Friday, 11 March 2016 10:11

It Is OK to Fuel the Boat with Ethanol

Hoosier Ag Today

March 10, 2016

By Gary Truitt

The gasoline used by more than 95 percent of Americans, E10, contains 10 percent ethanol and is safe to use in marine engines. All current boat engines are warrantied for E10 and have been for nearly two decades. Yet for some reason, BoatUS has chosen to ignore this information and the countless owner’s manuals expressly approving the use of E10. They are preying on people’s fears instead of looking at the facts.

Proper care and maintenance are the best and easiest ways to protect boat engines. While E10 is a safe, reliable fueling option for both marine engines and automobiles, higher ethanol blends, such as E15, are not approved for use in marine engines.

Furthermore, no consumer is required to fill up with an ethanol blend, but E10, E15 and other fuels do give consumers the sorely needed ability to choose a fuel that meets their price and performance needs.

As the owner of CK Motorsports, a premier certified Mercury Marine Engine & Racing service dealer that services 400-500 boats annually, and has for over 20 years in Nunica, Mich., I believe it is important to set the record straight when it comes to ethanol and marine engines.

Here are just a few facts and observations I have made over my 20 years servicing marine engines:

CK Motorsports does not see these phase separations with E10 ethanol as claimed in several boating industry articles, or special interest hit pieces.

Certain companies are rather far-reaching in making claims; knowingly or unknowingly creating consumer confusion surrounding ethanol and its use in marine engines

Ethanol is a clean burning fuel, which is much better for our environment. Put simply, CLEAN AIR, CLEAN WATER, CLEAN BOATING creates less carbon dioxide.

CK Motorsports has found ethanol fuels help marine engines run cooler, run longer and make better horsepower gains.

E10 ethanol absolutely IS an acceptable fuel for everyday use in marine engines.

When E10 comes into contact with water, the ethanol will allow the fuel to absorb some or all of that water. Additionally, E10 ethanol also eliminates the need for freeze preventers.

The primary cause of water collecting in fuel tanks is condensation from humid air.

An engine running on E10 engine can ingest small amounts of water in the fuel without harming the engine.

All Mercury Marine engines are warrantied for E10 Fuel.

Finally, it is important that all marine engine owners follow the instructions for normal storage preparation found in the operation, maintenance and warranty manuals. Failure to follow the proper operating procedures is the number one reason why boaters have fuel issues.

The bottom line is that if you have engine troubles, there are many possible causes, and you should not immediately assume E10 is the problem because the facts and my 20 years of experience show that ethanol is not to blame.

It’s time to stop the misinformation and scare tactics – it’s time for consumer choice, cleaner air and improved conservation efforts. That is what CK Motorsports believes in, because ethanol delivers.

Read the original story: It Is OK to Fuel the Boat with Ethanol

Renewable Fuels Association

By Ann Lewis

March 7, 2016

U.S. ethanol exports had a strong start in 2016, expanding 7% over December volumes to a 14-month high, according to RFA analysis of government data released late Friday. The industry shipped 87.1 million gallons (mg), with China taking a third of the market at 29.4 mg—rivaling the record of 32.6 mg to China last October. Meanwhile, the long-time top export destination of Canada received just 13.7 mg—the lowest volume of exports north of the border since October 2010. The United Arab Emirates (10.9 mg) and South Korea (10.4 mg) were other top markets in January. Brazil brought in a fairly sizable volume (6.6 mg) considering its recent absenteeism from the U.S. export picture. January’s robust exports equate to 1.05 billion gallons on an annualized basis.

Denatured fuel ethanol exports saw a 29% month-on-month increase to 65.0 mg in January. China grabbed 29.4 mg (45%) of that market, with Canada (12.2 mg, or 19%), the UAE (8.1 mg, or 12%) and South Korea (5.9 mg, or 9%) continuing as stable partners. January exports of undenatured ethanol for fuel use fell 29% from December to 20.2 mg. Brazil (6.6 mg) and South Korea (4.5 mg) received 55% of undenatured fuel exports, while the Philippines (2.9 mg), the UAE (2.8 mg), Mexico (2.2 mg) and Peru (1.1 mg) rounded out our primary customers. Sales of undenatured ethanol for non-fuel, non-beverage use crashed to the lowest level since February 2013, dipping 64% to 212,369 gallons. Similarly, denatured non-fuel use ethanol exports slumped 21% to 1.7 mg—the lowest volume in over a year. The U.S. kept exports of non-fuel product close to home with 78% of total shipping to Canada and 9% to Mexico.

As for imports, the United States imported just a splash of ethanol for fuel use in January. Inbound shipments came from Canada (500 gallons) and the Netherlands (165 gallons). Given the paltry import figure, January U.S. net exports of 87.1 mg were the highest since the record month of December 2011.

January exports of U.S. distillers dried grains with solubles (DDGS)—the animal feed co-product manufactured by dry mill ethanol plants—fell 19% from January to 800,580 metric tons (mt). DDGS exports to China tallied at 218,961 mt, representing a 3% decrease over December volumes but an increase in market share (27% of total U.S. exports vs. 23% in December). DDGS exports to Mexico were also a healthy 195,669 mt (24%), with smaller shipments distributed across several countries including Ireland (48,456 mt), Canada (47,617 mt), Thailand (46,838), Vietnam (45,744 mt) and South Korea (45,046 mt). Contracting volumes in China, Spain and Turkey were responsible for a substantial portion of the month-on-month decrease in exports, with shipments to Mexico doing their part to help offset those losses.

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Read the original release: China Takes U.S. Ethanol Export Market by Storm; DDGS Exports Slip by 19%

Renewable Fuels Association

March 7, 2016

An analysis conducted by the Renewable Fuels Association and released today finds the net energy balance of corn-based ethanol at U.S. dry mill biorefineries averages 2.6–2.8, an improvement over previous estimates, reflecting efficiency gains.

The figures build on USDA’s recent findings of a 2.1–2.3 net energy balance. RFA’s own analysis uses more current dry mill energy use data than the recent USDA study, which explains why the RFA results are approximately one-third higher than USDA’s findings.

The net energy balance is a ratio of how much energy is required to produce the corn and ethanol, and then transport the fuel to end users. In simple terms, a ratio of 2.8, for example, means every BTU of energy invested in the process to make and deliver ethanol results in 2.8 BTUs of available energy to the end user.

In February, USDA issued its updated net energy balance report on corn-based ethanol, finding “[t]here has been a large improvement in energy balance since 1995, and a small but positive improvement since 2008.” The previous USDA report, conducted in 2010, was based on 2008-era data and found that the balance was 1.9–2.3. RFA’s analysis found that USDA used the same 2008-era dry mill energy use estimates for both its 2010 and 2016 reports.

According to RFA’s own analysis, “[t]he energy balance of the top-performing quartile of biorefineries is in the range of 3.2–3.4, which approaches the USDA estimate of 4.0 for an ideally situated dry mill producing wet distillers grains.”

“As this new analysis shows, the U.S. ethanol industry has made tremendous efficiency gains in recent years,” said RFA President and CEO Bob Dinneen. “EPA should take note and update its lifecycle greenhouse gas modeling of corn-based ethanol under the renewable fuel standard to reflect these improvements. Today’s ethanol plants are achieving the levels of efficiency that EPA assumed wouldn’t occur until 2022.”

The RFA analysis used dry mill energy use data from two other widely respected findings to support its results — Mueller & Kwik (2013) and Christianson & Associates (2016).

To view a copy of the RFA analysis, visit here.

Read the original release: RFA Analysis Finds Improvement of Corn Ethanol Net Energy Balance

Ethanol Producer Magazine

March 3, 2016

By Erin Voegele

On Feb. 24, the House Committee on Agriculture held a hearing on the state of the rural economy. Biofuels and bioenergy were among the topics discussed during the nearly three-hour event.

When asked to characterize the state of the biofuels industry, Agriculture Secretary Tom Vilsack spoke about the need to maintain a strong rural economy. “I think the ability to maintain a strong and vibrant rural economy is dependent on our capacity to diversify and to create new opportunities to complement production agriculture and exports, which has been the traditional way of supporting rural America,” he said. “In my lifetime, agricultural production has increased by 170 percent even though the inputs have been relatively stable. That’s producing 170 percent more on 26 percent less land, with 22 million less farmers. The challenge that we have in rural areas is that as we were getting fewer and fewer farmers and were becoming more and more efficient with production agriculture, we didn’t overlay that with a complimentary economy that would allow folks to live work and raise their families in small communities. We’re now doing that,” he noted, adding that the development of the bioeconomy, biofuels industry and bioenergy industry all play a part in bringing manufacturing back to small towns.  

Vislack stressed that the biofuels industry is something people like and want. It’s helping create jobs, reducing the cost of gas over time, reducing emissions, reducing the trade deficit, and helping to reduce U.S. reliance on foreign oil. According to Vilsack, the industry is also helping to diversify the economy and is creating jobs in rural America.

Responding to questions about USDA support of biomass fuels, Vilsack noted the department is working through its network of research centers to look for ways in which appropriate biomass supply chains can be created for each region of the country. He also spoke about Farm Bill programs that support the production of advanced biofuels and provide loan guarantees for biorefinery projects.

In his testimony, Vilsack also highlighted the potential for biofuel use by the U.S. military. The Navy wants half their fuel to be biobased and domestically produced, he said, adding “I was privileged enough to be on a destroyer watching it be refueled with beef tallow fuel out on the Pacific theater just a couple of weeks ago.”

According to Vilsack, interest in biofuels is also strong in the private aviation sector. “There are roughly 40 airports that sell 90 percent of the jet fuel, and they are extremely interested in doing this because of the emissions and the benefit from the emissions to meet international standards,” he said, noting aviation use represents a 17 to 19 billion gallon market.

Vilsack also defended the USDA’s Biofuel Infrastructure Partnership during the event. The 21 states that participate in the program match $100 million in USDA funds with $120 million in commitments, he said. “We anticipate and expect over 5,000 additional distribution systems being put in those 21 states, so there is a lot of interest in this program,” Vilsack continued.

Vilsack said the biofuels industry directly and indirectly supports 450,000 jobs and has lowered the price of gas. “You can’t deny the fact that study after study shows that this industry has indeed over time reduced the cost of gas to consumers,” he added. Responding to misinformation regarding the food versus fuel debate, Vislack stressed there is no correlation between ethanol production and the cost of food.

Read the original story: Vislack Defends Biofuels, Bioenergy During House Hearing

Ethanol Producer Magazine

March 2, 2016

By Growth Energy

A new poll conducted by Selzer and Co. and released by Mediacom and the Des Moines Register Feb. 29 showed 71 percent of Iowans support ethanol and the renewable fuel standard (RFS). More importantly Republicans’ support for the federal policy has grown since the Iowa caucuses. In a Des Moines Register/Bloomberg poll this past December, Republicans surveyed supported the RFS by 61 percent. The most recent poll conducted by the Des Moines Register/Mediacom showed a five percent growth in support among Republicans to 66 percent, while support among Democrats stayed consistent.

“Iowans know ethanol and the RFS are allowing America’s farmers and innovators to produce clean, secure, renewable fuel right here at home that reduces toxic emissions and is better for the air we all breathe. The immense benefits and potential of biofuels, like ethanol, plays a critical role in America’s energy policy and in developing a 21st century fuel for 21st century vehicles,” noted Tom Buis, cochair of Growth Energy.

Buis added, “Contrary to the oil industry spin, this poll reinforces the fact that the issue gained ground with Iowans during the 2016 caucuses and now they support it in even greater numbers than before. The relevancy of the issue is why an overwhelming 83 percent of Iowans caucused for pro-RFS candidates in 2016, a higher percentage than in 2012.”

Furthermore, as the Des Moines Register highlighted overwhelming support for the RFS, regardless of political party affiliation, noting that 66 percent of Republicans, 76 percent of Democrats and 71 percent of independents are in favor of the RFS. Additionally, the Des Moines Register noted that, “Iowans who consider themselves tea party supporters also like it, with 64 percent in favor.”

Click HERE to view the Des Moines Register article explaining the results of the poll.

Read the original story: Growth Energy: Poll reaffirms Iowans support of ethanol and RFS

Renewable Fuels Association

February 29, 2016

By Christopher Findlay

Data released today by the Energy Information Administration (EIA) officially confirmed that new records were set in 2015 for U.S. ethanol production and blending. According to the EIA data, U.S. ethanol producers churned out 14.81 billion gallons of ethanol in 2015, while refiners and blenders integrated an unprecedented 13.69 billion gallons into the U.S. gasoline supply. The industry’s monthly average output in December 2015 also crested the 1 million-barrel-per-day mark for the first time in history.

Meanwhile, recent U.S. Environmental Protection Agency (EPA) data show that historic output levels of corn ethanol were primarily responsible for the generation of a record 14.83 billion renewable fuel RIN credits, which are used to oil companies to demonstrate compliance with the Renewable Fuel Standard (RFS).

While these record numbers are impressive, Renewable Fuels Association (RFA) President and CEO Bob Dinneen stated that the American ethanol industry was prepared to do even more. Unfortunately, however, mismanagement of the RFS program and the oil industry’s intransigence to adopt higher-level ethanol blends like E15 kept the ethanol industry from realizing its full potential. EPA set the 2015 blending obligation for renewable fuel at just 14.05 billion gallons, rather than the 15 billion gallon level established by Congress.

“The U.S. ethanol industry had an incredible year in 2015, but the failure of the White House and EPA to enforce the RFS as designed by Congress means our nation missed a huge opportunity to provide consumers with even larger volumes of domestically produced, low-carbon, high-octane biofuels,” Dinneen said. “There is no doubt that the ethanol industry could have produced even more renewable fuel if the Administration had stood firm on implementation of the statutory RFS volumes, rather than caving to the oil industry’s ‘blend wall’ narrative.”

RFA noted that the record December output rate of 1.002 million barrels per day would result in 15.36 billion gallons if maintained for an entire year, well above the 15 billion gallon blending requirement originally stipulated by Congress for 2015 and beyond. “By eclipsing the 1 million-barrel-per-day mark in December, ethanol producers have proven once again that they are more than capable of delivering the volumes necessary to meet the RFS blending requirements established by Congress,” Dinneen said. “The industry just needs to be set free to achieve the laudable goals set forth by Congress, which are as important today as they were nearly a decade ago when the RFS was expanded.”

Even though RFS requirements for 2015 weren’t finalized until November, Dinneen said the data from EIA and EPA show the volume requirement established by Congress could have been easily met by oil companies. “When the 14.83 billion new renewable fuel RIN credits generated in 2015 are combined with the existing surplus of 1.8 billion RINs that resulted from past over-compliance with the RFS, it becomes quite obvious that we had more than enough supply to meet the 2015 statutory renewable fuel volume of 15 billion gallons,” he said.

Today’s EIA data also revealed that total U.S. gasoline consumption hit in 140.4 billion gallons in 2015, the third-highest on record and well above the projections used by EPA to establish 2015 blending obligations.

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Read the original release: Official Numbers Released Today Confirm Record U.S. Ethanol Production and Use

Ethanol has allowed consumers to access cheaper gas, stabilized prices at the pump and reduced greenhouse gases (GHG), Agriculture Secretary, Tom Vilsack, said in a new interview.

Biomass Magazine

February 23, 2016

By Erin Voegele

The U.S. EPA has released renewable identification number (RIN) generation data for January, reporting that a net total of 1.44 billion RINs were generated during the month, including nearly 1.74 million cellulosic RINs.

According to the EPA, a total of 1.74 million D3 cellulosic biofuel RINs were generated in January, including 285,432 for ethanol, 1.29 million for renewable compressed natural gas and 161,044 for renewable liquefied natural gas. All 1.74 million D3 RINs were generated domestically. No D7 cellulosic diesel RINs were generated during the first month of the year.

More than 4.52 million D5 advanced biofuel RINs were generated in January, including 2.22 million for ethanol, 1.7 million for naptha, 201,225 for heating oil and 400,028 for nonester renewable diesel. All D5 RINs generated in January were generated domestically.

A net total of 1.24 billion D6 renewable fuel RINs were generated during the first month of the year, with the majority, 1.21 billion, generated for ethanol. According to the EPA, 17,461 D6 RINs were generated for biodiesel, along with 27.88 million generated for nonester renewable diesel. More than 1.21 billion D6 RINs were generated domestically, with 858,078 generated by importers and 27.88 million generated by foreign entities.

A net total of 191.57 million D4 biomass-based diesel RINs were generated in January, with 159.1 million generated for biodiesel and 32.69 million generated for nonester renewable diesel. Approximately 147.65 million D4 RINs were generated domestically, with 31.04 million generated by importers and 13.11 million generated by foreign entities.

Of the 1.44 billion RINS generated so far this year, 7.92 have been retired, with 60.13 million locked and available and 1.37 billion unlocked and available.

Read the original story: EPA: 1.74 million Cellulosic RINs Generated in January

Renewable Fuels Association

February 18, 2016

U.S. exports of distillers grains (DG) — a co-product of dry mill ethanol production — set a new record of 12.56 million metric tons (MMT) in 2015, according to a new summary of ethanol co-product trade statistics released today by the Renewable Fuels Association (RFA). Last year’s DG export number was 11 percent higher than 2014, and was more than double the amount exported in 2009. The report finds that U.S. DG exports were shipped to 45 countries on five continents in 2015.

“This report shows the global reach of American-made distillers grains,” said Bob Dinneen, RFA president and CEO. “In 2015, an estimated 34 percent of U.S. distillers grains production was exported, meaning one out of every three tons produced was shipped to foreign markets. These data make it crystal clear that the U.S. ethanol industry is both fueling and feeding the world. It is also worth noting that DG exports were worth almost $3 billion in 2015, providing a critical source of revenue to ethanol producers.”

RFA’s statistical summary, which draws on data from several U.S. government entities, shows that China, Mexico, Vietnam, South Korea, and Canada represented the top five markets in 2015 for DG exports. China received 50 percent of DG exports, while Mexico received 13 percent. Both Vietnam and South Korea received 5 percent of DG exports. With respect to imports, the report finds that last year Canada was once again the top supplier of DG imports to the United States, and shipped 401,554 MT to the United States. China and Brazil were the only other exporters of DG to the U.S. market in 2015. The RFA document also provides statistics on feed co-product exports from wet mills, including corn gluten feed and meal.

View the RFA summary of co-product exports here.

The co-product export summary is a complimentary publication to the RFA’s ethanol export summary published earlier in February. “Between ethanol and distillers grains, our industry exported the equivalent of 800 million bushels of corn last year,” Dinneen said. “If that amount of corn had been exported in raw form, it would have been worth $3.6 billion. But in the form of ethanol and distillers grains it was worth $4.8 billion. This is value-added agriculture at its best.”

Read the original release: U.S. Exports of Distillers Grains Set New Record in 2015, According to RFA Report

Global Renewable Fuels Alliance

February 17, 2016

Bliss Baker, the president of the Global Renewable Fuels Alliance, called upon national leaders to take advantage of the low price and abundant stockpiles of crude oil to eliminate fossil fuel subsidies. Baker pointed to the latest figures from the International Energy Agency that estimated global fossil fuel subsidies to be worth $490 billion, and outlined how global oil demand is forecast to drop by 25 percent in 2016 to 1.2mb/d.

Fossil fuel subsidies are theoretically intended to increase energy access during periods of high prices, but with the current state of global energy markets these subsidies are only succeeding in discouraging investment in energy efficiencies and renewables.

“The persistent oversupply of oil, and the resulting low prices, gives countries an opportunity not seen in recent memory to eliminate fossil fuel subsidies and encourage a transition to viable low-carbon energy sources like ethanol,” Baker said. “World leaders couldn’t ask for better circumstances to take action,” he added.

At the recently concluded Conference of the Parties to the UN Framework Convention on Climate Change (COP 21) in Paris, a landmark agreement on combating climate change was reached. The deal aims to ensure that the global temperature rise this century does not exceed 2°C above pre-industrial levels by shifting to a low carbon global economy and encouraging the development of clean technologies as the basis for future development.

Over the past year, almost 30 countries have reduced their fossil fuel subsidy programs. These changes have been made in recognition of the fact that the current low price of oil reduces the impact of eliminating consumer fossil fuel subsidies, and that their removal results in lower domestic national emissions of greenhouse gases.

“It is blatantly counter productive for governments to continue to subsidize the industry that contributes the majority of global greenhouse gas emissions, especially after 195 countries agreed that drastically cutting back GHG emissions was necessary to combat climate change” Baker said. “It’s time to take the brakes off of clean technology development and meaningfully begin the transition to a sustainable future,” he concluded.

The Global Renewable Fuels Alliance is a non-profit organization dedicated to promoting biofuel friendly policies internationally. Alliance members represent over 90% of global biofuels productions. Through the development of new technologies and best practices, Alliance members are committed to producing renewable fuels with the smallest possible footprint.

Read the original story: GRFA Calls on National Governments to End Fossil Fuel Subsidies