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RFA, USGC, Growth Energy comment on Canada's CFS proposal

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By Erin Krueger

March 05, 2021

Policy Business Markets 

The Renewable Fuels Association, U.S. Grains Council and Growth Energy on March 4 submitted joint comments to Environment and Climate Change Canada in support of proposed regulations for the country's Clean Fuel Standard.

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Thanks to the U.S. Grain's Council's work promoting the benefits of DDGS to Irish swine, producers in the country have upped their inclusion of U.S. DDGS significantly, opening a market worth tens of millions annually.

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OPINION: Now is the perfect time to add E15

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By Ron Lamberty, senior vice president, American Coalition for Ethanol

March 03, 2021

Despite a lack of federal grant programs and higher ethanol prices, ACE's Ron Lamberty says now is the perfect time to add E15. Adding the fuel blend, he says, can help retailers offer a higher octane fuel at a lower pump price than competitors.

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U.S. ethanol production rebounded significantly the week ending Feb. 26, reaching 849,000 barrels per day following a substantial downturn the previous week related to disruptions caused by February's polar vortex.

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The USGC participated in the USDA's Agricultural Trade Mission to Ghana in October 2019, followed by a side trip to Nigeria to meet with participants from the Global Ethanol Summit. The events helped increase U.S. ethanol exports.

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OPINION: E15 expansion stays on track despite pandemic

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By Mike O’Brien, vice president of market development at Growth Energy

February 26, 2021

Despite the COVID-19 pandemic, E15 availability continued to increase last year. The U.S. saw a 10 percent of retail sites offering E15 in 2020, and the fuel is now offered at more than 2,300 stations in 30 states.

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The U.K. Department for Transport on Feb. 25 announced that the country will adopt E10 as its standard gasoline blend by September. The move will allow idle ethanol production capacity in the U.K. to be brought back online.

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U.S. ethanol production fell 28 percent to 658,000 barrels per day the week ending Feb. 19, reaching its lowest level since May 8, 2020, according to data released by the EIA on Feb. 24. The drop reflects issues related to the recent polar vortex.

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Using ATP program funds, the U.S. Grains Council sponsored participation at the Global Ethanol Summit of ethanol buyers from nearly two dozen Middle Eastern, European and African countries, who subsequently purchased $245 million in U.S. ethanol.

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Tom Vilsack is once again leading the USDA. The Senate on Feb. 23 voted 92 to seven to confirm him as secretary of agriculture. Vilsack, a former two-term governor of Iowa, served as ag secretary during all eight years of the Obama administration.

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The USGC conducted a virtual ethanol workshop in January to show stakeholders from Egypt, Algeria, Tunisia and Morocco ethanol-blended fuel's substantial benefits in emissions reduction, environmental impacts and improving health outcomes.

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The USDA predicts that corn use for ethanol will remain relatively flat, increasing by 0.5 percent over the next decade, according to data released by the agency in February as part of its long-term agricultural projections through 2030.

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UNICA, the Brazilian sugarcane industry association, has announced that domestic ethanol sales by mills in the south-central region of the country were up nearly 2 percent during the second half of January.

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Summit Agricultural Group and Green Plains Inc. on Feb. 18 announced the launch of a large-scale carbon capture and storage (CCS) project in the Midwest that will lower the carbon footprint of biorefineries and other carbon dioxide emissions sources.

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The COVID-19 pandemic slammed Minnesota's ethanol industry in 2020 with production falling under 1 billion gallons for the first time since 2009. The industry, however, still contributed $1.5 billion to the state's economy last year.

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Just as ethanol has played an essential role in addressing the COVID-19 pandemic, the low-carbon fuel will also serve as essential energy for combatting climate change, RFA President and CEO Geoff Cooper said Feb. 16 at the 26th annual NEC.

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Even after experiencing a drop in demand due to the COVID pandemic, the U.S. ethanol industry still had a significantly positive impact on the U.S. economy in 2020, according to the annual ethanol industry economic impact study released by RFA.

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A bill recently introduced in the Minnesota legislature aims to provide gasoline dealers with a refundable 5 cent per gallon tax credit for sales of gasoline blended with between 15 percent and 85 percent ethanol.

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Landfill Gas to Ethanol

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By Gary C. Young

February 15, 2021

Mixed with steam, run through a reformer and fermented, landfill gas proves an economic and environmentally beneficial feedstock for ethanol production. And each LFG project is a source of green energy that can last for more than two decades.

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The U.S. Energy Information Administration released its Annual Energy Outlook 2021 (AEO2021) on Feb. 3, predicting that the consumption of biofuels as a share of the domestic fuel mix will gradually increase through 2050.

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Legislation recently introduced in Iowa that aims to establish a state biofuels standard would create more than 3,500 new jobs and generate nearly $550 million in household income by 2026, according to a study released by the IRFA on Feb. 15.

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A new analysis from a renowned carbon accounting firm finds that the greenhouse gas emission reductions achieved under the Renewable Fuel Standard far exceed the reductions originally projected by U.S. EPA.

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Canada's Clean Fuels Standard, along with its net-zero emissions goal, remind us that the most effective climate policies are, at their core, investment policies. To succeed, they must support the essential role of biofuels in emissions reduction.

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The ethanol industry laid a strong foundation during the 2020 presidential campaign, ensuring that no path to the White House would be paved without answering to voters in rural America and including farmers in the fight against climate change.

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UNICA, the Brazilian sugarcane industry association, has released new data that shows the country's corn ethanol production continues to grow. Ethanol exports and sales of ethanol for use in sanitizing and industrial applications are also up.

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The USDA maintained its forecast for 2020-'21 corn use in ethanol in its latest World Agricultural Supply and Demand Estimates report, released Feb. 9. The outlook for corn exports was increased, while the forecast for ending stocks was reduced.

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Financial assistance for E15 refueling infrastructure is helpful and important, but the real draw of higher ethanol blends is not up front incentives, but the potential for increased sales, more customers, and better margins at the pump.

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The RFA on Feb. 8 released two reports summarizing 2020 U.S. ethanol and distillers grains export and import data. These annual reports include the latest information on the important role U.S. ethanol and distillers grains play on the world stage.

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Iowa Gov. Kim Reynolds on Feb. 8 introduced a bill that aims to speed the statewide adoption of higher biofuel blends, including E15 and B20. Representatives of the ethanol and biodiesel industries are speaking out in support of the bill.

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The U.S. exported more that 1.33 billion gallons of fuel ethanol last year, down from 1.46 billion gallons in 2019, according to data released by the USDA on Feb. 5. Despite the pandemic, that level of exports is the fourth highest volume on record.

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