In the News
May 22, 2024
Memorial Day is the unofficial start of summer, which is the busiest time of year for travel by automobile. According to AAA, “38.4 million people will travel by car over Memorial Day weekend, the highest number for that holiday since AAA began tracking in 2000.”[1] This is 4% higher than last year and exceeds pre-pandemic levels.
Consumers are proving to be resilient despite high prices for many basic necessities, including gasoline. Retail gas prices are at their second-highest level for any Memorial Day for at least a decade, behind only 2022, when Russia invaded Ukraine (Figure 1). Importantly, prices would be even higher if not for the presence of ethanol in almost all gasoline sold in the U.S.
Over the last month, the national average wholesale price of ethanol has been as much as$1.20 per gallon lower than that of petroleum gasoline blendstock, according to OPIS, mirroring trends in the price relationship between ethanol swaps and gasoline blendstock (RBOB) futures traded on commodities exchanges (Figure 2). This translates to a lower cost of finished motor gasoline (i.e., blendstock plus ethanol) at the fuel distribution terminal.
According to a Renewable Fuels Association analysis of terminal “rack” prices published by the Nebraska Energy Office, in April the cost of E10 (a blend of 10% ethanol and 90% gasoline) was $0.33 per gallon less than gasoline that did not contain ethanol.[2] Assuming a similar retail gasoline price discount over Memorial Day weekend, ethanol will save drivers $112 million in fuel costs.[3]
The discount for E15 relative to ethanol-free gasoline was $0.40 per gallon in April. If all gasoline sold in the U.S. over Memorial Day weekend were E15, consumers would save an additional $12 million compared to E10, even after accounting for E15’s slightly lower fuel economy.[4]
Moreover, the RFA analysis of Nebraska Energy Office data indicates that the discount for E10 versus ethanol-free gasoline has averaged $0.37 per gallon, or 13%, over the last 12 months. At the national level, this translates to annual consumer savings of $49 billion, or $377 per household. The E15 discount has been $0.44 per gallon over the same period, implying that consumers would have saved an additional $9 billion, or $70 per household, if all the gasoline sold in the U.S. had been E15.
Additionally, the estimates above reflect only the direct savings associated with ethanol. In other words, the estimates do not include additional savings associated with ethanol’s displacement of crude oil, refined gasoline, and more expensive octane boosters. (Lower demand for these petroleum products leads to lower prices in aggregate.) A 2023 study by energy economists from the University of California-Berkeley and leading universities in Brazil and the Czech Republic determined that the use of ethanol in the U.S. fuel supply “decreases the price paid by U.S. drivers at the pump. We estimate the average discount per gallon to be $0.77 between 2019 and 2022 and averaged across our models.”[5]
Likewise, ethanol helps make America more energy secure. Virtually all the ethanol used in the U.S. is produced domestically, and in 2023 the average ethanol content in the nation’s gasoline pool hit a record 10.4 percent.
As consumers fill up their vehicles over the holiday, it’s worth keeping these benefits in mind. More importantly, even as Americans enjoy the long weekend, they should take time to remember the meaning of Memorial Day.[6]
# # #
1] https://newsroom.aaa.com/2024/05/memorial-day/
[2] RFA analysis of Nebraska Energy Office rack price data for Omaha. Takes into account the value of Renewable Fuel Standard RINs.
[3] Assumes 38.4 million travelers by automobile; 200 miles per trip (Bureau of Transportation Statistics and The Vacationer); average fuel economy of 22.8 miles per gallon (Federal Highway Administration); and $0.33/gal savings attributable to ethanol (RFA analysis of Nebraska Energy Office data).
[4] E15 had a 1.28% lower fuel efficiency than E10, on average, in tests of 20 vehicles conducted by the University of California, Riverside
[5] https://ethanolrfa.org/media-and-news/category/news-releases/article/2023/02/new-university-study-ethanol-cuts-gas-prices-by-77-cents-per-gallon
[6] https://www.cem.va.gov/history/Memorial-Day-History.asp">https://www.cem.va.gov/history/Memorial-Day-History.asp
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May 20, 2024
The Renewable Fuels Association today, along with Growth Energy, filed a petition in the Supreme Court of the United States requesting review of the Fifth Circuit Court’s recent opinion that it is a proper venue to consider challenges to the Environmental Protection Agency’s adjudication of small refinery exemption (SRE) petitions under the Renewable Fuel Standard.
In a 2-1 decision, the Fifth Circuit concluded in November 2023 that it was an appropriate venue to hear a challenge brought by oil refiners whose SRE petitions had been denied by EPA. RFA, which intervened in the Fifth Circuit case on behalf of EPA, argued that the Fifth Circuit was not an appropriate venue for the challenge, because SREs are nationally applicable and have nationwide scope or effect. Thus, RFA argued, the only proper venue for SRE challenges is the D.C. Circuit Court. Similar challenges brought by refiners were transferred or dismissed in the Third, Seventh, Ninth, Tenth, and Eleventh Circuit Courts, as those courts all affirmed they were not the proper venue to review a nationwide policy issue. In addition, the dissenting opinion in the Fifth Circuit case, written by Judge Patrick E. Higginbotham, agreed that the Fifth Circuit was an inappropriate venue and that the challenge should have instead been heard in the D.C. Circuit.
“As our petition makes clear, the Fifth Circuit never should have heard this challenge brought by refiners,” said RFA President and CEO Geoff Cooper. “EPA decisions on small refinery exemption petitions are inherently national in scope because the RFS establishes proportional renewable fuel volume requirements for every obligated party in the nation. When an exemption is granted, regardless of where the refinery is located, a nationwide shortfall of renewable fuel blending is created. As underscored by five other Circuit Courts and the dissenting opinion in the Fifth Circuit, the D.C. Circuit is obviously theonly proper venue for reviewing EPA’s denial of small refinery exemption petitions. The Supreme Court should overturn the Fifth Circuit’s flawed opinion and ensure that any SRE challenges are considered by the singular D.C. Circuit venue.”
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May 10, 2024
Relying on its background in ethanol plant cleaning, Premium Plant Services leverages new technologies and methods to eliminate stubborn ethanol process residues. With the addition of two new Premium offices in New Jersey and Indiana, the company now has an expanded service area spanning the United States. Ian Hughes, general manager of the Midwest division of Premium Plant Services, explains that dry ice blasting is one of the innovations that makes cleaning safer and less messy.
Unlike hydroblasting, dry ice does not leave behind a messy slurry to be removed. Blasting also happens at a much lower pressure with dry ice, running at 120 psi rather than 10,000 to 20,000 psi, reducing the safety risk.
“We’ll use dry ice on separator cones, TOs (thermal oxidizers) and economizers, the HRSGs (heat recovery steam generators), the receiving lines, the RTOs—we can do all those with water—but with our expanded capabilities we can offer dry ice blasting to complement hydroblasting—giving plants the option to choose,” Hughes says.
The company’s dry ice blasting robot is the only one of its kind in the cleaning industry, Hughes explains. The robot is used for cleaning receiving lines and connections between grain bins; it is fitted with cameras on the front and back to ensure cleanliness. Able to clean lines ranging from eight to 52 inches in diameter, the dry ice robot is more effective than flushing the system with water.
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May 10, 2024
The USDA expanded its estimate for 2023-’24 corn use in ethanol to 5.45 billion bushels in its latest World Agriculture and Supply and Demand Estimates report, released May 10. The agency currently expects the volume of corn that goes to ethanol production to remain at that level for 2024-’25.
The overall 2024-’25 corn outlook is for larger supplies, greater domestic use and exports, and higher ending stocks. The corn crop is projected at 14.9 billion bushels, down 3% from last year’s record as s decline in area is partially offset by an increase in yield.
The yield projection of 181 bushels per acre is based on a weather-adjusted trend assuming normal planting progress and summer growing season weather, estimated using the 1988-2023 time period.
With higher beginning stocks, total corn supplies are forecast at 16.9 billion bushels, the highest since 2017-’18, according to the USDA.
Total U.S. corn use for 2024-’25 is forecast to rise just under 1% relative to a year ago on higher domestic use and exports. Food, seed and industrial use is forecast at 6.9 billion bushels. Feed and residual use is projected higher on larger supplies and lower expected prices.
The USDA increased its estimate for 2023’24 corn use in ethanol to 5.45 billion bushels, up from the April forecast of 5.4 billion bushels. Corn use for fuel ethanol was at 5.176 billion bushels for 2022-’23. The USDA currently expects corn use for ethanol to remain at 5.45 billion bushels for 2024-’25.
U.S. corn exports for 2024-’25 are forecast to rise 50 million bushels to 2.2 billion, supported by a combined 5.4-million-ton reduction in exports for Argentina, Brazil, Russia and Ukraine. The U.S. is projected to the be world’s largest exporter for the second consecutive year, with an expected increase in global market share.
With total U.S. corn supply rising more than use, 2024-’25 ending stocks are up 80 million bushels from last year and, if realized, would be the highest in absolute terms since 2018-’19. Stocks would represent 14.2% of use, up from 13.7% the prior year and the highest since 2019-20. The season-average farm price is projected at $4.40 per bushel, down 25 cents from 2023-’24.
World corn production is forecast to decline from the prior year’s record to 1.220 billion metric tons, with the largest declines for the U.S., Ukraine, Zambia, Argentina, Malawi, Mozambique, and Turkey. Partly offsetting are larger crops projected for Brazil, the EU, China, South Africa, and Mexico. Lower area expectations drive a decline in corn production for Argentina, in contrast to Brazil where production is forecast higher on expanded area. Ukraine corn production is expected to be down on reductions to both area and yield. Corn crop prospects for Russia are down as higher area is more than offset by a decline in yield.
World corn use is expected to rise less than 1% to a record 1.221 billion metric tons, with foreign consumption increasing modestly. World corn imports are forecast to fall just under 1%, driven by declines for several countries, including the EU, Canada, Iraq, and Venezuela. Partly offsetting are increases for Mexico, Saudi Arabia, Vietnam, Egypt, and Iran.
Global corn ending stocks for 2024-‘25 are down 800,000 tons to 312.3 million. Stocks in the major exporting countries of Argentina, Brazil, Russia, Ukraine, and the U.S. are projected down slightly, reflecting higher stocks in the U.S. mostly offset by declines for Brazil and Ukraine. For China, corn imports are projected unchanged at 23.0 million tons.
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May 7, 2024
Novonesis, a company formed via the January 2023 merger of Denmark-based biotechnology company Novozymes and Denmark-based bioscience company Chr. Hansen, released first quarter financial results on May 3, reporting strong results for its Bioenergy segment.
The company said it achieved double-digit growth for its Bioenergy subsegment, supported by favorable market conditions and increased penetration, especially in North America. Bioenergy sales in Latin America also performed well, driven by capacity expansion of ethanol production, including volumes for second-generation ethanol.
Results for the Bioenergy segment are now reported under Novonesis’ Agriculture, Energy and Tech segment, which reported flat sales when compared to the first quarter of last year.
The Agriculture, Energy and Tech segment accounted for 36% of total company sales during the first quarter, while the company’s Food and Beverage, Human Health and Household Care segments accounted for 33%, 11% and 20% of sales, respectively.
Overall, Novonesis reported a 4% growth in sales for the three-month period, with volumes accounting for 2% of growth and pricing contributing 2%. The company is currently predicting it will deliver a 5% to 7% sales growth for the full year.
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May 2, 2024
The U.S. exported 159.31 million gallons of ethanol and 1.06 million metric tons of distillers grains in March, according to data released by the USDA Foreign Agricultural Service on May 2. Exports of both products were up when compared to both the previous month and March 2023.
The 159.31 million gallons of ethanol exported in March was up when compared to both the 139.02 million gallons exported during the previous month and the 132.27 million gallons exported in March 2023.
The U.S. exported ethanol to more than three dozen countries in March. Canada was the top destination for U.S. ethanol exports during the month at 47.63 million gallons, followed by India at 21.47 million gallons and the U.K. at 19 million gallons.
The value of U.S. ethanol exports reached $361.08 million in March, up from $309.11 million in February and $341.93 million in March of last year.
Total ethanol exports for the first quarter of 2024 reached 448.3 million gallons at a value of $1.01 billion, compared to 354.12 million gallons exported at a value of $956.01 million during the same period of last year.
The 1.06 million metric tons of distillers grains exported in March was up when compared to both the 986,337 metric tons exported in February and the 898,086 metric tons exported in March of last year.
The U.S. exported distillers grains to approximately 40 countries in March. Mexico was the top destination for U.S. distillers grains export at 171,815 metric tons, followed by South Korea at 142,829 metric tons and Turkey at 122,027 metric tons.
The value of U.S. distillers grains exports reached $307.81 million in March, up from $281.51 million the previous month and $296.53 million in March of last year.
Total distillers grains exports for the first three months of this year reached 2.94 million metric tons at a value of $844.09 million, compared to 2.43 million metric tons exported during the same period of 2023 at a value of $802.18 million.
Additional data is available on the USDA FAS website.
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Apr 30, 2024
Archer Daniels Midland Co. on April 30 released first quarter financial results, reporting improved earnings for Vantage Corn Processors subsegment, which includes the company’s dry mill ethanol plants.
ADM’s Carbohydrate Solutions segment, which houses its ethanol business, reported $248 million in segment operating profit during the first quarter, down 11% when compared to the same period of 2023. The company said its Starches & Sweeteners subsegment decreased $52 million, or 17%, as strong starches and sweeteners margins were offset by lower domestic ethanol markets due to strong industry production and elevated stocks. The Vantage Corn Processing subsegment reported a $13 million loss, which was a $21 million, or 62%, improvement over the $34 million loss reported for the first quarter of last year. ADM said strong demand for sustainably certified exports of ethanol supported volumes and higher margins.
Moving into the second quarter, ADM Interim Chief Financial Officer Ismael Roig said the company expects to see solid demand for ethanol, both domestically and in the export markets. ADM Chairman and CEO Juan Luciano indicated there remains uncertainty in the ethanol market, but said the company is cautiously optimistic that inventories will balance, providing a small lift to margins.
Overall, ADM reported $1.311 billion in segment operating profit for the first quarter, down 24% when compared to the same period of last year. Earnings per share were $1.42, down 33%.
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Apr 23, 2024
The USDA on April 23 awarded more than $43 million in grants through the Higher Blends Infrastructure Incentive Program to support projects that will increase the availability of domestic biofuels in 15 states.
According to the USDA, the $43 million will support 57 projects in California, Florida, Illinois, Iowa, Kansas, Kentucky, Michigan, Minnesota, Missouri, New York, Oklahoma, Pennsylvania, South Dakota, Texas and Wisconsin. Individual awards range from as low as $40,114 to as high as $5 million.
The USDA awarded the $43 million in HBIIP grants as part of a larger $238 million funding announcement that also included more than $194 million in loans and grants that were awarded through the agency’s Rural Energy for America Program.
“The Biden-Harris Administration and USDA are committed to expanding access to modern clean energy systems and fueling options that strengthen the nation’s energy independence while creating good-paying jobs and saving people money,” said Agriculture Deputy Secretary Xochitl Torres Small. “As we celebrate Earth Day this year, we are excited to partner with hundreds more family farms and small businesses to address the impacts of climate change, grow the economy and keep rural communities throughout the country strong and resilient.”
HBIIP provides grants to fueling station and distribution facility owners, including marine, rail, and home heating oil facilities, to help expand access to domestic biofuels, including ethanol and biodiesel. These investments help business owners install and upgrade infrastructure such as fuel pumps, dispensers and storage tanks.
Since the start of the Biden-Harris Administration, USDA has invested approximately $135 million to increase access to biofuels at fueling stations. In June 2023, USDA made $450 million available in Inflation Reduction Act funding through the HBIIP to expand the use and availability of higher-blend biofuels.
USDA continues to accept applications for funding to expand access to domestic biofuels. These grants will support the infrastructure needed to reduce out-of-pocket costs for transportation fueling and distribution facilities to install and upgrade biofuel-related infrastructure such as pumps, dispensers and storage tanks. Applications are being accepted quarterly through Sept. 30, 2024.
A full list the $43 million in HBIIP awards made April 23 is available on the USDA’s website.
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Apr 22, 2024
CoBank is predicting a positive outlook for ethanol in 2024 as plants capitalize on lower corn prices and improved margins, according to the company’s latest Quarterly Research Report, released April 11.
Ethanol production in January, however, was down. Only 434 million bushels of corn went to fuel alcohol production during the first month of the year, down 10% when compared to the previous month, and down 2% when compared to January 2023.
According to CoBank, reports indicate that improved ethanol demand has encouraged some marginal plants to come back online. These restarted plants are pushing ethanol supplies higher and could create minimal oversupply.
Within the report, CoBank explains that ethanol producers are optimistic that higher blends and sustainable aviation fuel (SAF) will offset the impact of electric vehicles (EVs). “Rising E15 and E85 blending enables the ethanol industry to hold the line in an otherwise declining gasoline market,” CoBank said in the report. “Every 1 million new battery-only EVs sold reduces ethanol demand by 45 million gallons per year.”
While the U.S. Department of Treasury has set to release the revised 40BSAF-GREET model which will be used to calculate greenhouse gas (GHG) emissions reductions for the purposes of the SAF tax credit, CoBank estimates that ethanol producers will need to reduce carbon intensity (CI) by 25 to 30% to qualify. Those reductions could come from sourcing lower CI grains or utilizing carbon capture and storage (CCS) technology, the company said in the report. The 40BSAF-GREET model will also set the tone for implementation of the 45Z clean fuel production tax credit, which is scheduled to go into effect on Jan. 1, 2025, CoBank added.
The report also briefly discusses the impact of lower renewable identification numbers (RINs), which CoBank said may reduce biofuel plant utilization and could force producers to slow or shelve plans to expand renewable diesel capacity.
A full copy of CoBank’s latest Quarterly Research Report is available on the company’s website.
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A joint statement issued by President Joe Biden and Japanese Prime Minster KISHIDA Fumio on April 10 outlines the intentions of the two countries to cooperate on expanding the availability sustainable aviation fuel (SAF), including SAF made from ethanol.
Kishida last week made an official visit to the White House, where he and Biden celebrated a new era of U.S.-Japanese strategic cooperation. The statement outlines cooperation initiatives in the areas of defense and security; space exploration; innovation, economic security and climate action; global diplomacy and development; and fortifying people-to-people ties.
Regarding actions in innovation, economic security and climate action, Biden and Kishida discussed efforts to cooperate on the development and deployment of next generation clean technologies, including SAF.
“We intend to advance widespread adoption of innovative new clean energy technologies, and seek to increase the globally available supply of sustainable aviation fuel or feedstock, including those that are ethanol-based, that show promise in reducing emissions,” they said in the joint statement.
A fact sheet released by the White House indicates the U.S. and Japan have reaffirmed their joint aim of decarbonizing the aviation industry, including the goal of net-zero emissions by 2050. The two countries also recognize the importance of realizing the U.S. Sustainable Aviation Fuel Grand Challenge 2030 goal of 3 billion gallons of SAF. Similarly, Japan has set a goal to replace 10% of the fuel consumed by Japanese airlines with SAF by 2030.
“To support achieving these goals, the United States pledges to seek to support the increase of globally available supplies of SAFs or feedstocks, including those that are ethanol-based, and commit to working in ICAO to identify solutions that accurately measure and actively reduce the carbon intensity of global SAF feedstocks and products,” the White House said in the fact sheet. “Simultaneously, Japan commits to advancing R&D efforts to develop and commercialize SAF technologies, including Alcohol-to-Jet (ATJ), through support measures by Japan’s Ministry of Economy, Trade and Industry.”
The Renewable Fuels Association, Growth Energy and the U.S. Grains Council on April 16 issued a joint statement expressing gratitude that the two countries are recognizing the importance of ethanol as a SAF feedstock.
“Our organizations appreciate the dedication and support of USDA’s Foreign Agricultural Service (FAS), the U.S. Trade Representative and other U.S. government agencies advocating for grain-based ethanol in their international discussions,” the ethanol groups said in their statement. “These U.S. officials continue to highlight that ethanol is a readily available, low-carbon solution that can be used immediately as a carbon mitigation tool for the on-road, aviation, maritime and biochemical sectors.
“We thank the Biden Administration for its ongoing assistance in promoting U.S. ethanol abroad. Through our continued joint efforts to showcase U.S. ethanol benefits to the global community, we are collectively leading the transition to a low-carbon economy and supporting international climate commitments for a net-zero future.”
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Apr 11, 2024
WASHINGTON, DC –U.S. Representative Angie Craig led a group of House Republicans and Democrats urging President Biden to take the steps necessary to permit the year-round sale of E15, a biofuel alternative cheaper than traditional gasoline.
In their letter, the Members urged the President to issue the emergency waiver needed to allow the year-round sale of E15 to occur. The Members argued that doing so would help bolster America's energy resilience, strengthen the supply chain, lower costs for Americans and provide reliable markets for our nation’s farmers.
“Home-grown, American biofuels are a straightforward, no-cost solution that strengthens our nation’s energy infrastructure, supports our farmers and reduces consumer costs. We request you expeditiously grant this emergency waiver for 2024,”they wrote.
Rep. Craig has long advocated to make the year-round sale of E15 permanent. Last year, Rep. Craig reintroduced the bipartisan, bicameralConsumer and Fuel Retailer Choice Act to allow for the year-round, nationwide sale of E15.
"The planet benefits and consumers save money when they can fill up their cars with E15. In the absence of a federal legislative fix, we need EPA to act now to provide an emergency waiver, so that retailers have enough time to ensure their supplies of this more affordable, earth-friendly fuel won't be interrupted this summer. We thank Representatives Craig, Smith, Pocan, and Johnson for leading the charge on this critical issue, and hope this letter spurs the EPA into taking action on behalf of American drivers,”said Emily Skor, CEO of Growth Energy.
“We thank Reps. Craig, Smith, Pocan, and Johnson along with a group of bipartisan House members for calling on the Biden Administration to quickly take action to allow the nationwide sale of E15 through the coming summer,” saidRFA President and CEO Geoff Cooper. “These Representatives understand that with current fuel supplies lower than the last two summer driving seasons and the market pressures of ongoing geopolitical conflicts, it is imperative that consumers have access to this American made supply of lower-cost, cleaner fuel.”
“Sales of E15 in Minnesota reached a record high last year, in part because consumers across the state were able to fill-up their tanks with the lowest-cost fuel all summer long. We applaud Representative Craig for fighting on behalf of Minnesota drivers who are at risk of losing the $0.16 per gallon average cost savings associated with E15 on June 1. We join her in urging the Biden administration to provide an emergency waiver for the sale of E15 during the 2024 summer driving season because of ongoing global energy supply chain challenges,”said Brian Werner, CEO of MN Biofuels.
A full copy of the letter can be found here.
Read the original press release here.
Apr 9, 2024
The U.S Energy Information Administration increased its forecast for 2024 fuel ethanol production in its latest Short-Term Energy Outlook, released April 9. The 2024 and 2025 forecasts for fuel ethanol blending were reduced.
The EIA currently predicts ethanol production will average 1.03 million barrels per day this year, up from last month’s forecast of 1.02 million barrels per day. The agency maintained its 2025 fuel ethanol production forecast at 1.03 million barrels per day. Production averaged 1.02 million barrels per day in 2023.
On a quarterly basis, fuel ethanol production was at 1.04 million barrels per day during the first quarter of this year and is expected to average 1.02 million barrels per day during the second and third quarters, partially rebounding to 1.03 million barrels per day in the fourth quarter. Moving into 2025, fuel ethanol production is expected to average 1.03 million barrels per day in the first and second quarters, 1.02 million barrels per day during the third quarter and 1.04 million barrels per day during the fourth quarter.
The EIA currently predicts that fuel ethanol blending will average 930,000 barrels per day in both 2024 and 2025, down from the March STEO forecasts of 940,000 barrels per day. Fuel ethanol blending averaged 930,000 barrels per day last year.
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Apr 4, 2024
February U.S. ethanol exports slipped 7% to a still-robust 139.0 million gallons (mg), largely influenced by fluctuations in our five largest markets (representing 77% of total shipments). Canada was our largest destination for the 35th consecutive month despite a 17% shave from January. Denatured fuel ethanol accounted for 93% of the 47.9 mg crossing the border. Exports surged to the United Kingdom (up 53% to 21.2 mg) and Colombia (up 93% to 15.0 mg) but volumes tempered to India (down 59% to 13.4 mg) and the European Union (down 39% to 9.7 mg). Escalating exports to other larger markets helped curb the slippage, including Singapore (6.0 mg, +501%), Mexico (5.8 mg, +5%), Peru (5.7 mg, +133%), and Jamaica (4.0 mg, +1040%). Notably, exports to Japan marked a 4-year high of 1.7 mg following concerted efforts to enlarge the market, while Brazil was again absent. Year-to-date ethanol exports totaled 289.0 mg, a whopping 30% ahead of last year at this time.
For the sixth consecutive month, the U.S. did not log any meaningful imports of foreign ethanol (Brazil shipped 70,282 gallons of undenatured fuel ethanol).
U.S. exports of dried distillers grains (DDGS), the animal feed co-product generated by dry-mill ethanol plants, rebounded 9% to 986,337 metric tons (mt) on mixed markets. Shipments to Mexico, our largest customer for the second straight month, climbed 4% to 259,658 mt—the nation’s second-largest monthly imports on record. South Korea imports of U.S. DDGS slipped 10% to 132,457 mt while volumes rallied to Indonesia, up 20% to 86,304 mt. The remaining half of February exports shipped to forty countries, including significant yet declining volumes to Vietnam (65,146 mt, down 8%), Japan (51,051 mt, down 11%), Canada (49,588 mt, down 24%), and Colombia (33,477 mt, down 26%). Year-to-date DDGS exports totaled 1.89 million mt, which is 23% more than last year at this time.
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Apr 2, 2024
Aylmer, ON, Canada, April 2, 2024– Whitefox Technologies is pleased to announce that IGPC Ethanol Inc. has agreed to install the Whitefox ICE®membrane dehydration system at its ethanol plant located in Aylmer, Ontario. This is a landmark agreement as it represents Whitefox’s first opportunity in Canada. The installation project is anticipated to be completed during Q4 2024.
Paul Morin, P.Eng, IGPC Director of Operations said “We are very excited to have a Whitefox ICE system integrated into our distillation area. This system yields many benefits that align with our strategic goals. It will help us lower our CI all the while reducing the strain on our sieves and making a more user-friendly distillation system. I am very impressed with how custom-made Whitefox integrates with our system to maximize energy savings.”
The Whitefox ICE® system treats existing recycle streams to free up and debottleneck distillation-dehydration capacity, enabling IGPC Ethanol to lower natural gas use, cut carbon emissions, improve plant cooling, and increase potential production capacity depending on the system design. Whitefox ICE® is integrated into existing corn ethanol production plants with minimal disruption and a small footprint.
Jackie Hayes, Whitefox Business Development Manager North America, “We are delighted to have partnered with IGPC on this project and excited as this represents our first installation in Canada. Whitefox has had a strong presence in Canada for over 20 years, as it is home to our Engineering and R&D centers in Calgary. Once the Whitefox ICE® solution is installed, it will assist IGPC to achieve key strategic objectives of Canadian biofuels policy – to make more fuel ethanol gallons in Canada, with reduced carbon intensity – and do so with lower energy and operating costs. I would like to thank Kevin Norton, Paul Morin and the team at IGPC for their support and commitment to install Whitefox Membrane technology.”
ABOUT BGW SP. Z O.O
Since its establishment in 2007, IGPC Ethanol is committed to contributing to both the Renewable Fuels Industry and Ontario’s agricultural sector for the better by supporting local farmers and promoting a clean environment through sustainable, renewable fuel production. As a division of Integrated Grain Processors Co-operative Inc, IGPC Ethanol Inc. has become a leader in Southwestern Ontario’s business community in supporting environmentally sustainable economic growth, so far producing 380 million litres of denatured fuel grade ethanol and 340,000 tonnes of distillers’ grains.
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:whitefox.com
Twitter:@WhitefoxTech
LinkedIn:Click Here
Read the original press release here.
Mar 26, 2024
Today, the Renewable Fuels Association, Growth Energy, National Corn Growers Association, American Farm Bureau Federation, National Farmers Union, and National Sorghum Producers sent a letter to the Environmental Protection Agency (EPA) calling on Administrator Michael Regan to act swiftly on an emergency waiver for E15 sales:
“New and ongoing conflicts across the globe continue to pose risks to the United States’ transportation energy supply. In addition to the conflict in Ukraine, now extending into its third year, the recent unrest and volatility in the Middle East present additional challenges to American energy security. In particular, attacks on shipping in the Red Sea have already had a disruptive effect on the transit of fuel in the region, raising the specter of constrained supply and increased gasoline prices at home,” wrote America’s top biofuel advocates.
To remedy the ongoing disruptions to global energy markets, stabilize gasoline prices for American consumers, and support domestic energy security, the authors urged EPA to quickly authorize the summer sale of gasoline blended with up to 15 percent ethanol.
“The consumer cost savings that result from allowing the year-round sale of E15, even on a temporary basis, are well-established. As a result of the emergency waivers issued in 2022 and 2023, consumers choosing E15 experienced average cost savings of 10-30 cents per gallon, with some locations offering over $1 off per gallon,” they added.
Read the original press release here.
Mar 21, 2024
WASHINGTON, D.C. – A multi-state coalition of biofuel and farm advocates called on President Biden’s Treasury Department to swiftly resolve any questions standing in the way of efforts to scale up U.S. production of Sustainable Aviation Fuel (SAF). Specifically, they urged the administration to quickly adopt the U.S. Department of Energy’s GREET model for the calculation of SAF tax credits (40B) under the Inflation Reduction Act – completing a process that was originally scheduled to conclude by March 1.
“We are disappointed that the administration did not fulfill its commitment to release a modified GREET model by March 1, but we appreciate the importance of getting the modeling right,” wrote 26 organizations across 13 states, including Clean Fuels Alliance America, Growth Energy, National Corn Growers Association, National Farmers Union, National Oilseed Processors Association, and the Renewable Fuels Association. “At the same time, we caution against contradictory changes to GREET that would stack unwarranted penalties on agricultural feedstocks, cut rural America out of a promising green energy market, and undermine any realistic path to achieving U.S. SAF goals.”
SAF advocates emphasized the availability of well-established methodologies for certifying climate smart agriculture (CSA) practices, in contrast to speculative and unverifiable penalties for indirect land use change (ILUC) favored by opponents of U.S. agriculture.
“Failing to value regenerative and CSA advancements, as well as the full suite of biorefining innovations cited in guidance to date, would leave substantial carbon emissions reductions on the table and represent a missed opportunity to energize these promising sectors,” they wrote. “A consistent approach to ILUC and CSA is a vital part of giving farmers and SAF producers a credible, durable, and predictable framework for making the commitments necessary to effectuate IRA and the SAF Grand Challenge.”
The full text of the letter and a list of signers can be found here.