Advanced BioFuels USA

by Zack Budryk (The Hill) The House of Representatives on Thursday passed an omnibus appropriations bill aimed at addressing spiraling fuel costs by further expanding the availability of higher-ethanol fuel blends. 

The Lower Food and Fuel Costs Act contains a number of separate agriculture provisions aimed at addressing food costs and supply chain issues.

On the energy side, it would remove summertime restrictions on the sale of a 15 percent ethanol blend, a policy similar to provisions included in an executive order signed by President Biden earlier this month. It would also appropriate $200 million to expand biofuel infrastructure and equipment. 

The measure passed the chamber 221-204 in a largely party-line vote, with five Democrats voting against it and seven Republicans in favor. 

Biden announced a waiver for the higher-ethanol blends, also known as E15, in April, shortly after the Russian invasion of Ukraine sent already-soaring gas prices further.

At the time, a White House official said the Environmental Protection Agency (EPA) “is also considering additional action to facilitate the use of E15 year-round, including continued discussions with states who have expressed interest in allowing year-round use of E15.” 

Eight midwestern states notified the EPA in May that they will make E15 available year-round, including: Iowa, Nebraska, Illinois, Kansas, Minnesota, North Dakota, South Dakota and Wisconsin. Ohio Gov. Mike DeWine (R) made a similar announcement last week. 

The package’s path forward in the Senate is unclear, but the Biden administration has previously found support for ethanol expansion among Republicans who represent ethanol-producing states, including Iowa Sens. Chuck Grassley and Joni Ernst.

Grassley has already co-sponsored the Senate version of another segment of the package to address allegations of anti-competitive behavior in the meat and livestock industries. READ MORE

RFA Thanks House for Supporting Expansion of Lower-Cost E15 Fuel Blend (Renewable Fuels Association)

Growth Energy Applauds House Effort to Cut Fuel Costs with U.S. Biofuels (Growth Energy)

HOUSE PASSES LOWER FOOD AND FUELS COST ACT (Brownfield Ag News)

House passes biofuel infrastructure, E15 bill (Ethanol Producer Magazine)

1. CORN AND SOYBEAN FUTURES RISE OVERNIGHT (Successful Farming)

Ag Bill Seeks to Tackle Inflation: House Package Allows E15 Sales Year-Round, Precision Ag Funding, Packer Investigator (DTN Progressive Farmer)

Here are the 12 lawmakers who broke with their parties on ethanol fuels bill (The Hill)

White House says Biden still working to end fossil fuels: ‘You can do both’ (Washington Examiner)

Bill That Would Tap Ethanol to Lower Gas Prices Passes House (Wisconsin Ag Connection)

ASA supports House’s biofuels agriculture legislation (The Journal)

House Authorizes Year-Round E15 Sales, But Senate Support Doubtful (Inside EPA)

US biofuel group praises passage of bill allowing year-round E15 use (FastMarkets Agricensus)

D.C. Dispatch: Iowa’s representatives join on legislation to bolster biofuels (News from the States)

Democrats force House passage of ag bill they claim will cut prices (Agri-Pulse)

Ag Bill Seeks to Tackle Inflation: House Package Allows E15 Sales Year-Round, Precision Ag Funding, Packer Investigator (DTN Progressive Farmer)

Grassley bullish on House Democrats’ ethanol, cattle bill: Iowa’s senior senator said he’s confident that a bill boosting high-ethanol fuel can pass the Senate, even if it’s attached to a package that divided the House along partisan lines. (E&E News/Politico Pro)

HINSON LAUDS PASSAGE OF BIOFUEL AND FOOD PRIORITIES (Brownfield Ag News)

Ethanol Report on Lower Food & Fuel Costs Act (Energy.AgWired.com; inculdes AUDIO)

Excerpt from The Hill: The legislation, dubbed the Lower Food and Fuel Costs Act, passed in a largely party-line vote, 221-204. One Democrat and three Republicans did not vote.

The bill, which includes several agriculture provisions meant to take aim at the cost of food and supply chain snafus, would dismiss summertime constraints on the selling of a 15 percent ethanol fuel blend and allocate $200 million to widen biofuel infrastructure and equipment, among other measures.

Republican Reps. Adam Kinzinger (Ill.), Randy Feenstra (Iowa), Vicky Hartzler (Mo.), Ashley Hinson (Iowa), Dusty Johnson (S.D.), Mariannette Miller-Meeks (Iowa) and Don Bacon (Neb.) broke with the GOP to support the bill.

On the other side of the aisle, Democratic Reps. Vicente Gonzalez (Texas), Peter Welch (Vt.), Peter DeFazio (Ore.), Henry Cueller (Texas) and Seth Moulton (D-Mass.) bucked their party to oppose the measure.

Miller-Meeks wrote in a statement on Thursday that she supported the bill because it provides year-round availability of gasoline with 15 percent ethanol, also known as E15. She referenced rising inflation and elevated gas prices in the U.S. as factors behind her decision.

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In a statement, Hinson also pointed to the expanded sale of E15 fuel as reason why she supported the measure.

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Johnson in a statement said the legislation “provides solutions to some of the problems America is facing,” including elevated prices at gas stations and grocery stores. Two of his major priorities were included in the package.   READ MORE

Excerpt from DTN Progressive Farmer:  The bill would simply insert the words “or more” after “10%” in law. The bill would not mandate the sale of E15 but would allow it to be sold any time of year.  READ MORE