EPA Delivers Waiver for Summertime E15 |
Growth Energy applauded U.S. Environmental Protection Agency (EPA) Administrator Michael Regan’s April 28 announcement that the agency will grant an emergency waiver allowing fuel retailers to sell E15 without seasonal vapor pressure restrictions during the coming summer driving season. EPA announced the decision following an intense campaign by Growth Energy and elected leaders.
“Today’s announcement is a win for drivers across the nation, who can rest easier knowing that they’ll have access to savings on lower-carbon E15 this coming summer,” said Growth Energy CEO Emily Skor. “We’re grateful to EPA Administrator Michael Regan for granting this waiver, to our industry partners, and to the thousands of Americans who supported our campaign to press for action by EPA."
With the waiver secured for this summer, our focus returns to working together with our champions in Congress and the administration to find a permanent fix for E15, so that we can avoid needless uncertainty around last-minute waivers in the years ahead. Learn more about the benefits of E15 and why it should be available year-round with this FAQ.
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For more information, please contact Senior Vice President of Regulatory Affairs Chris Bliley. |
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Last week, domestic ethanol demand was 14.8 BGY, up 11.6% compared to a week ago. The EIA-reported gas demand was up 11.6% from last week, at 145.8 BGY. The 4-week average ethanol and gas demand are 14.1 and 139.0 BGY. Volatility in the weekly data has been greater than usual this month due to weather, holidays and other factors.
Ethanol production was 14.8 BGY last week, down 5.6% versus the week before, and 5.3% less than the 4-week average in 2019. Midwest production was down 6.0% (-17.1 MG) versus a week ago, and average production in the other regions was up 2.0% (+0.3 MG). Capacity utilization of plants online was 85.2% overall, 86.3% in the Midwest, and 69.8% on average, elsewhere, excluding 1,355 MGY of capacity shutdown at 27 ethanol plants for other than maintenance. On an installed capacity basis, utilization was 80.3% overall, 84.5% in the Midwest and 42.4% in the other regions.
Exports were an estimated 28.0 MG last week based on 120 MG of exports forecast for April. The EIA reported no ethanol imports last week. Overall inventory was down 32.4 MG last week. EIA-counted stocks decreased 41.5 MG, and regional changes were: East (-1 MG), Gulf (-1 MG) and West (-13 MG) Coasts and the Midwest (-29 MG). In-transit inventory increased 9.1 MG. Based on the total inventory of 1,867 MG on April 21st and the 4-week avg. domestic demand, there were 48.8 days of supply, down 0.8 days versus a week ago. Including the 4-week avg. of net exports, there were 44.2 days of supply, down 0.6 days versus a week ago. |
For more information, please contact Vice President of Market Development Jake Comer. |
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Last Call for Spring Fly-Ins Growth Energy Signs onto Letter to Senate on Rail Safety Send Us Photos of E15 Cost Savings in Your Area |
New: Brazil to Study Raising Ethanol Content in Gasoline to 30% |
State Updates: Washington, Nebraska, California |
Get Biofuel Driver Deric Kramer Claims Win at NHRA Nationals |
| Growth Energy Spring Fly-Ins May 16-18, 2023 June 6-8, 2023 High Performance Low Carbon Liquid Fuels Summit Indianapolis, IN May 9-10, 2023 Get Bioethanol NASCAR Enjoy Illinois 300 Madison, IL June 4, 2023 Fuel Ethanol Workshop (FEW) Omaha, NE June 12-14, 2023 |
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Last Call: Join Us in DC for Our Spring Fly-Ins |
We're less than two weeks away from our spring Fly-Ins and there's still time left to join us in D.C. to meet with your members of Congress and their staff! Find your state below and email Senior Manager of Government Affairs Katie Webster to register today: May 16 - 18: Iowa, Kansas, Missouri, Nebraska, Texas, New York, Pennsylvania, and North Dakota
June 6 - 8: Colorado, Illinois, Indiana, Ohio, Michigan, Minnesota, South Dakota, and Wisconsin |
Growth Energy Signs onto Letter to Senate on Rail Safety |
Last week, Growth Energy joined the Ag Transportation Working Group in sending a letter to the U.S. Senate Committee on Commerce, Science, and Transportation regarding their work on potential legislation to improve rail safety. The letter is signed by almost 50 state and national associations and outlines their commitment to safe rail transport and their support for targeted, common-sense efforts like full funding of the Pipeline Hazardous Material Safety Administration (PHMSA) grant program, improvements for track maintenance programs, and the standardization and effective utilization of defect detectors to reduce the risk of future derailments while also ensuring a reliable, economically sustainable railroad freight transportation system. The letter also expresses concerns about initiatives that may create new supply chain disruptions, such as anything that would limit the size, route, or speed of rail transport of hazardous materials. Read the full letter here.
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Send Us Photos of E15 Cost Savings in Your Area |
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Now that we've secured a summertime waiver to keep E15 available, we can keep saving at the pump. As we continue to make our argument for year-round E15 to the EPA, on Capitol Hill, and in state legislatures around the country, we've found that a picture really is worth a thousand words. If you see an example of significant cost savings at a fuel station near you, take a picture (like the ones above) and share it with us! We'll put your photos to good use telling the story of how E15 saves drivers money.
Email them to kwebster@growthenergy.org. |
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New: Brazil to Study Raising Ethanol Content in Gasoline to 30% |
Good news out of Brazil as they announced a study to look at raising the mandatory level of ethanol in gasoline from 27% to 30%. This potentially could increase the domestic demand for ethanol and reduce the amount available for export. We compete with Brazilian ethanol for exports to foreign markets, so this is welcome news.
Growth Energy CEO Emily Skor has been in Brazil this past week, advocating on behalf of the U.S. ethanol industry. In a recent Ethanol Producer Magazine piece, she called for a reevaluation of the U.S.-Brazil trade relations, saying years of protectionist trade policies and a preferential advanced biofuel status have skewed the markets in Brazil's favor.
"We cannot allow Brazilian ethanol producers to game the system merely to steal markets away from U.S. competitors, both here and abroad," said Skor. "Growth Energy will continue to make this fight a priority for U.S. diplomats. We’re grateful to our supporters in Congress, the Biden administration and our industry partners. Together, we are committed to ensuring that U.S. investments in innovation, from carbon capture to climate-smart feedstocks, will be recognized and valued in Brazil and around the world."
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For more information, please contact Senior Vice President of Market Development Mike Lorenz. |
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State Updates: Washington, Nebraska, California |
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The Washington State legislature approved bill ESB5447 providing a tax credit for the production of alternative jet fuel and has moved on for the Governor's signature. The bill provides $1 per gallon credit for sustainable aviation fuel (SAF) that achieves a 50% reduction in CO2 and 2 cents for every 1% increase beyond 50% for a maximum of $2 per gallon. The carbon intensity is verified by the Department of Ecology through their Clean Fuels Program and requires pre-approval. The credit takes effect once it is verified that there is one or more facilities that produce 20MG of SAF in the state and extends for 9 years beyond the first year.
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After much back and forth, the Nebraska unicameral legislature is moving forward with LB562, the Adopt E15 Access Standard Act. The Agriculture Committee moved the bill forward following development of a compromise amendment that would require E15 to be sold at 50% of the qualifying dispensers at new stores. The amendment also |
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sets a target of a 14% blend rate for Nebraska (currently 9.66%) by 2027 (if not achieved the bill would require all stores to sell E15 from at least one dispenser beginning in 2028). There is some enforcement leeway between the calculation in 2027 on the blend rate and effective enforcement of the 2028 requirement, and there are also exemptions for retailers who sell less than 300,000 gallons/year, retailers who do not have compatible equipment as determined by the state fire marshal, or those who must spend more than $15,000 on upgrades. The amendment also increases and extends the E15 tax credit – 8 cents/gallon in 2024, 9 cents/gal in 2025, 8 cents/gal in 2026, 7 cents/gal in 2027, and 5 cents/gal in 2028 with an annual limit of $5M. The bill is currently on the floor agenda under “Select File” and will be competing for floor time with the budget and higher priority tax bills.
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As you know, California has had several workshops on their planned update to their Low Carbon Fuel Standard (LCFS). Growth Energy has previously submitted comments in support of changes to benefit biofuels – including pushing for the approval of E15, appropriate crediting for Ag practices, and continued inclusion for CCUS projects from the last few workshops. Additionally, the California Air Resources
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Board released data from the LCFS program at the end of 2022, some of the relevant data from biofuels under the LCFS program: 1.46 billion gallons of ethanol were blended in California in 2022, representing 10.6% of the gasoline pool, and 28% of the LCFS credits. On the biodiesel and renewable diesel side, a total of 1.675BG (1.394BG of renewable diesel alone). Biodiesel and renewable diesel combined represent 45.5% of the diesel pool and 43% of total LCFS credits. Electricity generated 17% of LCFS credits and biogas contributed 10%. Additionally, a further breakdown of ethanol by feedstock and carbon intensity (CI): Corn ethanol: 1.21BG, average CI 63.32 g/MJ, corn kernel fiber: 168MG, average CI 24.55 g/MJ), sugarcane: 54MG, average CI 45.29g/MJ.
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For more information, please contact Senior Vice President of Regulatory Affairs Chris Bliley. |
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Get Biofuel Driver Deric Kramer Wins at NHRA Nationals |
At the Circle K NHRA Four-Wide Nationals this past weekend in Charlotte, drag racer Deric Kramer claimed the title of Pro Stock Champion with his Get Biofuel Chevrolet Camaro. This win marks his first return to the winner's circle since 2019. Congratulations to Deric and the Get Biofuel team!
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For more information, please contact Vice President of Development Kelly Manning. |
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