Corn Commentary

Father of Ethanol Award

ace14-merle-collinThe American Coalition for Ethanol meeting in Minneapolis last week honored Congressman Collin Peterson of Minnesota with its highest award for supporters of ethanol, the Merle Anderson Award.

Anderson, a co-founder of ACE and known to many as the “Father of Ethanol,” proudly presented the award to his congressman. “Farmers have probably tripled their net worth in the last ten years,” said Anderson, giving credit to Peterson for getting farm bills passed. “I don’t think you’d have had a farm bill the last two farm bills if you wouldn’t have had Collin Peterson.”

Merle Anderson Presents Award to Rep. Collin Peterson

Peterson helped to pass the energy bill with the Renewable Fuel Standard and remains a strong supporter of ethanol in Congress. “It’s just been a tremendous success story in agriculture because it’s changed the marketplace so farmers can get a decent price for their corn,” he said. “We do have our opponents and they are still working to undermine things,” he continued.”They want to go back to $1.85 corn and I tell them if they are successful they will rue the day because nobody can grow corn for $1.85.” Peterson says the only way farmers survived when prices were $1.85 a bushel was because of the government subsidy “and that’s gone.”

Peterson remains hopeful that the EPA will eventually come out with a better final rule on the 2014 volume obligations for the RFS. “I think the fact that they delayed this for now a third time shows they are listening,” he said. “It appears to me that they realize they made a mistake here and they’re trying to figure out how to undo it.” He thinks it could be next year before the rule is final, but “a delayed decision is better than a bad decision.”

In this interview, Peterson also comments on WOTUS, farm bill implementation, immigration, and more. Interview with Rep. Collin Peterson (D-MN) at ACE Conference

27th Annual Ethanol Conference photo album

Increasing Ethanol Yield

cutc-14-novozymesOne way enzyme technology can help ethanol plants is by yielding more ethanol per bushel of corn.

At the recent Corn Utilization and Technology Conference, Nathan Kreel with Novozymes talked about Olexa, a unique enzyme designed for oil recovery. “We developed it mainly to enhance corn oil extraction for the customer, but we are seeing there are a lot of other benefits,” he said. That includes an increase in ethanol yield, better yeast health, and more efficient fermentation.

“The most important thing is that we see back end process improvements with an average of 13% oil increase,” Kreel said. “It’s a simple drop-in product that is added right to the fermentation and you can see improvements right when it’s used.”

Learn more in this interview: Interview with Nathan Kreel, Novozymes

2014 CUTC Photo Album

The Yeast Dynamics of Ethanol Plants

cutc-14-dupontDuPont Industrial Biosciences is looking into understanding the yeast metabolism and dynamics associated with various stresses in the fuel ethanol fermentation process.

“Those stresses could be putting in too much enzyme, or not enough enzyme,” said Dr. Donald Cannon, who presented at the Corn Utilization and Technology Conference. “So, we’ve identified succinate as a marker for nitrogen stress and what we’re using that for is to help in protease trials.”

Cannon says they believe these metabolite insights will be helpful as ethanol plant technology diversifies. “Increasing efficiency and taking care of process upsets,” he explained. “What we want to be able to do is help plants identify those upsets.”

Listen to my interview with Joe here: Interview with Donald Cannon, DuPont

2014 CUTC Photo Album

Ethanol is World’s Lowest Cost Motor Fuel

corn-pumpDespite claims by detractors that ethanol makes the price of fuel more expensive, a new analysis released by the Renewable Fuels Association shows that over the past four years, ethanol has been the most economically competitive motor fuel and octane source in the world.

The ABF Economics study
found that even after accounting for transportation costs to the reference markets of Los Angeles, Chicago, and New York, ethanol came out far cheaper than gasoline blend stock, according to RFA Senior Vice President Geoff Cooper. “The average over the past four years has been a 30-40 cent per gallon discount, and that’s been as high as a dollar in some cases,” he said.

Cooper says the study also found U.S. ethanol has been more cost competitive than Brazilian ethanol which has particular relevance in the California market. “Over the past four years, U.S. based ethanol has been 80 cents per gallon less expensive than ethanol imported from Brazil,” said Cooper, noting that Brazilian ethanol gets a lower carbon intensity score under California’s low carbon fuel standard. “So consumers in the California market place are bearing that cost,” he added.

Cooper adds that bigger corn crops and more efficient use of corn in making cellulosic ethanol will also contribute to lowering the cost of production.

Listen to Geoff explain the findings of the analysis here:
Geoff Cooper, Renewable Fuels Association

EPA Chief Hopes RFS Rule Coming “Soon”

epa-mccarthyA final rule on the volume obligations for this year under the Renewable Fuel Standard is taking longer than expected, but Environmental Protection Agency administrator Gina McCarthy says they want to get it right.

“I’m hoping it will come out soon,” she said during a press conference on agricultural issues this week. Explaining about the delay in releasing the final rule, which was expected by the end of June, McCarthy said it has become clear that there is concern “not only about what the volumes of the fuels are but the way in which we are adjusting those volumes.”

McCarthy stressed that the administration “continues to have a strong commitment to biofuels” and they want to make sure the final rule “clearly reflects that interest.”

“My goal is always to make sure we get it right,” she concluded.

Listen to McCarthy explain here: EPA Administrator Gina McCarthy on RFS rule release

Don’t Worry, Consumers! Big Oil Will Make Those Pesky Choices for You

Standing at the pump, have you even wondered who decides which options you will have? Maybe the gas station owner? The government? Who knows?

If you thought that it impacted what you pay, would you care? What if it was cheaper and kept money in the United States and out of oil regimes in the Middles East? Maybe then?

According to a report card released today by the Renewable Fuels Association, Big Oil is taking care of the big decisions in most cases. The biggest names in the oil industry have been stacking the deck in favor of their product for years by writing a series of restrictions into every franchise agreement. If consumers want to go to a name they know, chances are they have to take whatever Big Oil is willing to give.

The reasoning behind the regs is simple. By making it cost prohibitive or even forbidden to carry renewable fuel blends currently available, like E15 or E85, they make sure that their pockets will be as full as possible. As for consumer wallets? Oh well.

Take a second to find out more by clicking here.

Big Oil does an incredible job of watching out for itself. What they fail to do is watch out for consumers, the environment, the U.S. economy and U.S. energy security.

Next time you fill up, take a second to wonder why you are paying more, and losing more, because of the undue influence of a modern monopoly. Take a look at the options. They do exist.

Be Proud to Support American Ethanol

As we prepare to celebrate our nation’s Independence Day, many of us will be out on the roads driving to see family, friends and fireworks. But, thanks to upheaval in a little country halfway across the world, gas prices are up again so we are going to be paying more at the pump, a stark reminder that we are not so independent when it comes to our energy sources.

ethanol-prideNational Corn Growers Association president Martin Barbre says that this Independence Day, more than ever before, it’s important for us to remember the great strides our country has made in moving toward energy independence and to keep moving forward, not backward.

“The Environmental Protection Agency wants a 10 percent reduction in corn ethanol this year, and earlier this year nearly 200,000 people around the country demanded the EPA not cut the Renewable Fuel Standard,” says Barbre. “Because it’s produced here in the United States, every gallon of ethanol blended into fuel means a gallon of gas from foreign oil that we don’t need. It provides a cushion in times such as these with Mideast violence and gives drivers a choice that helps clear the air and boost the economy.”

He suggests that all Americans (especially farmers!) do their part to support domestically produced ethanol. Buy a flex fuel vehicle. If you already have an FFV, fill up with E85 whenever possible and if it’s not available at your gas station, tell the manager you want it.

Renewable Fuels Association president and CEO Bob Dinneen also reminds us that ethanol saves Americans money at the pump, stretches the fuel supply and is the perfect remedy for skyrocketing gas prices.

In this interview Dinneen talks about that, as well as the new milestone reached this week in cellulosic ethanol production and why the government needs to be expanding the use of biofuels rather than contemplating scaling back our nation’s renewable energy policy and striking a blow for American energy independence. Share it with your friends on social media.

Ethanol Report on Energy Independence

Filling up with domestic, renewable ethanol is a great way to celebrate our great nation’s 238th birthday, and we at NCGA wish everyone a memorable and safe holiday weekend.

Corn Fiber is Pathway to Cellulosic Ethanol

quad-countyThe very first commercial-scale cellulosic ethanol gallons flowed from the Quad County Corn Processors (QCCP) distillation unit in Galva, Iowa this week, made from a “bolt-on” process that allows a plant to convert the kernel’s corn fiber into cellulosic ethanol, in addition to traditional corn starch ethanol.

“Our Adding Cellulosic Ethanol (ACE) project will not only increase our plant’s production capacity by 6 percent, but it will also continue to boost energy security and provide consumers with more low-cost, cleaner-burning ethanol without adding any additional corn to the production process,” said QCCP CEO Delayne Johnson, who also noted the new technology will improve the plant’s distillers grains (DDGs) co-product. “As a result of the new process, the DDGs will be much more similar to a corn gluten meal. It will increase the protein content of the livestock feed by about 40 percent, and we also expect to see a boost in corn oil extraction by about 300 percent,” he said.

corn-cobsOddly enough, within 24 hours after Quad County made that announcement, the Environmental Protection Agency gave its final blessing to allow crop residue such as corn fiber to qualify as a fuel pathway for the production of cellulosic biofuel. EPA decided that crop residue actually does meet the lifecycle greenhouse gas (GHG) reduction requirements for cellulosic biofuel under the Renewable Fuel Standard (RFS) provided that “producers include in their registration specific information about the types of residues which will be used, and record and report to EPA the quantities and specific types of residues used.”

“Cellulosic ethanol and corn ethanol are not mutually exclusive,” says Renewable Fuels Association president and CEO Bob Dinneen. “There are synergies that will make the production of both at existing facilities very attractive.”

Cellulosic ethanol is no longer a “phantom fuel” and corn is helping it become a reality.

NCGA CEO Addresses FEW

few14-tolmanCall it the Rick Tolman Farewell Tour.

National Corn Growers Association CEO, Rick Tolman took the podium this past week for the last time as CEO of the National Corn Growers Association to address the general session at the Fuel Ethanol Workshop in Indianapolis. It was the 30th year for the workshop and during his remarks he commented on how things have changed in the past 30 years – from the acres of corn planted and bushels harvested to the gallons of ethanol produced and where things are headed in the future of the industry.

“It’s so exciting to see the tremendous growth the industry has made,” said Tolman. “We have so many ethanol plants now and it’s part of the mainstream, it’s in almost every gallon of gasoline across the country … and ten years ago that wasn’t the case … we’ve made tremendous progress.”

In an interview after his address at FEW, Tolman talked about this year’s corn crop, which is expected to be another record. Emergence pushed past the five-year average last week, according to the latest USDA report, and 75 percent of all acres are rated in good to excellent condition as of June 8.

Tolman says while we have planted a few less acres this year we continue to push through the 10-million bushel barrier that was so difficult to reach early in his 14-year tenure as NCGA CEO. He will be stepping down from that position at the end of September. Interview with NCGA CEO Rick Tolman

2014 Fuel Ethanol Workshop Photo Album

Getting More Ethanol Per Bushel

scott-kohlSomewhere between corn ethanol and cellulosic ethanol is a midpoint that can be found in the corn kernel.

“Generation one is starch to ethanol and generation two is corn stover and grasses but there is cellulose in the corn kernel,” explained ICM, Inc. technical director Scott Kohl during a session last week at the Corn Utilization and Technology Conference. “That’s the Generation 1.5 – the fiber in the corn kernel.”

Kohl says ICM is developing processes to separate that fiber from the rest of the kernel to make more ethanol so that the yield from a single bushel of corn will increase. “We’ve run nearly 2,000 hours of pilot runs on that system,” he said. “We are now in the process of getting the financing arranged to have the first plant running by the middle of 2015.” Kohl says the process will raise the ethanol yield from corn by 10 percent and the distillers protein content will also increase.

At CUTC, Kohl also talked about new products from dry grind mills through ICM’s patent-pending Fiber Separation Technology (FST), which is precursor to the Gen 1.5 process. “In order to get the fiber ready for the Gen 1.5 process we have to separate and purify it,” he said. “With the new process (plants) are going to make ethanol, high protein, high fiber, and a lot more oil.”

Find out more in this interview: Interview with Steve Kohl, ICM


2014 CUTC Photo Album



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