In the News
Jun 13, 2022
Since August 2017, the U.S. ethanol industry has been in intense discussion with the Brazilian government about the country’s ethanol tariff rate quota (TRQ). On Dec. 14, 2020, the trade relationship became bitter when Brazil applied a 20 percent duty on all U.S. ethanol imports as a measure to protect the domestic industry after a difficult year of limited demand due to COVID-19 mobility restrictions.
Following the tariff imposition, the U.S. Grains Council undertook several strategies to reverse the decision, including approaching possible in-country partners that could share trade interests. The Council found a strategic ally in the Brazilian Association of Fuel Importers (ABICOM), which represents 85 percent of the fuel supply market.
After various meetings, ABICOM agreed to work with the Council to develop a formal request to the Brazilian Foreign Trade Chamber (CAMEX) to drop the 20 percent duty on U.S. ethanol imports as the best solution to alleviate supply shortages and the resultant price inflation in the north and northeast regions of Brazil.
ABICOM believed that by zeroing the duty, the country would guarantee a reduction of R$ 0.18 per liter ($0.15/gallon) in the gasoline prices at the pump. Once presented with the plea to the CAMEX, the Council helped the association reach the ministries involved in the decision to present its arguments, supported by its close relationship with key contacts in the Brazilian government. As a consequence, the Ministry of Economy performed its own analysis of the information provided, confirming the reductions in price ($0.16/gallon) and driving the Brazilian government to eliminate the duty on all ethanol imports until Dec. 31, 2022, as a measure to reduce inflation in the country.
Brazil is one of the largest ethanol export destinations for the U.S. ethanol industry, with 76 million gallons of ethanol purchased in 2021, valued at $153 million. With the elimination of the duty, it is expected that import levels will grow by 20 percent in 2022 over 2021 import levels.
In the past five years, the Council has invested $43,146 of USDA Market Access Program (MAP) funds and $116,431 of Agricultural Trade Promotion (ATP) program funds to support increased U.S. ethanol exports of $125.2 million, creating a return on investment (ROI) of $958 for every $1 invested.
Read the original story here.
Jun 16, 2022
WASHINGTON, DC – Today, the U.S. House of Representatives passed the Lower Food and Fuel Costs Act, a critical step toward addressing the rising costs of food, fuel and other household items in the United States. The Lower Food and Fuel Costs Act is a package of bipartisan bills that will lower prices for families at the grocery aisle and the gas pump by giving America’s farmers the support and resources they need to thrive. The bill passed just two weeks after Representative Craig led her Democratic colleagues in urging the Speaker and Majority Leader to prioritize legislation that would address surging costs, which Rep. Craig and her colleagues identified as the most urgent challenge impacting their constituents.
The Lower Food and Fuel Costs Act includes two of Representative Craig’s bills – the Year-Round Fuel Choice Act and the Strengthening the Agriculture and Food Supply Chain Act, which are both critical pieces of her ongoing effort to lower prices for Minnesotans.
“Every day, Americans are calling on their elected leaders to take decisive action to combat surging prices at the checkout line and at the pump. And today, we responded to that call by passing a major bipartisan bill to ensure the accessibility of affordable, homegrown American biofuels and to shore up the American food supply chain,” said Representative Craig. “Our bill will help to get food on the shelves faster, support economic growth in rural America and reduce our dependence on foreign oil – and I couldn’t have been prouder to champion this bipartisan effort in Congress.”
Earlier today, Craig spoke on the House floor in support of her legislation, urging her colleagues on both sides of the aisle to support efforts to lower costs for working families. Craig’s remarks are available here.
The Lower Food and Fuel Costs Act will help address supply chain risks, lower the cost of food and gas prices, strengthen the food supply chain and ensure robust competition in the meat and poultry sector. Contained in the package are two of Representative Craig’s bipartisan bills to support working families. Craig’s Year-Round Fuel Choice Act would permanently allow the year-round sale of E15, a biofuel alternative that lowers the average cost of fuel and can cost as much as forty cents per gallon less than regular gasoline. And the Strengthening the Agriculture and Food Supply Chain Act would create a task force dedicated to shoring up the agriculture and food supply chains in order to prevent bottlenecks and lower food costs.
Read the original press release here.
Jun 15, 2022
U.S. fuel ethanol production expanded by 2 percent the week ending June 10, according to data released by the U.S. Energy Information Administration on June 15. Weekly ending stocks of fuel ethanol were down nearly 2 percent.
Fuel ethanol production averaged 1.06 million barrels per day the week ending June 10, up 21,000 barrels per day when compared to the 1.039 million barrels of stocks reported for the previous week. When compared to the same week of last year, ethanol production for the week ending June 10 was up 35,000 barrels per day.
Weekly ending stocks of fuel ethanol fell to 23.197 million barrels the week ending June 10, down 439,000 barrels when compared the 23.636 million barrels of stocks reported for the previous week. When compared to the same week of last year, stocks for the week ending June 10 were up 2.595 million barrels.
Read the original story here.
Jun 7, 2022
DALLAS – Navigator CO2 Ventures LLC (“Navigator”) announced today that they have signed a Letter of Intent to provide carbon capture, utilization, and storage (CCUS) services to POET, the world’s largest producer of biofuel and a global leader in sustainable bioproducts, on Navigator’s Heartland Greenway system.
The agreement outlines Navigator’s integrated CCUS services for approximately five (5) million metric tons of POET’s biogenic CO2 annually and establishes a collaborative path for the development of a central carbon offset marketplace and carbon use logistics platform. The system will phase in 18 of POET’s bioprocessing facilities across Iowa, Nebraska, and South Dakota, and is on schedule for operational in-service in 2025.
“We recognize that now is the time to take bold action to preserve our planet for future generations,” said Jeff Broin, POET Founder and CEO. “POET has been a leader in low-carbon biofuels and CO2 capture for commercial use for decades, and this project is another significant step in utilizing bioprocessing to accelerate our path to net-zero. We choose our partners carefully, and we believe Navigator has the expertise to deliver long-term value to rural America by further positioning agricultural commodities as a viable source of low-carbon liquid fuels to power our future.”
Both parties will leverage their respective expertise – relying on the unique breadth and scale of Navigator’s infrastructure development, construction, and operations and POET’s market-leading position in CO2 distribution, marketing, and logistics management. The joint efforts will create the largest combined distribution network for high-quality, biogenic CO2.
“This agreement is a testament to two industries coming together and using their resources to pave innovative pathways toward carbon neutrality and a more sustainable future. The breadth, scale, and technical acumen of each party’s platform is unmatched,” said Matt Vining, Chief Executive Officer of Navigator. “POET is an industry pioneer that has built a company on the pillars of safety, integrity, innovation, and being a good neighbor in the communities they call home, all of which align entirely with the culture and track record of Navigator. We look forward to this partnership with POET as we continue to fulfill our mission to provide sustainable carbon solutions to our communities, consumers, and customers.”
With the addition of POET to the platform, Navigator’s Heartland Greenway system will provide CCUS services for more than 30 industrial processors across the agriculture and food production value chains, representing over ten (10) million tons of annual CO2 emissions, including the two (2) largest bioethanol producers in the United States, in addition to highly efficient single-site production
facilities. Navigator’s unique platform will now mobilize efforts to deliver up to 15 million tons annually of CCUS services through new pipeline laterals and parallel development of multiple storage sites.
About Navigator CO2 Ventures
Navigator CO2 Ventures is a company developed and managed by the Navigator Energy Services management team with over 180 years of collective industry experience. The company specializes in CCUS, and the management team has safely constructed and operated over 1,300 miles of new infrastructure since being founded in 2012. We are committed to building and operating our projects to meet and exceed safety requirements while minimizing the collective impact on the environment, landowners, and the public during construction and ongoing operations. For more information about Navigator CO2 and the Heartland Greenway, visit our websites at: navigatorco2.com and heartlandgreenway.com.
About POET
POET’s vision is to create a world in sync with nature. As the world’s largest producer of biofuel and a global leader in sustainable bioproducts, POET creates plant-based alternatives to fossil fuels that unleash the regenerative power of agriculture and cultivate opportunities for America’s farm families. Founded in 1987 and headquartered in Sioux Falls, POET operates 33 bioprocessing facilities across eight states and employs more than 2,200 team members. With a suite of bioproducts that includes Dakota Gold and NexPro feed, Voila? corn oil, purified alcohol, renewable CO2 and JIVE asphalt rejuvenator, POET nurtures an unceasing commitment to innovation and advances powerful, practical solutions to some of the world’s most pressing challenges. Today, POET holds more than 80 patents worldwide and continues to break new ground in biotechnology, yielding ever-cleaner and more efficient renewable energy. In 2021, POET released its inaugural Sustainability Report pledging carbon neutrality by 2050.
Read the original press release here.
Jun 7, 2022
April U.S. ethanol exports rocketed to a four-year high of 185.2 million gallons (mg). Shipments were up 48% from March and represented the third-largest monthly export volume on record. Canada logged a 17% increase in imports (40.1 mg, its second-largest volume on record) and maintained its status as our top customer for the thirteenth consecutive month (capturing 22% of April exports). U.S. ethanol exports to Brazil leapt to 30.0 mg (up from zero), the largest volume in two years. South Korea saw weaker sales in April, importing 23.5 mg (-7%). Other substantial markets included Singapore (tripled to a record high of 19.0 mg), the Netherlands (13.8 mg, +79%), the United Kingdom (12.8 mg, up from essentially zero), India (11.9 mg, -13%), and Peru (9.0 mg, +99%). Notably, China again was absent from our export market. Total U.S. ethanol exports for the first four months of 2022 were 577.2 mg, up 15% from the same period in 2021.
The U.S. did not log any meaningful imports of foreign ethanol in April (South Africa shipped 10,411 gallons of denatured fuel ethanol). Total year-to-date imports stand at 10.7 mg.
U.S. exports of dried distillers grains (DDGS), the animal feed co-product generated by dry-mill ethanol plants, scaled back in April by 12% to 813,749 (mt), a 14-month low. While Mexico cut its imports of U.S. DDGS by a third to the lowest volume since Feb. 2021 (125,025 mt), it remained our top customer for the nineteenth consecutive month. Shipments also thinned to Vietnam (105,135 mt, -6%), South Korea (97,654 mt, -24%), and Canada (80,121 mt, -24%). Shipments to these four markets represented half of U.S. DDGS exports in April. Other larger customers included Indonesia (66,701 mt, -5%), Bangladesh (41,853 mt, +671% to a record high), Morocco (39,113 mt, a six-fold increase), Japan (35,907 mt, -46%), Colombia (doubled to 34,057 mt), and Spain (33,882 mt, up from zero). Year-to-date DDGS shipments totaled 3.7 million mt, up 8% from 2021.
Read the original story here.
USDA
Jun 3, 2022
WASHINGTON, June 3, 2022 – U.S. Department of Agriculture (USDA) Secretary Tom Vilsack announced that the Department has provided $700 million to help lower costs and support biofuel producers who faced unexpected market losses due to the COVID-19 pandemic. The funds are being made available through the Biofuel Producer Program, which was created as part of the Coronavirus Aid, Relief, and Economic Security Act (CARES Act). The investments include more than $486 million for 62 producers located in socially vulnerable communities.
“The Biden-Harris Administration is committed to rebuilding the rural economy after the impacts of the pandemic,” Vilsack said. “That’s why USDA is targeting resources and investments to improve the strength and resiliency of America’s sustainable fuel markets. The investments we’re announcing today will pave the way to economic recovery for America’s biofuel producers, stimulate a critical market for U.S. farmers and ranchers, and support our nation’s transition to a clean-energy economy.”
USDA is making payments to 195 biofuel production facilities to support the maintenance and viability of a significant market for agricultural producers of products such as corn, soybean or biomass that supply biofuel production. These biofuel producers experienced unexpected market losses on a combined 3.7 billion gallons as a result of COVID–19.
For example:
- In Iowa, Southwest Renewable Energy LLC is receiving a payment of $3 million. It suffered a market loss on 14.3 million gallons of ethanol due to the pandemic.
- In Illinois, Adkins Energy is receiving a $774,000 payment. Its biomass-based diesel production suffered a market loss on almost 3.5 million gallons due to the pandemic.
- In Texas, White Energy Holding Company is receiving a $21 million payment for production at two facilities. Its ethanol production suffered a market loss on 98 million gallons due to the pandemic.
The investments USDA is making today will support biofuel producers in California, Colorado, Georgia, Hawaii, Illinois, Indiana, Iowa, Kansas, Kentucky, Massachusetts, Michigan, Minnesota, Missouri, North Carolina, North Dakota, Nebraska, New York, Ohio, Pennsylvania, South Dakota, Tennessee, Texas, Utah, Virginia and Wisconsin.
Under the leadership of the Biden-Harris Administration, Rural Development provides loans and grants to help expand economic opportunities, create jobs and improve the quality of life for millions of Americans in rural areas. This assistance supports infrastructure improvements; business development; housing; community facilities such as schools, public safety and health care; and high-speed internet access in rural, tribal and high-poverty areas. For more information, visit www.rd.usda.gov. If you’d like to subscribe to USDA Rural Development updates, visit our GovDelivery subscriber page.
USDA touches the lives of all Americans each day in so many positive ways. Under the Biden-Harris Administration, USDA is transforming America’s food system with a greater focus on more resilient local and regional food production, fairer markets for all producers, ensuring access to safe, healthy and nutritious food in all communities, building new markets and streams of income for farmers and producers using climate-smart food and forestry practices, making historic investments in infrastructure and clean energy capabilities in rural America, and committing to equity across the Department by removing systemic barriers and building a workforce more representative of America. To learn more, visit www.usda.gov.
Read the original press release here.
International Flavors & Fragrances, Inc
Jun 2, 2022
WILMINGTON, Del. – Jun. 02, 2022 - IFF’s Health & Biosciences division, is pleased to announce its collaboration with PROtect® LLC (PROtect) to deliver enhanced training to producers in the ethanol industry under the XCELIS® Ethanol Solutions platform.
PROtect works with a variety of industries throughout the U.S. and ensures companies are protected from unnecessary risks related to regulatory non-compliance, employee injury, liability, and property damage. The PROtect® Operator Training Package has been the leading training system for ethanol producers for many years. Through this collaboration, IFF will add critical training around the use of enzymes and yeast through PROtect’s program and improve the biotechnology expertise of ethanol producers.
“At IFF, we believe that as the ethanol production process becomes more complex, workforce training is paramount to future success. Our training materials will add to the operator experience in PROtect’s system and equip them with key understanding of the interdependencies of biotechnology in the plant and how their decisions will affect production outcomes,” said Dickens, North America sales leader.
Samantha Scott Allen, vice president of business development at PROtect stated, “By combining the PROtect® Operator Training Package with IFF’s expertise in bioscience, we can deliver significantly more value to the ethanol industry workforce. This collaboration reflects the commitment of both our companies in driving success at the production site and lays the groundwork for more comprehensive training products in the future”.
The new IFF training modules will be available in the PROtect® Operator Training package starting June 2022.
About PROtect® LLC
For a safe, reliable & compliant tomorrow. PROtect exists to protect companies from incidents, unplanned downtime, and regulatory non-compliance issues. Every service we provide helps our customers achieve that mission.
About IFF’s Health & Biosciences
Inspired by nature and distinguished by its world-class bioscience and microbiome capabilities, IFF’s Health & Biosciences division is a leading innovation partner for customers across a broad range of consumer product, industrial and agricultural sectors. IFF’s Health & Biosciences division works closely with our customers to enhance products – and their processes – to deliver safer, healthier and more sustainable solutions.
Welcome to IFF
At IFF (NYSE: IFF), an industry leader in food, beverage, health, biosciences and scent, science and creativity meet to create essential solutions for a better world – from global icons to unexpected innovations and experiences. With the beauty of art and the precision of science, we are an international collective of thinkers who partners with customers to bring scents, tastes, experiences, ingredients and solutions for products the world craves. Together, we will do more good for people and planet. Learn more at iff.com, Twitter, Facebook, Instagram, and LinkedIn.
Jun 1, 2022
DALLAS– Southwest Airlines Co. (NYSE: LUV) ("Southwest" or the "Company") today announces an investment into SAFFiRE Renewables, LLC (SAFFiRE), a company formed by D3MAX, LLC (D3MAX), as part of a Department of Energy (DOE)-backed project to develop and produce scalable, sustainable aviation fuel (SAF). Funded with a DOE grant matched by Southwest's investment, SAFFiRE is expected to utilize technology developed by the DOE's National Renewable Energy Laboratory (NREL) to convert corn stover, a widely available waste feedstock in the U.S., into renewable ethanol that then would be upgraded into SAF.
In 2021, the DOE awarded D3MAX the only pilot-scale grant for SAF production, with a goal to scale technology that could commercialize SAF. According to NREL, this could produce significant quantities of cost-competitive SAF that could provide an 84 percent reduction in carbon intensity compared to conventional jet fuel on a lifecycle basis. Southwest's match of the DOE's grant supports phase one of the project, which is expected to include technology validation, preliminary design, and a business plan for a pilot plant.
"SAF is critical for decarbonizing the aviation sector," said Bob Jordan, Chief Executive Officer at Southwest®. "This is a unique opportunity to invest in what we believe could be game-changing technology that could facilitate the replacement of up to approximately five percent of our jet fuel with SAF by 2030, with the potential to significantly continue to scale beyond the decade. This first-of-its-kind investment is another step we are taking to address our environmental impact, and it also supports our efforts to partner with organizations and government entities to help our industry reach the goal of carbon neutrality by 2050."
In 2021, Southwest set a near-term goal to maintain carbon neutrality to 2019 levels while continuing to grow its operations, part of which includes replacing 10 percent of its total jet fuel consumption with SAF by 2030.
In addition to complementing Southwest's SAF goals and broader environmental sustainability efforts, this project supports the federal government's climate strategy, including an ambition for three billion gallons of SAF by 2030 through the SAF Grand Challenge.
"The Department of Energy is committed to turning our ambitious aviation decarbonization goals into realities through strong partnerships across the airline industry," said U.S. Deputy Secretary of Energy David Turk. "Moving cutting-edge technology advances in sustainable aviation to production scale will save money, reduce carbon emissions, and reshape the future of the airline travel for the benefit of American consumers."
The pilot project is intended to validate the commercialization of this corn-stover-to-ethanol technology, which could lead to a follow-up phase. If phase one is successful, DOE and Southwest would have the opportunity to fund a second phase investment for the design, fabrication, installation, and operation of a pilot plant producing renewable ethanol utilizing technology developed by D3MAX and NREL. In phase two, the renewable ethanol is planned to be upgraded into SAF by LanzaJet, Inc., at its biorefinery currently under construction in Soperton, Georgia.
"We are extremely excited to be working with Southwest Airlines—they will be a great investor," said Mark Yancey, CEO of SAFFiRE. "SAFFiRE technology is expected to produce lower carbon SAF compared to conventional jet fuel on a lifecycle basis, which could become carbon negative with process improvements and carbon capture. If we are successful in developing and commercializing this technology, we project the technology can produce 7.5 billion gallons per year of SAF by 2040."
"NREL is thrilled to contribute its research and development expertise in biofuels to this exciting collaboration with Southwest Airlines, D3MAX, and DOE to potentially bring SAF to the market quickly and economically," said Adam Bratis, Associate Laboratory Director of BioEnergy Sciences & Technology at NREL.
Southwest is one of the most honored airlines in the world and remains focused on promoting a healthier planet, but the Company can't accomplish that alone. As described in its 10-Year Environmental Sustainability Plan, Southwest's plans to reduce, replace, offset, and partner are important next steps in the journey to build a holistic approach to improve its environmental sustainability. Learn more about these efforts by visiting swa.is/planetplan.
About SAFFiRE Renewables, LLC
SAFFiRE is an acronym for Sustainable Aviation Fuel From [i] Renewable Ethanol. Formed in 2022, SAFFiRE Renewables, LLC intends to first pilot, and then commercialize if the pilot is successful, proprietary technology to convert waste biomass like corn stover into renewable ethanol. SAFFiRE expects to exclusively license technology from the National Renewable Energy Laboratory (NREL) and D3MAX, LLC that, when combined, will enable the production of low-cost, low-carbon renewable ethanol. The renewable ethanol would then be upgraded into fully certified sustainable aviation fuel, utilizing alcohol-to-jet technology applied by prospective SAF producers. Learn more at http://www.saffirerenewables.com/.
ABOUT SOUTHWEST AIRLINES CO.
Southwest Airlines Co.operates one of the world's most admired and awarded airlines, offering its one-of-a-kind value and Hospitality at 121 airports across 11 countries. Celebrating its 50th Anniversary in 2021, Southwest took flight in 1971 to democratize the sky through friendly, reliable, and low-cost air travel and now carries more air travelers flying nonstop within the United States than any other airline1. Based in Dallas and famous for an Employee-first corporate Culture, Southwest maintains an unprecedented record of no involuntary furloughs or layoffs in its history. By empowering its nearly 59,0002People to deliver unparalleled Hospitality, the maverick airline cherishes a passionate loyalty among as many as 130 million Customers carried a year. That formula for success brought industry-leading prosperity and 47 consecutive years3of profitability for Southwest Shareholders (NYSE: LUV). Learn more at Southwest.com/citizenship about how Southwest Airlines leverages a unique legacy and mission to serve communities around the world.??
Read the original press release here.
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Jun 1, 2022
Denison, IA, June 1, 2022 – Whitefox Technologies is pleased to announce that The Andersons, Inc. is currently installing the Whitefox ICE® membrane dehydration system at its ethanol plant located in Denison, IA. This is Whitefox’s eleventh installation in the U.S. and its fourth installation in Iowa. The installation project is in its last stages of completion and is due to be commissioned in October 2022.
Bill Krueger, President of The Andersons Trade and Processing, said, “We have been evaluating Whitefox technology for some time, and saw that the system aligned with our goals for upgrading the Denison plant which include lower steam use and energy cost per gallon. It also helps to drive our objective of reducing carbon intensity across our production facilities. I am excited that this project is now nearing completion as it addresses several of our strategic priorities.”
The Whitefox ICE® system treats existing recycle streams to free up and debottleneck distillation-dehydration capacity, enabling The Andersons and other producers 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.
Malcolm Rock, Whitefox COO, commented “The goal of this installation is to increase plant capacity while reducing steam consumption per gallon of ethanol produced. Our process engineers designed a tailored solution that fits the distinctive features of the Dension plant emphasising on de-bottlenecking the plant, integrating heat where possible and to avoid significant capital cost in future expansions. Together with The Andersons, I am pleased to see the final stages of the project coming together and look forward to start-up and commissioning in October this year. It has been a real pleasure to work with Bill Krueger, Rod Harris, and the team at the Denison plant.”
About The Andersons, Inc.
The Andersons is a publicly traded company with diverse interests encompassing a variety of agribusinesses. Their investment in ethanol is a natural extension of its core business competencies in grain operations, corn originations, and commodity processing.
They are a significant investor in, as well as manage the operations of, The Andersons Marathon Holdings LLC, located in Albion, MI; Logansport, IN; Greenville, OH; and Denison, IA. The Andersons originate more than 390 million bushels of corn, soybeans, and wheat annually through their relationships with thousands of customers in the Midwest. Their approach utilizes one-on-one business relationships while focusing on the development and execution of integrated commodity prices and production risk management plans.
About Whitefox Technologies Limited
Whitefox Technologies, with 22 years of industrial experience, is a leading solutions provider for fuel ethanol and other alcohol production processes. Specializing in technology development and process integration based on proprietary membrane solutions, its efficient designs reduce energy and water consumption in fuel ethanol and other renewable fuel and chemical production processes. Whitefox provides solutions for alcohol producers in the U.S., Canada, Europe, and South America. www.whitefox.com@WhitefoxTech
Read the original press release here.
May 26, 2022
President Joseph Biden was in Japan for the first time during his presidency this week, where he met with Prime Minister Fumio Kishida. While there, President Biden and Prime Minister Kishida welcomed Japan’s commitment to reduce dependence on imported petroleum by 2030 through doubling demand for bioethanol, including sustainable aviation fuel and on-road fuel.
The U.S. Grains Council (USGC) thanks U.S. Ambassador Rahm Emanuel for his continued support in expanding the potential for ethanol use in Japan.
“Expansion of bioethanol use in Japan is a strategic goal for the Council,” said USGC Vice President Cary Sifferath. “Ambassador Emanuel and his team at the U.S. Embassy in Tokyo have been an essential partner for USGC to discuss the benefits of increased biofuels use to the Japanese consumer and a way for Japan to meet its carbon reduction goals.”
USGC President and CEO Ryan LeGrand and Sifferath traveled to Tokyo this March for the first time in more than two years. While there, they met with Council staff and government and industry representatives, discussing the five commodities represented by the Council and the country’s continued support of their uses.
Ethanol was a major topic of discussion while in Japan, as the Council leaders met with several organizations and Ambassador Emanuel on the potential for the expanded use of ethanol in the country.
So far in the 2021/2022 marketing year, Japan ranks as the fourth-largest export market for U.S. coarse grains, co-products, ethanol and meat products, purchasing 7,521,368 metric tons (296,101,215 bushels in corn equivalent).
By maintaining partnerships with governments and organizations around the world, the Council can continue building on its mission of developing markets, enabling trade and improving lives.
Read the original story here.
May 25, 2022
U.S. fuel ethanol production expanded by more than 2 percent the week ending May 20, according to data released by the U.S. Energy Information Administration on May 25. Ethanol stocks were down slightly.
Fuel ethanol production averaged 1.014 million barrels per day, up 23,000 barrels per day when compared to the 991,000 barrels per day of production reported for the previous week. The week ending May 20 marks the first time since the week ending April 1 that production has surpassed 1 million barrels per day. When compared to the same week of last year, production for the week ending May 20 was up 3,000 barrels per day.
Weekly ending stocks of fuel ethanol fell to 23.712 million barrels the week ending May 20, down 79,000 barrels when compared to the previous week. When compared to the same week of last year, stocks for the week ending May 20 were up 4.732 million barrels.
Read the original story here.
May 23, 2022
It’s no secret the cost of gasoline is through the roof – and with summer around the corner, prices could climb higher. As a result, the cost of groceries and other goods are also ticking up, and hardworking families are feeling the pinch.
No matter who some politicians might try to blame, finger-pointing isn’t going to solve the problem. We need results. And the Midwest is sowing a solution.
I’m lucky enough to represent more than 7,000-square miles of Northwest and Central Illinois — home to nearly 10,000 family farms and seven biofuels plants in and around our Congressional District. These plants support American jobs and drive economic growth in our rural communities as they turn corn grown right here in the Heartland into ethanol for cars and trucks.
When we blend ethanol into our gasoline, it reduces harmful emissions almost in half, brings down the price for consumers by up to 60 cents per gallon and supports American farmers.
Most Americans are more focused on the dollars and cents clicking upward on the pump than the label on it as they’re filling up. But the E10 and E15 labels can make a whole lot of difference in how much you shell out. What these labels tell us is how much ethanol has been blended into the gasoline we’re buying. For example, E15 is fuel containing 15 percent ethanol and 85 percent gasoline. And if you’re paying attention, you’ll see that fuel with higher blends of ethanol is much easier on the pocketbook.
Ethanol is home-grown and American-made.
While importing foreign oil involves costs for transportation and tariffs, biofuels like ethanol are grown and produced right here in America. So instead of supporting oil moguls in the Middle East or Russia, we’re boosting demand for corn grown by American farmers, and produced at plants that support jobs and prosperity here at home.
Ethanol blending increases America’s fuel supply.
Part of the reason gasoline prices are so high right now is because of high demand and low supply. But when we add ethanol to the gasoline we already have, it means there’s more overall fuel to go around. By bolstering the low supply of oil with the increased use of corn ethanol, we can increase our overall fuel supply and bring down prices across the board.
Ethanol is less expensive per gallon.
Not only does ethanol strengthen our fuel supply, but it also reduces the cost of each gallon of gasoline you buy at the pump. Because ethanol is less expensive per gallon than traditional gasoline, a gallon of E15 blended gas can be up to 50 to 60 cents per gallon cheaper.
With the average American purchasing 421 gallons of gas a year, this could mean savings up to $252 annually for consumers!
OK, you may be asking: "I’m ready to support American farmers, increase our nation’s fuel supply, and pay less at the pump! But can my car handle ethanol?"
The U.S. Environmental Protection Agency advises that E15 is safe to use on vehicles manufactured from 2001 through today. And because we’ve been blending ethanol into gasoline for decades, automakers have already made sure that seals, hoses and gaskets in the vehicles they make can handle higher blends of ethanol, like E15.
Would more corn used for ethanol reduce our food supply or increase prices at the grocery store?
The short answer is no. If you’ve ever driven around the Heartland, you’ll see that we have plenty of corn to go around! And the corn used for ethanol isn’t what you eat off the cob. What you may not know, is that the feed corn used for ethanol becomes nutrient-dense distillers grain after production. This is then used as the second-largest source of animal feed in the United States!
So how can our policies leverage American biofuels to reduce gas prices? Thankfully, President Biden is leading the way in supporting ethanol blending. Recently, the Administration announced it would rescind 31 oil refinery waivers that would have allowed oil companies to avoid blending ethanol into their supply. And just this month, President Biden announced an emergency rule to reverse a freeze on E15 sales this summer. Both of these actions are important moves to prevent a continued rise in gas prices for consumers.
Moving forward, I’m continuing to work with my colleagues on the bipartisan House Biofuels Caucus to secure year-round sales of E15, and pass the Home Front Energy Independence Act, which would expand the production and availability of American biofuels to help lower fuel costs for hardworking men and women across the country.
By utilizing American-made ethanol, we can help counter high gas prices and keep costs down for hardworking families across the country and work toward a cleaner and healthier future.
Democrat Cheri Bustos represents the 17th District of Illinois.
Read the original story here.
May 23, 2022
To help countries cut their greenhouse gas emissions and to meet their Paris Climate Commitments, the U.S. Grains Council and its industry partners continue to advocate for ethanol as an option for the decarbonization of the transportation sector and an important tool to aid in the reduction of greenhouse gas (GHG) emissions globally. The Council participated in the discussions, which recently lead to the United Kingdom announcement of a nationwide E10 mandate, a move that could lead to an increase in U.S. ethanol exports to the U.K.
In 2018, the U.K. made a policy proposal announcement that they were considering doubling their current 5 percent ethanol blend mandate to reduce GHG emissions. Following the announcement and with the support of ATP funding, the U.S. Grains Council actively engaged with U.K. government agencies to advise on the policy proposals and provide information on the benefits of ethanol in the fuel sector.
In September 2018, the U.S. Grains Council, Growth Energy, and the Renewable Fuels Association submitted comments to the U.K. Department for Transport to support the expanded use of ethanol to help meet its GHG emissions reductions target, as U.S. corn-based ethanol has improved significantly in carbon intensity. The Council’s comments also included information about the environmental benefits of ethanol and the cost saving benefits of ethanol.
In March 2020, the U.S. industry participated in the Introducing E10 Petrol: Consultation process that included providing public comments and participating in a series of multistakeholder meetings hosted by the U.K. Department for Transport. In February 2021, the United Kingdom announced its commitment to introduce a ten percent ethanol blend standard (E10) nationwide by September 2021. The U.K.’s movement to E10 will not only help the country to achieve its climate goals but also expand the market for both U.K. and U.S. ethanol producers. The Council believes that the E10 policy will lead to a higher blend nationwide.
The EU-27+UK has typically been one of the top 10 export destinations of U.S. ethanol. Current gasoline blends in the U.K. contain no more than 5 percent ethanol (E5). The new policy will create an opportunity for additional U.S. exports of ethanol to the U.K. of 140 million gallons. New demand is expected to be around 115 million gallons, in addition to the nearly 25 million gallons already being exported. The potential in the United Kingdom with an E10 mandate could exceed $195 million. The Council’s direct engagement using ATP funds allowed the Council to be an advisor in the regulatory development process and ensure that ethanol was properly valued in its role as a reducer of GHG emissions.
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May 18, 2022
Ethanol Producer Magazine announced this week the keynote speakers for the 2022 International Fuel Ethanol Workshop & Expo (FEW) taking place, June 13-15, 2022, in Minneapolis, Minnesota.
"This is a truly dynamic time for renewable fuels," said Tim Portz, program director for the FEW. "There's an incredible opportunity before us as the country drives towards low-carbon energy production and use—and this year's FEW will capture that excitement. We're looking forward to hearing from association leadership, along with two of the industry's top CEOs, to better understand what's being done to ensure that ethanol remains a significant contributor to our country's low-carbon, clean energy economy ambitions."
The 38th annual FEW Policy Keynote Address will be given by Emily Skor, CEO of Growth Energy. Skor is expected to discuss the industry's focus on permanently restoring year-round access to E15, among many other industry priorities.
Following Skor's address, a panel of industry association leaders will unpack the industry's top policy and regulatory achievements, challenges and objectives. This year's policy roundtable includes: Chris Bliley, Senior Vice President of Regulatory Affairs, Growth Energy; Troy Bredenkamp, Senior Vice President, Government and Public Affairs, Renewable Fuels Association; and Brian Jennings, CEO, American Coalition for Ethanol.
For the first time at the FEW, a Producer Keynote Address will be given by Todd Becker, President, CEO and Director of Green Plains Inc. Under Becker's leadership, Green Plains is transforming its fleet of ethanol plants into more diversified biorefineries. The company has embraced its role as a disruptor in what Becker sees as a renaissance of ethanol production brought on by new, high-value production derivatives—protein, oil, clean sugar, high-purity alcohol and more. Recently, Green Plains announced that ongoing product and technology innovation has led to the unprecedented production of greater than 60 percent protein concentrations at its Wood River, Nebraska, biorefinery. Becker is expected to discuss this and other exciting developments within Green Plains.
Bruce Rastetter, CEO of Summit Agricultural Group, will close out the general session with a highly anticipated update on the planned Summit Carbon Solutions pipeline, which will capture and permanently store up to 20 million tons per year of carbon dioxide from dozens of Upper Midwest ethanol plants. Earlier this month, Summit completed its equity fundraising, which resulted in more than $1 billion in total equity commitments.
"The General Session at the FEW has become one of the most important annual moments for ethanol producers, where attendees can hear about the current state of the industry, how it's changing, and where it's going," says John Nelson, vice president of operations, sales and marketing at BBI International. "Perhaps the hottest topic being discussed this year is the ethanol industry's role in lowering the carbon intensity of transportation fuels—not just ethanol itself, but fuels that can be made from it such as sustainable aviation fuel. We are thrilled to have some of the biggest names in the industry with us, in person, to talk about that, and so much more."
To view the agenda, click here.
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May 11, 2022
U.S. fuel ethanol production expanded by more than 2 percent the week ending May 6, according to data released by the U.S. Energy Information Administration on May 11. Stocks were up more than 1 percent for the week.
Fuel ethanol production averaged 991,000 barrels per day the week ending May 6, up 22,000 barrels per day when compared to the 969,000 barrels per day of production reported for the previous week. When compared to the same week of last year, production for the week ending May 6 was up 12,000 barrels per day.
Weekly stocks of fuel ethanol increased to 24.214 million barrels for the week ending May 6, up 253,000 barrels when compared to the 23.887 million barrels of stocks reported for the previous week. Whencompared to the same week of last year, stocks for the week ending May 6 were up 4.747 million barrels.
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May 12, 2022
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