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Governors' Biofuels Coalition
NEWS UPDATE April 9, 2020

Top Story

Fuel Demand Rout Sends U.S. Ethanol Output to Lowest in a Decade

By Michael Hirtzer, Bloomberg  •    •  Posted April 8, 2020

The American ethanol industry is cutting production like never before as coronavirus lockdowns keep drivers off the roads, crushing demand for fuel. Output of corn-based biofuel plunged by a record 20% to an average daily rate of 672,000 barrels. That’s the lowest rate since the Energy Information Administration began publishing weekly data in mid-2010. Stockpiles jumped to a record 27 million barrels, underscoring the demand struggles.
[ read more … ]

SREs

Refining Interests Consider Appeal to SCOTUS on Small-Refinery Exemptions

By Todd Neeley, DTN Staff Reporter  •    •  Posted April 9, 2020

While ethanol industry groups celebrated a federal court’s decision not to allow a rehearing of a small-refinery exemptions case, that decision left small refineries in a tough legal spot.
Ethanol groups immediately called on the EPA to apply the decision nationally, which would be expected to significantly reduce the number of exemptions to the Renewable Fuels Association granted by the agency. The Fueling American Jobs Coalition, which includes a number of refining interests, said on Wednesday it is exploring a possible appeal to the United States Supreme Court. Refiners have 90 days to file such an appeal. [ read more … ]

Markets

Senators urge USDA to aid biofuel industry with CCC funds

By Erin Voegele, Ethanol Producer Magazine  •    •  Posted April 8, 2020

A group of 15 senators sent a letter to Agriculture Secretary Sonny Perdue on April 6 urging the USDA to use funds allocated to the agency’s Commodity Credit Corp. by the CARES Act to provide financial assistance to the biofuel industry. “We are concerned about our nation’s biofuel sector during the unprecedented economic circumstances brought on by the national pandemic of COVID-19,” the senators wrote. [ read more … ]

Grassley urges USDA to use CCC funds to support ethanol

By Ellyn Ferguson, Roll Call  •    •  Posted April 8, 2020

The ethanol industry and the farmers who supply the corn for the renewable fuel say they are being squeezed by the economic slowdown in the wake of COVID-19 restrictions and need federal help. Sen. Charles E. Grassley, R-Iowa, spoke Tuesday with Agriculture Secretary Sonny Perdue about the plight of the industry as well as other agricultural issues. Grassley is a fervid advocate of ethanol, and Iowa leads the nation in production. The lawmaker, who is at his Iowa farm until the Senate recess ends, said the discussion would remain private. [ read more … ]

Oilfield companies cut jobs, brace for bankruptcies

By Liz Hampton, Reuters  •    •  Posted April 8, 2020

More oilfield service companies dismissed workers this week and law firms braced for an onslaught of coming bankruptcies in an industry slammed by slumping fuel demand and crashing prices during the coronavirus pandemic. Firms that provide oilfield services and equipment had barely recovered from the 2014-2016 downturn before crude oil prices last month plunged to near two-decade lows. Many were already operating on thin margins, and now face customers pushing for deep price cuts. [ read more … ]

Nebraska Innovation Campus, ethanol partners turning out thousands of gallons of hand sanitizer

By JoAnne Young, Lincoln Star Journal  •    •  Posted April 8, 2020

The University of Nebraska-Lincoln and the Nebraska Ethanol Board completed their first day of hand sanitizer production Monday to benefit state health care providers and their hospitals, nursing homes and offices. They anticipate thousands more gallons by week’s end. [ read more … ]

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