2017 Outlook: Another game-changing year for biofuels

Emily Skor, CEO at Growth Energy, gives her outlook for the year ahead.

2016 was a game-changing year for America’s biofuel industry. From exports to the production of cellulosic biofuels, we set a new pace for success. And for the first time in years, the

Environmental Protection Agency (EPA) announced targets for conventional ethanol consumption that meet the goals set forth by Congress in 2007. None of these achievements would have been possible without a groundswell of support from dedicated advocates and our industry’s ongoing partnership with key retailers to bring higher blends to the market and motivate consumers to demand cleaner, more affordable options at the pump. In fact, from 2015 to 2016, the number of states where consumers could find a station selling E15, a 15% ethanol blend, doubled to 28.

Prime the Pump

As we look to 2017, accelerating growth in use of biofuels will remain a top priority for our industry. In December, a strategic plan issued by the Department of Energy projected that biofuels can comprise 25% of America’s transportation fuels by 2040. This could be just the beginning. To make this goal a reality, Growth Energy is reintroducing consumers to the benefits of ethanol  through targeted outreach and social media-friendly platforms like GetEthanol.com.

We’re also expanding our partnerships with retail allies to bring higher ethanol blends like E15 to new markets through initiatives like Prime the Pump, which supports the installation of biofuel pumps at local gas stations.

As always, the Renewable Fuel Standard (RFS) will remain vital to protecting consumer options, and

Growth Energy will continue to lead the charge in educating policymakers regarding the importance of a strong RFS and regulatory certainty in the fuels market. We’re also working closely with regulators to break down the remaining barriers that have prevented biofuels from reaching their full potential. Chief among these are EPA rules related to Reid vapor pressure (RVP).

Current rules are hopelessly out of date, having been enacted before E15 was part of the conversation, and they require cleaner fuels to meet tougher vapour standards than traditional blends during summer months. As a result, many retailers do not offerE15 during the very months when Americans spend the most time on the road.

New administration

We also will work closely with the new administration to ensure that new barriers are not erected by those seeking to protect the market share of fossil fuels. For example, despite opposition from the broader oil industry, some refiners and their allies in

Washington are pressing the EPA to shift the point of obligation under the RFS. Under this plan, many refiners and fuel importers would be exempted from renewable fuel standards with the burden of compliance passed onto fuel retailers and distributors.

In practice, the effort would only destabilise the incentive to offer higher ethanol blends at the pump, potentially raising prices on consumers and interrupting America’s progress toward clean energy.

On this and other fronts, we will continue to rally our champions on Capitol Hill and engage with the new administration to reinforce the economic, environmental, and energy security benefits of America’s vibrant biofuels sector. According to a poll

Growth Energy released in January, more than eight in ten Trump voters in the battleground states agreed with the President’s vocal support for ethanol, and we’ll spare no effort in reminding this administration and other leaders of the mandate delivered by pro-biofuel voters. Consumers want and deserve cleaner fuels that increase engine performance, protect the environment, and save them money. With their support and hard work, the seeds sown in 2016 promise to make 2017 another groundbreaking year for biofuels.

This article was first published in Biofuels International’s January/February 2017 edition. This story was written by Emily Skor, CEO of Growth Energy and edited by Liz Gyekye, editor of Biofuels International.