No. 290, August 24, 2023

TOP STORY

Earlier this week, Growth Energy filed a motion to intervene in the U.S. Court of Appeals for the Eleventh Circuit in response to the Hunt Refining Company’s lawsuit seeking to reverse the Environmental Protection Agency’s (EPA) decision to reject unwarranted Small Refinery Exemptions (SREs). The motion is just the latest in a series of legal efforts Growth Energy has led to protect the integrity of the Renewable Fuel Standard (RFS), which requires oil refiners to blend a specific amount of biofuels into their fuel each year.   

“EPA made the right call by following the data, which show there is no economic justification for exempting another oil company from its obligations under the RFS,” said Growth Energy CEO Emily Skor. “Growth Energy will not let these challenges go unanswered because we know how important the RFS is to our climate, our economy, and our energy security. Past abuse of SREs destroyed demand for billions of gallons of biofuels, undermining our ability to hold down prices at the pump with clean, American renewable fuel. It’s important that the courts and EPA continue to reject efforts to roll back the clock.” 

For more information, please contact General Counsel Joe Kakesh.

WEEKLY EIA DATA

Last week, domestic ethanol demand was 13.9 BGY, up 0.7% compared to a week ago. The EIA-reported gas demand was up 0.7% from last week, at 136.6 BGY.  The 4-week average ethanol and gas demand are 14.0 and 137.6 BGY.

Ethanol production was 16.1 BGY last week, down 2.0% versus the week before, and 1.2% more than the 4-week average in 2019. Midwest production was down 2.0% (-5.9 MG) versus a week ago, and average production in the other regions was down 1.8% (-0.3 MG). Capacity utilization of plants online was 92.5% overall, 93.6% in the Midwest, and 76.4% 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 87.0% overall, 91.5% in the Midwest and 46.5% in the other regions.

Exports were an estimated 27.1 MG last week based on 120 MG/mo. of exports forecast for August. The EIA reported no ethanol imports last week.

Overall inventory was up 10.3 MG last week. EIA-counted stocks decreased 27.1 MG, and regional changes were: East (-5 MG), Gulf (-18 MG) and West (-2 MG) Coasts and the Midwest (-3 MG). In-transit inventory increased 37.4 MG.

Based on the total inventory of 1,800 MG on August 18th and the 4-week avg. domestic demand, there were 46.5 days of supply, up 0.2 days versus a week ago. Including the 4-week avg. of net exports, there were 42.3 days of supply, up 0.3 days versus a week ago.

For more information, please contact Jake Comer.

WORKING FOR YOU

UPCOMING EVENTS

Growth Energy Biofuels Summit

Washington, DC

September 11-14, 2023

Learn More

IN GOVERNMENT AFFAIRS

From left to right, POET GM Chris Hanson, Rep. Pete Stauber, Rep. Brad Finstad, and POET Govt Affairs Manager Matt Ward.

This week, Reps. Brad Finstad (R-Minn.) and Pete Stauber (R-Minn.) visited POET’s bioprocessing plant in Preston, Minnesota. Rep. Finstad is a member of the U.S. House Committee on Agriculture and Rep. Stauber is a member of the U.S. House Committee on Transportation and Infrastructure and the Committee on Natural Resources. Both members are interested in and engaged on policy related to the production of domestic energy and expansion of American resources – especially from our farmers.

During their tour of POET, General Manager Chris Hanson explained how bioethanol both expands the production of domestic fuel and allows us to harness corn from local farmers and turn it into products used all over the world, like carbon and dried distillers' grains (DDGs). We look forward to continue working with these members on legislation related to biofuels in Congress.

E15/UNL88 is available at retailers across the U.S. this summer thanks to a successful campaign by Growth Energy and the biofuels industry to secure an emergency waiver from the EPA. This was a welcome development, but Growth Energy continues to make the case for year-round E15 to the EPA, on Capitol Hill, and in state legislatures around the country. 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

As a reminder, on September 7th, Environmental Protection Agency (EPA) will be hosting a Renewable Fuel Standard (RFS) Set Implementation Webinar from 1-4PM Eastern. The RFS Set Rule promulgated new regulatory provisions that updated third-party engineering review requirements, new independence requirements for independent third-party auditors and professional engineers, provided an alternative to recordkeeping requirements for separated food waste, and updated the regulatory provisions for the production, distribution and use of biogas as a renewable fuel. EPA intends to discuss these changes in greater detail during the webinar. Anyone wishing to participate must register by August 31st by emailing: RFS-Hearing@epa.gov. 

Additional details can be found here:  2023-17310.pdf (govinfo.gov).

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

IN OUR ASSOCIATION

On Tuesday, Growth Energy CEO Emily Skor spoke at the Minnesota Ag Leadership Conference in Deerwood, MN. Attendees heard about the future of low-carbon biofuels in the age of an EV-focused economy. 

Growth Energy staff had the opportunity to tour the Lincolnway Energy, LLC plant in Nevada, Iowa last week. Lincolnway is a producer plant member and has been processing corn into fuel-grade ethanol and distillers' grains at the plant since 2006.

Thank you to Lincolnway Energy for hosting our staff!

For more information, please contact Senior Vice President of Development Kelly Manning.

IN MARKET DEVELOPMENT

Growth Energy is a sponsor of this year's U.S. Grains Council Global Ethanol Summit, in Reston, VA from October 16-18, 2023. As a Growth Energy member, you are entitled to the USGC member rate at registration. To find out more information on this event and how to register, click here.

The window to apply for Federal funding for biofuel infrastructure is open! Growth Energy is assisting hundreds of retail sites with their applications, and Minnesota just unveiled state funding that can stack with the Federal funding opportunity. See here for details.

For more information, please contact Senior Vice President of Market Development Mike Lorenz.

IN GET BIOFUEL

While taking their second Green American Road Trip – this time back to her home state of Iowa – Shawn Johnson East and Andrew East made an Unleaded 88 fuel stop at a Kwik Star. They were joined by Growth Energy's VP of Market Development Jake Comer, and Iowa Corn Growers Association Director Will Cannon.

For more information, please contact Vice President of Communications Elizabeth Funderburk.

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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