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Brazil raises quota on US ethanol to 750 million liters

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By Erin Krueger

September 03, 2019

Policy Business Markets 

The government of Brazil announced Sept. 2 it has raised the quota on U.S. ethanol imports under the tariff rate quote (TRQ) to 750 million liters (198.13 million gallons), up from 600 million liters per year.

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President Donald Trump issued a tweet Aug. 29 suggesting his administration is working on a “giant package� to boost demand for ethanol. He did not indicate what the timeframe for the release of that package might be.

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A group of seven Midwestern democratic senators sent a letter to U.S. EPA Administrator Andrew Wheeler Aug. 26 urging the U.S. EPA to end its harmful abuse of small refinery exemptions (SREs) under the Renewable Fuel Standard.

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Those who wish to weigh in on the U.S. EPA's proposed rule to set 2020 renewable volume obligations (RVOs) under the Renewable Fuel Standard and the 2021 RVO for biomass-based diesel have less than a week to do so.

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A dozen members of Congress, led by Rep. Abby Finkenauer, D-Iowa, sent a letter to U.S. Comptroller General Gene Dodaro Aug. 21 urging the U.S. Government Accountability Office to examine the review and approval of SREs under the RFS.

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Nearly 100 members of Growth Energy sent a letter to President Trump Aug. 26 urging him to call upon the U.S. EPA to honor his commitment to American biofuels and rural prosperity by restoring biofuel demand lost due to small refinery exemptions.

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Documents obtained by the RFA show that the U.S. EPA ignored strong recommendations from within the Trump Administration to redistribute RFS blending obligations lost to SREs in the proposed rule for 2020 renewable volume obligations.

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The U.S. Grains Council organized a trade team in July to connect representatives from national refineries, ministries of energy and other key stakeholders in Latin America with U.S. refiners currently blending ethanol with gasoline.

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RFA: Ethanol demand destruction clearly resulting from SREs

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By Renewable Fuels Association

August 22, 2019

In a letter sent Aug. 22 to U.S. EPA Administrator Andrew Wheeler, the Renewable Fuels Association challenged the federal agency on its claim there has been “zero evidence� that SREs have had a negative impact on ethanol producers.

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An emailed memo dated Aug. 20 from Agriculture Secretary Sonny Perdue obtained by Ethanol Producer Magazine outlines several actions federal officials are considering in response to backlash over the U.S. EPA's Aug. 9 approval of 31 SREs.

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ACE conference highlights ethanol market developments

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By American Coalition for Ethanol

August 21, 2019

ACE welcomed USGC CEO Ryan LeGrand as a keynote speaker during its 32nd annual conference last week in Omaha. USGC's Stephan Wittig and Jorge Lerdo de Tejada also shared a Mexico specific update with conference attendees.

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The U.S. EPA posted a notice to its website Aug. 21 extending the public comment period on its review of the Renewable Fuel Standard under Section 610 of the Regulatory the Regulatory Flexibility Act through Sept. 23.

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The Renewable Fuels Association and Growth Energy have spoken out to slam the U.S. EPA's Aug. 20 claim that there is “zero evidence� of demand destruction for ethanol associated with the agency's treatment of small refinery exemptions (SREs).

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Iowa Gov. Kim Reynolds and Iowa Secretary of Agricultural Mike Naig sent a letter to U.S. EPA Administrator Andrew Wheeler Aug. 21 outlining the damaging effects of the agency's recent approval of 31 small refinery exemptions (SREs) under the RFS.

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Rep. Cindy Axne, D-Iowa, sent a letter to U.S. EPA Acting Inspector General Charles Sheenhan Aug. 21 requesting the EPA OIG conduct an investigation into the agency's questionable decision-making and misuse of its SRE authority.

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Poet announced today it will idle production at its bioprocessing facility in Cloverdale, Indiana, due to recent decisions by the administration regarding SREs. The company also said it has reduced production at half of its 28 biorefineries.

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The U.S. EPA has released renewable identification number (RIN) generation data for July, reporting that nearly 1.8 billion RINs were generated during the month, including 38.92 million cellulosic RINs.

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Bryan Stockton, an attorney at Pillsbury Winthrop Shaw Pittman LLP, gave attendees of the American Coalition for Ethanol's annual conference in Omaha, Nebraska, an update on some of the litigation affecting the ethanol industry.

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FROM THE SEPTEMBER ISSUE: Editor Lisa Gibson previews the magazine, including feature articles about emissions control, pump design and technology, finances and risk management, and more.

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FROM THE SEPTEMBER ISSUE: Maintaining compliance while optimizing costs and operations is a balancing act for ethanol producers.

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RFA to Australia: Choose ethanol, not petroleum reserve

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By Renewable Fuels Association

August 15, 2019

In a letter sent today, the Renewable Fuels Association encouraged Australia's energy minister to strongly consider U.S. ethanol imports as a cleaner, more affordable alternative to purchasing oil from the U.S. Strategic Petroleum Reserve.

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Governors representing Iowa, Indiana, Kentucky, Nebraska and North Dakota recently sent a letter to U.S. EPA Administrator Andrew Wheeler urging the agency to clarify biogenic CO2 is not a pollutant subject to regulation under the Clean Air Act.

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The U.S. EPA updated its online dashboard containing small refinery exemption (SRE) data Aug. 15, showing that two more SRE petitions have been filed for compliance year 2018. Both petitions are currently pending.

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FROM THE SEPTEMBER ISSUE: Growth Energy's ad campaign part of an effort to curtail EPA's abuse of small refinery exemptions.

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Trans-Atlantic Trade-Offs

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By Emmanuel Desplechin

August 13, 2019

FROM THE SEPTEMBER ISSUE: The EU's opportunity to grow European ethanol by aligning trade policy with its environmental goals.

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The Department of Energy's Office of Efficiency and Renewable Energy is seeking public input on its EERE and Bioenergy Technologies Office research priorities, including those focused on corn fiber biofuel, food waste, data efforts and algae biomass.

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What's the Plan to Increase Ethanol Use?

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By Brian Jennings

August 12, 2019

FROM THE SEPTEMBER ISSUE: Low Carbon Octane Standard could be the way to increase ethanol use beyond E15.

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The EPA announced Aug. 9 it approved 31 of the 38 SREs that were pending for compliance year 2018. Eight remaining SRE petitions that were pending for compliance years 2016-2018 were denied, while one for 2018 was withdrawn or declared ineligible.

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A group of petitioners, including Urban Air Initiative and National Farmers Union, have filled a legal petition with the U.S. Court of Appeals requesting judicial review of an EPA rulemaking that would limit blends of ethanol higher than 15 percent.

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For retailers who are still looking to add E15 to their product mix, Growth Energy's vice president of market development, Mike O'Brien believes there's no better place to learn about and ask questions than the Prime the Pump program.

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