Renewable Fuels Association (RFA) president and CEO Bob Dinneen discussed a 10-point plan for the future of the ethanol industry during his annual State of the Industry address at the National Ethanol Conference in Grapevine, Texas.
Dinneen began by declaring, “…as I contemplate the state of the U.S. ethanol industry today, it is without hesitation or hyperbole that I conclude it is brimming with the confidence of an industry that has seen tough times and thrived, good times and prepared, and turbulent times and never wavered. The state of the ethanol industry is strong.”
Dinneen detailed the maturity of the industry, noting last year’s success despite the Environmental Protection Agency’s (EPA) indecision and proposed cuts to the Renewable Fuel Standard (RFS), pointing to the expansion of the ethanol market globally, and highlighting the emergence of cellulosic ethanol.
But, Dinneen implored that “there is much work left to do”, noting that “RFA is committed to an aggressive 10-point agenda that will move the industry forward and assure continued growth and evolution.”
Dinneen outlined a 10-point plan to:
1) Get the Renewable Fuel Standard (RFS) on a growth trajectory that will crack the blend wall and motivate investment in new cellulose technologies
2) Grow market opportunities for higher-level ethanol blends including E15 and E85
3) Secure parity for E10 and E15 with respect to EPA’s RVP regulations
4) Expand export markets
5) Create a level playing field for cellulosic biofuels by securing a long-term tax incentive
6) Develop a roadmap for Renewable Super Premium (RSP)
7) Support low carbon fuels programs “done right” and developed with the best available science
8) Improve railroad service while prioritizing highly volatile crude oil for railcar safety modifications
9) Continue to promote safety practices and procedures both at the plant and in the transport of ethanol
10) Provide detailed technical guidance that establishes a solid foundation for the industry’s fuel marketplace and policy priorities
Dinneen’s full remarks, as prepared for delivery, can be found here.
Weekly ethanol, corn & DDGs update
Meanwhile, the Renewable Fuels Association (RFA) released ethanol production data for the week ending Feb. 13:
Ethanol production: 40.5 million gallons/day. The four-week average for ethanol production calculates to an annualized rate of 14.76 billion gallons. Expressed as a percentage of daily gasoline demand, daily ethanol production was 10.94%.
Corn used: 14.62 million bushels/day
DIstillers grains production: 95,913 metric tons/day
Distillers dried grain prices
Regional distillers dried grain prices for Feb. 18, from the USDA Market News/National Feedstuffs Market Review. Prices are $/ton, and reflect changes from previous week.
Eastern Corn Belt: was steady from 190-200
Chicago area: was steady from 190-200
Lawrenceburg, IN: not available
Nebraska: steady from 168-189
Minnesota: steady from 160-175
Kansas: steady from 180-205
Iowa: steady from 160-185
Northern Missouri: steady to 2 higher from 189-210
South Dakota: 2 lower from 158-173
St. Louis: steady from 185-210
Wisconsin: steady from 175-190
California (rail delivered): 3 to 19 lower from 230-251