Reading view

There are new articles available, click to refresh the page.

Growth Energy Submits Testimony in Support of Minnesota’s Biofuel Infrastructure Grants Legislation

Chairman Anderson,

Growth Energy is the world’s largest association of biofuel producers, representing 97 U.S. plants, including nine in Minnesota, that each year produce 9.5 billion gallons of renewable fuel; 130 businesses associated with the production process; and tens of thousands of biofuel supporters around the country. Together, we are working to bring better and more affordable choices at the fuel pump to consumers, improve air quality, and protect the environment for future generations. We remain committed to helping our country diversify our energy portfolio, grow more green energy jobs, decarbonize our nation’s energy mix, sustain family farms, and drive down the costs of transportation fuels for consumers.

Promoting the use of biofuels is an important way Minnesotans can contribute to the state’s carbon reduction goals. Bioethanol emits 46% fewer GHGs compared to gasoline. Bioethanol’s other environmental benefits are also noteworthy. As has been researched by the University of California, Riverside and the University of Illinois at Chicago, the use of more bioethanol and bioethanol-blended fuel reduces harmful particulates and air toxics such as carbon monoxide, and benzene.

We appreciate the unique challenges Minnesota’s retail fuel industry faces when having to replace aging infrastructure. Updating fuel dispensing and storage equipment is not always an easy endeavor. Thankfully, Minnesota has proven itself as a national leader in the promotion and use of biofuels. Since 2021, the state’s Biofuels Infrastructure Grant Program has awarded 60 grants to fuel retailers, totaling $9.5 million, to replace infrastructure with equipment capable of storing and dispensing higher bioethanol blends of fuel. The results of these grants have paid off, as recent state data indicates the sale of E15, a fuel containing 15% ethanol also branded as Unleaded 88, hit a record high in 2024.

While these gains are laudable, there is still more to be done. While the Energy Information Administration’s latest data (2022) shows the state’s retail fuel location count for gasoline at 2,064 sites, less than one quarter of them offer Unleaded 88 E15 gasoline according to GetBiofuel.com. Increasing the number of retail fuel locations offering E15 is essential to the state’s climate goals.

Growth Energy offers its support of House File 43, which increases funding for the Biofuels Infrastructure Grant Program by $4.5 million for each fiscal year 2026 and 2027. Minnesota is one of only a handful of states that recognizes the biofuels industry’s efforts to reduce carbon emissions. Research has shown that Minnesota could reduce its annual greenhouse gas emissions by more than 330,000 tons by replacing E10 with E15. This is the emissions-reduction equivalent of removing more than 72,000 vehicles from the road, without impacting a single driver.

HF 43 makes substantial investments in those carbon emissions reduction efforts through the state’s retail fuel industry. It also increases stable access to the domestic fuel market for Minnesota’s corn growers, particularly as international markets experience uncertainty and the USDA’s 2024 farm income forecast predicted a 24% drop in farm income.

We appreciate the opportunity to express our support for HF 43, thank Chairman Anderson for introducing the legislation, and respectfully request the committee’s support for the bill. Additionally, we are available to assist the committee with any technical questions.

The post Growth Energy Submits Testimony in Support of Minnesota’s Biofuel Infrastructure Grants Legislation appeared first on Growth Energy.

Growth Energy Supports Ohio Ethanol Incentive

Chairman Creech,

Growth Energy is the world’s largest association of biofuel producers, representing 97 U.S. plants that each year produce more than 9.5 billion gallons of cleaner-burning, renewable fuel, including five of Ohio’s seven biorefineries. We also represent 130 businesses and groups, including the Ohio Corn and Wheat Growers Association, working with them and tens of thousands of biofuel supporters around the country. Together, we remain committed to bringing better and more affordable choices at the fuel pump to consumers, helping our country diversify our energy portfolio in order to grow more energy jobs, sustaining family farms, and driving down the costs of transportation fuels for consumers.

Today, 98 percent of all gasoline sold in the U.S. contains 10 percent bioethanol. E15, a fuel containing up to 15 percent bioethanol, is now available at more than 3,700 retail locations in 33 states, and higher bioethanol blends such as E85 are available at nearly 6,000 sites around the country. In Ohio, there are currently only 166 retail fuel locations selling E15. Less than two percent of the state’s estimated 8,894 retail fuel locations offer E15. Compare this to Minnesota, with half of Ohio’s population, that has more than 500 retail locations offering E15.

E15 is approved for all 2001 and newer vehicles, more than 96 percent of all light duty vehicles on the road today. Most vehicles require a minimum octane rating of 87. Bioethanol, with an octane rating of 113, helps meet that in modern cars. Bioethanol is a cleaner, renewable, and cost-effective alternative to toxic chemicals like lead and MTBE. Consumers have now driven more than 140 billion miles on E15, and retailers have conducted millions of transactions with this fuel. There have been no adverse reports of fuel quality experienced with E15 since first being approved 13 years ago.

As the Ohio House and Senate work through the state’s biennial budget, Growth Energy encourages the House Agriculture Committee to consider amendments that help provide a temporary boost to Ohio’s corn growers via a five-cent per gallon incentive for retailers to offer and sell fuels with higher blends of ethanol. Implementation of a similar incentive that passed the Ohio House last session will help Ohio corn growers with increased domestic demand for their product as international markets are experiencing continued uncertainty while USDA forecasts a potential 25% decline in farm income.

Previously considered legislation would have resulted in the purchasing of as much as 3.4 million additional bushels of Ohio corn to produce an additional 200 million gallons of E15. Based on 2024 prices, corn sales to bioethanol producers would have increased in the state by more $14 million. This increased production in bioethanol would also result in the availability of an additional 29 million pounds of nutrient-rich animal feed, an important co-product in the bioethanol production process, for Ohio livestock farmers.

A number of Midwestern states have adopted or are considering an incentive for the sale of higher bioethanol blends. A similar five-cent per gallon incentive being considered in Indiana for bioethanol, which when combined with an incentive for biodiesel sales, would add more than $100 million to that state’s GDP annually. When considering the consumer savings and the benefits to both Ohio agriculture and bioethanol producers, a temporary incentive will boost economic activity and benefit the state’s bottom line.

Given our experience with retailers around the country offering bioethanol blends, we are happy to assist the committee with technical questions as it considers initiatives that help strengthen domestic demand for Ohio-raised corn and Ohio-made bioethanol.

The post Growth Energy Supports Ohio Ethanol Incentive appeared first on Growth Energy.

Growth Energy Testimony in Support of Kansas E15 Legislation

Chairman Smith,

Growth Energy is the world’s largest association of biofuel producers, representing 97 U.S. plants that each year produce more than 9.5 billion gallons of cleaner-burning, renewable fuel, including five of Kanas’ twelve biorefineries. We also represent 123 businesses—including six associate members in Kansas—associated with the production process; and tens of thousands of biofuel supporters around the country. Together, we remain committed to bringing better and more affordable choices at the fuel pump to consumers, helping our country diversify our energy portfolio in order to grow more energy jobs, sustaining family farms, and driving down the costs of transportation fuels for consumers.

Today, 98 percent of all gasoline sold in the U.S. contains 10 percent bioethanol. E15, a fuel containing up to 15 percent bioethanol, is now available at more than 3,700 retail locations in 33 states, and higher bioethanol blends such as E85 are available at nearly 6,000 sites around the country. In Kansas, there are 72 retail locations selling E15 and 90 locations selling E85.

E15 is approved for all 2001 and newer vehicles, more than 96 percent of all light duty vehicles on the road today. Most vehicles require a minimum octane rating of 87. Bioethanol, with an octane rating of 113, helps meet that in modern cars. Bioethanol is a cleaner, renewable, and cost-effective alternative to toxic chemicals like lead and MTBE. Consumers have now driven more than 140 billion miles on E15, and retailers have conducted millions of transactions with this fuel. There have been no adverse reports of fuel quality experienced with E15 since first being approved 13 years ago.

Growth Energy appreciates this opportunity to support House Bill 2012, which would provide an important tax credit for bioethanol fuel blends from 15 to 85 percent. Specifically, this legislation would provide a non-refundable 5 cent per gallon tax credit to fuel retailers for every gallon of higher bioethanol fuel blends sold. This credit is important as retailers in Kansas continue to build out the market and invest in additional infrastructure to offer these higher bioethanol blends.

Bioethanol blends such as E15 and E85 also give consumers more affordable choices at the pump. During the summer of 2023, Kansans saved an average of 11 cents per gallon on E15 compared to E10. Providing a 5 cent per gallon tax credit to incentivize a higher bioethanol blend helps hardworking Kansans save on fuel costs without any impact to the state’s fuel tax revenue.

This credit will also help Kansas bioethanol producers, corn growers and sorghum producers, and livestock farmers. At a time when American farmers are facing a 25% decrease in farm incomes, Kansas corn growers and sorghum producers can benefit from the increased demand for their crop. The tax credit could result in the purchasing of as much as 1.7 million additional bushels of Kansas corn annually to produce an additional 5 million gallons of bioethanol. This increased production in bioethanol also results in the availability of an additional 29 million pounds of nutrient-rich animal feed, an important co-product in the bioethanol production process, for Kansas livestock farmers.

When considering the consumer savings, the benefits to the agriculture and bioethanol industries, and noting no impact on Kansas’ fuel tax revenue, the proposed retail tax credit doesn’t affect the state’s bottom line. Several Midwestern states have successfully implemented similar tax incentives for higher bioethanol blends. As more states consider incentives, Kansas should ensure its product made from Kansas-grown corn and sorghum benefits Kansas drivers.

Given our experience with retailers around the country offering bioethanol blends, we are happy to assist the committee with technical questions as they consider this important legislation. We look forward to working with you to finalize this important benefit for Kansas drivers, fuel retailers and farmers. Thank you in advance for your consideration.

The post Growth Energy Testimony in Support of Kansas E15 Legislation appeared first on Growth Energy.

Growth Energy Testimony in Support of Nebraska SAF Tax Credit

Chairperson von Gillern,
Thank you for the opportunity to provide testimony for LB 8. Growth Energy is the world’s largest association of biofuel producers, representing 97 U.S. plants that produce more than 9.5 billion gallons of renewable fuel annually; 123 businesses associated with the production process; and tens of thousands of biofuel supporters nationwide. Together, we are working to bring consumers better and more affordable choices at the fuel pump, improve air quality, and protect the environment for future generations. We remain committed to helping diversify our country’s energy portfolio, grow more energy jobs, decarbonize our nation’s energy mix, sustain family farms, and drive down the costs of transportation fuels for consumers.

Growth Energy strongly advocates for policies supporting sustainable aviation fuel (SAF) development, which presents an historic opportunity to Nebraska’s farmers and bioethanol producers, including the eight Nebraska biorefineries that are members of Growth Energy, which collectively have a production capacity of 995 million gallons of bioethanol.

In 2021, the United States produced approximately 5 million gallons of SAF but incentives like Sustainable Aviation Fuel Tax Credit Act can help the ethanol industry occupy up to half of the domestic aviation marketplace. Growth Energy members have committed over 1.1 billion gallons of ethanol capacity to SAF, more than 650 million gallons of SAF. To achieve these goals, getting the policies that will spur this investment right is essential.

Growth Energy supports LB 8, which modifies the $1.50 tax credit for sustainable aviation fuel (SAF) sold or used in Nebraska. The changes made by LB 8 allow Nebraska to become a leader in SAF production and sales. In particular, modifying the credit to remove the $500,000 annual limit the state can approve for the tax credit each fiscal year is important to the growth of Nebraska’s SAF production. Additionally, amending the implementation date for the tax credit ensures the state’s bioethanol producers can fully utilize the credit.

LB 8 represents an opportunity for Nebraska farmers and biofuel producers to benefit from this still nascent market poised to skyrocket in the coming decades. A study conducted by Decision Innovation Solutions concluded that to achieve 100% SAF usage by 2050, 63 new bioethanol plants of 200 million gallons production capacity each will need to be constructed nationwide. That same study suggested Nebraska may need as many as 6 alcohol-to-jet (the process in which bioethanol is converted to sustainable aviation fuel) SAF production facilities based on the state’s corn supply. Nebraska’s status as a leading state for corn and bioethanol production has the potential to be enhanced with the passage of LB 8.

Today, biofuels support more than half a million jobs across the rural bioeconomy. If bioethanol producers take full advantage of SAF opportunities, that number has the potential to double. LB 8 incentivizes the Cornhusker State to embrace SAF production and capitalize on the economic and employment benefits of the growing SAF industry.

We appreciate the opportunity to express our support for LB 8, thank Senator Dungan for introducing the legislation, and respectfully request the committee’s support for the bill. Additionally, we are available to assist the committee with any technical questions.

The post Growth Energy Testimony in Support of Nebraska SAF Tax Credit appeared first on Growth Energy.

Growth Energy Submits Testimony on Ohio Class VI Primacy

Chairman Hall, Vice Chair Lear, Ranking Member Rogers, Jr., and members of the Committee,

Thank you for the opportunity to provide written testimony regarding House Bill 358. Growth Energy is the world’s largest association of biofuel producers, representing 97 U.S. plants that each year produce more than 9.5 billion gallons of renewable fuel, 123 businesses associated with the production process, and tens of thousands of biofuel supporters around the country. Together, we are working to bring better and more affordable choices at the fuel pump to consumers, improve air quality, and protect the environment for future generations. We remain committed to helping our country diversify its energy portfolio, sustain family farms, and drive down the costs of transportation fuels for consumers.

We write today in support of Ohio’s efforts to establish primacy in the approval and regulation of Class VI carbon dioxide sequestration wells for potential projects in the state. Carbon sequestration is a critical tool for the bioethanol industry, particularly as demand for low-carbon liquid fuels continues to rise. Ohio is positioned as one of only a relatively handful of states with optimal carbon sequestration geology.

Liquid fuels are expected to continue to dominate the nation’s transportation fuel matrix in the coming decades. Domestic markets, as well as an increasing number of international markets, are placing a premium on low-carbon liquid fuels. By establishing primacy, Ohio’s bioethanol industry, coupled with favorable geology for sequestration in several regions of the state, will provide additional economic benefits to the biofuels industry and the rural Ohio economies it supports via increased access to these low-carbon domestic and international markets.

With the U.S. Department of Agriculture predicting further decreases in farm incomes, these new markets and economic opportunities are particularly important for rural communities dependent on grain prices and biofuels production. As of November 11, 2024, 154 Class VI permits were currently under review by the U.S. Environmental Protection Agency. Many of these permit applications have experienced delay after delay, preventing bioethanol producers from moving forward on capital- and labor-intensive carbon sequestration projects.

By establishing primacy, Ohio can move forward with CCUS projects without delays from federal agencies. Growth Energy’s members, and the corn growers with whom we work, will benefit greatly from Ohio’s efforts on Class VI primacy. Ohio can join North Dakota, Wyoming, and Louisiana in taking advantage of this economic opportunity for a variety of industries.

We thank State Representative Robb-Blasdel for introducing this legislation and working with stakeholders to ensure the economic benefits of CCUS projects can benefit Ohioans across its energy industry. Given our industry’s experience and expertise in carbon reduction, we are happy to assist the Committee with technical questions as they consider this important legislation.

The post Growth Energy Submits Testimony on Ohio Class VI Primacy appeared first on Growth Energy.

Growth Energy Provides Testimony on Dispenser Labeling in Michigan

Chair Shink,

Thank you for the opportunity to provide testimony on SB 1171. Growth Energy is the world’s largest association of biofuel producers, representing 97 U.S. plants—including two plants in Michigan—that produce more than 9 billion gallons of renewable fuel annually; 123 businesses associated with the production process; and tens of thousands of biofuel supporters nationwide. Together, we are working to bring consumers better and more affordable choices at the fuel pump, improve air quality, and protect the environment for future generations. We remain committed to helping diversify our country’s energy portfolio, grow more energy jobs, decarbonize our nation’s energy mix, sustain family farms, and drive down the costs of transportation fuels for consumers.

Growth Energy supports SB 1171, which provides certain updates to the Motor Fuels Quality Act of 1984. As a partner with fuel retailers across the country, we work to ensure statutory and regulatory certainty in the fuel retail market so that consumers have access to fuels with higher blends of ethanol, which will help them save money at the pump while using a lower carbon fuel.

We appreciate the efforts in SB 1171 to streamline Michigan’s statute with federal regulations regarding dispenser labeling for retailers offering E15. E15 is a blend consisting of 15 percent bioethanol, has been approved for use by the EPA in all passenger vehicles model year 2001 and newer, more than 96 percent of the vehicles on the road today. It is now for sale at more than 3,400 locations in 32 states.

Provisions in SB 1171 ensure the federal label required by the U.S. Environmental Protection Agency in 40 CFR 1090.1510 for retailers offering E15 is sufficient for the state and provides consumers the assurance they are filling their tank with a more affordable fuel option that is safe for their engines. The EPA label is the standard for E15 dispensers and consistent for fuel retailers across the country.

According to recent data from Environmental Health and Engineering, today’s bioethanol reduces greenhouse gases (GHG) by nearly 50 percent compared to gasoline and can provide even further GHG reductions with additional readily available technologies. A national analysis showed a reduction of 580,000 tons of GHGs annually in Michigan if E15 replaced E10 gasoline. This is the GHG reduction equivalent of removing more than 126,000 vehicles from Michigan’s roads without impacting a single driver just by using a higher ethanol-blend fuel. These emissions reductions also come with meaningful consumer cost-savings. During the summer of 2023, E15 was sold at 15 cents less per gallon where available on average nationwide.

We thank Chair Shink for introducing this bill, appreciate the collaboration with the Department of Agriculture and Rural Development, and urge all members of the committee to support the bill.

The post Growth Energy Provides Testimony on Dispenser Labeling in Michigan appeared first on Growth Energy.

❌