By Kim Clark, Ag Program Manager for the Nebraska Corn Board
Last week we looked at the Top 5 Ethanol Stories of 2011 according to the Renewable Fuels Association (RFA). This week we will look at the Top Five Ethanol Stories to Watch for in 2012 according the RFA.
1. First commercial availability of E15 for 2001 and newer vehicles. Once federal requirements to certify E15 are complete, E15 will be available on a state by state basis. There are a couple regulations in Nebraska that need to be addressed before retailers in Nebraska can offer E15 after regulation is completed at the federal level. Expect E15 to be certified at the federal level in the first half of 2012.
2. Free and fair trade of ethanol. The United States is the world’s largest producer, consumer and exporter of ethanol. We are also the lowest cost producer. New challenges from ethanol interests in other nations have arisen such as the European Union anti-dumping investigation and the ethanol policies in Brazil. A fair resolution to trade challenges will be important to the continued growth and evolution of domestic ethanol production.
3. Legal activity regarding ethanol may increase. The recent ruling on low carbon fuel standards by a California federal judge stated that California’s LCFS is unconstitutional and was recently appealed. This issue, international litigation and other issues promises to keep lawyers busy this year.
4. Renewable Fuel Standard challenges. Even though this is an election year, and Congress may accomplish less this year than last, there will still be groups that push to amend or eliminate the RFS. The expiration wasn’t good enough for some groups. They are still looking for cheap corn and food versus fuel debates.
5. Answering cellulosic ethanol challengers. There are a couple cellulosic ethanol plants that are working to be up and running this year or early next year. In order for this to be successful, Congress must renew key tax provisions for cellulosic ethanol producers. The RFA and its partner organization, the Advanced Ethanol Council, will make extending these policies a top legislative priority.
Although VEETC expired at the end of 2011, the RFS2 still remains in place. These won’t be the only ethanol stories we will see in 2012, but these are the five main stories that are on the top of our list at the moment. 2012 could be an interesting year and may bring on new ethanol issues and stories.
Last week we looked at the Top 5 Ethanol Stories of 2011 according to the Renewable Fuels Association (RFA). This week we will look at the Top Five Ethanol Stories to Watch for in 2012 according the RFA.1. First commercial availability of E15 for 2001 and newer vehicles. Once federal requirements to certify E15 are complete, E15 will be available on a state by state basis. There are a couple regulations in Nebraska that need to be addressed before retailers in Nebraska can offer E15 after regulation is completed at the federal level. Expect E15 to be certified at the federal level in the first half of 2012.
2. Free and fair trade of ethanol. The United States is the world’s largest producer, consumer and exporter of ethanol. We are also the lowest cost producer. New challenges from ethanol interests in other nations have arisen such as the European Union anti-dumping investigation and the ethanol policies in Brazil. A fair resolution to trade challenges will be important to the continued growth and evolution of domestic ethanol production.
3. Legal activity regarding ethanol may increase. The recent ruling on low carbon fuel standards by a California federal judge stated that California’s LCFS is unconstitutional and was recently appealed. This issue, international litigation and other issues promises to keep lawyers busy this year.
4. Renewable Fuel Standard challenges. Even though this is an election year, and Congress may accomplish less this year than last, there will still be groups that push to amend or eliminate the RFS. The expiration wasn’t good enough for some groups. They are still looking for cheap corn and food versus fuel debates.
5. Answering cellulosic ethanol challengers. There are a couple cellulosic ethanol plants that are working to be up and running this year or early next year. In order for this to be successful, Congress must renew key tax provisions for cellulosic ethanol producers. The RFA and its partner organization, the Advanced Ethanol Council, will make extending these policies a top legislative priority.
Although VEETC expired at the end of 2011, the RFS2 still remains in place. These won’t be the only ethanol stories we will see in 2012, but these are the five main stories that are on the top of our list at the moment. 2012 could be an interesting year and may bring on new ethanol issues and stories.
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