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Brian JenningsJanuary 10, 20242 min read

Priorities in the New Year


Please participate in our March 14-15 DC fly-in to help press for action on these priority issues.

YEAR-ROUND E15

ACE remains focused on nationwide year-round access for E15.

We support the bipartisan Midwestern governors who petitioned EPA and are pressing for action in these states as soon as possible. Should EPA fail to act on time, ACE could call for emergency waivers in 2024 alongside pursuing a legislative solution.

Speaking of legislation, we continue mobilizing support in Congress for permanent and nationwide E15, and were encouraged by progress on that front last year. Thank you to ACE’s grassroots members who have contacted Congress about this vital legislation.

CAPITALIZING ON CORN ETHANOL’S LOW CARBON ADVANTAGES

ACE is leading a project to pay farmers for adopting practices to reduce the carbon intensity of the corn they deliver to ethanol plants, and we are collaborating with scientists to measure the greenhouse gas benefits resulting from the practices. The data ACE collects will increase the confidence in models used to quantify soil carbon sequestration and nitrous oxide, and the impacts of crop yield, tillage and fertilizer management on emissions. This data will also enable us to build a tool to help farmers and ethanol producers verify their carbon score.

We are also maximizing our members’ ability to capitalize on the 45Z clean fuel production tax credit, 40B sustainable aviation fuel credit and the 45Q credit for carbon capture, storage and utilization. ACE has met with the Treasury Department to ensure the GREET model is used to deploy these tax credits, and we are conducting webinars to help our members make the most of the new incentives.

Be sure to utilize the online calculators we created to help members do the math on what technology investments and climate-smart farming practices are worth, whether through existing clean fuel markets or incentives like 45Z.

PROMOTING AND DEFENDING THE RENEWABLE FUEL STANDARD

The RFS “Set” rule established conventional biofuel blending targets of 15 billion gallons for 2024 and 2025. While the statute requires EPA to propose volumes for 2026 and beyond this year, the Presidential Election could delay the proposal. ACE continues to combat abuse of Small Refinery Exemptions and we are urging EPA to adopt GREET for lifecycle modeling.

NEW POLICIES TO INCREASE DEMAND

We are also advocating for new policies to expand ethanol demand even as petroleum use declines. Clean fuel legislation is advancing in states such as Illinois, New York, Michigan and Minnesota. ACE is involved to ensure corn ethanol is treated fairly and there are credits for agriculture practices and demand for E15 and higher blends increases.

At the federal level, ACE is supporting the Flex Fuel Fairness Act to increase production of flexible fuel vehicles (FFVs) and the Next Generation Fuels Act to pave the way for higher blends.

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