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Governors' Biofuels Coalition
NEWS UPDATE May 11, 2020

Top Story

Americans Are Pumping Gas Again as States Reopen

By Rebecca Elliott, Wall Street Journal  •    •  Posted May 10, 2020

Americans are starting to get back behind the wheel, welcome news for the companies that turn oil into gasoline and diesel. Fuel makers including Valero Energy Corp. and Phillips 66 have said they expect gasoline demand to continue to rebound after plunging to roughly half of normal levels in early April, as states reopen from lockdowns imposed to limit the spread of the new coronavirus.
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The Car Is Staging a Comeback, Spurring Oil’s Recovery

By Bloomberg News  •    •  Posted May 10, 2020

Gasoline demand is rebounding, suggesting that the car — at least for now — is making a comeback. As lockdowns ease and parts of the world reopen for business, driving has emerged as the socially distant transportation mode of choice and is offering some near-term relief to an oil market fresh off its worst crash in history and reeling from an unprecedented collapse in energy demand. [ read more … ]

Climate, Pandemic

Will the Coronavirus Crisis Trump the Climate Crisis?

By Steven Erlanger, New York Times  •    •  Posted May 10, 2020

With the global paralysis induced by the coronavirus, levels of pollution and carbon emission are dropping everywhere — leaving bluer skies, visible mountains, splendid wildflowers. Even Venice’s famously murky canals are running clear. After decades of industry and government slow-walking the climate issue, for some it is proof that effective action can be achieved. But nature’s revival has come at enormous cost. [ read more … ]

Internal watchdog to review EPA’s coronavirus response

By Rachel Frazin, The Hill  •    •  Posted May 10, 2020

“We will also assess how, in the face of these impacts, the EPA has conducted and is conducting its oversight and programmatic responsibilities to protect public health and the environment,” Sheehan wrote. The announcement follows significant criticism from Democrats and environmentalists over a temporary EPA policy unveiled earlier this year under which the agency might not seek penalties against companies that don’t monitor their pollution. [ read more … ]

World’s largest ethanol producer forced to find a new market — hand sanitizer

By Jane Wells, CNBC  •    •  Posted May 10, 2020

Where gasoline goes, ethanol follows, and both have been on a path to unprofitability. Ethanol prices have collapsed as gasoline demand dropped by half due to COVID-19 shutdowns. That because ethanol —a biofuel derived from corn — makes up about 10% of the gas in your tank. [ read more … ]

Response to RFS Waiver Request

Governors’ Biofuels Coalition Calls for Rejection of RFS Waiver Request

By Todd Neeley, DTN Staff Reporter  •    •  Posted May 10, 2020

“Granting the requested waiver would only worsen the economic harm that biofuel producers, supporting technology providers, and agricultural producers are experiencing and would do nothing to improve the financial health of the refiners. “Undermining the RFS at a time when rural America is struggling economically, farmers are fighting to stay in business, and the biofuels industry has been impacted by furloughs and plant closures is unconscionable.” [ read more … ]

Noem, Walz urge EPA to reject RFS waiver request

By Erin Voegele, Ethanol Producer Magazine  •    •  Posted May 10, 2020

Leaders of the Governors’ Biofuels Coalition sent a letter to U.S. EPA Administrator Andrew Wheeler on May 8 urging the agency to reject a recent request from five oil state governors to waive 2020 Renewable Fuels Standard blending obligations. [ read more … ]

Senators Ask Trump to Stand by RFS

By Todd Neeley, DTN Staff Reporter  •    •  Posted May 10, 2020

A bipartisan group of 24 senators asked President Donald Trump to reject a recent request by five governors to waive Renewable Fuel Standard volumes in light of the economic standstill during the COVID-19 pandemic shutdown. In an April 15 letter to the EPA, Govs. Greg Abbott of Texas, Gary Herbert of Utah, Kevin Stitt of Oklahoma, Mark Gordon of Wyoming and John Bel Edwards of Louisiana said refiners in their states face a financial burden as a result of oil market disruptions caused by economic shutdowns around the world.
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SREs

U.S. offers bankrupt refiner $10 million cap on biofuel obligation: filing

By Stephanie Kelly, Reuters  •    •  Posted May 10, 2020

It marks the second time the U.S. Environmental Protection Agency under President Donald Trump has agreed to waive significant portions of PES’s obligations under the U.S. Renewable Fuel Standard, a law that requires refiners to blend biofuels like ethanol into the fuel pool or buy credits from those that do. Under the agreement, PES – which entered into bankruptcy after a catastrophic fire last summer – will have to hand over 161,830,963 biofuel blending credits, called RINs, or pay up to $10 million to meet its obligations, whichever comes first, the filing said. The cost of those credits had previously been estimated at $35 million, according to court documents. [ read more … ]

EVs

New Breed of Pickups Mixes Horsepower and Battery Power

By Lawrence Ulrich, New York Times  •    •  Posted May 10, 2020

Say hello to G.M.’s 1,000-horsepower electric Hummer, that onetime green scourge, now rehabilitated to pass muster at any Silicon Valley cocktail party. Behold the beefy pickup trucks from Ford and Chevrolet, as well as upstarts like Rivian and Bollinger. Elon Musk at Tesla couldn’t resist upstaging rivals with the concept Cybertruck, a truck so Mad Max-macho that it makes a Hummer seem discreet. [ read more … ]

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