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Governors' Biofuels Coalition
NEWS UPDATE August 14, 2022

Top Story

House Passes Sweeping Climate, Tax and Health Care Package

By Emily Cochrane, New York Times  •    •  Posted August 14, 2022

Congress gave final approval on Friday to legislation that would reduce the cost of prescription drugs and pour billions of dollars into the effort to slow global warming, as House Democrats overcame united Republican opposition to deliver on key components of President Biden’s domestic agenda. With a party-line vote of 220 to 207, the House agreed to the single largest federal investment in the fight against climate change and the most substantial changes to national health care policy since passage of the Affordable Care Act. The bill now goes to Mr. Biden for his signature. [ read more … ]

Inflation Reduction Act

House Passes Inflation Reduction Act

By Chris Clayton, DTN Ag Policy Editor  •    •  Posted August 14, 2022

Renewable energy programs through USDA overall will receive $13.3 billion. Rural electric cooperatives will receive $9.7 billion for loans to build out renewable energy infrastructure with specific language on “zero-emission systems” and carbon-capture programs. Biofuels will see another $500 million to develop blender pumps and other infrastructure to increase the blends of biofuels above 10% blend levels for ethanol and 20% for biodiesel blends. The bill also extends the $1-per-gallon biodiesel and renewable diesel tax credit through 2024. The $1.01-per-gallon second-generation biofuel tax credit also is extended through 2024. [ read more … ]

Ag, Biofuel Reaction to Inflation Reduction Act

By Chris Clayton, DTN Ag Policy Editor  •    •  Posted August 14, 2022

Addressing the passage of the Inflation Reduction Act (IRA), Agriculture Secretary Tom Vilsack said Friday the legislation “will provide significant support for farmers, ranchers, and forest landowners as they care for our precious land, adapt and mitigate to climate change and ensure America remains a food secure nation.” Vilsack already has trips planned early this coming week to Michigan and Colorado where he will tout the provisions in the IRA dealing with agriculture and renewable energy. The White House also has scheduled multiple briefings on various provisions in the bill as well. [ read more … ]

U.S. makes a ‘thimbleful’ of clean jet fuel. That’s changing.

By ANDRES PICON, E&E News  •    •  Posted August 14, 2022

Biofuel producers and aviation industry groups are celebrating tax credits for sustainable jet fuel in the Senate climate bill as an early victory for cleaning up air travel. The incentives for sustainable aviation fuel (SAF) stand to accelerate the slow process of decarbonizing the aviation sector. Unlike most ground transportation, airplanes cannot be easily electrified, so the industry is banking on lower-carbon fuels becoming more available and more affordable. [ read more … ]

API Outlines U.S. Energy Industry Opposition to Inflation Reduction Act

By Keith Reid, Fuel Market News  •    •  Posted August 14, 2022

The American Petroleum Institute (API) joined with nearly 60 other trade groups representing America’s natural gas and oil industry in opposing the Inflation Reduction Act (IRA) as passed by the Senate. In a letter to House Speaker Nancy Pelosi and Minority Leader Kevin McCarthy, the organizations outlined problematic provisions, including punitive new taxes and regulatory red tape that undermine the industry’s ability to promote energy security for the American consumer. Here is the letter: [ read more … ]

Carbon Capture

Corn Ethanol Investors Poised to Profit From Inflation Reduction Act

By Lee Harris, The American Prospect  •    •  Posted August 14, 2022

The Inflation Reduction Act (IRA), which recently cleared the Senate and is set to pass the House later this week, dramatically increases existing subsidies for carbon capture and sequestration (CCS), in a boost to a controversial cluster of emerging technologies that have so far failed to scale up. Climate activists have long argued that carbon capture is a ploy to extend the life span of dirty energy. But the hefty tax credit, designed to help jump-start technologies that remain prohibitively expensive, is likely to also flow to a sector where CCS is already financially viable and has been commercially deployed. Corn ethanol, an industry that exists due to a government mandate to blend biofuel into gas, is poised to capture outsize profits. [ read more … ]

Higher Ethanol Blends

Fuel retailer says ethanol industry can support an E15 national standard

By Kelly Heavican, Brownfield  •    •  Posted August 14, 2022

He tells Brownfield there’s sufficient infrastructure to expand fuel sales. “Tanks, lines, dispensers, hoses, nozzles – all that already preapproved. We’re just waiting for guaranteed access to year round E15 and a way we go.” And, Gard says, and E15 standard could be just the start. “We also have E30 and E85 buttons. Once the E15 year-round waiver gets put in place and we start converting to E15.  Then we are going to do the same exact drill on E30 when we start promoting heavily on E30.” [ read more … ]

Governor Pete Ricketts comments on use of higher ethanol blends

By NTV News  •    •  Posted August 14, 2022

“And while we certainly want to look at having all of the above strategy when it comes to energy, this administration is focused on one aspect of energy, you know electric vehicles, when we could also be exploring higher blends of ethanol which when we do carbon sequestration will have a carbon footprint on par with an electric vehicle, right? But we don’t have a distribution system in place. So I’m not saying we don’t want to have electric vehicles but we have another system that is already out there as well that we should be making sure is available and this administration just isn’t supporting,” said Ricketts. [ read more … ]


Refiners file wave of fresh suits over RFS waiver denials

By Inside EPA  •    •  Posted August 14, 2022

In the cases filed in the U.S. Court of Appeals for the District of Columbia Circuit, refiners challenge EPA’s June 3 action denying all remaining waiver applications. Although the waivers are in theory available to small refiners that can demonstrate “disproportionate economic hardship” from RFS compliance, EPA has adopted a policy of denying all waivers on the basis that small refiners cannot make the requisite showing because they are unharmed by the RFS. [ read more … ]


Arctic warming is 4 times the global rate. Here’s why.

By Chelsea Harvey, E&E News  •    •  Posted August 14, 2022

One study after another is coming to the same conclusion about the rapidly warming Arctic: It’s heating up a lot faster than earlier research suggested. The latest figures indicate that the planet’s northernmost region is warming a whopping four times faster than the Earth as a whole. That’s a significant update compared to earlier estimates. [ read more … ]

Clock ticks down on Colorado River cuts. What will feds do?

By Jennifer Yachnin, E&E News  •    •  Posted August 14, 2022

Western states that rely on the Colorado River Basin for their water supplies face a Tuesday deadline to tell the Bureau of Reclamation how they plan to cut back during the crushing drought that has shrunk the river. But as that date nears, the consequences for failure remain a key unknown. Reclamation Commissioner Camille Touton announced in June that states in the Colorado River Basin need to propose how to conserve between 2 million and 4 million acre-feet of water before a mid-August deadline, when the agency releases its 24-month projections for water levels in lakes Powell and Mead. [ read more … ]


Can the F-150 Lightning Make Everyone Want a Truck That Plugs In?

By Talmon Joseph Smith and Photographs by David Walter Banks, New York Times  •    •  Posted August 14, 2022

In the near future, the so-called Rust Belt, along with the Deep South, could become the Battery Belt. And the F-150 Lightning, paired with its growing slate of American-made competitors, could offer an all-around win: manufacturing revitalized, gas money saved, and the potential to curb the transportation sector’s leading 27 percent share of U.S. greenhouse gas emissions. A clean energy transition temptingly driven by strong, spacious, all-American vehicles with cultural cachet. A solution without sacrifice. Carrots, not sticks. [ read more … ]

Tesla, GM Score Biggest Share of $1.2 Billion EV Order From Startup Autonomy

By Dana Hull, Bloomberg  •    •  Posted August 14, 2022

Tesla, GM, Volkswagen and Ford are among the automakers set to get big orders from Autonomy, a startup offering drivers the option of subscribing to an electric vehicle instead of buying one outright. Autonomy plans to announce Tuesday that it’s ordering nearly 23,000 EVs from 17 different automakers for a total outlay of $1.2 billion. With chip shortages limiting production capacity at most automakers, it’s unclear how soon such a fleet could be amassed. The order represents 1.2% of the projected US electric vehicle production through the end of next year. [ read more … ]

For Electric Vehicle Makers, Winners and Losers in Climate Bill

By Jack Ewing, New York Times  •    •  Posted August 14, 2022

The climate and energy package awaiting final approval by Congress aims to achieve two goals that are not always compatible: Make electric vehicles more affordable while freezing China out of the supply chain. Auto industry representatives have been griping that the proposed $7,500 tax credits for electric vehicle buyers come with so many strings attached that few cars will qualify. Buyers can’t have very high incomes, the vehicles can’t cost too much, and the cars and their batteries have to meet made-in-America requirements that many carmakers cannot easily achieve. [ read more … ]



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