The U.S. Grains Council (USGC) staff has been working tirelessly to promote the economic and environmental benefits of ethanol in markets around the world via in-person meetings and detailed studies that focus on specific countries and how ethanol can improve the lives of consumers.
A Council delegation traveled to Ottawa, Canada, earlier this year to meet with Canadian government officials and private stakeholders to discuss details related to the Canadian Clean Fuel Regulation (CFR). During this visit, the Council reiterated its enthusiasm and support for the regulation and advised against any further delay of its successful implementation.
The CFR, which goes into effect in 2024, will significantly decrease transportation-related emissions by requiring fuel suppliers to lower the carbon intensity from fuels produced or used in Canada. This will lead to a 15 percent overall reduction in the carbon intensity of gasoline and diesel used in Canada by 2030, reducing an estimated 26 million tons of greenhouse gas (GHG) emissions.
“Canadian ethanol blending is estimated to reach 15 percent nationwide by 2030, and the U.S. ethanol industry stands ready to provide the additional fuel necessary to meet that new demand. Any barriers to free trade must be addressed and removed to maintain this robust market and ensure successful policy implementation,” said Isabelle Ausdal, USGC manager of global ethanol policy and economics.
The delegation spoke with regulators and political staff within the Ministry of Agriculture, Ministry of Environment and Ministry of Natural Resources as well as legislative leadership within the major political parties in Canada. Topics of discussion included achieving legislative recognition for land use and biodiversity criteria for U.S. ethanol producers and application requirements for GPS coordinates for feedstock suppliers.
The Council also recently commissioned the Fuel Ethanol Cost-Benefit Analysis Study from Turner, Mason & Company, a leading energy research and consulting firm, which quantifies economic and strategic advantages for end-users in Indonesia, Mexico and Nigeria.
Ethanol is the only fuel that fits into the categories of both oxygenates and biofuels, allowing it to not only assist in the combustion process and reduce carbon monoxide emissions, but to also reduce greenhouse gas (GHG) emissions. Ethanol blending is more cost-effective, reducing the cost of gasoline, while the blending of other oxygenates, including methyl tert-butyl ether (MTBE), can increase costs.
“The results from the study also prove that economic value increases with higher ethanol blending. We hope this study will help our customers further understand the wide range of benefits that ethanol can provide,” said Mackenzie Boubin, USGC director of global ethanol export development.
The full study and summary are available at https://linktr.ee/usgrainscouncil.
