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. 

Southwest Airlines Media

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.

U.S. Grains Council

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. 

Fox Business

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.

So why is it that higher ethanol blends can bring down gas prices?

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.