The American Coalition for Ethanol (ACE) is exhibiting at the Fuel Ethanol Workshop & Expo (FEW) being held June 10-12, 2024, in Minneapolis at booth number 800. At the event, ACE CEO Brian Jennings will join a panel of association leaders in highlighting key policy developments, challenges and industry goals as part of the general session. Jennings will also participate on a panel discussing ACE’s project to unlock new markets and tax credits based on the adoption of climate-smart agriculture practices. Jennings will be joined by representatives from EcoEngineers, BASF and Gevo on that panel. Learn more about the agenda at few.bbiconferences.com and swing by our booth to learn more about ACE’s latest work and our upcoming conference August 14-16 in Omaha.
ACE Continues Fuel Retailer Education as USDA Rolls Out Biofuel Infrastructure Funding
The U.S. Department of Agriculture (USDA) has issued $135 million of the $450 million available in Higher Blends Infrastructure Incentive Program (HBIIP) funds since the start of the Biden-Harris Administration, including $19 million in January to seven projects and $43 million across 15 states in April. USDA continues to accept applications for funding to expand access to domestic biofuels. These grants will support the infrastructure needed to reduce out-of-pocket costs for transportation fueling and distribution facilities to install and upgrade biofuel-related infrastructure such as pumps, dispensers and storage tanks. Applications are being accepted quarterly through September 30, 2024.
ACE updated flexfuelforward.com and targeted advertising to easily direct prospective E15 and flex fuels retailers to information about applying for and obtaining HBIIP grants and has received dozens of information requests each month from potential applicants on its website. ACE has also been attending petroleum marketers trade shows this past winter and spring, frequently giving retailers opportunities to meet one-to-one with Jeff Carpenter, who runs the program for USDA.
Treasury Releases Updated GREET Model for 40B SAF Tax Credit
The U.S. Treasury Department released a highly anticipated update to the GREET model April 30, 2024, providing guidance on how feedstocks like corn ethanol could qualify for sustainable aviation fuel (SAF) under the 40B tax credit of the Inflation Reduction Act (IRA). The new 40B GREET model will recognize GHG reductions from carbon capture and sequestration (CCS), renewable natural gas, and renewable power used to produce ethanol for qualifying SAF and include a “safe harbor” pilot program for corn ethanol produced with bundled climate-smart agriculture (CSA) practices. Treasury also announced it will develop pathways for ethanol from CSA practices under the 45Z clean fuel production tax credit set to go into effect on January 1, 2025.
ACE CEO Brian Jennings issued a statement after initial review expressing appreciation for the U.S. departments of agriculture and energy for formally acknowledging the role of CSA practices in reducing corn ethanol’s GHG emissions. Jennings also said the organization looks forward to working with the agencies with respect to how the GREET model will apply to 45Z, referencing ACE’s Regional Conservation Partnership Program projects, which will generate scientifically significant datasets of the GHG reduction benefits of CSA practices used to produce ethanol in various regions across the country so the full GHG value of these CSA practices can be reflected in future iterations of the GREET model and be used by ethanol producers to obtain 45Z tax credits.