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Governors' Biofuels Coalition
NEWS UPDATE June 1, 2020

Top Story

States Sue to Block Trump From Weakening Fuel Economy Rules

By Hiroko Tabuchi, New York Times  •    •  Posted May 31, 2020

Led by California, nearly two dozen states sued the Trump administration on Wednesday over its reversal of fuel-efficiency standards for cars and trucks, arguing that the move is based on erroneous science, and endangers public health. The lawsuit escalates a standoff between President Trump, who has moved to undo a long list of environmental regulations since taking office, and a coalition of Democratic states, which have gone to court to stop him. [ read more … ]

Relief

RFA Thanks Governors’ Biofuels Coalition for Renewable Fuels Aid Push

By Ken Colombini, Renewable Fuels Association  •    •  Posted May 31, 2020

“We appreciate the efforts of Govs. Noem and Walz on behalf of an industry that helps fuel the rural economy in South Dakota, Minnesota, and other states across the nation,” said RFA President and CEO Geoff Cooper. “These governors have seen first-hand how important ethanol and other renewable fuels are to their states, and they have witnessed the devastating impact the pandemic has had on ethanol plants and the communities they serve.” [ read more … ]

Noem, Walz urge Congress to provide COVID-19 relief for biofuels

By Erin Voegele, Ethanol Producer Magazine  •    •  Posted May 31, 2020

Representatives of the Governors Biofuels Coalition sent a letter to congressional leadership on May 28 urging direct support for renewable fuel producers in the fourth COVID-19 relief package that is currently making its way through Congress. “While farmers continue to produce the livestock and grain necessary to feed and fuel the nation, processing facilities have closed or dramatically curtailed production,” wrote South Dakota Gov. Kristi Noem, chair of the Governors Biofuels Coalition, and Minnesota Gov. Tim Walz, vice chair of the group. “Stay-at-home orders across the country slashed gasoline consumption, causing demand for ethanol to plummet, forcing more than 50 percent of the states’ ethanol production to shut down.” [ read more … ]

Governors’ Biofuels Coalition Presses Congress to Pass Financial Assistance for Biofuels Industry

By Todd Neeley, DTN Reporter  •    •  Posted May 31, 2020

With biofuels producers facing tough times during the COVID-19 economic shutdown, the leaders of the Governors’ Biofuels Coalition asked congressional leaders on Thursday to include in any new economic relief package financial assistance for an industry suffering from lost fuel demand during the pandemic. Both the House and Senate have introduced legislation to aid.
[ read more … ]

EPA Anti-Backsliding Study

Ethanol Industry Groups Disappointed in EPA Emissions Study

By Todd Neeley, DTN Staff Reporter  •    •  Posted May 31, 2020

EPA’s release of a so-called “anti-backsliding” study on Friday that calls for no further action to mitigate potential adverse air quality effects from renewable fuels, was met with disappointment by two ethanol industry interest groups. The industry has been attempting for years to convince the agency to modernize the data it uses to account for renewable fuels emissions. That’s because renewable fuels groups contend updated modeling on greenhouse gas emissions and other emissions shows fuels such as ethanol are far more beneficial to the environment than previously assumed. [ read more … ]

EPA completes RFS anti-backsliding study, proposes no actions

By Erin Voegele, Ethanol Producer Magazine  •    •  Posted May 31, 2020

“EPA is proposing to determine that no additional fuel control measures are necessary because since 2017, EPA has been implementing the Tier 3 Motor Vehicle Emissions and Fuel Standards which are more stringent and reduce concentrations of ozone, PM2.5, NO2, and air toxics now and in the future,” said the agency in a notice posted to its website. “In making this determination, EPA considered the analyses performed for the Tier 3 rulemaking, as well as the anti-backsliding study.” [ read more … ]

Policy & Politics

FEATURE: Surging RVO cost negligible for US fuel producers, importers amid pandemic

By Joshua Brown, S&P Global  •    •  Posted May 31, 2020

Fallout from the coronavirus has so disrupted normal refined product economics that a high cost to comply with the US biofuel blending mandate, once a substantial concern for fuel producers, is now an afterthought, even as the price continues to climb. When the cost of complying with Renewable Fuel Standard blending requirements gets too high, refiners often chase higher margins by switching from diesel to jet fuel production or by selling fuel overseas, thus avoiding the need to buy Renewable Identification Numbers, which the US issues to track use of alternative transportation fuels. [ read more … ]

In visit to Shenandoah Green Plains, Ernst calls on administration to keep ethanol promises

By KMAL  •    •  Posted May 31, 2020

Iowa Senator Joni Ernst says the administration has to do more to support ethanol facilities, especially as the industry faces a demand loss due to COVID-19. As part of her 99-county tour, Ernst visited Green Plains in Shenandoah Thursday to discuss biofuels-related issues with company officials. After a tour of the plant, Ernst says the Trump Administration needs to be doing everything they can to help out the industry at this time.
[ read more … ]

EIA: Ethanol Stocks Slide to 19-Week Low; Output Ramps Up

By DTN Staff  •    •  Posted May 31, 2020

Ethanol inventory in the United States was drawn down for the fifth consecutive week through May 22, falling 400,000 barrels (bbl) to a 23.2-million-bbl 19-week low, according to the Energy Information Administration, with supply 4.489 million bbl or 16.2% below a record high reached on April 17. The decline was realized with a 32,000-barrel-per-day (bpd) increase in refiner and blender net inputs during the week to a 712,000-bpd nine-week high, although down from a 948,000 blend rate the year prior. During the four weeks ended May 22, blending demand averaged 663,000 bpd, 280,000 bpd or 29.7% below the comparable year prior period. [ read more … ]

 

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