Advocates Celebrate 11th Anniversary of America's Most Successful Biofuels Program

Eleven years ago today,  Monday, August 8, the Renewable Fuel Standard (RFS) was signed into law, ushering in a new era of rising energy security, cleaner air, and more affordable options at the pump. After more than a decade, the program continues to drive U.S. job creation and startling new innovations in renewable energy, a fact celebrated today by the nation's leading biofuel advocates.

"Our government challenged the biofuels industry to produce the world's cleanest, most affordable and sustainable fuel for cars and trucks. We delivered - and America continues to benefit," said Adam Monroe, President, Americas, Novozymes North America Inc. "The RFS is a proven winner: it grows communities with hundreds of thousands of good-paying jobs; saves American drivers money and keeps billions of their dollars in the US versus going to the Middle East; and fights climate change by preventing millions of tons of carbon emissions from getting into our air. Let's not roll back a winner; let's let it work to its full potential. We urge the administration to maximize renewable fuel production."

"This is a good opportunity to remind the Environmental Protection Agency (EPA) that the RFS is designed to get stronger over time, delivering a greater share of renewable energy into our fuel mix," said Emily Skor, CEO of Growth Energy. "The agency has proposed cutting RFS targets for 2017, which would needlessly undermine eleven years of progress toward a cleaner environment and a healthier, more secure America. Ethanol producers, retailers and the current auto fleet are 100 percent capable of providing consumers with a true choice at the pump, and now is certainly not the time to roll back the clock. EPA must get the program back on track and deliver on the promise of new, more affordable options for consumers."

"Passage of the 2005 Energy Policy Act could not have been possible were it not for the cooperation between the ethanol, agriculture and oil sectors," said Bob Dinneen, president and CEO of the Renewable Fuels Association. "The oil industry needed an off ramp from the use of MTBE, which was polluting groundwater across the country, and the ethanol industry needed a growth path if farmers were ever to realize the promise of value-added markets. Every stakeholder cheered the passage of this groundbreaking legislation, and it was an immediate success. MTBE disappeared as a gasoline additive, investments in U.S. biofuel production soared, farmers saw increased demand for their commodities allowing Congress to dramatically cut farm program costs, consumers saw pump prices fall as ethanol displaced more expensive oil, and carbon emissions from the transportation sector fell precipitously. All of those benefits continue to this day."

"The RFS guarantees America's leadership in the global transition to ethanol, which has cut world-wide carbon emissions 589 million metric tons over the past decade, the equivalent of taking more than 124 million cars off of the road," said Chip Bowling, president of the National Corn Growers Association. "And thanks to innovation in U.S. agriculture, we are growing more crops on less land than we cultivated when the RFS was first enacted."

"Simply put, the RFS is delivering on its promise," said Brooke Coleman, executive director of the Advanced Biofuels Business Council. "Almost every gallon of gasoline in the country now contains renewable fuel. Consumers are gaining access to new biofuel blends that reduce pump prices, increase octane, deliver better performance, and replace cancer-causing gasoline additives like benzene. With cellulosic biofuels -- the lowest carbon motor fuel in the world -- now coming online, the RFS is driving innovation like we have never seen before in the transportation fuel sector."

On August 8, 2005, the bipartisan RFS was signed into law by President George W. Bush as part of the Energy Policy Act of 2005 (EPAct). The legislation was passed by the House by a vote of 275 to 156 and the Senate by a vote of 74 to 26. Expanded in 2007, it requires refiners to blend increasing amounts of biofuels into new options for consumers at the pump. It has since sparked billions of dollars in U.S. investments and driven America's emergence as a world leader in renewable technology.

'The Bachelor' and 'DWTS' celebrity farmer promotes benefits of ethanol

Growth Energy and Chris Soules, Iowa farmer and star of The Bachelor and Dancing with the Stars announced a new television ad emphasizing the economic and environmental benefits of ethanol. The ad points to the significant harm that the EPAs proposal poses to Americas farmers and features Soules urging politicians in Washington to support clean, secure, American-made ethanol.

Growth Energy Co-Chair Tom Buis spoke to the major progress in revitalization and job creation in rural America thanks to ethanol production. Currently the ad is airing in Iowa, Illinois, Ohio and Indiana.

Under the Renewable Fuel Standard (RFS), the ethanol industry has helped to generate more than 852,000 jobs throughout America and helped farming communities make a strong comeback. In Iowa alone, the renewable fuel industry spurs more than 73,000 jobs, generates $19.3 billion in annual economic output and $5 billion in wages annually, and contributes $1.7 billion in state and federal taxes each year.

The Renewable Fuel Standard is a great American success story, said Tom Buis, co-chair of Growth Energy. More renewable fuel like ethanol means more investments in rural economies across America. Homegrown renewable fuel is also helping consumers at the pump, driving down our dependence on oil from hostile foreign regions, and reducing pollution in our air and water.

American-made ethanol reduces our dependence on foreign oil, said Chris Soules, a fourth-generation Iowa farmer. Our farmers are also leading the way in helping reduce carbon emissionsthe use of corn ethanol results in a 34 percent reduction in greenhouse gas emissions compared to regular gasoline. We need a strong Renewable Fuel Standard so we can continue providing opportunities for our countrys farmers and produce clean energy right here in America.

Renewable, Homegrown Fuels Provide Energy Independence

September is Renewable Fuels Month!
Part Four of a Four-Part Series for Renewable Fuels Month

Biodiesel and American Ethanol, two energy sources made from Nebraska soybeans and corn, that are homegrown, locally produced and contribute to our energy independence and security. To wrap-up Renewable Fuels Month this September, Nebraska farmers can celebrate these homegrown renewable fuels and the economic benefits they provide.

Last year, Nebraska farmers raised nearly 289 million bushels of soybeans and 1.6 billion bushels of corn – numbers they expect to grow in coming years. From these two crops, renewable fuel sources and distillers grains co-products are created right here in Nebraska.

These homegrown, renewable fuels and co-products greatly contribute to the economic vitality in Nebraska and across the United States. More than 1,500 people in rural Nebraska and more than 850,000 people nationwide are employed in the renewable fuels industry, according to a 2014 economic impact study released by the Fuels America coalition.

The economic report tells the story of an innovative, advanced biofuels industry that is benefiting America’s economy. Part of the effort contributing towards an expanded biofuels industry is attributed to the Renewable Fuel Standard (RFS). “The data is in: The RFS is driving billions of dollars of economic activity across America,” the report concludes. “This is the result of years of investment by the biofuel sector to bring clean, low carbon, renewable fuels to market.”

“There are some rural communities in Nebraska that probably wouldn’t have the opportunities they do today if it wasn’t for renewable fuels,” said David Merrell, farmer from St. Edward, Nebraska and chairman of the Nebraska Corn Board. “Renewable fuels support the local farmer and provide as much as $3 million in tax revenue for the state of Nebraska.”

The RFS program was expanded in 2007 to include biodiesel, increasing the amount of fuel required to be blended into transportation fuel to 36 billion gallons by 2022, created new categories of renewable fuels including advanced, cellulosic, and conventional.  The program also evaluated the lifecycle of greenhouse gases to ensure each category was meeting a minimum threshold.

With the help of the RFS, renewable fuels now represent more than 10% of America’s fuel supply and have helped reduce U.S. reliance on foreign oil to the lowest level in years.

“Each year we continue to produce more renewable fuels in the United States. In 2014, we reduced our imported crude oil by 512 million barrels and 1.75 billion gallons of imported petroleum diesel—that’s a clear sign the RFS is doing exactly what it was intended to do,” added Merrell.


The RFS is reducing our dependency on imported oil, providing a homegrown, locally-produced renewable fuel, creating jobs, providing tax revenue, and more.  Renewable fuels are a win-win situation for the farmers, rural communities and consumers.

Fact Friday: 10 years of Renewable Fuel Progress

Since the passage of the Renewable Fuel Standard in 2005, the biofuels industry has grown by leaps and bounds. In turn, the United States has seen significant benefits to our economy, environment and national security. 

Here are some renewable fuel facts by the numbers:

Time to celebrate or not?

Last week we celebrated the ten year anniversary of the original Renewable Fuels Standard (RFS) that was passed by Congress and signed into law by then President George W. Bush. Our own Governor Pete Ricketts in a tweet proclaimed August 8^th as Renewable Fuel Standard Day. Others celebrated with a press release or op-ed. When the original RFS was being discussed, Congressional leaders knew we needed a change in the Nation’s path for transportation fuels. We needed to reduce our reliance on foreign petroleum, increase our demand for our crops and produce a fuel that was renewable and greener than oil. 

Check. Check and Check. Now it’s time to celebrate…or is it??

What Congress and the President supported, the EPA has now taken away. Yea, you read that right.  The agency that is tasked with providing cleaner air and supporting initiatives that improve the environment, is proposing to slash the very program that has been successful in these areas. 

Just a couple of months ago, EPA proposed requirements that would slash Congress’ intentions of blending more renewable and cleaner burning ethanol in the nations fuel supply. They proposed to take the ole Texas two-step backwards in becoming more self-sufficient in our transportation fuels. And more importantly, proposed a plan that will ultimately cost consumers money.

By blending ethanol into our fuel supply, consumers are saving money each time they fill up. Whether it is on American Ethanol blends that everyone can use, such as E10, or on higher blends of American Ethanol such as E15, E30 and E85, biofuels has saved consumers money. 

So while we should be celebrating our path forward, EPA has popped the balloons and allowed the cake to become stale to the detriment of consumers across the nation.  

Nebraska Corn Urges Farmers to Submit Comments on EPA Ethanol-Reduction Proposal

The Nebraska Corn Board and Nebraska Corn Growers Association are issuing an urgent call to action to Nebraska farmers to once again get vocal about recent action by the Environmental Protection Agency (EPA) that would reduce the nation's commitment to renewable fuels.

Nebraska Corn strongly encourages Nebraska farmers to submit comments to the EPA expressing their displeasure with the proposed renewable fuels reduction. 

A portal has been established on the Nebraska Corn Board website and the Nebraska CornGrowers Association website, under the icon “Don’t Mess with the RFS.”  This icon links directly to a comment submission form and suggested verbiage on the National Corn Growers Association’s website.

The comment period will close on Monday, July 27, 2015.   

In a statement, Nebraska Corn leaders expressed great disappointment and concern regarding the recent proposal from the EPA to slash the required amount of conventional biofuels in the nation's fuel supply for 2015 and 2016. EPA proposes to adjust the conventional biofuel requirement that is mandated in the Renewable Fuel Standard (RFS) passed by Congress, downward by nearly 2.6 billion gallons.

"Agriculture was once again placed in an unstable position by EPA when they released their long overdue RFS proposal," said Tim Scheer, farmer from St. Paul, Nebraska and Chairman of the Nebraska Corn Board. "It is absolutely imperative that farmers get engaged in the comment period if we have any prayer of getting EPA to increase the proposed figures to the original congressional statue of 15 billion gallons for 2015 and 2016. All the work and investment that Nebraska corn farmers have put into building the ethanol industry is at risk. We've already seen corn prices drift downward to the cost of production."


Nebraska Corn Growers Association President, Larry Mussack of Decatur, Nebraska added, "This proposal plays right into the hands of the oil industry, which has been pulling out all the stops to prevent loss of market share to renewable fuels such as ethanol. American farmers and consumers were promised the opportunity to utilize an American-made, cleaner, renewable alternative to oil. This proposal not only ignores that agreement, but diminishes the cost-saving options that American Ethanol provides in the marketplace for consumers.” 

Nebraska Corn Growers, Partners to Attend Rally for Rural America

EPA Renewable Fuels Standard Hearing also Scheduled

Nebraska corn farmers, state leaders and ethanol supporters from across the state and nation will be attending the upcoming Rally for Rural America in Kansas City on Thursday, June 25^th to show continued support for corn ethanol and its value to Nebraska’s overall economy.

In addition to the rally, there are 260 individuals scheduled to testify before the Environmental Protection Agency (EPA) relaying their concerns about EPA’s proposed renewable volume obligation (RVO) figures that will slash the use of biofuels, as it is currently proposed.  Both the rally and hearing are scheduled for June 25^th with the hearing at the Jack Reardon Center in Kansas City, Kansas, and the rally held nearby. 

“The rally and hearing provides corn growers, ethanol producers, state and national leaders and allied industries an opportunity to express their support of biofuels and their displeasure with EPA’s proposal,” stated Kim Clark, Nebraska Corn Board’s Director of Biofuels. “With EPA finally releasing their proposed 2014, 2015 and 2016 RVO’s, the hearing and rally will provide one opportunity for their voices to be heard.”

Those interested in attending the rally and hearing can call the Nebraska Corn Board office or go to www.ncga.com/rfshearing to find more information about times and bus departure points for both the Rally for Rural America and EPA hearing.


“Even if you can’t attend the rally and hearing, we are encouraging everyone to submit comments to the EPA for the RVO through the Nebraska Corn Board website by clicking on the Don’t Mess with RFS icon,” added Clark.  The deadline to submit comments to the EPA is July 27^th. 

Nebraska Corn Farmers’ Frustration with EPA Continues Following Biofuels Requirement Release

After a very lengthy deferment, Nebraska corn farmers are frustrated with the U.S. Environmental Protection Agency’s (EPA) recent release of the proposed 2015 and 2016 Renewable Volume Obligation (RVO) figures. Once again the EPA reveals their flawed tactics in implementing the federal Renewable Fuel Standard (RFS) by proposing to cut the corn ethanol obligation. EPA proposes to adjust the conventional biofuel requirements in the RFS passed by Congress downward by more than 1.5 billion gallons.

“It is disappointing to see the methodology behind this long overdue proposal. EPA is continuing to play into the hands of the oil industry,” said Tim Scheer, farmer from St. Paul, Nebraska and Chairman of the Nebraska Corn Board. "Family farmers have responded to ethanol demand by using technology to produce larger crops and grow more with less. Yet, the EPA still chose to side with the oil industry and decrease the RFS levels, ignoring the fact that American farmers can easily supply enough corn to meet the RFS requirements previously set forth.”

The long-awaited 2015 and 2016 RFS proposals increase the overall use of biofuels over the two-year period; however, the levels are below what Congress had mandated in the original legislation. The proposed RVO level for conventional ethanol in 2015 is 13.4 billion gallons and 14.0 billion gallons for 2016.  Nevertheless, congressional statue dictates that RVO levels for both 2015 and 2016 should be at 15 billion gallons. 
These proposed figures represent nearly 1 billion bushels in lost corn demand and 8.5 million tons of distillers grains (DG) that the livestock industry will not have access to.

“All the work and investment that Nebraska corn and livestock farmers have put into building the ethanol industry is at risk. We've already seen corn prices drift at or below the cost of production and cutting the use of corn for ethanol could drive prices even lower. This decision could also idle capacity and restrict access to the distillers grain market for the livestock sector,” Scheer added.

The RFS is one of our nation’s most successful energy programs and is working exactly as designed. It has reduced greenhouse gas emissions, decreased our reliance on foreign oil, lowered gasoline prices for consumers, increased economic stability in rural American and spurred innovation in advanced and cellulosic biofuels.

"It might be expected that farmers would be frustrated about this, but every American should be upset as well," said Larry Mussack, farmer from Decatur, Nebraska and President of the Nebraska Corn Growers Association. "The RFS is federal policy that has been very beneficial to our country, and there is no reason we should not stay on course to increase the diversity of our nation's transportation fuel supply and help keep down costs at the pump.”

Mussack also added, “American farmers and consumers were promised the opportunity to utilize an American-made, cleaner, renewable alternative to oil. This proposal not only ignores that agreement, but diminishes the cost-saving options that ethanol provides in the marketplace for consumers.”


Once the proposal has been posted to the Federal Register, comments will be accepted with the EPA planning to issue the final volume requirements in November, 2015.

EPA Snubs Consumers and Farmers Again, Takes Renewable Fuel Backward

The following is a statement from Maryland corn farmer Chip Bowling, president of the National Corn Growers Association, in response to today’s announcement by the U.S. Environmental Protection Agency (EPA) of proposed  renewable volume obligations under the Renewable Fuel Standard.

“Once again, the EPA has chosen to ignore the law by cutting the corn ethanol obligation 3.75 billion gallons from 2014 to 2016. This represents nearly a billion and a half bushels in lost corn demand. The only beneficiary of the EPA’s decision is Big Oil, which has continuously sought to undermine the development of clean, renewable fuels. Unfortunately, the EPA’s gift to Big Oil comes at the expense of family famers, American consumers and the air we breathe.

“The Renewable Fuel Standard was working as intended, with no need to change. It has reduced greenhouse gas emissions, decreased our reliance on foreign oil, lowered gasoline prices for consumers, increased economic stability in rural America and spurred innovation in advanced and cellulosic biofuels.

“We are evaluating our legal options for defending the law and protecting the rights of farmers and consumers. We will fight to protect and build profitable demand for corn, which is of fundamental interest to NCGA and our farmers.”

Nebraska Corn Board’s Best of 2014

After a few years of record corn prices, this year we saw the markets pull back to prices that are very close to the cost of production. It's times such as these that your corn checkoff matters most. When it gets cold outside, you don't turn down the furnace. You keep the heat on—and that's what your corn checkoff investment is doing. We're staying the course with research, market development, promotion and educational initiatives focused on building demand for the corn you grow.

With 2014 coming to an end and the new year upon us, there is no better time to reflect on a few highlights of Nebraska Corn Board activity over the last year… 

Standing up for the RFS: Part of our job is keeping you apprised of the opportunity and necessity to make your voice heard. At the beginning of 2014, some 6,000 Nebraska farmers and ethanol advocates submitted comment on the EPA's proposed changes in the Renewable Fuel Standard—and, while the EPA has currently decided to not decide on the 2014 Renewable Fuel Standard (RFS) Renewable Volume Obligation (RVO) until 2015, it's pretty clear that they are reconsidering their position. Similar comment has been solicited for EPA's proposed Waters of the U.S rule (WOTUS).

Education and Outreach: The Nebraska Corn Board was the first group to step up with funding for the Raising Nebraska experience at the Nebraska State Fair. Raising Nebraska is an interactive experience like no other. From science and innovation, to community and culture, and even the global economy, Nebraska’s agricultural experience touches everyone. Through this incredible 25,000-foot interactive exhibit, you actually become part of it – in ways you never imagined and that you’ll never forget. Recently, this outstanding consumer education exhibit took top honors in two categories at the International Association of Fairs & Exhibits awards competition. We've also funded ethanol pump promotions, published our consumer-focused Cornstalk insert in Nebraska newspapers, and helped Nebraskans understand the value of flex fuel vehicles.

Corn Research at the University of Nebraska-Lincoln: The Nebraska Corn Board has made a $2.0 million commitment to the University of Nebraska Foundation to establish the permanently endowed Nebraska Corn Checkoff Presidential Chair faculty position. The endowment will provide annual support to the Institute of Agriculture and Natural Resources (IANR) for research and development related to enhancing the value of Nebraska corn. This is a significant investment focused on the long-term future for Nebraska corn farmers.

Nebraska Corn: We have done a lot of work this last year to strengthen and better align the two organizations that represent Nebraska Corn Farmers. Leaders from the Nebraska Corn Growers Association (NeCGA) and the Nebraska Corn Board (NCB ) have been working together to bring even greater strength, efficiency and effectiveness to benefit Nebraska's leading grain commodity and the farmers who grow it. Improved communication, collaboration and joint coordination are expected outcomes as we work to bring the two corn organizations even closer together. It's important to note, however, that each organization has a distinct mission and purpose and those will remain intact. We expect that this collaboration will make both organizations stronger and increase their positive impact on behalf of Nebraska’s 23,000 corn farmers. Looking forward, NeCGA and NCB leadership will continue to explore new opportunities to join forces for the betterment of Nebraska’s corn industry.

Joint Collaboration: The Nebraska Corn Board collaborated with a number of state and national organizations to amplify the impact of its efforts. In Nebraska, we work closely with the Nebraska Soybean Board, A-FAN, and other livestock and commodity groups to create consumer education programs and improve the position of agriculture in our state.  Outside the state, your corn checkoff dollars are supporting the American Ethanol initiative with NASCAR, CommonGround, the U.S. Farmers & Ranchers Alliance, the Corn Farmers Coalition and other consumer outreach efforts. You're also helping fund the international market development activities of the U.S. Grains Council and U.S. Meat Export Federation to promote Nebraska corn, ethanol, distillers grains, beef and pork around the world.

Thank you again to all the Nebraska Corn Kernel Readers for your continued support of the Nebraska corn industry. We hope you will join us in 2015 as we continue in our efforts to educate and inform everyone about important agriculture-related news, events and issues taking place in our state, nation and world.

Have a very Happy and Prosperous New Year!

See you in 2015!

Podcast:Highlights of 2014

 In this podcast, Tim Scheer, chairman of the Nebraska Corn Board and farmer from St. Paul, Nebraska, reflects on a few of highlights of Nebraska Corn Board's activity throughout 2014.  From encouraging some 6,000 Nebraska farmers and ethanol advocates to submit comments to the EPA on their proposed changes to the Renewable Fuel Standard, to supporting the development of the "Raising Nebraska" exhibit at the Nebraska State Fair, to funding a new Presidential Chair faculty position at University of Nebraska-Lincoln that will focus on corn research, 2014 has been quite an eventful year for the Nebraska Corn Industry!

Now, click here to listen to the podcast.

Podcasts are also available on iTunes! Click here to subscribe.

RFS is good for America, folks.

By Bob Dineen, president and CEO of the Washington, D.C.-based Renewable Fuels Association, article here

Nicolás Gutierrez’s call for an environmentally friendly solution to America’s reliance on foreign oil is easily answered by the very policy he rails against (“EPA should back away from biofuels policy,” June 18).

The Renewable Fuel Standard (RFS) has helped lower our nation’s reliance on foreign petroleum to 35 percent since reaching a high of 60 percent in 2005. Ethanol production has reduced finished gasoline imports from 600,000 barrels per day in 2005 to near zero today.

Numerous peer-reviewed analyses show that conventional ethanol reduces greenhouse gas emissions by 30 to 40 percent compared to gasoline. This has been realized over the past nine years without the conversion of a single acre of new grassland to cropland. Recent increases in corn acres have been achieved through crop switching, not through cultivation of new, non-agricultural lands. The environmental investigation conducted by The Associated Press has since been discredited for relying on muddled data that were attained through flawed methodology.

Contrary to Gutierrez’s assertions, the RFS does not noticeably affect consumer food prices. Food prices increased just 2.1 percent in 2013, lower than the 25-year average of 2.92 percent (1988–2012). Corn is only a minor ingredient in consumer grocery items. When consumers spend $1 on food at the grocery store, only 12 cents pays for the value of the farm products themselves while the other 88 cents pays for processing, energy, transportation, labor, packaging, advertising and other costs. Oil, however, has been proven to have a substantial effect. Last year, the World Bank found that, “Most of the contribution to food price changes from 1997–2004 to 2005–12 comes from the price of crude oil … ” In addition, the RFS contributes to the livestock feed sector through the generation of distillers grains. More than 35 million metric tons of this highly nutritious feed was generated in the 2012–13 marketing year, with 37.8 million expected in 2013–14. That is enough feed to produce six hamburger patties for every one of Earth’s 7.2 billion residents.

Indeed, the EPA must consider the economic benefits of the ethanol industry. The industry directly supports more than 86,000 well-paid jobs as well as 300,000 indirect and induced jobs. Last year, the industry added $44 billion to the nation’s GDP, raised $30.7 billion in household income and displaced 462 million barrels of imported oil — equal to the total amount of crude oil imported from Iraq and Venezuela.

The RFS is a proven success.

More blogs on the Renewable Fuels Standard:

• Predicament at the Pump
• After the EPA comments. What’s next?
• Podcast: Nebraska youth testifies in support of the RFS
• Big Oil Labels Family Farmers Extremists

After the EPA comments. What’s next?

We are now in a holding pattern from the Environmental Protection Agency (EPA) to hear about next steps concerning their proposed ruling to cut-back on the Renewable Fuels Standard (RFS).

The corn-industry had big push last month to send comments and letters to the EPA. In remarks submitted to the EPA, supporters of the RFS have chided the agency’s decision to cut the blending requirements. They point to ethanol’s role in boosting the agricultural economy and promoting financial growth through the creation of jobs, tax revenue and other benefits. Many worry lowering the federal mandate could harm that growth.

“The bottom line is that this proposal would have a devastating ripple effect on investment in ethanol plants, their production and the jobs they support — as well as the surrounding communities,” Dave Glasnapp, an investor in an ethanol plant in Gowrie, Iowa, said in a comment to the EPA according to an interview on Brownfield.

Soliciting public comment on a government proposal is a normal step in the regulatory process. After the comment period closes, the EPA reads those remarks and considers whether to make changes to its proposal before issuing a final rule.

Overwhelming number of comments

The large number and the tone of the comments on this proposal illustrate what’s at stake: billions of dollars and a clearer picture of the future of renewable fuels use in the United States. From Nebraska, over 6,000 total number of comments were submitted to the EPA. The over 212,000 number reflects actual comments submitted in both opposition and to keep the proposed ruling.  The bulk letters Nebraska Corn Board sent were counted as one until the EPA counts and reads each comment.

EPA is obligated to read each comment that was submitted before the comment period ended.  Comments received after the comment period will be noted but do not have to be read and taken into consideration of their final ruling. 

A change to the Renewable Fuel Standard would alter the blending requirements for renewable fuels including corn ethanol. In the past, the EPA largely followed the annual level requirements put in place by Congress, helping to drive new markets and spur demand for the renewable fuel. The proposed reduction — a move even some in the oil industry have called substantive — would shift the process to one that sets the requirements based on expected market demand.

So now that the comment period is closed, what’s next?

The EPA is on their own timeframe.  We are hoping they make a ruling by this summer on the 2014 requirements, and at the same time, release the 2015 requirements. 

The proposal by the EPA, which oversees the country’s Renewable Fuel Standard, would cut the fuel requirement in 2014 to 15.2 billion gallons of ethanol and other biofuels, 3 billion gallons less than Congress required in a 2007 law.

It would mark the first-ever drop in the Renewable Fuel Standard, which requires refiners to blend ever-increasing amounts of biofuels into the nation’s gasoline supply through 2022.

Next steps if their proposal is passed?

“That is a good question,” said Kim Clark, director of biofuels for the Nebraska Corn Board. “We, the corn-ethanol industry, are expecting the EPA to overturn their proposed numbers and not make any changes to the requirements.”

Predicament at the Pump

*By Diane Karr, CommonGround volunteer and farmer from Blue Hill, Nebraska

When I fuel up my vehicle, I use an ethanol blend without any second thoughts. But what if I wasn’t a farmer?

There are two main schools of thought right now on ethanol. While ethanol industry promotes it, the petroleum industry promotes fear of it.

A reduction in the Renewable Fuel Standard (RFS) has been proposed by the Environmental Protection Agency (EPA) and some members of Congress. The RFS is legislation that sets targets for blending ethanol with gasoline. The EPA is proposing a reduction of 1.4 billion gallons.

On one hand, the ethanol industry points out that the RFS decreases our dependency on foreign oil, that ethanol is a cleaner choice for the environment, and that the RFS provides strong economic support for the cities and farms in the Midwest.

On the other hand, the petroleum industry tells consumers that ethanol damages engines, raising corn is destructive to the environment, and agricultural subsidies hurt the poor. However, when we read between the lines, vehicles with improved fuel efficiency have led to decreased demand for gasoline. This has left the petroleum industry wanting to increase its market share and bottom line by reducing ethanol blend targets. If you are holding a petroleum company in your investment portfolio, this benefits you. It’s ironic that oil interests express concern for the poor while they boast record profits and unapologetically stick it to consumers at the pump!

All mudslinging aside, here’s what I know as a farmer:

• We’ve used ethanol for over twenty years in our pickup trucks and personal vehicles without any engine problems. None of our mechanics has ever advised against using ethanol blends.

• Corn production on our farm is not destructive or unsustainable. Most of the farmers I know practice similar methods to care for the land and water. (I’ll let you make up your own mind as to what kind of impact you think the petroleum industry has on the environment - such as 2010’s Deepwater Horizon oil spill.)

• 80% of the Farm Bill funds food stamps and nutrition. The remainder supports crop insurance, conservation, subsidies, and other programs. The main intent of agricultural subsidies is to provide economic stability in times of extreme weather or market risk. Connecting subsidies to the plight of the poor is questionable at best.

• Veterans groups are pro-ethanol.

As a corn farmer, I’m biased. However, we also raise soybeans, wheat, grain sorghum, alfalfa and cattle.  Although corn prices spiked in recent years, it’s when production is high and prices are low that the ethanol industry lends important stability to the market.

I truly predict that a reduction in the RFS would have a negative influence on the economy in the Midwest, which could ultimately impact other sectors of the economy nationwide which have been experiencing a somewhat shaky recovery. When the farm economy is weak, it deals a severe blow to all of rural America. During the 1980s Farm Crisis, we didn’t just lose farmers. We also lost small town businesses and population which eventually triggered a wave of school consolidations. When farmers can’t replace and update equipment, it affects manufacturing sector. The ripple effect reaches all consumers eventually. Ethanol production is a homegrown American industry that benefits our economy with thousands of jobs beyond just farmers. While domestic petroleum is considerable, there’s no denying that there are foreign firms who want you to use less ethanol.

Until I’m convinced otherwise, a little ethanol at the pump never hurt anybody; but letting petroleum interests determine our opinion of it could be painful to us all in the long run.

*You can read Diane’s blogs, and other posts from farm women across Nebraska at CommonGroundNebraska.com!

Over 5,000 letters to EPA: Don’t Gut the RFS!

The Nebraska Corn Board has received over 5,000 letters expressing opposition on the recent decision of the Environmental Protection Agency’s (EPA) proposal to cut back on the amount of corn ethanol in our nation’s fuel supply. This would cut 1.4 billion gallons of ethanol in 2014 from the Renewable Fuel Standard (RFS) passed by Congress.

In early January, the Nebraska Corn Board sent out letters to Nebraska farmers alerting them of EPA’s actions and included a letter to EPA that farmers could sign. These letters were returned to the Corn Board and the Board will forward the entire stack of letters to EPA before the comment period deadline of January 28. To date, just over 5,000 letters have been returned, many with personal messages expressing the need to keep a strong renewable fuel industry and stating corn farmers can provide enough food, feed and fuel to help America be less dependent on imported oil.

“This is the greatest grassroots response in the history of the corn checkoff program since its implementation in 1978,” said Don Hutchens, executive director of the Nebraska Corn Board. Hutchens has been executive director since 1987 and a corn producer since the early 1970’s.

Click here to watch a report by 1011 News.

Podcast: Nebraska youth testifies in support of the RFS

In this podcast, Hannah Borg, a farmer's daughter from Allen, Nebraska testifies in support of the Renewable Fuels Standard (RFS)  on behalf of Nebraska's youth. Hannah is an eight-year 4-H member and second year FFA member.  She is the 6th generation on her family's farm raising corn, soybeans, alfalfa, and backgrounding cattle.

It's refreshing that someone so young understands what the RFS was put in place to do: create jobs, decrease greenhouse gas emissions and lessen our dependence on imported oil.

Listen to her podcast now. Then take two-minutes to comment to the EPA on why the RFS is important to Nebraska.

This isn't just for farmers to comment. It affects everyone in the state, so get others in your community to submit comments as well—bankers, school board members, county commissioners, economic development staff. Every sector of Nebraska's rural economy has benefitted from a robust ag economy in the state. We need all of them to send a comment to the EPA. We have just a few weeks left to tell the EPA how we feel. Don't delay. Please visit NebraskaCorn.org today to comment on EPA's proposal.

Nebraska Corn Kernel podcasts are also available on iTunes! Click here to subscribe.

Big Oil Labels Family Farmers Extremists

*as posted on NCGA’s Corn Commentary

A true David and Goliath battle is under way between the nation’s family farmers and Big Oil in the form of the American Petroleum Institute (API). And farmers in recent weeks bounced a big rock off the head of the petroleum behemoth. At issue is American ethanol.

For months the oil industry has been involved in a well-funded campaign of both public and covert efforts to undermine the growing role of sustainable biofuel like ethanol. They capped this massive misinformation campaign by leaning on the White House and EPA to propose a change to the Renewable Fuels Standard (RFS) that would reduce ethanol use by 1.4 billion gallons this year.

The bad news is the most recent slap in the face, if successful, has the potential to hammer farmers and the rural economy to the tune of more than 10 billion dollars.

Before this recommendation can be accepted EPA’s proposal must go through a formal public comment period. Thousands of corn farmers across the country have responded with a vengeance submitting comments urging the U.S. Environmental Protection Agency to retract its proposed 10 percent cut in the amount of corn ethanol in the 2014 Renewable Fuel Standard.

The volume of supportive comments coming from farmers as well as equipment dealers, bankers, school administrators and consumers who favor a fuel choice has been incredible so thanks to everyone who has taken the time to register your opinion.

The response has been so terrific that it tweaked API and in response they have launched yet another effort to remove any competition from the fuel marketplace. It takes the form of an annoying and deceptive “robo-call.”

On the pre-recorded action request API refers to those supporting ethanol as both a “special interest group” and as “extremists.” Since most those making the calls are farmers, I guess that means you. They also use the same old hackneyed and debunked arguments saying ethanol leads to higher food prices and damages car engines.

If being called an extremist makes you a little angry fight back. If having one of the world’s most prosperous industries try to increase their profits at your expense….fight back.

Corn growers: Click here to send a public comment to the EPA.

Non-farmers: Click here to customize and send a public comment to the EPA.

We have until January 28th – 5 days – to submit these comments. Take 2 minutes and comment now. This is important to not only corn famers, but to Nebraska’s overall economy.

A letter to EPA from concerned corn farmers

The Environmental Protection Agency (EPA) is proposing to bend to the whims of the oil industry and cut back on the amount of corn ethanol in our nation's fuel supply by 1.4 billion gallons in 2014 as prescribed by the Renewable Fuel Standard (RFS) passed by Congress.

EPA apparently believes that continuing our reliance on the petroleum industry is a good thing. And some of this may be influenced by misinformed media stories about how corn farmers meeting the increased demand for corn.

Recently, we've seen misleading news stories accusing farmers of turning conservation reserve program—or CRP land—into corn production to meet ethanol demand. Here's the truth: As part of the 2008 Farm Bill, the cap on CRP acreage was dropped from 39.2 million acres to 31.3 million beginning in 2010. So CRP enrollments fell. It had nothing to do with ethanol.

Farmers have responded to the increased demand for corn by producing more. And we're not plowing up virgin land to do it. We're simply changing what we plant on the acres we already have—based on market conditions.

Ethanol has been blamed for an increase in food prices, due to higher corn prices. First, higher corn prices have been driven primarily by two years of drought, not ethanol demand.

Second, corn comprises a small percentage of the cost of a food product. For example, you would think that the highest cost in a box of corn flakes would be the corn itself, right? In fact, at today's prices, the amount of corn in an 18-ounce box of corn flakes is just six cents. That's right—six cents.

As corn prices have recently headed downward toward $4 a bushel—very near the cost of production for us corn farmers—American consumers have not seen a corresponding decline in food prices. So it's pretty clear that ethanol and corn prices have not been the culprit they've been made out to be.

When we make ethanol out of corn, we also make livestock feed to create protein for human consumption and a variety of human food ingredient such as corn oil. So we're not just making fuel—we're making feed and food as well. That's critical in Nebraska, where corn, cattle and ethanol combine to create a "golden triangle" of economic strength and added value all across the state.

The RFS is one of the most successful federal initiatives in recent history. It has done exactly what it was designed to do: reduce our reliance on imported oil, re-energize our rural economy, lower fuel prices, increase choices at the pump, improve air quality and create jobs.

If you agree that EPA is overstepping its authority—and that maintaining our nation's commitment to renewable fuels is a good thing—share your comment with EPA today. We have until January 28, 2014 to comment—and you can do so by visiting NebraskaCorn.org.

Sincerely,

Tim Scheer
Chairman
Nebraska Corn Board
St. Paul, Nebraska

Podcast: Speak up and comment on EPA's proposal

In this podcast, Joel Grams, president of the Nebraska Corn Growers Association, shares about the proposed cut-back on the 2014 corn ethanol requirements in the Renewable Fuel Standard from the Environmental Protection Agency (EPA). EPA proposes a 1.4 billion gallon reduction in corn ethanol—and that is already having an impact on corn prices. A reduction of this nature will have a negative effect on agricultural in general—and on the rural communities that depend on a strong ag economy.

There is a comment period open until January 28th to let EPA know how this will hurt Nebraska corn farmers and the state's economy.  When you submit your comment, make it personal. Tell EPA what the renewable fuels industry has meant to your farm and your community. If you have a child returning to the operation, tell that story. If you have a specific example of how a healthier ag economy has helped your hometown, share it.

This isn't just for farmers to comment. It affects everyone in the state, so get others in your community to submit comments as well—bankers, school board members, county commissioners, economic development staff. Every sector of Nebraska's rural economy has benefitted from a robust ag economy in the state. We need all of them to send a comment to the EPA. We have just a few weeks left to tell the EPA how we feel. Don't delay. Please visit NebraskaCorn.org today to comment on EPA's proposal.

Listen for more!

Nebraska Corn Kernel podcasts are also available on iTunes! Click here to subscribe.

Nebraska commodities join to urge farmers, comment on EPA ethanol-reduction proposal

The leaders of Nebraska’s commodity groups and membership associations have joined in an urgent call to action to Nebraska farmers to get vocal—and angry—about recent action by the Environmental Protection Agency (EPA) that would reduce the nation’s commitment to renewable fuels.

In a joint statement, the Nebraska Corn Board, Nebraska Corn Growers Association, Nebraska Grain Sorghum Board, Nebraska Grain Sorghum Producers Association, Nebraska Soybean Association, Nebraska Wheat Board and Nebraska Wheat Growers Association expressed great disappointment and concern regarding the recent proposal from the EPA to reduce the required amount of conventional biofuels (mainly corn and sorghum based ethanol) in the nation’s fuel supply.   EPA proposes to adjust the conventional biofuel requirements in Renewable Fuel Standard (RFS) passed by Congress downward by some 1.4 billion gallons for 2014.

The groups also strongly urged Nebraska crop farmers to submit comment to the EPA expressing their displeasure with the proposed renewable fuels reduction.  The 60-day comment period began on Friday, November 29, 2013.

A portal has been established on the Nebraska Corn Board website at NebraskaCorn.org, which links directly to a comment submission form and suggested verbiage on the National Corn Growers Association’s website.

“Agriculture was placed in this unstable position by EPA when they released their proposed cuts of the RFS,” said Tim Scheer of St. Paul, chairman of the Nebraska Corn Board.  “It is absolutely imperative that farmers get engaged during the 60-day comment period if we have any prayer of getting EPA to rescind this proposal.   All the work and investment that Nebraska corn farmers have put into building the ethanol industry is at risk.   We’ve already seen corn prices drift downward—almost to the cost of production.”

Nebraska Soybean Association president Ken Boswell of Shickley said, “This proposal plays right into the hands of the oil industry, which has been pulling out all the stops to prevent loss of market share to renewable fuels such as ethanol and soy biodiesel,” he said.  “By weakening our nation’s commitment to sustained growth of renewable fuels, EPA is saying that increased energy security, cleaner air, domestic jobs and consumer choice don’t matter as much as oil company profits.”

Dayton Christensen of Big Springs, president of the Nebraska Wheat Growers Association, said the robust rural economy for the past few years—spurred in part by the RFS—has been good for all sectors of agriculture. “It doesn’t matter if you grow corn, wheat, sorghum, soybeans or sugar beets, the RFS has helped create greater demand for ag products, improved on-farm profitability and helped rejuvenate rural communities,” he said.  ” We’ve seen young people returning to participate in this rebirth of agriculture—and farmers are able to invest in more technology to grow even more with less to meet global demand.”

Don Bloss of Pawnee City, president of the Nebraska Grain Sorghum Producers Association, said, “It might be expected that farmers would be upset about this—and we are—but every American should be angry as well,” he said.  “The RFS is federal policy that has actually done exactly what it was supposed to do—and we should stay the course in order to increase the diversity of our nation’s transportation fuel supply and help keep down costs at the pump.”

Last week, three Nebraska corn farmers were among those testifying at an EPA hearing on the proposal.   Nebraska Corn Board vice-chairman Curt Friesen of Henderson, Nebraska Corn Growers Association (NeCGA) president Joel Grams of Minden, and NeCGA member Brandon Hunnicutt of Giltner all spoke in opposition to the EPA proposal.

“The economic vitality that the RFS has spurred in rural America extends well beyond my farm. I see the impact of increased tax revenue for our county to build roads and provide services. I see main street businesses with customers in the aisles. I see entrepreneurs starting new ventures— many of which are based in agriculture and food production,” Friesen said during his testimony.  “And I have seen young farmers returning to agriculture, such as my daughter and son-in-law.”