No. 156 December 17, 2020 TOP STORY Growth Energy Welcomes SCALE Act to Strengthen Network of CO2 Pipelines Growth Energy CEO Emily Skor thanked Reps. Marc Veasey (D-Tex.), David McKinley (R-W.Va.), Cheri Bustos (D-Ill.) and Pete Stauber (R-Minn.) for introducing the Storing CO2 and Lowering Emissions Act (SCALE Act), legislation designed to establish a carbon emissions infrastructure program and strengthen pipeline networks to transport carbon dioxide (CO2) from ethanol plants to where it is needed, including for beverage, food, and dry ice use. The Storing CO2 and Lowering Emissions Act (SCALE Act) has four main components:
For more information, please contact Vice President of Government Affairs John Fuher.
WORKING FOR YOU IN GOVERNMENT AFFAIRS Growth Energy Calls on Congress to Extend Tax Provisions for Biofuels
Update on COVID-19 Emergency Relief and End of Year Spending Packages
Growth Energy Urges CDC to Include Biofuel Workers in Vaccine Priority List
Tom Vilsack Named as Next Secretary of Agriculture
Wisconsin Governor Allocates over $3 Million to Ethanol Producers IN MARKET DEVELOPMENT "The E15 Expressway: Web Chats with Retailers" featuring Sheetz
Information for Retailers: Ways to Offer Unleaded 88 (E15) IN GLOBAL MARKETS Farm, Biofuels, Trade Leaders Label Brazil Decisions 'Devastating' for U.S. Ethanol IN OUR ASSOCIATION Growth Energy Welcomes Dave Vander Griend Back to Board of Directors
The Andersons Begins High-Protein Animal Feed Production
Merry Christmas from Growth Energy
IN GOVERNMENT AFFAIRS Growth Energy Calls on Congress to Extend Tax Provisions for Biofuels With the growing possibility that Congress will consider passing a tax extenders package before the 116th Congress comes to a close, CEO Emily Skor wrote a letter to Congress asking McConnell, Schumer, Pelosi, and McCarthy to consider extending the Section 40 Second Generation Biofuel Producer Tax Credit and the Section 45Q Tax Credit.
The Section 40 Second Generation Biofuel Producer Tax Credit is a credit per gallon of second-generation biofuel that, according to Skor’s letter, “provides an essential incentive for our biofuels industry to produce a low-carbon, renewable fuel which keeps our rural communities afloat”. The Section 45Q Tax Credit is a tax credit on a per-ton basis of carbon dioxide that is sequestered, encouraging ethanol plants to further reduce their carbon footprint.
“Especially during a time of depressed gasoline demand, it is imperative that we use all legislative tools available to support our businesses and infrastructure workforce,” said Skor.
Update on COVID-19 Emergency Relief and End of Year Spending Packages It is possible that Congress will be voting on a massive bill by the end of the week that will include $1.4 trillion in omnibus government funding, $908 billion in COVID-19 relief, and energy legislation. Currently, government funding is set to expire on Friday, December 18, so the clock is ticking for Congress to act soon.
On Monday, a group of Senators introduced two COVID-19 relief bills:
The Bipartisan COVID Emergency Relief Act has generally received a warm reception and could be the framework Congress uses to address COVID-19 relief. The bill sets aside $13 billion in agriculture assistance to farmers, ranchers, growers, and rural communities. It also directs USDA to conduct a review of COVID-19's impacts on agricultural producers and food processors, including those that have not previously received enough support for damages due to the pandemic. Included also is $300 billion for a second round of Paycheck Protection Program (PPP) to support small business, $300 per week of unemployment insurance benefits through April 2021, and vaccine distribution support.
On Wednesday morning, Senate Majority Leader Mitch McConnell stated: "We made major headway toward hammering out a targeted pandemic relief package that would be able to pass both chambers with bipartisan majorities. We committed to continuing these urgent discussions urgently until we have an agreement. And we agreed we should not leave town until we have made law."
Lastly, draft Senate legislation for a slate of energy provisions could also be grouped into must-pass funding packages. Carbon capture incentives and diesel emission reductions may be part of final inclusion, but we will closely monitor the energy bill as its future remains uncertain.
Growth Energy Urges CDC to Include Biofuel Workers in Vaccine Priority List In August, the Department of Homeland Security (DHS) issued an updated memorandum that continued to categorize the biofuels workforce as an essential component of the nation's infrastructure network. With this in mind, Growth Energy recently sent a letter to the Centers for Disease Control and Prevention (CDC) asking the CDC to include the biofuels workforce in its phase two priority list recommendations for COVID-19 vaccination (phase one list will likely consist of healthcare workers, first responders, and vulnerable populations).
Tom Vilsack Named as Next Secretary of Agriculture Growth Energy Director of Communications Majda Olson, former USDA Secretary Tom Vilsack, President-elect Joe Biden, former Lieutenant Governor of Iowa Patty Judge, and CEO of Big River Resources Jim Leiting tour Growth Energy member plant Big River Resources in Dyersville, Iowa on October 30, 2019. Growth Energy CEO Emily Skor issued the following statement after President-elect Joe Biden nominated former United States Department of Agriculture (USDA) Secretary Tom Vilsack to once again lead the department:
“We congratulate Mr. Vilsack and are pleased that the Biden transition team has chosen such a steadfast champion of rural America to lead USDA.
“After years of public and private service to the agriculture community, Vilsack is intimately familiar with the benefits biofuels present for reaching a net-zero carbon future and the economic vitality the industry provides to rural America. He has been a tireless champion of the biofuels industry over his career and his advocacy has been crucial, including most recently during the Iowa caucuses, where we were proud to have had him join Growth Energy on tours with the president-elect and other candidates at our member plants.
“We are looking forward to working with the incoming administration and Mr. Vilsack to build on the success of biofuels as a solution to our climate goals, providing American drivers access to a cleaner fuel option, and supporting rural economies.”
Wisconsin Governor Allocates over $3 Million to Ethanol Producers Last week, Wisconsin Governor Tony Evers announced the availability of $3.25 million through the federal Coronavirus, Aid, Relief, and Economic Security (CARES) Act funding for Wisconsin’s nine ethanol producers and the thousands of farmers and producers who have experienced significant losses over the past few months due to the COVID-19 pandemic. Governor Evers noted the importance of ethanol production to state supply chains, including the important role ethanol will play in the production of carbon dioxide which is needed to store and distribute the COVID-19 vaccine.
Growth Energy CEO Emily Skor released the following statement thanking Governor Evers for his support of ethanol producers:
“Our ethanol industry is being called upon as an essential component to making a nationwide COVID-19 vaccine distribution a success. As they have with everything that has been thrown their way this year, like producing safe and effective hand sanitizer or CO2 for dry ice, ethanol producers are stepping up to the plate to serve their communities and the American people. We are grateful for Governor Evers’ support and recognition for the key role Wisconsin’s ethanol production plays in our nation’s success to keep the economy running smoothly and combat this pandemic.” For more information, please contact Vice President of Government Affairs John Fuher.
IN MARKET DEVELOPMENT "The E15 Expressway: Web Chats with Retailers" featuring Sheetz This week's The E15 Expressway: Web Chats with Retailers features Mike Lorenz, Executive Vice President of Petroleum Supply at Sheetz Inc. Sheetz is a family-owned and operated convenience store chain with 620 stores across Pennsylvania, Virginia, Ohio, Maryland, West Virginia, and North Carolina. Sheetz started selling Unleaded 88 (E15) in 2015 through a partnership with Prime the Pump.
Because Unleaded 88 is better for your engine and the environment, Lorenz asks the question, "why would you not buy it?" In his conversation with Growth Energy CEO Emily Skor, he discusses the value that Unleaded 88 offers Sheetz customers. Watch the conversation between Mike Lorenz and Emily Skor on YouTube or click the image below.
Other Conversation Highlights:
HBIIP: "It is a big deal. We look at the 620 stores that we have. We have 280 stores that sell E15 and E85 and with this new grant, we are going to add another 45 locations."
Unleaded 88: "Why will you not buy this product? There is absolutely, in my mind, no reason not to and on top of all that, energy independence in US jobs, right? So, it is a great story. It is a great product. Sales continue to grow."
Growth Energy: "You guys have been totally instrumental in getting us in this business. We would not be in this business without Growth Energy."
Tune in next week to hear from Derk Wehner, Vice President of Fuels at Thornton's!
Ways to Offer Unleaded 88 (E15) Depending on existing infrastructure, adopting Unleaded 88 (E15) can be much easier than retailers may think. Below is an infographic featured in Convenience Store Decisions Magazine that illustrates the most common ways to offer Unleaded 88. For more information, please contact Vice President of Market Development Mike O'Brien. IN GLOBAL MARKETS Farm, Biofuels, Trade Leaders Label Brazil Decision 'Devastating' For U.S. Ethanol Emily Skor, CEO of Growth Energy; Ryan LeGrand, President and CEO of U.S. Grains Council; Geoff Cooper, President and CEO of Renewable Fuels Association; and Jon Doggett, CEO of National Corn Growers Association issued the following statement in response to the Brazilian government’s decision to let the current tariff rate quota (TRQ) expire, replacing it with a 20 percent tariff on all imports of U.S. ethanol:
“Brazil’s decision to impose a 20 percent tariff on all U.S. ethanol imports is devastating for the U.S. ethanol industry, the future of cooperation and coordination between our nations. Not only does this decision risk destroying the great progress our two nations have made as global leaders in ethanol production, it marks a dramatic turn in our bilateral trade relationship.
“Today, Brazilian ethanol receives unfettered access into the U.S. market, while U.S. producers are denied reciprocal market access due to a restrictive import tariff designed solely to make U.S. product less competitive. This unjust imbalance must be addressed. We urge the incoming Biden Administration to respond with strength, leveraging various U.S. government tools and authorities to make it clear that protectionist barriers are unacceptable. However, it seems clear from today’s decision that Brazil is more focused on keeping US ethanol out of Brazil than true two-way trade.
“Through repeated dialogue with local industry and government, the U.S. ethanol industry actively sought to illustrate the negative impacts of increased tariffs on Brazilian consumers and the Brazilian government’s own decarbonization goals. However, it seems Brazil is more focused on taxing imports to protect their national industry than reducing carbon emissions and developing a global industry.”
For more information, please contact Senior Vice President of Global Markets Craig Willis.
IN OUR ASSOCIATION Growth Energy Welcomes Dave Vander Griend Back to Board of Directors Growth Energy, the nation’s largest ethanol trade association, announced the return of Dave Vander Griend to the association’s Board of Directors during its December 2020 board meeting in a move to further unify the industry and develop winning strategies on clean fuels, air quality, and climate goals. Vander Griend, a co-founder of Growth Energy, is the CEO of ICM, a current Growth Energy member that provides innovative technologies, solutions, and services to sustain agriculture and to advance renewable energy, including ethanol. Vander Griend is also the President of Urban Air Initiative (UAI), a leading non-profit organization dedicated to improving air quality and protecting public health by reducing vehicle emissions through increased use of ethanol fuel blends. Vander Griend grew up on a farm in Iowa and learned early on how farming affects both rural communities and the global economy. After working in the ethanol industry since the 1970s, he and his brother Dennis founded ICM in 1995 with the goal of advancing renewable energy using efficient, streamlined methods that sustain agriculture and reduce waste.
“I’ve been working in the ethanol industry for over four decades, including building North America’s first ethanol plant. Through the years, I have witnessed firsthand the successes and failures we have faced in advancing our agriculture and energy priorities and the part we play in this nation’s economy,” said Vander Griend. “Since its creation, Growth Energy’s leadership has been rooted in advancing thoughtful strategy and delivering effective results for America’s farmers, biofuel producers, and supporters. As the industry works to help give biofuels a seat at the table in climate discussions, I’m eager to join our industry’s leaders on Growth’s Board of Directors and look forward to helping lead this industry into 2021 and beyond.” For more information, please contact Senior Vice President of Development Kelly Manning.
The Andersons Begins High-Protein Animal Feed Production Growth Energy member The Andersons have begun production on two new high-protein feed ingredients. The Andersons is now proud to offer:
ANDVantage 40Y is produced in The Andersons' Denison, IA ethanol plant location and ANDVantage 50Y is produced at the ELEMENT location in Colwich, KS, in conjunction with ICM.
Merry Christmas from Growth Energy There will be no Weekly Rundown for the next two weeks due to the holidays. The next update will run on Thursday, January 7th. Merry Christmas from Growth Energy!
The Weekly Rundown is the weekly newsletter for Growth Energy's members. It is published weekly by the communications staff at Growth Energy. For more information, email team@growthenergy.org or visit our website GrowthEnergy.org. You're receiving this newsletter because you've subscribed to Growth Energy's The Weekly Rundown. Not interested anymore? Unsubscribe instantly. Copyright © 2020 Growth Energy. |