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BPC report highlights 40 RFS policy options

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By Erin Krueger

December 18, 2014

Policy Business Operations Markets 

Growth Energy has responded to a report released by the Bipartisan Policy Center that describes several options for reforming the renewable fuel standard (RFS), noting it pushes some of same tired talking points Big Oil has relied on for years.

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The U.S. Grains Council recently led a delegation of industry leaders representing the USDA, Renewable Fuels Association, and Growth Energy to the Philippines to assess factors contributing to the large exports of U.S. ethanol to Southeast Asia.

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The government of Finland announced Dec.17 that it granted $36.8 million to help build a cellulosic ethanol plant. A separate project to produce biogasoline, biodiesel and smaller amounts of other renewable products was also granted funding.

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Nearly three years after construction was completed at a corn-ethanol plant in Dunafoldvar, Hungary, Pannonia Ethanol has signed a loan deal so it can expand its production capacity.

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Ottawa-based Iogen Corp. announced its first commercial-scale cellulosic ethanol plant is producing ethanol in Brazil. The first 200,000 liters (53,000 gallons) has been distributed by Brazilian ethanol producer Raizen to its network of gas stations.

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The U.K. Department for Transport has announced plans to award GBP 25 million ($39.37 million) to support the development of up to three advanced biofuel demonstration plants through a two-phase competition.

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In the last few weeks, the topic of flex-fuel vehicles and E85 prices has resonated with readers of my blog.

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Turkey is effectively no longer accepting imports of U.S. corn coproducts following the stepped-up enforcement of existing biosafety laws that restrict which genetically modified (GM) corn varieties may enter the country's grain supply.

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With oil prices dropping dramatically, the possible impact on ethanol profitability was examined by University of Illinois ag economists Scott Irwin and Darrel Good in a recent FarmDocDaily post.

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The fate of an ordinance that would require gas stations in Chicago to carry E15 is still unknown. Passed by the city council's finance committee on Monday, a vote by the full council was deferred Dec. 10 for at least a month.

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Supply and demand numbers for U.S. feed grains were mostly unchanged in the Dec. 10 World Agriculture Supply and Demand Estimates report, with a small increase in projected corn food, seed and industrial use reducing ending stocks slightly.

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The U.S. Energy Information Administration has released the December issue of its Short-Term Energy Outlook, reporting new records for average weekly and monthly ethanol production. The EIA also increased its 2015 production forecast.

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Leaders of Sustainable Biofuels, an industry coalition to promote advanced biofuels, met on Dec. 4 at the European Parliament. LSB, chaired by UPM's Marko Janhunen, is advocating for a strong EU-wide subtarget for advanced biofuels.

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On Dec. 8, the Chicago City Council Committee on Finance passed an ordinance that would require filling stations within the city to supply E15. The measure now moves to the full city council for a hearing on Dec. 10.

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University of Illinois economists Scott Irwin and Darrel Good recently addressed the potential impact of falling gas prices on ethanol and corn demand in a Dec. 4 FarmDocDaily post, theorizing that the risk of adverse impacts has been over-stated.

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Big Oil isn't above stooping to dirty tricks to mislead consumers into thinking E85 isn't a good fuel to buy, including by trying to price the fuel right out of the market.

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The European ethanol industry faces policy uncertainty with the expiration of the current biofuels policy in 2020, writes Robert Wright, the new secretary general of ePURE.

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RFA calls on CARB to adjust ILUC analysis

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By Renewable Fuels Association

December 08, 2014

The Renewable Fuels Association has submitted written comments to the California Air Resource Board encouraging it to adjust its current indirect land use change (ILUC) analysis to better reflect real-world land use patterns.

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A new report prepared by economic research firm The Brattle Group showed that the proposed Department of Transportation rule on rail tank cars could cost the economy as much as $60 billion. The ethanol industry is expected to be impacted.

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Offering the first E15 in Florida, Sarasota's Easy Stop Citgo and a Ft. Myers Marathon both held kickoff events with substantial discounts on E15 and E85 fuel on Dec. 3. The stations partnered with Mid-State Energy and Protec Fuel to launch E15.

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A report recently filed with the USDA Foreign Agricultural Service's Global Agricultural Information Network highlights the impact of the Columbia Trade Promotion Agreement on U.S. ethanol exports. The agreement went into force in May 2012.

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As FFV customers, it's worth our time letting rental car agencies know that FFVs matter to us. While you are at it, fill up with E85 and educate the workers at the rental car agency.

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The U.S. Grains Council has partnered with USDA's Foreign Agricultural Service, Growth Energy and the Renewable Fuels Association to assess how best to promote ethanol exports as part of overseas market development efforts.

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The California Energy Commission is accepting public comments on its Draft 2014 Integrated Energy Policy Report Update through Dec. 8. The report outlines the commission's assessments of a variety of energy issues currently impacting the state.

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Volatility returns to natural gas market

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By Ben Straus, U.S. Energy

November 26, 2014

Commodities report: With the weak El Nino predicted to hold sway through February, lower-than-normal storage inventories and the stark memory of last winter, volatility in the natural gas market is likely to continue through the end of the year.

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UNICA, the Brazilian sugarcane industry association, has released an updated sugarcane harvest report, reporting ethanol production for the current harvest season is up 5.11 percent through the first half of November.

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Strong cash market, user margins support corn prices

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By Jason Sagebiel, Intl FCStone

November 25, 2014

Commodities report: Corn producers utilize storage to full potential. Strong cash markets and positive end-user margins support corn market.

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DDGS market rebounds as winter weather returns

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By Sean Broderick, CHS

November 25, 2014

Commodities report: Weather is becoming a bigger part of the DDGS pricing picture and there's still hope for a solution to the Chinese situation.

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Japan is a mature market, but ethanol could represent a new opportunity in the country. In partnership with industry associations, the U.S. Grains Council has opened a strategic discussion with key industry and government officials about biofuels.

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Supply concerns accelerate buying interest

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By Rick Kment, DTN

November 24, 2014

Commodities report: As ethanol futures prices have surged higher, gasoline prices and the entire energy complex have remained under pressure. This has quickly changed the dynamic between ethanol and gasoline markets.

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