No. 282, June 29, 2023

TOP STORY

Growth Energy praised the U.S. Department of Agriculture’s (USDA) release of $25 million of biofuels infrastructure grant awards this week as well as the upcoming availability of $450 million in additional biofuels infrastructure funding. The funding, announced by USDA Secretary Tom Vilsack, can be used by retailers to expand access to higher ethanol blends like E15—a fuel made with 15% ethanol. 

“Secretary Vilsack’s announcement is great news for biofuel producers, retailers, and consumers,” said Growth Energy CEO Emily Skor. “Over the last two summers, we’ve seen E15 prove itself again and again as a proven source of savings for working families and a shield against volatile fossil fuel markets. The grant funding announced today will help our retail partners to expand options at the pump so more American drivers can save money and reduce their carbon emissions.”

This week’s announcement builds on the USDA’s past efforts to support sales of higher biofuel blends through the Higher Blends Infrastructure Incentive Program (HBIIP), which received a $500 million boost under President Biden’s Inflation Reduction Act. Since 2014, Growth Energy has helped retailers across the country acquire $230 million in federal, state, and private grants that have gone toward making the necessary changes for them to offer E15 to their customers.  

“These historic investments would not have been possible without the support of Secretary Vilsack and rural champions in Congress,” said Jake Comer, Growth Energy’s vice president of Market Development. “We’re grateful for their efforts, and we look forward to working with them to tear down remaining barriers to higher ethanol blends, including outdated restrictions on summer sales of E15.” 

For more information, please contact Vice President of Government Affairs John Fuher.

EIA WEEKLY ETHANOL DATA

Last week, domestic ethanol demand was 14.5 BGY, down 0.7% compared to a week ago. The EIA-reported gas demand was down 0.7% from last week, at 142.7 BGY.  The 4-week average ethanol and gas demand are 14.5 and 142.2 BGY. Moderate gas prices and a stronger economy than expected are reinforcing gasoline demand.

Ethanol production was 16.1 BGY last week, unchanged versus the week before, and 2.5% less than the 4-week average in 2019. Midwest production was up 0.1% (+0.3 MG) versus a week ago, and average production in the other regions was down 1.6% (-0.3 MG). Capacity utilization of plants online was 93.1% overall, 93.8% in the Midwest, and 83.5% on average, elsewhere, excluding 1,425 MGY of capacity shutdown at 28 ethanol plants for other than maintenance. On an installed capacity basis, utilization was 87.4% overall, 91.5% in the Midwest and 50.7% in the other regions.

Exports were an estimated 30.3 MG last week based on 130 MG of exports forecast for June. The EIA reported no ethanol imports last week.

Overall inventory was down 3.6 MG last week. EIA-counted stocks increased 7.4 MG, and regional changes were: East (+20 MG), Gulf (-14 MG) and West (+3 MG) Coasts and the Midwest (-1 MG). In-transit inventory decreased 10.9 MG.

Based on the total inventory of 1,733 MG on June 23rd and the 4-week avg. domestic demand, there were 43.9 days of supply, down 0.4 days versus a week ago. Including the 4-week avg. of net exports, there were 39.7 days of supply, down 0.4 days versus a week ago.

For more information, please contact Vice President of Market Development Jake Comer.

WORKING FOR YOU

UPCOMING EVENTS

Get Bioethanol NASCAR Chicago Street Race

Grant Park 220

July 2, 2023

Growth Energy Biofuels Summit

Washington, DC

September 11-14, 2023

IN GOVERNMENT AFFAIRS

At a recent House Energy and Commerce Subcommittee on Environment, Manufacturing, and Critical Materials hearing titled “Driving Affordability: Preserving People’s Freedom to Buy Affordable Vehicles and Fuel," Rep. Mariannette Miller-Meeks (R-IA) discussed H.R. 3337, the Fuels Parity Act. This legislation that Rep. Miller-Meeks introduced would both allow ethanol from corn starch to qualify for an advanced (D5) RIN and require the U.S. Environmental Protection Agency (EPA) to adopt the Argonne National Laboratory Greenhouse Gases, Regulated Emissions, and Energy Use in Transportation (GREET) model when conducting lifecycle analyses for low-carbon biofuels like ethanol.

Last week our Vice President of Government Affairs John Fuher joined the Capitol Crude podcast from S&P Global to discuss the implementation of sustainable aviation fuel (SAF) tax credits in the wake of the recent bipartisan letter to the Treasury Department. Fuher also spoke on the impact new biofuel blending requirements issued by the U.S. Environmental Protection Agency (EPA) are having on the outlook for low carbon fuels.

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.

Please email your photos to kwebster@growthenergy.org.  

For more information, please contact Vice President of Government Affairs John Fuher.

IN REGULATORY AFFAIRS 

This week our Senior Vice President of Regulatory Affairs Chris Bliley joined the Agriculture of America podcast with a look at the U.S. Environmental Protection Agency's (EPA) final Renewable Volume Obligations (RVO) for the biofuels industry.

Senior Vice President of Regulatory Affairs Chris Bliley and Director of State Government Affairs Dallas Gerber visited Marquis Energy in Hennepin, Illinois this week. Chris and Dallas met with Dustin Marquis and Allison Prestegaard of Marquis, as well as Dave Loos and Brad Stotler with the Illinois Corn Growers Association. The group discussed the latest developments in Illinois state government, including the recent efforts to implement a sales tax credit for retailers selling higher ethanol blends, including E15 and E85.  Dustin also led the group on a tour of Marquis’ latest innovation efforts.

For more information, please contact Senior Vice President of Regulatory Affairs Chris Bliley.

ON THE TRACK

This weekend, Austin Dillon will take the Get Bioethanol No. 3 Chevy to Chicago, Ill. The car, which showcases the performance benefits of racing with engine-smart and earth-kind bioethanol blended fuel, will drive through the city streets of Chicago for the first time. Follow along here and be sure to tune in on Sunday!

For more information, please contact Director of Sales and Marketing Ryan Welsh.

Growth Energy wishes you a happy and safe Independence Day weekend!

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. 

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