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Governors' Biofuels Coalition
NEWS UPDATE June 15, 2020

Top Story

The Standoff for E30

By Susanne Retka Schill, Freelance Journalist  •    •  Posted June 14, 2020

The trajectory of current policies is a mixed message for ethanol, according to the Energy Information Administration’s Annual Energy Outlook 2020, released in January. The EIA’s reference case based on current trends and policy calls for the percentage of biofuels blended into gasoline, diesel and jet fuel to increase from 7.3 percent in 2019 to a high of 9 percent in 2040 before slightly declining through 2050. Most of that growth is expected to be in biofuels other than ethanol. [ read more … ]

Markets

Here’s Why Brighter Days for Ethanol Demand Look To Be Ahead

By Tyne Morgan, Agpro  •    •  Posted June 14, 2020

USDA issued its latest supply and demand estimates this week and made adjustments to 2020 ethanol demand. USDA trimmed its corn used for ethanol forecast by 50 million bushels, chalking it up to a slower-than-expected recovery in ethanol production. Arlan Suderman of INTL FCStone says these cuts could be just a start. [ read more … ]

California ethanol traders make room for expected ship from Brazil

By Josh Pedrick, S&P Global  •    •  Posted June 14, 2020

Ethanol traders in California have been selling in-tank product ahead of the late June or early July arrival of imports from Brazil. The Rudolf Schulte, the vessel sources said will carry the cargo, was anchored and unladen near Santos, Brazil, on June 12, according to cFlow, Platts trade-flow software. Sources expect it to begin loading and traveling toward California in the coming days. [ read more … ]

EIA slightly reduces forecasts for 2020, 2021 ethanol production

By Ethanol Producer Magazine  •    •  Posted June 14, 2020

The U.S. Energy Information Administration slightly reduced its forecasts for 2020 and 2021 ethanol production in its latest Short-Term Energy Outlook, which was released on June 9. Forecasts for ethanol consumption were also revised down. The EIA currently predicts ethanol production will average 850,000 barrels per day during 2020, down from the 870,000-barrel-per-day prediction made by the agency in its May STEO. The EIA has also lowered its forecast for 2021 ethanol production to an average of 960,000 barrels per day, down from its prediction of 970,000 barrels per day made in May. Production in 2019 averaged 1.03 million barrels per day. [ read more … ]

Policy & Politics

Nebraska Environmental Trust board chooses ethanol pumps over wetlands for $1.8 million grant

By By Paul Hammel, Omaha World-Herald  •    •  Posted June 14, 2020

Ethanol pumps won out over conserving wetlands and a unique ranch in voting by the Nebraska Environmental Trust board on Thursday. The board’s vote affirmed a controversial recommendation in February, made with little discussion, to defund five conservation projects and instead award $1.8 million to several gas stations for installation of ethanol blender pumps that deliver higher blends of the corn-based fuel. [ read more … ]

Commentary

Corn farmers must count on ethanol, not exports

By Dan McGuire, Lincoln Journal Star  •    •  Posted June 14, 2020

Counting on corn exports has always been a questionable strategy ever since the 1980s and 1990s shifts in farm and trade policy. Now, problematic U.S. trade policy aimed at China is attempting to protect intellectual property rights for big corporations but has boomeranged against farmers, due to Chinese retaliation, that has led to their investments in competitor exporting countries.
[ read more … ]

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