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USGC: Ethanol tariff reduction improves market access in Vietnam

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By U.S. Grains Council

June 11, 2020

Policy Business Markets 

A 5-percent point reduction on import tariffs for ethanol is expected to create opportunities for increased ethanol trade with Vietnam. According to the U.S. Grain Council, the Vietnam government aims to achieve a 10 percent ethanol blend mandate.

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The Biogenic CO2 Coalition sent a letter to U.S. EPA Administrator Andrew Wheeler on June 9 urging the agency to seek public comments on the regulatory treatment of biogenic CO2 from annual agriculture crops.

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Sen. John Thune, R-S.D., on June 11 introduced legislation that aims to extend the Food and Drug Administration's temporary guidance on hand sanitizer production during the COVID-19 pandemic for at least two years.

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The Renewable Fuels Association on June 11 marked the one-year anniversary of President Trump's visit to Southwest Iowa Renewable Energy by calling on him to reject requests from oil state governors to waive 2020 RFS blending requirements.

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The U.S. ethanol industry saw a shift during the pandemic, as many plants sold or donated ethanol to be used in hand sanitizer production. While the temporary market provided cash flow for some, helping the nation in a time of need motivated all.

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This spring, as the U.S. ethanol industry ratcheted back production by more than 45 percent, taking 8 billion gallons of capacity off line, it did anything but retreat from the COVID-19 crisis. It rose to the challenge, and stepped up to help.

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The Brazilian Development Bank (BNDES) on June 4 announced the launch of a credit program designed to help support the country's ethanol industry, which is being negatively impacted by falling fuel demand resulting from the COVID-19 pandemic.

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A group of nine biofuel and ag groups sent a letter to U.S. EPA Administrator Andrew Wheeler on June 9 requesting more information about small refinery exemption (SRE) petitions the agency has reportedly received for past RFS compliance years.

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The U.S. Energy Information Administration slightly reduced its forecasts for 2020 and 2021 ethanol production in its latest Short-Term Energy Outlook, which was released on June 9. Forecasts for ethanol consumption were also revised down.

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Missouri biofuel entities now eligible for $200,000 grant

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By Missouri Department of Agriculture

June 08, 2020

On June 4, the Missouri Agricultural and Small Business Development Authority announced the creation of the Biofuel Infrastructure Program to increase the availability of higher blends of ethanol and biodiesel in the Show-Me State.

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A 30-day public comment period is now open on the U.S. EPA's proposal to determine that no additional fuel control measures are necessary to mitigate air quality impacts of required renewable fuel volumes under the Renewable Fuel Standard.

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A group of 44 members of Congress sent a letter to President Trump on June 8 urging him to deny requests filed with the U.S. EPA by several governors seeking a waiver of 2020 Renewable Fuel Standard blending requirements.

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Iowa legislature reauthorizes biofuel tax differentials

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By Iowa Renewable Fuels Association

June 05, 2020

The Iowa legislature has reauthorized the Iowa biofuel tax differentials, helping boost biofuel demand and lower prices. the bill extends and modernizes fuel tax differentials for E15 and higher ethanol blends and B11 and higher biodiesel blends.

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OPINION: New normal is people saying “new normal” all the time

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

June 04, 2020

Ron Lamberty, senior vice president of ACE, discusses the impact of COVID-19 on fuel markets and consumer behavior and encourages fuel retailers to take advantage of the USDA's HBIIP program to offer higher blends of ethanol.

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The Growing Climate Solutions Act was introduced in the U.S. Senate on June 4. The bill aims to break down barriers for farmers and foresters interested in participating in carbon markets so they can be rewarded for climate-smart practices.

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Sens. Chuck Grassley, R-Iowa, and Joni Ernst, R-Iowa, issued statements on June 3 announcing they will continue to push the FDA to provide needed flexibility for ethanol producers working to help the U.S. overcome shortages of hand sanitizer.

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The U.S. EPA on June 4 released a proposed rule that will require all future significant regulations promulgated under the Clean Air Act to be accompanied by a benefit-cost analysis (BCA). The RFS is among the CAA programs likely to be affected.

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Collin O'Mara, president and CEO of the National Wildlife Federation, sent a letter to U.S. EPA Administrator Andrew Wheeler on May 29 urging the agency to approve requests to waive RFS blending requirements submitted by six governors.

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UAI: EPA keeping ethanol from its true lower carbon value

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By Steve Vander Griend, Urban Air Initiative

June 03, 2020

A recent NPRM issued by EPA proposes to penalize low carbon ethanol using a convoluted approach that would add CO2 emissions to an automobile manufacturer's mileage and carbon emissions calculations.

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A public comment period is now open on a proposed rule issued by the Treasury Department and Internal Revenue Service on May 28 that aims to help businesses understand how legislation passed in 2018 may benefit those claiming carbon capture credits.

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The U.S. EPA has released updated renewable identification number (RIN) generation data, reporting that 1.05 billion RINs were generated under the Renewable Fuel Standard in April, down from 2.74 billion generated during the same period of last year.

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The U.S. Food and Drug Administration on June 1 updated guidance to provide additional clarification on the manufacturing and compounding of certain alcohol-based hand sanitizer products during the COVID-19 pandemic.

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USGC: Indonesia removes ethanol ban

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By U.S. Grains Council

June 01, 2020

U.S. ethanol can now enter the Indonesian market by way of pre-blended fuel, following the recent removal of a ban on pre-blended product entering the country. This change creates a potential market of more than 200 million gallons.

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The U.S. Department of Commerce's International Trade Administration has announced the Renewable Energy and Energy Efficiency Advisory Committee will hold a virtual meeting via WebEX on June 4. The meeting will be the final of REEEAC's current term.

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Iowa Gov. Kim Reynolds announced on May 29 that the state will provide $100 million in COVID-19 relief for Iowa farmers. She also discussed the impact the pandemic is having on the state's ethanol producers.

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In testimony May 28 before the U.S. EPA, Urban Air Initiative Director Trevor Hinz called on the agency to correct several crucial provisions impacting ethanol blends as part of a new rule designed to streamline fuel regulations.

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May 31 marks the first anniversary of the U.S. EPA's final rule allowing American drivers to fuel up with E15, a fuel blended with 15 percent ethanol, year-round. The rule represented the culmination of a decade-long campaign.

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The U.S. EPA on May 29 issued a rulemaking that proposes to determine that no additional appropriate fuel control measures are necessary to mitigate air quality impacts of required renewable fuel volumes under the Renewable Fuel Standard.

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Growth Energy Senior Vice President of Regulatory Affairs Chris Bliley on May 28 testified at the EPA's hearing on its proposed rule to streamline fuel regulations. He cautioned against any changes that would negatively impact E15 availability.

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Representatives of the Governors Biofuels Coalition sent a letter to congressional leadership on May 28 urging direct support for renewable fuel producers in the fourth COVID-19 relief package that is currently making its way through Congress.

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