In the News
Aug 27, 2014
By Donnelle Eller
DES MOINES, Iowa — EPA delays in setting the Renewable Fuel Standard are contributing to weaker corn prices for farmers and costing manufacturing jobs, Iowa Gov. Terry Branstad said Wednesday.
"Farmers aren't buying equipment and John Deere is laying people off. What EPA has done is not only damage farm income but cost us jobs in farm machinery and manufacturing," Branstad told reporters at the Farm Progress Show near Boone.
In November, the Environmental Protection Agency proposed reducing ethanol produced from corn in 2014 to 13.01 billion gallons from 14.4 billion gallons initially required by Congress. The 2007 Renewable Fuel Standard requires refiners to buy alternative fuels made from corn, soybeans and other products to reduce the country's dependence on foreign energy.
"I feel like they're playing politics instead of doing what's right for America, and doing what's right for reducing our dependency on foreign oil, and improving farm income and creating jobs," he said.
Branstad said the increase in food prices was one of the biggest arguments against the increase in the ethanol mandate.
"They put out this garbage, when the price of corn was $7-$8, that it drove up the price of food. Well, have you seen the price of food go down?" he said. "The price of corn is down to $3.50 a bushel, and the price of food hasn't gone down at all."
Bill Northey, Iowa's secretary of agriculture, said he's hopeful that the EPA won't cut quite as much in the Renewable Fuel Standard as it initially proposed last winter.
"I hear it will be better than what EPA initially announced, but it's not going to be as good under the original RFS," Northey told reporters at the show.
Iowa should be expanding its ethanol production, given low prices for corn, but instead companies are hesitant to invest, Northey said.
"It's taken away that optimism that was there," especially for expansion of the next generation of ethanol, such as cellulosic ethanol. It uses corn stover instead of corn to make the alternative fuel.
"Without a green light from EPA, I don't think we'll see that investment in technology and improved efficiencies," he said.
Read the original story here : Iowa Governor Blasts EPA On Ethanol Mandate
Aug 26, 2014
St Paul - CHS, a leading energy, grains and foods company and the nation's leading farmer-owned cooperative, has announced a new program to better enable some of the 1,400 Cenex branded locations to meet consumer demand for an E15 ethanol blend.
"We are excited to offer a new Cenex Tank Program, which further demonstrates CHS leadership in renewable fuels and helps keep the Cenex brand at the forefront in meeting consumer demand for ethanol blends," says Doug Dorfman, CHS vice president – refined fuels.
For Cenex retailers wanting to offer E15 in addition to their current gasoline products, the Cenex Tank Program will cover a significant portion of the cost to purchase and install an additional storage tank for the purpose of offering E15.
The Cenex network was among the first in the country to offer mid-level ethanol blends under its brand and has achieved significant increases in ethanol sales over the last five years, according to Dorfman.
"We value our partnership with Cenex retailers and will continue to assist them in their efforts to meet consumer demand for ethanol blends," says Dorfman. "Supporting ethanol demand also adds value to CHS member owners and farmers."
As the nation's leading farmer-owned cooperative, CHS is involved in renewable fuels from the farm to the end-user. A long-time, global marketer of ethanol and distillers dried grains with solubles (DDGS), CHS also produces ethanol at a recently acquired plant in Rochelle, Ill.
Read the original press release here : Cenex Tank Program Assists Retailers Offering E15
Aug 22, 2014
By Sussane Retka Schill
The U.S. EPA has finalized its 2014 renewable volume obligation (RVO) rule for the renewable fuels standard (RFS) and submitted it to the Office of Management and Budget (OMB) for review on Friday, Aug. 22.
The publication of the proposed rule on Nov. 15 precipitated widespread concern in the ethanol industry and a large number of responses during the comment period. .
Industry leaders are optimistic the proposed will be modified
“While we have not seen the rule, we hold strong in our belief that EPA and OMB will fulfill President Obama’s commitment to biofuels as a means of greater energy independence, lower greenhouse gas emissions, and wider availability of cost-saving alternative fuels for American consumers,” Bob Dinneen, president and CEO of the Renewable Fuels Association, said in a statement. “This decision is about more than targets and gallons, it is about a rationale that places highest importance on the long term strength of this country and not the bottom line of oil companies.”
“While OMB has up to 90 days to review this rule, what is most important is the content of the final rule,” said Tom Buis, CEO of Growth Energy. “The renewable fuels industry has provided extensive comments highlighting how the proposed reduction in the 2014 RVO’s would be detrimental to the biofuels industry, the American consumer and our environment. I hope that after reviewing these thorough comments, they will finalize a rule that moves our nation forward on the adoption of renewable fuels, not backwards.
“Ultimately, this final rule should promote the policy goals of the RFS and call for an increase in the production of renewable fuels, so we can continue to reduce our dependence on foreign oil, create jobs at home that cannot be outsourced and mitigate climate change, while we improve our environment. Furthermore, it is critical we have the support of the Administration to end the monopoly oil companies have on the liquid fuels marketplace and finally provide consumers with a choice and savings at the pump.”
From the American Coalition for Ethanol, Brian Jennings, executive vice president, provided this statement: “ACE members are pleased the 2014 RVO is now at OMB for interagency review and we continue to encourage the administration to finalize a rule that allows the RFS to work by incentivizing oil companies to blend above the E10 limit. Anything short of that turns the keys to the RFS over to the oil companies and puts cellulosic biofuel at risk. While all stakeholders have waited a long time for the final rule, and it could take another 30 days or more for interagency review, getting the rule done right is far more important than getting it done quickly.”
Read the original story here : EPA's Final 2014 RVO Delivered To The OMB; Industry Reacts
Aug 22, 2014
By Jane Whitmore
U.S. Senator Charles Grassley was given a tour of POET/DSM Project LIBERTY last week.
"I won't be able to come to the Grand Opening, so they invited me here to see it," said Sen. Grassley. "When I go to a business place to tour, I always talk to the employees."
The Senator spent half of his time at POET talking to the employees and answering questions. They talked mostly about ethanol.
"We talked about the possibility about retaining the RFS (Renewable Fuel Standard)," said Grassley. "It's in EPA, where it's been since last November. They could have issued a rule around Feb. 1. We think we've made some impact, I can't prove that, but by the delay and the delay and the delay now I think it's going to be delayed until after the election."
Grassley said he did not know if the RFS would be the original 13 billion gallons or, if they don't do anything, it would go to 14.4 billion gallons.
"That's what they're supposed to use this year (14.4 billion gallons), or somewhere in between," he said. "We don't know even when we talk to the director. We've even talked to people at the White House."
The last person employee to speak said that he was born in Emmetsburg and glad to live here.
"He said, 'just look at the good jobs we've been creating.' I said, you just said one-fifth of what I generally end a speech with on ethanol:
"It's good for the jobs in rural America that you never thought you'd have.
"It's good for agricultural income.
"It's good for the environment.
"It's good for national security, because energy is very essential to protect our country and help the military.
"It's good for balance of trade because you keep exporting.
"So I always end my speech: Everything about ethanol is good, good, good. There's no negatives about it."
One Of A Kind
Sen. Grassley pointed out, "When they keep using the phrase 'one of a kind' 'the biggest' or 'the second biggest' it's pretty impressive, coming from rural America.
"The foresight of people, not only for ethanol from grain, moving to cellulosic it's phenomenal very, very impressive. Just the capitalization of it, the ability to get that done to even do all this building is pretty impressive, and then the scientific work that goes into the process."
Grassley encourages people to go back to the 1970s. "Who would ever thought you and I would never think that we were going to be able to run our cars off of stuff made from corn. Here we are, doing it big time.
"You would have been laughed at if you'd have said we're going to make it from corn stalk, and leaves and stover and all that stuff.
"It's just kind of unbelievable. Seeing is believing" he said.
On a personal note, Grassley related, "In 1984 I bought a 1964 Oldsmobile and I had it for about 20 years and I always burned the 10-percent (ethanol) in it. Somebody was telling me that a car made in the 1980s, ethanol was ruining it. Don't tell me that stuff, I burn it in a 1964 Oldsmobile."
A Look At Ethanol
"Our biggest problem in Washington is ignorance about ethanol," said Grassley. "It's difficult to fight ignorance. One of the best examples about ethanol is the number of people that pronounce it 'eethanol'."
Continuing on that thought, Grassley added, "There's a great deal of ignorance. A few years ago, the biggest uproar about ethanol was, we've got $7 corn because of a drought, you shouldn't be using corn for ethanol, we've got to use it for feed. We were planting 93 million acres of corn. Why are we planting 93 million acres instead of 85 million acres? Because of ethanol. If we didn't have ethanol, we'd be planting 85 million acres of corn and if we had a drought we'd still have $7 corn. I probably made people mad if I tried to tell people that, but sometimes you have to explain that to farmers, livestock farmers. That's part of the problem we have defending ethanol."
Read the original story here : Everything About Ethanol Is Good-Good-Good
Aug 22, 2014
By Timothy Cama
A regulation setting the required volumes of ethanol and biodiesel that fuel refiners must use was sent to the White House Office of Management and Budget for review Friday, the final step before the rule mandate can be unveiled.
The Environmental Protection Agency proposed last year to reduce the volume of ethanol refiners must blend into gasoline for 2014, while keeping the mandate for biodiesel in diesel the same as the previous year.
In announcing the White House review, the EPA did not say whether it changed the volumes from last year’s proposal but said it supports the program and wants to increase renewable volumes.
“EPA supports the energy independence and security goals that congress envisioned when establishing the RFS program,” a spokeswoman said. “The agency’s overarching goal is to put the RFS program on a path that supports continued growth in renewable fuels over time.”
The EPA said it received more than 340,000 comments on the proposal, and it will issue the final rule after the White House and other federal agencies weigh in.
Under the law that established the RFS, the EPA is supposed to finalize each year’s volumes in November of the prior year. This year has been the longest delay in the program’s history.
The White House is allowed to take up to 90 days for its review, but can easily extend the timeline if necessary.
Aug 18, 2014
By USDA Agricultural Research Services
The release of a new type of switchgrass specifically designed for bioenergy generation has been announced by USDA researchers and their partners. Agricultural Research Service scientists have spent decades working on different projects that contributed to the development of the cultivar "Liberty," which can yield 8 tons of biomass per acre.
ARS is USDA's chief intramural scientific research agency, and this research contributes to the USDA priority of developing new bioenergy sources.
The release of the new cultivar is a significant milestone for ARS. It's also a key accomplishment for CenUSA Bioenergy, a project funded by USDA's National Institute of Food and Agriculture, which is tasked with developing perennial bioenergy production systems in the Midwest. An announcement about Liberty was published in the Journal of Plant Registrations in June.
ARS researchers who contributed to Liberty's development include retired geneticist Ken Vogel, agronomist Rob Mitchell, molecular biologist Gautam Sarath, and geneticist Michael Casler. Mitchell and Sarath work at the ARS Grain, Forage and Bioenergy Research Unit in Lincoln, Nebraska, and Casler works at the U.S. Dairy Forage Research Center in Madison, Wisconsin.
Liberty contains traits from southern lowland switchgrass types that result in high yields, as well as traits from northern upland switchgrass types that support winter hardiness. In a 16-year breeding study, the new cultivar increased biomass production by as much as 43 percent compared to the parent lines.
Another plus with the new cultivar is that gains in yield were achieved without an increase in nitrogen fertilizer use, which helped lower expected production costs on the farm by approximately $20 to $30 per ton. With the increased yields, each acre of switchgrass could potentially be used to produce 75 to 160 more gallons of ethanol.
The development of Liberty followed several ARS investigations into the evolutionary patterns of switchgrass, which is a native North American perennial with a highly complex genome. This work has resulted in the identification of eight regional gene pools with traits that could be useful in developing switchgrass varieties for different production environments.
Results from these studies have been published in Genetica and Crop Science.
Read more about this work in the August 2014 issue of Agricultural Research magazine.
Read the original story here : USDA : New Switchgrass Variety Promises More Biofuel At Lower Cost
Aug 14, 2014
By Geoff Cooper
Believe it or not, there are still some clueless critics out there who have the audacity to claim corn ethanol is “not economical.” Perhaps they haven’t noticed that wholesale ethanol prices have been an average of $0.71 per gallon lower than wholesale gasoline prices so far this year. Maybe they overlooked the fact that ethanol has been priced at 75–80% the price of gasoline for much of the past three years. It’s possible, I suppose, that they haven’t noticed the $1 per gallon spread between ethanol and RBOB gasoline futures prices in April–August 2015.
And maybe they didn’t notice that for the first time in nearly eight years, a bushel of corn—the primary input in the ethanol process—costs less than a gallon of gasoline. That’s right—the price of a 56-pound bushel of corn averaged just $3.57 in July, while the national average price for a gallon of regular gasoline hit $3.61.
Let’s think about what that means from an economic standpoint.
- From one bushel of corn we get at least 2.8 gallons of fuel ethanol. For you BTU counters out there, that means $3.57 worth of corn gives you nearly twice as much usable energy (in the form of ethanol) as you get from $3.61 worth of gasoline. Of course, ethanol’s high octane and oxygen content mean its value goes far beyond its BTU content.
- In addition to the ethanol, we get about 16.5 pounds of high-protein livestock feed from one bushel of corn. This amount of feed—called distillers grains—is enough to produce 10 quarter-pound hamburgers, or roughly 8 pounds of chicken.
- But that’s not all! Most ethanol biorefineries are also extracting about 0.6 pounds of distillers corn oil from every bushel of corn processed. This vegetable oil is used as another animal feed ingredient, or as a feedstock for biodiesel or renewable diesel.
- Many ethanol plants also capture and sell high purity carbon dioxide. This CO2 is used for carbonating beverages, flash freezing grocery items, and a number of industrial purposes. Each bushel of corn processed by an ethanol plant results in about 16 pounds of CO2 - enough to carbonate nearly 4,300 cans of soda!
Talk about bang for your buck! Any way you slice it, converting corn to ethanol and distillers grains is a tremendously efficient and economical use of America’s most versatile crop. We did a similar economic comparison last fall when crude oil was $100 per barrel and corn was about $4.65 per bushel. Since that time, ethanol’s competiveness with gasoline has improved even further.
It’s no wonder that ethanol has been able to claim the title as the lowest cost motor fuel and octane source in the world over the past several years.
Read the original story here : What Can You Get For $3.60?
Believe it or not, there are still some clueless critics out there who have the audacity to claim corn ethanol is “not economical.” Perhaps they haven’t noticed that wholesale ethanol prices have been an average of $0.71 per gallon lower than wholesale gasoline prices so far this year. Maybe they overlooked the fact that ethanol has been priced at 75–80% the price of gasoline for much of the past three years. It’s possible, I suppose, that they haven’t noticed the $1 per gallon spread between ethanol and RBOB gasoline futures prices in April–August 2015.
And maybe they didn’t notice that for the first time in nearly eight years, a bushel of corn—the primary input in the ethanol process—costs less than a gallon of gasoline. That’s right—the price of a 56-pound bushel of corn averaged just $3.57 in July, while the national average price for a gallon of regular gasoline hit $3.61.
Let’s think about what that means from an economic standpoint.
- From one bushel of corn we get at least 2.8 gallons of fuel ethanol. For you BTU counters out there, that means $3.57 worth of corn gives you nearly twice as much usable energy (in the form of ethanol) as you get from $3.61 worth of gasoline. Of course, ethanol’s high octane and oxygen content mean its value goes far beyond its BTU content.
- In addition to the ethanol, we get about 16.5 pounds of high-protein livestock feed from one bushel of corn. This amount of feed—called distillers grains—is enough to produce 10 quarter-pound hamburgers, or roughly 8 pounds of chicken.
- But that’s not all! Most ethanol biorefineries are also extracting about 0.6 pounds of distillers corn oil from every bushel of corn processed. This vegetable oil is used as another animal feed ingredient, or as a feedstock for biodiesel or renewable diesel.
- Many ethanol plants also capture and sell high purity carbon dioxide. This CO2 is used for carbonating beverages, flash freezing frozen grocery items, and a number of industrial purposes. Each bushel of corn processed by an ethanol plant results in about 16 pounds of CO2—enough to carbonate nearly 4,300 cans of soda!
Talk about bang for your buck! Any way you slice it, converting corn to ethanol and distillers grains is a tremendously efficient and economical use of America’s most versatile crop. We did a similar economic comparison last fall when crude oil was $100 per barrel and corn was about $4.65 per bushel. Since that time, ethanol’s competiveness with gasoline has improved even further.
It’s no wonder that ethanol has been able to claim the title as the lowest cost motor fuel and octane source in the world over the past several years.
- See more at: http://www.ethanolrfa.org/exchange/entry/what-can-you-get-for-3.60/#sthash.xfmbITlb.dpufMore...
Aug 14, 2014
By North Dakota Farmers Union
Ethanol production in North Dakota generates significant income for retail agricultural service and supply dealers, roughly $700 million a year, according to a study recently released by the Center for Agricultural Policy and Trade Studies at North Dakota State University.
The study, commissioned by North Dakota Farmers Union (NDFU), directly links 10 percent of all agricultural retail sales to ethanol production.
“Growing corn for ethanol production is not only an important value-added market for farmers, it is a lucrative product for fuel suppliers to retail,” said NDFU President Mark Watne. “Thirteen cents of every sales dollar last year was directly related to ethanol production.”
The study outlined four immediate impacts of ethanol production: increased commodity prices, increased net farm income, increased agricultural inputs, and increased land prices.
According to the study, ethanol production in the U.S. was about 1.6 billion gallons in 2000. A decade later, America produced 12.7 billion gallons of ethanol, consuming nearly 37 percent of the U.S. corn crop. That increased demand raised corn prices from $2 per bushel on average in 2005 to almost $7 in 2012.
“Corn sets the price for all other commodities,” noted Watne. “It’s to our advantage to grow, sell and buy this home-grown renewable fuel.”
To view the study in full, go to AG STUDY
Read the original story here : Study Shows Ethanol Impact On Retail Ag Service Sales
Aug 12, 2014
By Cindy Zimmerman
Concluding the sixth year of sponsorship at the Sturgis Motorcycle Rally and the Buffalo Chip Campground, Robert White with the Renewable Fuels Association (RFA) believes they are making some real headway in getting the true story about ethanol to motorcycle riders.
“The education to the riders is actually taking on a new life,” said White. “We’re seeing riders talking to riders.”
In this edition of the Ethanol Report, White talks about a rider who pulled up for the Free Fuel Happy Hours who said he defended ethanol to his friends at the rally who told him it was a bad for his motorcycle. “He said ‘I kinda came unglued on them’,” he related. The biker told him that he had been talked in to using it at the rally the year before, and he’s “been using it this entire last year without any issue.”
In another case, White said a guy with a brand new Harley said he had been told by the dealer not to use ethanol and he wanted to get a response to that. “And I said why would you believe me?” White said. “I didn’t engineer your motorcycle, I didn’t put the parts together, I’m not providing a warranty for that motorcycle.” The man agreed, noting that neither did the dealership, but his owners manual from Harley in fact said he could use 10% ethanol. “Harley’s been doing this a long time, as have (other motorcycle manufacturers) they know what fuel is going to be most prominent, least expensive, highest octane option for these motorcycles, and it’s going to be ethanol.”
White says they are looking forward to next year, which will be the 75th annual Sturgis Motorcycle Rally, where RFA will having an even bigger presence with an even bigger crowd.
Read the original story here : RFA Making Inroads In Motorcycle Education
Aug 12, 2014
By Ken Anderson
As the 2014 Renewable Fuels Standard (RFS) rule continues to work its way through the interagency review process in Washington, there are now indications that it may not be made public until after the November elections.
During his weekly conference call with ag reporters, Iowa Senator Chuck Grassley was asked what he’s hearing about the RFS.
“I haven’t heard anything definitive on RFS that’s anything official,” Grassley says. “My gut feeling—and I think the gut feeling of many other people—is that it’s not going to come out until after the election.”
Speaking at the recent American Coalition for Ethanol conference in Minneapolis, Paul Machiele, director for fuel programs in EPA’s Assessment and Standards Division, said he couldn’t predict how long the review process will take.
“That review period can take anywhere from 30 to 90 days—sometimes 60 days. I don’t know what they’re going to do with this one,” said Machiele.
Grassley hopes the continued delays portend a more positive outcome for the biofuels industry.
“The only good news that I can see in that is that from where they started last November, until now, maybe the delay of their making a decision would indicate that there might not be as an erratic change in policy as what they originally proposed,” Grassley says.
The EPA’s original proposal cut the corn ethanol fuel requirement from a statutory level of 14.4 billion gallons to just over 13 billion gallons. Biofuels supporters lobbied the agency to reverse that decision and move the number closer to the 14.4 billion gallon figure.
Read the original story here : RFS Announcement May Not Come Until After November Elections
Aug 11, 2014
By Susanne Retka Schill
Corn use for ethanol production is likely to hit 5.1 billion bushels for the current marketing year, based on current estimates of 14.1 billion gallons of ethanol production. University of Illinois ag economist Darrel Good focused on ethanol prospects in his Aug. 11 analysis, the day before the USDA’s August supply/demand report.
“Ethanol use of corn has increased during the 2013-14 marketing year following a sharp decline during the 2012-13 marketing year,” he writes. “The increase has been fueled by a combination of increased domestic consumption of ethanol, increasing exports and declining ethanol imports, and some rebuilding of ethanol stocks. Based on U.S. Energy Information Administration monthly estimates of ethanol production from September 2013 through May 2014 and weekly estimates for June and July 2014, it appears that domestic ethanol production will reach about 14.1 billion gallons during the 2013-14 corn marketing year that ends on August 31. That compares to about 12.8 billion gallons during the 2012-13 corn marketing year and 13.8 billion gallons during the 2011-12 corn marketing year. Ethanol production of 14.1 billion gallons points to corn consumption of about 5.1 billion bushels during the current marketing year.”
A positive trade balance and a modest increase in domestic motor fuel consumption should support ethanol production during the upcoming marketing year, Good writes. “A positive trade balance should be supported by relatively low ethanol prices and relatively high gasoline prices as well as favorably priced U.S. ethanol relative to Brazilian ethanol.”
As for the U.S. EPA’s final rulemaking for the renewable fuels standards, he says, it “is not expected to have much impact on domestic ethanol consumption during the year ahead. The primary impact from the expected reversal of the preliminary write down of the renewable mandate for 2014 would be to incentivize a small increase in consumption of E15 and E85. Domestic ethanol production during the year ahead should be maintained at or slightly above the level of the current marketing year, pointing to corn consumption of 5.15 to 5.2 billion bushels.”
For the complete analysis of other demand sectors, see the complete report “Prospects for Corn Consumption."
Read the original story here : Corn Use For Ethanol Consumption Likely To Top 5 Billion Bushels This Year
Aug 6, 2014
By Beatrice Pupo
US ethanol exports in the first six months of 2014 soared 56% year on year to 1.6 billion liters (416 million gallons), according to US Census Bureau data released Wednesday.
The data includes all ethanol types except for beverage use.
The data shows US ethanol exports totaled 227 million liters in June, up 13% compared with May's total, and 76% above the 129 million liters exported in June 2013.
The majority of the US ethanol exports in June -- 151 million liters -- were classified as denatured ethanol for fuel use, with most, some 125.5 million liters, sent to Canada. The second most popular destination was the United Arab Emirates with 19 million liters.
Exports to the UAE have surged 35% year on year in the first half of 2014 to 137 million liters. Traders expect exports to the UAE to remain strong, and see it as a growing outlet for US ethanol in 2014 and 2015.
US exports of denatured ethanol for fuel use totaled 110 million liters in June 2013.
A vessel carrying 20 million liters was recently reported to have been fixed to leave the US Gulf Coast in mid-August headed for Fujairah, according to information from shipping brokers.
US exports of undenatured ethanol for fuel use jumped from 15.2 million liters in June 2013 to 71.3 million liters in June, with Europe ranking as the top destination at 19.8 million liters -- Spain taking 16.3 million liters and the Netherlands 3.5 million liters.
The volumes taken by Spain are expected to be designated for blending for re-export into North Africa, sources said.
US ethanol exports are expected to remain strong throughout 2014 amid softer US ethanol prices due to tumbling feedstock prices.
Despite a recent drop in production margins, levels remain well above 2013 marks and should support plants continuing to boost output rates.
Estimates from Kingsman, a unit of Platts, show US fuel ethanol exports growing more than 20% compared with 2013, to a total of almost 3 billion liters, in 2014.
Read the original story here : US H1 2014 Ethanol Exports Soar 56% : Census Bureau
Aug 5, 2014
By Katie Fletcher
More than 200 attendees made the trip to the 2014 American Coalition of Ethanol conference in Minneapolis, Minnesota. ACE was founded in 1987 as a grassroots-driven organization, and its members and others in the industry demonstrate their passion by attending the conference year after year, some even attending all 27.
Minnesota Gov. Mark Dayton, was amongst those gathered this year at the welcome reception, giving opening remarks to set the tone for the conference. Dayton mentioned amongst his wishes for the future of the industry to see flex fuel engines from every vehicle manufacturer, so consumers have the option of filling their tanks with E10 or E85 at the pump. “It just makes so much sense,” Dayton said. He also mentioned his wishes for the use of E20, highlighting work done at universities in Minnesota proving its viability.
Ethanol, Dayton told the audience, provides consumer’s lower fuel prices and a cleaner environment. He thanked the crowd for their persistence and perseverance in its longevity. “We have overwhelming bipartisan support for ethanol initiatives in the Minnesota legislature, because we know it’s good for Minnesota and we know it’s good for our country,” Dayton said.
The welcome reception also featured poster presentations from University of Minnesota professors and graduate students for viewing and the opportunity to discuss the scientific research being done in the state to aid in the future of ethanol.
ACE has launched a new campaign with the slogan “Power by People,” emphasizing that it takes a group of people to come together and be part of the movement to shape the future of ethanol. The slogan is reflected in the diverse group of people lined up to speak during the conference—board members, managers, business advisors, engineers, accountants, CEOs, professors, scientists, farmers, producers, brokers and the list goes on. Topics include EPA updates, innovation in the industry, sustainability plans, risk management, enhancing yeast fermentation and FDA’s Food Safety Modernization Act, amongst other topics.
Read the original story here : ACE Conference Kicks Off With Welcome From Gov. Dayton
Aug 4, 2014
By Erin Voegele
The U.S. EPA has released renewable identification number (RIN) data for June, reporting that more than 1.46 billion RINs were generated during the month across all biofuel categories.
For the second consecutive month of 2014, no cellulosic RINs were generated. Overall, 72,754 D3 cellulosic biofuel RINs have been generated so far this year, with 28,586 D3 RINs generated for cellulosic ethanol and 44,168 generated for renewable gasoline. All D3 RINs generated this year were generated by domestic producers.
A total of 11,213 D7 cellulosic diesel RINs have been generated this year, with 8,859 generated for cellulosic diesel and 2,563 generated for cellulosic heating oil. According to the EPA, 8,859 D7 RINs were generated by domestic producers, while 2,563 were generated by importers.
Nearly 17.86 million D5 advanced biofuel RINs were generated in June, bringing the total for the first half of the year to 94.92 million. Most, 65.48 million, have been generated for ethanol, with 14.48 million generated for biogas and 8.32 million generated for naptha. An additional 6.72 million D5 RINs were generated for non-ester renewable diesel. More than 42.51 million D5 RINs were generated domestically, with 52.75 generated by importers.
Nearly 1.21 billion D6 renewable fuel RINs were generated in June, bringing the total for the first six months of the year to more than 7.02 billion. The vast majority, 6.88 billion D5 RINs, were generated for ethanol, with 6.05 million generated for biodiesel. An additional 140.3 million D6 RINs were generated for non-ester renewable diesel. More than 6.88 billion D6 RINs were generated domestically, with 4.58 million generated by importers and 140.3 million generated by foreign entities.
Approximately 237.49 million D4 biomass-based diesel RINs were generated in June, bringing the total for the first half of the year to nearly 1.21 billion. More than 867.52 million D4 RINs were generated for biodiesel, with 342.11 million generated for renewable diesel. More than 949.01 D4 RINs were generated by domestic producers with 62.05 million and 198.57 million generated by importers and foreign entities, respectively.
According to the EPA, approximately 8.33 billion RINs have been generated so far this year, with 206.81 million of those RINs retired. An estimated 334.81 million 2014 RINs are locked and available, with 7.79 million unlocked and available.
Additional RIN data is available on the EPA website.
Read the original story here : EPA Releases June RIN Data
July 31, 2014
By Ayesha Rascoe
The U.S. biofuel industry is urging the Obama administration to go beyond simply raising proposed targets for use of the fuels, making the case instead for fundamental changes to the government's approach to the renewable fuel program.
There has been a flurry of meetings between biofuel backers and White House officials in advance of the release of the long-delayed targets for the use of renewable fuels this year, which are expected to reach the Office of Management and Budget for review within weeks.
The Renewable Fuel Standard requires increasing amounts of biofuels to be blended into gasoline and diesel supplies each year through 2022.
The targets for this year have been plagued by repeated delays amid outcry from biofuel producers, such as Abengoa Bioenergy, Green Plains Inc and Pacific Ethanol Inc, who say a draft plan slashing the 2014 standards could significantly harm the industry.
Biofuel industry sources said in May the Environmental Protection Agency would likely raise proposed levels.
Based on rising gasoline demand, the corn ethanol portion of the mandate is widely expected to be increased to about 13.6 billion gallons (49 billion liters) from 13 billion announced in November.
But the key message biofuel groups have delivered to the administration has been that their industry's future viability hinges on more than just tweaking volume requirements for the current year.
Meeting with senior White House adviser John Podesta last week, the Advanced Biofuels Association pressed the White House to speed up approvals of new fuels that can qualify as advanced and cellulosic fuels, known as pathways.
"We really tried to focus on how important it was to get pathways approved in a more expeditious way so we can actually bring more gallons to market," ABFA President Michael McAdams told Reuters. Seven top executives of companies waiting on approvals also attended the meeting.
More than 35 applications for new biofuel sources are pending at the EPA, with an average wait time of two years. The delays keep fuels off the market because would-be buyers cannot get credit under the biofuel mandate to purchase them.
BETTER CORN ETHANOL EMISSIONS?
While advanced biofuel producers seek the inclusion of new fuels, some corn growers have lobbied to protect the grain's position in the renewable fuel program.
Earlier this month, Congressman Bill Foster, Democrat of Illinois, and a group of lawmakers and scientists from the state met with White House officials including top energy and climate adviser Dan Utech.
They argued the White House should reconsider its estimates of the lifecycle greenhouse gas emissions for corn ethanol as it weighs both the final targets for 2014 and the fuel's role in the administration's broader climate policy.
Corn-based ethanol is currently classified as a "conventional biofuel" that delivers only a 20-percent emissions improvement over gasoline. Some environmental groups have blasted the fuel as not much better than fossil fuels and critics have proposed stripping corn ethanol out of the mandate.
As the Obama administration focuses on its climate legacy, changing the EPA's findings on potential emission reductions from corn ethanol could shore up support in the administration and help fend off future attacks on the fuel.
"The carbon footprint and economics of corn-based ethanol are vastly improved from a decade ago," Foster said, noting less-energy intensive farming practices and more complete use of corn by-products.
The White House asked the scientists for additional information about their research on corn ethanol emissions, said David Beaudreau, a consultant representing the Illinois Corn Growers Association.
"They were intrigued and wanted to know more," Beaudreau told Reuters.
BLOCKING BLEND WALL ARGUMENT
For the Renewable Fuels Association, it is not the final levels for this year so much as the justification behind them that is most concerning.
The group has urged the EPA to not use the shortage of gasoline stations currently able to sell fuel with higher levels of ethanol as a reason to cut biofuel targets, arguing that it would set a precedent that could permanently limit the program's targets.
The EPA has justified lowering the 2014 target as necessary because U.S. fuel markets cannot absorb the amounts of ethanol called for by federal law, a problem known as the "blend wall."
That argument would embolden oil companies to prevent growth in biofuel use simply by not investing in new fuel pumps, said RFA president Bob Dinneen.
"We are going to sell a heck of a lot of ethanol this year no matter what," he said. "If EPA guts the program by turning it over to Exxon Mobil, you will never see that again."
Read the original story here : Biofuel Groups Press White House On More Than Just 2014 Targets