Tag Archives: American Coalition for Ethanol

Sioux Falls, SD – The American Coalition for Ethanol (ACE) and Iowa Renewable Fuels Association (IRFA) hosted a tour in conjunction with the U.S. Grains Council (USGC) in Iowa last week to show nine decision-makers from key Mexican retail and supplier groups how ethanol blends have been successfully and profitably incorporated across Iowa.

 

Tour leaders Ron Lamberty, ACE Senior Vice President, and Lucy Norton, IRFA Managing Director, said tour participants were engaged and clearly enthusiastic about the prospect of adding ethanol blends to their businesses.

 

“The week’s events exceeded our expectations,” Lamberty said. “We wanted this tour to end any lingering doubt these marketers might have about implementing ethanol blends in Mexico. After seeing stations and equipment just like theirs being used to sell E10, and hearing station operators say they’ve sold ethanol profitably for decades without any issues, some who attended plan to do tests in the next several months, and when those tests go well, we’ll encourage those marketers to share their success stories with peers in Mexico, as ACE has done to develop markets in the U.S.” 

 

“We see this trip as just the beginning of a long relationship that leads to a new ethanol market in Mexico,” Norton said. “We were fortunate to have such an influential group participate that represented about 500 million gallons of fuel sales and distribution. IRFA was proud to showcase Iowa’s 40 years of success in marketing ethanol-blended fuels.”

 

Several tour attendees said they are ready for the many benefits ethanol can bring to Mexico, including lower-fuel costs, improved air quality, and quality fuel. Read testimonies from participants below.

 

“The entire tour has been a fabulous learning experience, even better than I expected,” said Agustín Tristán Aldave with Lexington Midstream, a midstream investor and provider. “What I was looking forward to the most was learning about the entire process from front to back, and it was incredible to see the innovation here in the U.S. I don’t see any reason why not to do [ethanol] it. Ethanol is cheaper and better for the environment, and these are important points to help differentiate yourself if you’re a retailer.”

 

“We need all the information we can to make a change in Mexico,” said Gerardo Cantú, Director of Petrorack, a fuel provider to the industrial market. “From the beginning of the first visit, the tour impressed me. I believe this is a good product for the customer and our country. We are short on gasoline and ethanol, so we need the supply from the U.S.”

 

“We understand the nature of the product and we see the benefits that it brings to the environment and to the consumer because of the lower price of the fuel,” said Fernando José Pereira Flick with Lodemo, one of the main retail service groups in Mexico, which operates the first private (non-PEMEX) marine terminal for fuels in Mexico on the Yucatan Peninsula. Lodemo is evaluating adding infrastructure to import ethanol.  “It’s something that we don’t need to test because it’s been proven by the U.S. fuel industry to be a quality product as we’ve seen on this tour. With the changes to the Mexican energy legislation, it has created an opportunity for the private sector.” 

 

“We’ve seen the successful case for ethanol in Iowa and I’d like to see that in my country, helping the people in the field and having a very good gasoline like the one you have here that’s helpful to the environment,” said Blanca Estela Coeto Mateo with SIMSA, the largest supplier of fuel to PEMEX. “I’d like to see the Mexican government working together with all the people with one goal, and I will express that with the people in Mexico about the successful case you have in this country.”

 

Daniel Beltrán García, who works with Comborsa, an importer and distributor of fuels near the U.S./Mexico border said, “As a private company, we recognize the Mexican consumer needs a better, cleaner product, and why not at a more competitive price? So, that is what we have learned in Iowa in the sense that ethanol provides exactly that.” Another fuel marketer, Roberto Spinola De Leo with Hidrosina, which operates 30 service stations in Mexico City, where E10 is currently banned said, “We’re ready for ethanol depending on the regulation being authorized for that to happen. Our companies need to do our part in supporting [changes to] ethanol regulations because it’s good for us, the consumers, and the country.”

Sioux Falls, SD (July 5, 2019) – American Coalition for Ethanol (ACE) CEO Brian Jennings issued the following statement on the Environmental Protection Agency’s (EPA) proposed Renewable Volume Obligations (RVOs) for the 2020 Renewable Fuel Standard (RFS):

“While EPA says it is proposing to maintain the 15-billion-gallon conventional biofuel blending target for 2020, refinery exemptions without reallocation of waived volumes have effectively reduced the RFS by more than 2 billion gallons below statutory volumes.

President Trump asked EPA to remedy this issue following his trip to Iowa a few weeks ago and this proposal is a missed opportunity to reallocate the 2.61 billion gallons waived through Small Refinery Exemptions (SREs).

“It’s also a missed opportunity to restore the 500-million-gallon shortfall the D.C. Circuit Court ordered EPA to handle following the Americans for Clean Energy et al v. EPA lawsuit, which recently resigned EPA Assistant Administrator for Air and Radiation William Wehrum told ACE members EPA intended to address in the 2020 proposed rule at our D.C. fly-in in April.

“EPA continues to disregard President Trump’s campaign promise that ‘the EPA should ensure that biofuel blend levels match the statutory level set by Congress under the RFS.’ Like the 2019 blending targets, the 2020 proposed RVOs reinforce our challenge to certain SREs in Court and petition for EPA to account for lost volumes of renewable fuel resulting from the unprecedented number of retroactive SREs that continue to be granted by the agency.

“A strong rural economy depends upon growing the use of renewable fuels. We expect the administration to follow through on the promise that EPA and USDA will review the expanded use of refinery waivers and deliver a satisfactory remedy.”

Sioux Falls, SD– American Coalition for Ethanol (ACE) applauds the letter a group of bipartisan Senators sent Tuesday urging the U.S. Environmental Protection Agency (EPA) to publicly announce its intent to review and incorporate the latest “Greenhouse gas and Regulated Emissions and Energy Use in Transportation (GREET)” modeling into an updated life cycle assessment for corn ethanol. U.S. Senators Dick Durbin (D-IL) and Chuck Grassley (R-IA), both members of the Senate Committee on Agriculture, Nutrition, and Forestry, led the effort in advising EPA to update its outdated environmental analysis on ethanol. ACE CEO Brian Jennings issued the following statement applauding the Senators for urging EPA to formally adopt these changes without further delay:

“ACE extends our gratitude to Senators Durbin and Grassley for leading this bipartisan effort to hold EPA accountable on this important issue. Unlike the Argonne GREET model, EPA has not reviewed or updated their original 2010 corn ethanol greenhouse gas (GHG) assessments. Current data from the GREET model indicate that corn ethanol’s carbon intensity is almost 50 percent less than petroleum gasoline providing significantly more GHG reduction benefits than when the RFS was enacted a decade ago. Last year, ACE published “The Case for Properly Valuing the Low Carbon Benefits of Corn Ethanol” recommending, as is stated in the Senators’ letter today, that EPA refer to the latest U.S. Department of Energy GREET model for life cycle analysis of corn ethanol.

“Given the all hands-on deck nature of the climate change problem, agricultural and biofuel stakeholders continue to believe that governmental policies need to properly acknowledge the role that agriculture and biofuel can play in providing near-term solutions to offsetting U.S. GHG emissions. One of the most direct ways to capitalize on agriculture’s ability to mitigate GHG emissions is to properly acknowledge the role U.S. farmers and ethanol producers are playing to dramatically reduce life cycle GHG emissions from corn ethanol by improving efficiencies, investing in technologies, and adopting sustainable agricultural practices.

“U.S. farmers are under tremendous financial stress from collapsing net farm income, rising expenses, ongoing trade tensions, weather-related disasters, and the undermining of the Renewable Fuel Standard (RFS) with demand destroying small refinery waivers. Updating EPA’s decade-old modeling would be a step in the right direction to underpin the scientific and economic opportunity for ethanol use to increase via low carbon fuel markets.”

ACE’s White Paper titled “The Case for Properly Valuing the Low Carbon Benefits of Corn Ethanol” is available online by visiting https://ethanol.org/ethanol-essentials/low-carbon-benefits-of-corn-ethanol.