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USDA chief economist office examines ethanol's complex impact

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By Susanne Retka Schill

October 29, 2015

Policy Markets 

USDA Chief Economist Johansson calls report unique in that it centers on the pivotal role that ethanol plays in the crop and feed markets. It reviews the historical development of the industry, with multiple charts showing the change from 2000-'15.

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German Bioethanol Industry Association has made update versions of the renewable energy and fuel quality directives adopted this summer by the EU and officially published last month. It includes a 7 percent cap for biofuels from energy crops.

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USDA is distributing $100 million in the Biofuels Infrastructure Program to add nearly 5,000 E85 and E15 pumps in 21 states. Matching commitments from state and private entities bring the total investment to $210 million.

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Agreeing to respectfully disagree was one of few assenting points reached by association heads representing the biodiesel, ethanol and advanced biofuel groups during a candid debate about the renewable fuel standard.

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In the wake of the Petrobras scandal, the Brazil government shifted policy, reinstating the infrastructure tax on gasoline and raising gasoline prices in late 2014. Both moves made hydrous ethanol more competitive with gasoline.

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The Renewable Fuel Association has written the Oregon Department of Environmental Quality a letter expressing displeasure with the state's proposed amendments for its Oregon Clean Fuels Program.

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A new survey shows that, once informed about the RFS, 79 percent of Republican and 90 percent of Democrat caucus-goers from Iowa think the RFS is good for the nation. America's Renewable Future and DuPont jointly released the results Oct. 21.

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RIN management company EcoEngineers has hired a RFS program manager, Anita Maher-Lewis. In her new role, Maher-Lewis oversees EcoEngineers' compliance program including RFS registration , RIN management and quality assurance programs.

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EPA posts data for renewable identification numbers through September, showing trends for cellulosic and advanced biofuels RINs generation, as well as ethanol and biodiesel.

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Government confuses me

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By Mike Bryan

October 20, 2015

The purpose of good government has gotten all tangled up in political posturing and a seemingly single focus on getting re-elected, writes Mike Bryan. This column appears in the November issue of EPM.

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Ethanol industry and supporters respond quickly to Brookings Institute panel and new ad campaign, staying on the counter-offensive as attacks on the renewable fuel standard continue.

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It is imperative for the biofuels industry to pay attention to what presidential candidates are saying about the nation's energy policy and the RFS, writes Bob Dinneen. This column appears in the November issue of EPM.

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Forty DuPont employees signed a letter sent recently to Sen. Pat Tommey, R-Penn., making it clear they oppose his efforts to modify the renewable fuel standard (RFS) in any way.

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An internal department of the U.S. EPA will research lifecycle impacts of the renewable fuel standard (RFS), to determine if the EPA complied with reporting requirements and updated the RFS lifecycle analysis information from recent biofuels studies.

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Growth Energy and the Renewable Fuels Association responded to a report that came out of the University of Tennessee Institute of Agriculture Oct. 15, which called for reforming the RFS. The report was commissioned by a group with ties to Big Oil.

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The Renewable Fuels Association announced today that the National Ethanol Conference has been selected to participate in the U.S. Department of Commerce's International Buyer Program. It is the first time the NEC has participated in the program.

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ACE members pressure EPA, White House

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By Brian Jennings

October 15, 2015

ACE members will keep working to help the EPA get the RFS on track will also continuing to work on other strategies to increase ethanol use, writes Brian Jennings. The column appears in the November issue of EPM.

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Climate change top of mind again

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By Andrea Kent

October 14, 2015

A primary driver for renewed attention in climate change is the upcoming December 2015 Paris Climate Conference, writes Andrea Kent. This column appears in the November issue of Ethanol Producer Magazine.

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The FDA is holding a day-long public meeting in Chicago regarding the new food safety regulations. It can be attended in person or via Webcast. FSMA is introducing a new level of regulations to the feed industry.

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USDA is accepting Rural Energy for American Program applications for loans and grants for renewable energy systems and energy efficiency improvements, as well as grants for energy audits and renewable energy development assistance.

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The International Energy Agency released its annual Medium-Term Renewable Energy Market Report at a Group of 20 leaders' meeting in Turkey. The report forecasts global market trends and developments for renewable energy and biofuels to 2020.

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Bad decisions by a few Volkswagen automotive engineers and managers are likely to affect ethanol plants and other industrial operations with air permits, writes James L. Pray. This column appears in the November issue of EPM.

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U.S. EPA data on RINs generation through August reveals cellulosic D3 biofuels continue to climb, advanced biofuel D5 RINs generation is up sharply and the mainstay, D6 renewable fuels (primarily ethanol) continues on pace.

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National Corn Growers and Farmers Union leaders say weakening the renewable fuel standard will harm rural America, citing USDA projections of a 50 percent decline in net farm income in 2015 compared to the 2013 high.

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Three Valero ethanol plants and a Michigan plant join the club of ethanol producers achieving greenhouse gas reductions of 20 percent or better, when compared to the baseline gasoline used in the renewable fuels standard.

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After a year and a half of record earnings, the ethanol industry stabilized in 2015, according to a CoBank ethanol industry report. Going forward, ethanol margins are expected to remain “modestly positive,� on average, for the next 12 to 18 months.

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The Senate Banking Committee has defeated an amendment that would have eliminate corn-ethanol blending targets under the RFS. The amendment introduced by Sen. Pat Toomey, R-Penn., was defeated Oct. 1 by a vote of 7-15.

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Joule, a company working toward commercial-scale production of liquid fuels from recycled CO2, announced that its fuel grade Sunflow-E ethanol has been registered by the U.S. EPA for commercial use in E10 and E15 gasoline blends.

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The ethanol industry has a new advocate in Americans for Energy Security and Innovation. The organization will target its efforts on expanding support of the RFS and is made up of U.S. biofuel producers and investors.

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The California Air Resources Board has re-adopted a Low Carbon Fuel Standard requiring a 10 percent reduction in the carbon intensity of transportation fuels by 2020.

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