Advanced BioFuels USA

by Todd Neeley (DTN Progressive Farmer)  With gasoline prices still at historically high levels, a group of U.S. senators on Tuesday introduced legislation that would expand demand for ethanol by establishing high-octane certification test fuels containing 20% to 30% ethanol and requiring automobile manufacturers to design and warranty their vehicles to use the fuels beginning in 2026.

The Next Generation Fuels Act also includes a low-carbon requirement, specifying that the source of the octane boost must reduce lifecycle greenhouse gas emissions by an average of at least 40% compared to a 2021 gasoline baseline. That would be determined by using the U.S. Department of Energy’s GREET model. The legislation would require the development fuels with the research octane number, or RON, of 95 and 98.

The bill was introduced by Iowa Republican Sens. Charles Grassley and Joni Ernst, Amy Klobuchar, D-Minn., and Tammy Duckworth, D-Ill. Similar legislation has been introduced in the U.S. House of Representatives by Rep. Cheri Bustos, D-Ill.

The House version of the bill was introduced in August 2021 and requires the EPA to create the new RON of 95 and 98 after 2031. In addition, the House bill extends incentives for flexible-fuel vehicles and requires the EPA to make updates to biofuels’ greenhouse gas emissions models.  READ MORE

RFA Thanks Senators for Advancing Innovative Next Generation Fuels Act (Renewable Fuels Association)

Growth Energy Applauds Introduction of Grassley, Klobuchar Bill on High-Octane, Low-Carbon Fuels, Urges Senate Passage (Growth Energy)

Senate biofuel stalwarts introduce Next Generation Fuels Act (Agri-Pulse)

New Legislation Could Put E30 on a Pump Near You (AgWeb)

Grassley Leads Bipartisan Introduction Of Next Generation Fuels Act To Improve Vehicle Efficiency, Help Americans Save Money At The Pump (Office of Senator Chuck Grassley (R-IA))

Senate introduces Next Generation Fuels Act (Farm Progress/Ohio Farmer)

Proposed legislation needed for biofuel (Agri-View)

Next Generation Fuels Act Intends to Improve Engine Efficiency and Performance (Bergeson & Campbell)

IOWA CORN BACKS NEXT GEN FUELS ACT (Brownfield Ag News)

Duckworth notes ag legislative track record — Strong ag ‘a matter of national security’ (AgriNews)

Biofuels, trade priorities for Duckworth (AgriNews)

Excerpt from Bergeson & Campbell:  On July 26, 2022, Senators Chuck Grassley (R-IA) and Joni Ernst (R-IA) introduced the bipartisan and bicameral Next Generation Fuels Act (S. 4621), which would aim to leverage higher-octane fuels to improve engine efficiency and performance. According to Grassley’s July 26, 2022, press release, allowing the sale of fuels with greater octane levels would increase the amount of ethanol that can be used in the fuel supply, in turn lowering prices at the pump for consumers. 

The press release states that due to ethanol’s high-octane rating, greater ethanol blends result in both additional fuel efficiency and significant greenhouse gas (GHG) reduction. Ethanol is also priced lower than gasoline, making it the most cost-effective octane source. Under the bill, the U.S. Environmental Protection Agency (EPA) would be required to carry out a study of the emissions effects of ethanol-blended fuels in light-duty vehicles and light-duty trucks, for the purpose of updating the Motor Vehicle Emission Simulator modeling system.

The bill would establish a minimum research octane number (RON) standard of 98 for gasoline, which is higher than the typical octane rating of 91 RON today. It would also require sources of the added octane value to reduce carbon emissions by at least 40 percent compared to baseline gasoline. The bill was referred to the Senate Committee on Finance.  READ MORE