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Governors' Biofuels Coalition
NEWS UPDATE March 24, 2020

Top Story

U.S. ethanol plants cutting output due to crashing demand: trade group

By Stephanie Kelly, Reuters  •    •  Posted March 24, 2020

U.S. ethanol producers are on track to shut about 2 billion gallons of annualized output by the end of this week because of a slump in demand for fuel, the head of the Renewable Fuels Association trade group said on Monday. Biofuel producers are feeling the impact of an energy industry in crisis as countries including the United States take unprecedented steps to contain the coronavirus pandemic, curbing demand for products such as gasoline and jet fuel. [ read more … ]

POET says cuts U.S. corn buying over slumping biofuel demand

By Jarrett Renshaw, Reuters  •    •  Posted March 24, 2020

U.S. ethanol producer POET said on Monday that it has suspended corn buying “at a number of locations” due to weak biofuel demand and is evaluating its production levels. “POET has not idled any biorefineries; however, we have temporarily ceased corn purchases at a number of locations and are actively evaluating biofuel production levels to reflect falling gasoline demand,” said spokeswoman Jessica Sexe. [ read more … ]

SREs

No word yet from Trump administration on refinery biofuel waivers – Grassley

By Stephanie Kelly, Reuters  •    •  Posted March 24, 2020

U.S. Senators Chuck Grassley and Joni Ernst of Iowa have asked the Trump administration not to appeal a court ruling that would slash the use of small refinery biofuel waivers, but have not heard back yet on its decision, Grassley said on Monday. “We haven’t been told one way or another officially,” he told reporters on a conference call. [ read more … ]

Policy & Politics

Falling fuel prices, weak currency drive Brazil switch from ethanol to sugar

By Marcelo Teixeira, Reuters  •    •  Posted March 23, 2020

Brazilian mills are expected to make a sharp switch from ethanol to sugar production in the new season kicking off in the world’s largest sugarcane producer, as falling gasoline prices and a weak currency reduce the biofuel’s appeal, analysts said. Mills in Brazil have the flexibility to partially switch cane toward sugar or ethanol production, depending on market prices. For the last two years, they have allocated an all-time low amount of cane for sugar, around 34%, as ethanol gave them higher returns. [ read more … ]

Flex Fuel Spreads Its Reach, as Casey’s Becomes 5,000th Station to Offer E85

By Ken Colombini, RFA  •    •  Posted March 23, 2020

The number of fuel stations now offering Flex Fuel E85 has reached an important milestone, as a Casey’s store in Ankeny, Iowa, became the 5,000th station nationwide to sell E85. While offering significantly lower emissions than traditional fuel, the E85 flex fuel blend also offers a price advantage to consumers.
[ read more … ]

Ethanol Plants Can Shift to Produce Hand Sanitizer

By Cindy Zimmerman, Ethanol Producer Magazine  •    •  Posted March 23, 2020

Ethanol plants are now able to shift to the manufacture of hand sanitizer without permits from the Alcohol and Tobacco Tax and Trade Bureau (TTB). According to the public guidance issued Wednesday, industrial denatured ethanol can be used “to manufacture hand sanitizer consistent with World Health Organization (WHO) guidance without first obtaining formula approval.” [ read more … ]

Note: News clips provided do not necessarily reflect the views of coalition or its member governors.