant, located in north central Iowa, is dedicated to adding value to the local community by turning locally grown corn into clean-burning ethanol and animal feed. Golden Grain is a key player in the regional economy and a long-standing leader in Iowa’s ethanol industry. 

With a firm commitment to sustainable and energy efficient ethanol production, Golden Grain was one of the first Midwest plants certified under California’s Low Carbon Fuel Standard program. The plant has continued to take significant steps through innovative technology and operations to increase its efficiency and lower its carbon intensity (CI) score. Installing Whitefox’s energy-efficient membrane technology will further improve its efficiency and competitive advantage. 

Chad Kuhlers, CEO of Golden Grain Energy, said, "We’ve been in discussions with Whitefox and watching the technology continue to advance for a few years now, and we felt the time was right to adopt membrane dehydration as part of our operational future. Whitefox systems have been verified in 24/7 operations at several other plants. With the other yield and operational improvements Golden Grain has implemented, Whitefox is a good solution for our plant to debottleneck existing process units and we expect additional benefits in plant maintenance and overall operational efficiency.” 

Whitefox Technologies CEO, Gillian Harrison, said, “It’s great to be working with the team at Golden Grain, and to help improve their already impressive operational efficiency. They are a long-time leader of the Iowa ethanol industry, and their chairman Dave Sovereign has been a real champion for the industry as a whole. We look forward to working together to ensuring a successful project, which is intended to be the first step in further expansion with membrane dehydration at the plant. This installation will take Whitefox to over 150 mmgy of installed membrane capacity in the U.S., which is an exciting milestone.” 

Paul Kamp, Whitefox Technologies VP North America, adds, "Golden Grain has been an ethanol innovator since their early days. Some of the operational and equipment changes made first in Mason City have been widely adopted across the industry. Whitefox knows the project had to pass disciplined assessments of technology fit and project economics. We’re pleased to be moving ahead with the project and helping Golden Grain achieve their longer-term objectives, and to partner with KFI / McGough on project execution.” 

About Golden Grain

Golden Grain Energy is a privately held company that annually purchases approximately 42 million bushels of corn and produces over 120 million gallons of ethanol, distiller’s grains and non-food grade corn oil at their plant in Mason City, Iowa. Golden Grain strives to meet the growing demand for domestically produced biofuels and reducing carbon emissions in transportation, while helping to improve air quality around the country. Owned by more than 900 members, the majority of whom are Iowa farmers, Golden Grain Energy is committed to being a strong partner in the local community, a key player in the regional economy, and a leader in Iowa’s ethanol industry.  www.ggecorn.com 

About Whitefox Technologies Limited 

Whitefox specializes in technology development and process integration based on its proprietary membrane solutions. Whitefox ICE® (Integrated Cartridge Efficiency) is a bolt-on solution developed for the ethanol industry. With a small footprint, it is designed to de-bottleneck distillation and dehydration, which boosts output, improves CI scores by reducing energy and water consumption and reduces operation & maintenance costs by simplifying operations. Whitefox provides solutions for all types of alcohols, biofuels, and renewable chemicals in the U.S., Canada, Europe, and South America. 

Website: www.whitefox.com

Twitter: @WhitefoxTech 

Representative Angie Craig

Jul 2, 2021

WASHINGTON, DC – Today, U.S. Representatives Angie Craig (D-MN) and Randy Feenstra (R-IA-04) introduced the Small Refinery Exemption Clarification Act of 2021. The bipartisan legislation would clarify that only oil refineries that have been continuously receiving small refinery exemptions (SREs) since 2011 would be eligible to petition for extensions of renewable fuel blending requirement exemptions. Craig and Feenstra introduced the bipartisan bill following last week’s Supreme Court decision that could negatively impact the biofuels industry by making it easier for oil refineries to avoid renewable fuel standard blending requirements. 

“This legislation will help ensure transparency and predictability for family farmers and biofuels producers in Minnesota and across the country as they make important decisions based on the Renewable Fuel Standard,” said Representative Craig. “I am grateful to Representative Feenstra for working alongside me on this critical issue, and I look forward to continuing our bipartisan work to ensure that the oil industry does not receive unnecessary assistance at the expense of family farmers. It is vital that we continue to support the clean biofuels industry as we reduce the carbon intensity of our transportation sector and make important investments across rural America.” 

“The biofuels industry is an important driver of economic growth in Iowa, supporting hundreds of jobs and expanding market options for our corn and soybean growers,” said Representative Feenstra. “That is why we must erase ambiguities and ensure oil refineries are not able to take shortcuts when it comes to blending biofuels. I would like to thank Rep. Craig for joining me in this effort. As a cleaner and more affordable option for consumers, I will continue supporting efforts that will help bolster biofuels.”

The Renewable Fuel Standard is a federal program that requires transportation fuel sold in the United States to contain a minimum volume of renewable fuels by mandating that oil refiners blend billions of gallons of biofuels into their fuel each year or buy credits from those that do. Under the previous Administration, the EPA greatly expanded the number of small refinery waivers that were issued while undermining transparency and accountability in the SRE process. By issuing dozens of waivers between 2016 and 2020, the EPA saved the oil industry hundreds of millions of dollars while threatening rural economies and harming the biofuels industry at large.

The bipartisan bill is supported by Growth Energy, the National Corn Growers Association, the Renewable Fuels Association and the National Farmers Union.

Below are statements in support of the Members’ bipartisan legislation: 

“The Small Refinery Exemption Clarification Act seeks to correct a flaw in the small refinery exemption (SRE) program regarding who is eligible. The RFS always intended to blend more low-carbon biofuels into our domestic fuel supply every year. We firmly believe that refiners have had 16 years to adjust their operations to comply with the RFS, and that EPA’s SRE authority was meant to steer them toward compliance rather than provide a never-ending excuse to avoiding their blending obligations,” said Emily Skor, CEO of Growth Energy. “Legislation like this will help stabilize demand in our industry, so we can continue to produce low-carbon biofuels, provide clean energy jobs in rural areas, and achieve our nation’s climate reduction goals. We are grateful to Representatives Randy Feenstra and Angie Craig for continuing to push to restore integrity to a program run amuck.”

“Corn growers thank Representatives Angie Craig and Randy Feenstra for taking the lead on helping close the door on RFS waiver abuse,” said National Corn Growers Association President John Linder. “With 70 waiver petitions pending, corn growers join Members of Congress in urging EPA to use the tools they do have from the Tenth Circuit Court decision and EPA’s stated support for the Court’s opinion to resolve those waivers and move forward with putting the RFS back on track with strong volume requirements.”

“As we argued before the Supreme Court, we believe Congress has always intended the small refinery exemption to be temporary in nature. We also continue to believe the statute only allows EPA to extend exemptions for refineries that were continuously exempt, but only if they can prove disproportionate economic hardship will be caused solely by RFS compliance,” said Geoff Cooper, President and CEO of Renewable Fuels Association. “We strongly agreed with Justices Barrett, Kagan, and Sotomayor that ‘EPA cannot ‘extend’ an exemption that a refinery no longer has,’ but unfortunately their six colleagues didn’t see it that way. Thus, we applaud Representative Craig for introducing this bill that would erase any lingering doubts about the intended meaning of ‘extension’ and clarify once and for all that exemptions were meant to be temporary.”   

“Over the past several years, the lenient approach to granting exemptions for the Renewable Fuel Standards has undermined the intent of the program – which is to curtail greenhouse gas emissions, reduce our reliance on foreign oil, and create new opportunities for America's family farmers and rural economies,” said Rob Larew, National Farmers Union President. “By clarifying the eligibility criteria for exemptions, this bill will strengthen the RFS and help meet all its worthy objectives. We welcome the introduction of the Small Refinery Exemptions Clarification Act and thank Representatives Craig and Feenstra for their commitment to agricultural communities and environmental sustainability."

Read the original press release here.

Senator Amy Klobuchar

Jun 30, 2021

WASHINGTON – U.S. Senator Amy Klobuchar (D-MN) announced the introduction of a new package of bipartisan bills to expand the availability of low-carbon renewable fuels, incentivize the use of higher blends of biofuels, and reduce greenhouse gas emissions. 

"Diversifying our fuel supply, introducing higher blends of biofuels to the market, and making sure retailers have the right equipment to take advantage of these blends will promote clean energy and support our rural economies,” said Senator Klobuchar.  “This biofuels infrastructure package will make cleaner fuels more accessible – ultimately benefiting both the economy and the environment.”

“Increasing access to biofuel is critical to our rural economies in Iowa, and across the Midwest, and offers cleaner and more affordable choices for consumers. These bills build on our bipartisan work to support farmers and the biofuel industry who feed and fuel the world,”  said Senator Ernst. 

“Homegrown biofuels, especially higher-octane blends like E15, offer readily available emissions reductions that are mistakenly being overlooked in the current energy debate,”  said Senator Thune.  “Biofuels not only support a critical market for our farmers and deepen American energy security, but they offer a lower-carbon fuel for domestic use and export without the unresolved costs, labor issues, and resource constraints of the all-in push for vehicle electrification. This bill will help further expand consumer access to E15, building off the long-soug ht ability to sell the fuel year-round, which was secured in 2019.”

Co-led by Senator Joni Ernst (R-IA), the  Biofuel Infrastructure and Agricultural Product Market Expansion Act  would expand the availability of low-carbon renewable fuels in the marketplace, resulting in cleaner air, lower fuel process, and rural economic vitality. This legislation would provide for federal investment in renewable fuel infrastructure like blender pumps and storage tanks, allowing small businesses across the nation to provide cleaner and more affordable options to American drivers.

Building on this effort to diversify the use of renewable fuels in the automotive industry, the Clean Fuels Vehicle Act –  also co-led by Ernst – would incentivize the manufacture of Flex Fuel Vehicles (FFVs) capable of utilizing higher blends of clean fuels. The bill would create a $200 refundable tax credit for each FFV manufactured for the light duty vehicle market. The credit would be made available to Original Equipment Manufacturers (OEMs) and sunset after a period of 10 years. 

The  Low Carbon Biofuel Credit Act,  co-led by Senator John Thune (R-SD), would create a tax credit for each gallon of fuel containing 15 percent or greater ethanol content (E15). The bill would allow an ethanol blender or fuel retailer to claim a 5-cent tax credit for each gallon of E15 blended or sold and a 10-cent tax credit for each gallon greater than E15 blended or sold.  This legislation would also allow the credit to be fully refundable and transferable for small retailers. 

Read the original press release here