Domestic Fuel

The Ethanol Committee of the National Corn Growers Association met in Kansas City this past week week to consider the challenges and opportunities facing the industry.

“The market for ethanol has grown exponentially over the past decade, thus utilizing an abundance of corn to meet the already-present need for a renewable, domestic biofuel,” said Chad Willis, a Minnesota corn grower who serves as chairman of the committee. “Now, we face a myriad of challenges and opportunities as those in the industry continue to innovate while some outside of it continue attempts to deny ethanol’s incredible value to our nation.”

“After years of hearing rehashed iterations of the food-and-fuel debate, we found the tour of LifeLIne to be both interesting and inspiring,” Willis said. “Companies such as this demonstrate that, through a mixture of creative thought and hard work, we can find new ways to use corn even more productively and solve an array of societal needs.”

The committee of farmer leaders from around the Corn Belt also had the opportunity to meet the NCGA’s new Director of Biofuel Programs and Business Development Pam Keck, who is a scientist and educator with more than 20 years of experience in the agricultural and biofuels industry, academia and not-for-profit research.

Keck most recently contracted with Monsanto, coordinating an outreach program that brought together schools and scientists. She has previously taught chemistry at Southern Illinois University, Edwardsville and at Lewis and Clark Community College. She has also served as assistant director of workforce development and scientific projects at the National Corn-to-Ethanol Research Center.

Reaction to President Obama’s call for an “all-of-the-above energy strategy” in Tuesday’s State of the Union address was met with applause by many renewable energy interests, who at the same time hope his words will be backed with actions.

“We applaud the President’s announcement that he is going to push for homemade, U.S.-energy after 40 years of being addicted to foreign oil,” said Tom Buis, CEO of Growth Energy. “We have to move ahead with American ethanol as part of that solution.”

“The U.S. biodiesel industry is proving that we can accomplish the president’s goals of creating jobs while building a clean-energy economy,” said Anne Steckel with the National Biodiesel Board. “That’s why we’re calling on the Administration to quickly finalize the delayed EPA rule for boosting biodiesel use under the Renewable Fuel Standard in 2013.”

National Corn Growers Association Chairman Bart Schott said they were pleased to hear President Obama’s continued commitment to the nation’s energy independence. “As family corn farmers have risen to the challenge to meet our nation’s energy needs, we are hopeful the direction the President outlined offers similar opportunities for others to expand our energy independence,” he said.

“Working with the President, we can help America become less dependent on foreign oil and a smarter consumer of energy,” Adam Monroe, President of Novozymes North America, said. “Innovations like advanced biofuels can play a major role in the President’s vision but we need steady policies like the Renewable Fuel Standard – and we look forward to working Congress to preserve them.”

The black No. 3 Chevrolet that carried Dale Earnhardt Jr. to four NASCAR Nationwide series championships will boast a new American Ethanol paint scheme in several races during the 2012 season.

The new look for the iconic car was unveiled this past weekend during the NASCAR Preview 2012 event in Charlotte, North Carolina, where it was also announced that the driver would be Austin Dillon, 2011 NASCAR Camping World Truck Series Champion. Dillon is also the grandson of team owner Richard Childress, who decided to bring the No. 3 car back full time into the NASCAR Nationwide Series last November. Dillon drove the No. 3 in the Camping World Truck Series last year.

American Ethanol has also teamed with RAB Racing and driver Kenny Wallace for the 2012 season. They will attempt to make their Sprint Cup Series debut in the 54th annual Daytona 500 on Feb. 26, with Wallace at the wheel of the No. 09 American Ethanol Toyota Camry. Wallace and the No. 09 team finished seventh in the 2011 Nationwide Series driver championship standings, a career-best for the team after posting 11 top-10 finishes.

“The Daytona 500 is the race I grew up watching every year as a kid in St. Louis. It’s a very important race to me,” Wallace said. “I take this opportunity very seriously. I want to thank everyone at RAB Racing for working so hard in preparing this American Ethanol Toyota Camry.”

This is the second year for the American Ethanol partnership between NASCAR, Growth Energy and the National Corn Growers Association (NCGA).

American Ethanol is gearing up for the 2012 NASCAR season with a renewed commitment to the sport that spotlights racing on 15% ethanol fuel.

During the NASCAR Preview fan event in Charlotte, N.C. this weekend, American Ethanol announced that it will continue relationships with Richard Childress Racing and RAB Racing for the 2012 season. This is the second year for the racing partnership between NASCAR, Growth Energy and the National Corn Growers Association (NCGA).

“American Ethanol is getting a lot of positive attention because it’s a good fit for NASCAR’s green initiative, and because of the increased horsepower on the track,” said NCGA President Garry Niemeyer.

Austin Dillon, 2011 NASCAR Camping World Truck Series Champion, will drive the No. 3 Chevrolet during the 2012 NASCAR Nationwide Series season with American Ethanol serving as the primary sponsor for six races as well as one race in the NASCAR Sprint Cup Series in 2012.

Dillon, pictured here with team owner (and grandfather) Richard Childress, is looking forward to representing the ethanol industry. “I’m proud to carry the American Ethanol colors in NASCAR,” he said. American Ethanol will also be an associate sponsor for the entire RCR family of drivers.

Kenny Wallace, a driver who has been a strong promoter of corn growers and ethanol over the past year, will drive the No. 09 Toyota Camry in the NASCAR Nationwide Series for RAB Racing. American Ethanol will partner with Wallace for the Sprint Cup Series Daytona 500, as well as five races in the Nationwide Series.

“I’m honored to represent American Ethanol. I not only talk about American Ethanol, I truly believe in it,” Wallace said. “I’ve been to the farms, I’ve met the families, I’ve been to the ethanol plants, and I’ve been in the hallways of the U.S. Senate in Washington, D.C., in support of it.” (Listen to a prior interview with Wallace)

“Through our partnerships with Austin Dillon and Kenny Wallace, we are telling NASCAR and its fans that American Ethanol is committed to the sport,” said Growth Energy CEO Tom Buis. “These drivers are ideal ambassadors for the American Ethanol team and will help tell the story of how American-made ethanol creates jobs, cleans our air and fosters energy independence.”

Representing a wide array of ethanol supporters, from farmers to bio-engineering firms, American Ethanol was established by Growth Energy and NCGA with NASCAR starting with the 2011 racing season, the same year that NASCAR switched its fuel to Sunoco Green E15.

Listen to prior interviews with Childress, Growth Energy and NCGA.

A Texas corn grower says the “feed versus fuel” debate is based in fallacy.

Texas Corn Producers Board member Wesley Spurlock of Stratford has been speaking to groups across the Midwest explaining how U.S. corn farmers continue to grow a crop abundant enough to meet all growing demands and he has gained attention from industry publications looking to find the truth behind the headlines.

“To put it simply, growth in demand from the ethanol industry has mirrored an increase in productivity that yields larger corn crops,” Spurlock said. “We are still supplying the livestock industry with the corn that they need for feed, but we now have a market that utilizes an increasingly abundant resource to help solve our energy problems also.”

Listen to an interview with Sprulock in the National Corn Growers Association’s podcast series “Off the Cob” discussing how corn farmers are growing a larger crop on the land already in production while decreasing inputs used. During this interview, he also discusses the innovations facilitating increased yield trends, how the Texas drought plays a major role in recent cattle industry shifts, and the amazing story of modern American agriculture.

Corn growers are pleased with the ruling last week by a Federal District Court judge in Fresno, California that the state’s Low Carbon Fuel Standard (LCFS) violates the Commerce Clause of the U.S. Constitution and is therefore unconstitutional. The ruling is in response to a suit filed in December 2009 by the Renewable Fuels Association and Growth Energy asserting that the LCFS violates the Commerce Clause by seeking to regulate farming and ethanol production practices in other states.

“This ruling reaffirms our position that the state of California violated the U.S. Constitution when it created a low carbon fuel standard punitive to farmers and ethanol producers outside of the state’s border,” said National Corn Growers Association President Garry Niemeyer. “Corn farmers are good stewards and advocates for thoughtful, fair strategies that will improve our environment through the advancement of biofuels. We hope that this ruling will lead to an inclusive discussion where regulators join other stakeholders to find effective renewable energy solutions.”

The judge ruled that the LCFS discriminates against out-of-state corn-derived ethanol and impermissibly regulates extraterritorial conduct and that the California Air Resources Board (CARB) failed to establish that there are no alternative methods to advance its goals of reducing GHG emissions to combat global warming.

A number of ethanol supporting organizations recently sent a letter to the chairman and ranking members of the U.S. Senate and House Appropriations Committees urguing them to oppose a proposal by Reps. John Sullivan (R-Okla.) and Gary Peters (D-Mich.) that would delay commercialization of next generation ethanol.

The groups, which includ Growth Energy, the Renewable Fuels Association, the American Coalition for Ethanol and the National Corn Growers Association, oppose a proposal by Sullivan and Peters to include language in the FY12 omnibus appropriations package that would prohibit the U.S. Environmental Protection Agency (EPA) from using any appropriated funds to implement the E15 waiver.

The Sullivan-Peters proposed language — which did not receive a vote during this year’s appropriations process or a hearing in the Energy and Commerce Committee — is aimed at derailing and altering the long-standing process by which new fuel blends are brought into the marketplace. The EPA approved E15 after a more exhaustive study and data collection than any other of the 11 previously-approved fuel waiver petitions.

The letter from the organizations noted that “preventing the EPA from implementing the use of E15 for cars, pickups and SUVs made in model year 2001 and newer, further contributes to our nation’s reliance on foreign oil. Extensive testing has been done on E15 and it has been found to be a safe and effective fuel for use in the vehicles approved in the waiver. There has been no evidence to the contrary that would indicate problems in any vehicle regardless of vintage.”

Further, the EPA’s decision does not make E15 mandatory. Consumers are not required to use E15. Gas stations will not be required to sell E15. And the EPA will require a fuel label that clearly delineates that using E15 in model year 2000 vehicles, small engines and marine engines is illegal.

Lastly, the Sullivan-Peters language would inhibit new and innovative alternatives to fossil fuels. We are looking toward cutting-edge innovation to move to new ethanol feedstocks, like plant wastes, wood chips and switchgrass. The Sullivan-Peters language would solidify the status quo-a 90 percent mandate of our fuel supply from oil and would prevent American-made ethanol from being made available to consumers.

The partnership between NASCAR and ethanol is officially one year old and it has been a great year for racing on the renewable fuel.

It was one year ago last week at the NASCAR Champions Week in Las Vegas that American Ethanol was announced, a partnership that includes Growth Energy and the National Corn Growers Association.

Throughout the 2011 NASCAR season, every race car and truck in the Sprint, Nationwide and Camping World Truck series ran on Sunoco Green E15 as part of the American Ethanol partnership. And every race weekend, NASCAR’s newest special award, the American Ethanol Green Flag Restart Award was given to the participating driver who recorded the fastest average speed on restarts and who finished the race on the lead lap – a reminder of American Ethanol’s dedication to NASCAR’s green initiatives.

At this year’s Champions Week in Las Vegas, Growth Energy CEO Tom Buis gave an overall award to No. 17 driver Matt Kenseth for winning the Green Flag the most times in the 2011 season.

“I appreciate American Ethanol and Growth Energy and Sunoco for making such a great fuel this year,” Kenseth said when he accepted the award. “It worked great, it’s been good for the environment, it’s been good for NASCAR and we appreciated being a part of it.”

According to NASCAR officials and drivers, the E15 fuel blend has met and surpassed expectations – providing increased horsepower with minimal decrease in mileage. In fact, NASCAR’s 2011 Million Mile Report, proved that NASCAR racing vehicles accumulated more than a million miles of practice, qualifying and racing laps on E15 without any problems.

National Corn Growers Association president Garry Niemeyer, a farmer from Illinois, penned an editorial this week in an effort to let those still complaining about the Volumetric Ethanol Excise Tax Credit (VEETC) know that the game is over. Read that commentary below.

Back in August, the Green Scissors Project identified ways the federal government could shave $380 billion from the federal budget over five years. But their $380 billion in proposed cuts included a major error that accounts for more that 10 percent of their suggested cuts – $38.8 billion that they argued the Volumetric Ethanol Excise Tax Credit would otherwise cost between 2012 and 2016. They conveniently ignored the important fact that there will be no VEETC between those years. VEETC expires about a month from now, and corn growers and the ethanol industry have long agreed to let it expire and have since stopped fighting for its renewal.

It’s kind of like when one football team leaves the field and the other team scores a game-winning victory four plays later. Frankly, we left this game last quarter because there are other, smarter ways to support ethanol, especially in today’s deficit-prone political world. That was part of the reason we and the industry asked for a one-year extension in 2010 – to have time to seek alternatives. We won the game and left the field … not the guys who will pound their chests and claim victory in a few weeks.
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American Ethanol will be in the spotlight at the Martinsville Speedway NASCAR Sprint Cup Series race this weekend in Virginia.

The No. 33 Richard Childress Racing Chevrolet race car will feature a special-edition American Ethanol paint scheme at the race and will be driven by American Ethanol spokesman and recent Talladega race winner Clint Bowyer. In addition, the American Ethanol brand will be featured on-track and accompanied with a broadcast in-car camera on Sunday.

“This branded race car design raises American Ethanol’s profile in a powerful way, especially coming off Clint Bowyer’s win last week in Talladega,” said Tom Buis, CEO of Growth Energy. American Ethanol is a partnership between NASCAR, Growth Energy, and the National Corn Growers Association.

National Corn Growers Association NASCAR Advisory Committee Chair Martin Barbre says they are excited about the high profile ethanol will have in the upcoming race. “Of course, we again congratulate our spokesman on his major victory last week. Now, tens of millions of fans across the country will be keyed into Clint as he again shows the incredible performance of E15 as it fuels him back into victory lane again.”

All NASCAR series races this year have been powered by 15% ethanol. “The transition to E15 has been seamless and overwhelmingly positive for myself and my team, and I am honored to have American Ethanol on the No. 33 Chevrolet this weekend,” said Bowyer. “I support American farmers as they strive to develop energy independence for our country and I look forward to representing American Ethanol both on and off the track this weekend at Martinsville.”

The Martinsville Speedway Sprint Cup Series race will be on ESPN beginning at 1:30 Eastern at Martinsville (Virginia) Speedway.

American Ethanol spokesman Clint Bowyer won his first race of the year in the Richard Childress No. 33 Chevrolet at Talladega Superspeedway on Sunday as he raced to the front in the last lap to claim victory in the Good Sam Club 500.

Bowyer, a Kansas native, paired up with Richard Childress Racing teammate Jeff Burton as a draft-push partner in the closing laps and then jumped out in front of Burton in the final lap of the 188 lap race. It was Bowyer’s first win of 2011 and his fifth career victory.

The win also marked the 100th Sprint Cup Series win for Richard Childress Racing and its sixth win of 2011—the most of any Cup team.

After the race, Bowyer, whose contract with RCR ends at the end of this season said, “It’s just so important for me to be able to cap off such a good relationship with Richard. Everybody at RCR, it’s like family over there. Meant a lot for me to be able to win before we end this deal.”

American Ethanol is a partnership between NASCAR, Growth Energy, the National Corn Growers Association to promote domestically-produced ethanol. All NASCAR series races this year have been powered by 15% ethanol. The seventh race in the season-ending Chase championship will be next Sunday at Martinsville (Virginia) Speedway.

A coalition of seven agricultural and biofuels organizations sent a letter this week to two members of Congress who have introduced legislation to modify the Renewable Fuels Standard (RFS2), warning that it is unnecessary and could lead to higher prices at the pump.

The organizations were reacting to a bill introduced by Representatives Bob Goodlatte (R-VA) and Jim Costa (D-CA) that would reduce or eliminate the volumes of renewable fuel use required by the Renewable Fuels Standard (RFS) based upon corn stocks-to-use ratios.

The groups point to a recent analysis by economists at the University of Wisconsin and Iowa State University that found growth in ethanol production reduced gasoline prices by an average of $0.25 per gallon, or 16 percent, over the entire decade of 2000-2010. “In 2010, for example, the authors found that the use of ethanol reduced wholesale gasoline prices by an average of $0.89 per gallon,” the letter stated, adding that the result of an immediate reduction in ethanol output “would be a dramatic increase in U.S. gasoline prices and the resulting increase in U.S. gasoline imports would also cause world gasoline prices to increase in the short run.”

Speaking to concerns over high corn prices, the groups wrote, “Numerous studies have concluded that the RFS is a minor contributor to corn prices. The most recent study, a July 2011 analysis commissioned by the International Centre for Trade and Sustainable Development, found that corn prices would have been exactly the same in 2009/10 if both the RFS and Volumetric Ethanol Excise Tax Credit (VEETC) had not existed.”

The groups are the American Coalition for Ethanol (ACE), the American Farm Bureau Federation (AFBF), Growth Energy, the National Corn Growers Association (NCGA), the National Farmers Union (NFU), the National Sorghum Producers, and the Renewable Fuels Association (RFA).

More analysis on the issue can be found on the RFA E-xchange Blog.

NASCAR has passed the one million mile mark in competition racing on Sunoco Green E15 and issued a report detailing how the 15% ethanol blend performed on the race track this year.

The “One Million Competition Miles on Sunoco Green E15” report, released today in Washington D.C., shows the qualities of E15 as a racing fuel this first year of use in the NASCAR Sprint Cup Series™, NASCAR Nationwide Series™ and NASCAR Camping World Truck Series™. With more than 1.3 million miles accumulated in practice, qualifying and racing laps in NASCAR racing vehicles since the racing season began in February with the Daytona 500, the report details the performance of mid-level ethanol blends.

“Before NASCAR switched its fuel to Sunoco Green E15 at the start of the 2011 racing season, there was extensive analysis and deep consideration about the decision,” said Mike Lynch, Managing Director of Green Innovation for NASCAR. “Successfully transitioning to the new fuel and surpassing a million miles, all on America’s toughest proving ground, is a validation of Sunoco Green E15 as a high-performance racing fuel and is part of our overall effort to go green. NASCAR is proud to use this American-made product because it creates American jobs while also reducing harmful emissions.”

NASCAR’s switch to 15% ethanol fuel came together from a partnership with American Ethanol, established by Growth Energy and the National Corn Growers Association (NCGA).

“It is time we moved forward with E15. This is yet another testament to E15’s value as a fuel. If E15 can fuel the dozens of drivers in dozens of different vehicles every weekend without issue, then it stands to reason that E15 can be used in everyday street cars by everyday Americans,” said Tom Buis, CEO of Growth Energy.

“E15 is performing like champ in the most rigorous driving conditions on the planet and that’s good news for everyone who supports renewable fuels,” said NCGA president Bart Schott.

Read the report here.

The National Corn Growers Association (NCGA) and Pioneer HI-Bred are offering corn growers a chance to win a NASCAR dream day to the Irwin Tools Night Race at Bristol Motor Speedway, Bristol, Tenn., on Saturday, Aug. 27.

The package includes two tickets to the race, as well as a personal visit with racing legend Jeff Gordon. Only members of NCGA who sign up for NASCAR-NCGA’s Fuel for Members Program before 12 p.m. central time this Friday, Aug. 5 will be entered for the drawing to win.

NCGA is part of the American Ethanol partnership with NASCAR, which began racing on 15% ethanol this season.

The House Committee on Science, Space and Technology’s Subcommittee on Energy and Environment is holding a hearing today on “examining the science” of 15% ethanol in fuel, but the corn ethanol industry is questioning the list of witnesses, which appears to be somewhat lopsided.

“The Environmental Protection Agency has been thorough in its work on the E15 waiver request and several outside researchers have been evaluating and analyzing E15 and other blends for a number of years,” said National Corn Growers Association (NCGA) President Bart Schott. “While EPA will have someone there to testify, the remainder of those on the list of witnesses testifying have a long-standing history of being critical of corn-based ethanol at any level. This is an extremely unbalanced panel and it is easy to see why some consider this hearing to be a sham.”

Those set to testify at the hearing this afternoon include representatives from the American Petroleum Institute, Environmental Working Group, Evinrude Outboard Motors, National Chicken Council, and the Outdoor Power Equipment Institute. Only one witness, Steven Burke with the Biofuels Center of North Carolina, will be representing the ethanol industry.

“This hearing pretends to look at the science behind E15,” Schott said. “We have a hard time understanding what makes the National Chicken Council or the Environmental Working Group scientific experts on the safety and efficiency of automotive fuels in modern internal combustion engines.”

The Renewable Fuels Association (RFA) is also questioning the witness list for today’s hearing. “This is little more than a congressionally-sanctioned witch hunt for those with an axe to grind against farmers and ethanol producers,” said RFA President and CEO Bob Dinneen. The RFA sent a letter to committee leadership to provide the ethanol industry’s point of view as it is not represented on the panel.

The hearing will be held at 2 pm Eastern time.