E85 Continues to Advance in 2007, Although Slower Growth of Stations is Apparent

The year 2007 was accompanied by both ups and downs in the E85 advocacy industry. While positive focus on E85 was advanced more than ever politically and throughout the media, a number of issues contributed to a reduction in the growth of new E85 fueling stations.

E85 stations did increase in number throughout the year to 1,420; however, it only increased by 35 percent from the 2006 level. The number of E85 fueling facilities grew by 118 percent the previous year, which represented the greatest growth in history. To see a chart depicting the 2001-2007 trend in E85 fueling station growth, click here.

Following is a very short list of industry accomplishments and announcements in the past year:

• Ford certifies FFVs for sale in California
• First E85 station opens in Louisiana
• Ohio Governor announces funds to increase E85 stations
• Ford and VeraSun, (both NEVC members) partner to promote E85 in Missouri.
• North Carolina Office of the State Fire Marshal approves CleanFUEL technology E85 dispensers
• New York announces $9 million in grant funding to advance biofuels infrastructure.
• NEVC executive director testifies twice to the House Energy and Commerce Committee and once to Senate Energy and Natural Resources Committee.
• VeraSun and GM partner to open first E85 retail station in Washington, D.C.
• GM Days of Summer Tour
• Air force provides E85 at all Air Force Space Command state side locations
• Underwriters Laboratories, Inc., publishes outline for some E85 equipment
• Jay Leno promotes E85
• Ford provides 20 E85 Escape Hybrids to select customers for use in six states
• Alabama Governor announces $312,000 for E85 and biodiesel infrastructure funding.
• NEVC and Colorado Corn Growers Association introduces NEVC/E85 corporate video
• North Carolina allows $300,000 in funds for E85 projects
• Iowa ’s Join the Ride brings in more than $100K for E85 chopper
• First E85 station in Atlanta, Georgia
• NEVC partners with Florida on alternative fuel station locator
• Renew station sells 1 millionth gallon of E85 in Oshkosh, Wisconsin

Additionally, a major addition to federal energy policies was approved with the President’s signature on the Energy Independence and Security Act of 2007:

During the debate on the new Energy Bill, the NEVC worked diligently on the following provisions:

• Removal of franchise restrictions on the sale of E85.
• Removal of franchise restrictions which prohibited the use of credit cards to sell E85.
• Removal of franchise restrictions which limited advertising the sale of E85 on marquees, light poles, etc.
• Establishment of an E85 infrastructure grant program which requires recipients of federal funds to develop a marketing plan, report on E85 sales and provide information to consumers.
• Requirements that the U.S. Department of Energy engage in contracts with organizations that have demonstrated E85 infrastructure development experience so technical assistance can be provided in an ongoing manner to recipients of federal grants.

Membership in the NEVC increased dramatically. The NEVC acquired 123 new corporate members in 2007, including automakers, ethanol producers, state commodity organizations, E85 fueling stations and others.

The NEVC looks forward to a successful 2008! With your help, E85 can be a more widely-known, widely-used fuel. Become a member of our coalition. Go to http://www.e85fuel.com/membership/membership.php or contact Haley Wansing at hwansing@e85fuel.com.

First Retail E85 Station Coming to Mississippi

The first E85 retail station will soon be located in Mississippi!  Ford's Fuel at 812 West Church Street in Newton, MS will begin selling the fuel soon. The location is for travelers from Interstate I-20 wishing to exit for fuel at both of Newton's interchanges. Combined traffic in the area exceeds 20,000 vehicles daily.
 
The E85 station will include a visit to the past where Jeff Ford and his father produced Ford's Ice Cream for decades pleasing the pallet of thousands of Mississippians.  Visitors will receive a taste of ice cream and the history of ice cream and Mississippi life along with works of art and local artists.  Mrs. Jo Jeff Ford Gordon is a major contributor and invites everyone to visit her Grandfather's dream that started at his family's dairy and creamery over 100 years ago (http://www.fordsmuseum.org).

The location is focused on environmental preservation only offering alternative fuels.  The building will use alternative energy resources. With the state of Mississippi only retaining 200 dairy herds the site is dedicated to encourage young people to consider farming and related fields of study to help preserve the environment.
 
A grand opening event is tentatively scheduled for February 20 where E85 will sell for 85 cents per gallon from 10:30 a.m. – 12:30 p.m., and then sell E85 for $1.85 per gallon until midnight.  
 
The E85 fuel and station design is being provided by NEVC member CleanFUEL Distribution.  Ford’s Fuel is also a member of the NEVC.

2008 NEVC Annual Board of Directors Meeting

2008 Board Members. (from bottom left): Phil Lampert, NEVC;
Scott Negley, Dresser Wayne; Bernie Punt,
Siouxland Energy & Livestock Coop.; Greg Krissk, ICM;
Roger Moore, MN Corn Growers Assn.
(2nd row from left): Mindy Larson Poldberg, IA Corn Growers Assn.;
Shirley Ball, EPAC; Theresa Schmalshof, NCGA;
Ethan Taylor, MO Corn Growers Assn.
(from top left): David Hallberg, PRIME BioSolutions; Todd Sneller, GEC;
Scott Schramm, Chrysler; Omer Sagheer, White Energy;
Melissa Ullerich, VeraSun Energy.

The NEVC held its 2008 Annual Board of Directors Meeting at the St. Louis Airport Renaissance on February 4 and 5. Board members nominated two new representatives to the group and inducted new executive officers.

“The dramatic growth of the ethanol industry in 2007 continued to present many opportunities and challenges for E85,” said Krissek, outgoing NEVC Chairman.  “The year culminated with passage of the Energy Bill, which will only stimulate this growth further.  Many members of the NEVC embarked on new business opportunities within this green climate.  The NEVC’s advocacy and its membership will be key during the coming year as critical regulations are promulgated and additional legislation is considered.”

Executive Officers for 2008 are as follows: Chairman Benie Punt, Siouxland Energy and Livestock Coop.; Vice-Chairman Dwayne Siekman, Ohio Corn Growers Association; Secretary Scott Negley, Dresser Wayne; and Treasurer Roger Moore, Minnesota Corn Growers Association.

New to the 2008 NEVC Board of Directors are Kevin Kuykendall, president of White Energy; and Ray Hutchinson, vice president of business development for Gilbarco Vedder-Root. The complete list of NEVC Board Members can be accessed at http://www.e85fuel.com/about/boardmembers.php.

The afternoon of February 4 was open to all NEVC members and invited guests. The NEVC Board heard presentations from Dennis Smith with the Department of Energy, Ken Boyce with Underwriters Laboratories, Inc., and Chris Disher with Flex Fuel U.S.

Sponsors of the NEVC 2008 Annual Meeting included the Minnesota Corn Growers Association, Missouri Corn Growers Association, Kansas Corn Commission, Siouxland Energy and Livestock Cooperative, Dresser Wayne, the Ohio Corn Growers Association and VeraSun.

Representing the South Dakota Clean Air Choice TM Team, the American Lung Association of South Dakota (ALA-SD) was one of 75 exhibitors at the 2008 South Dakota Ag Expo on January 16 and 17 in Sioux Falls, SD.  More than 1,000 guests had the opportunity to visit the Clean Air Choice exhibit to learn how increasing the use of homegrown biofuels, such as biodiesel and E85, offers real benefits to all South Dakotans. The booth also offered information on local and regional E85 stations and the SD Clean Air Choice Scholarship, which is a biodiesel essay contest for providing scholarships to two high school seniors for attending post-secondary education.

“Motorized vehicles are the number one source of air pollution in our region,” says Lindsey McKenzie of the ALA-SD. “Air pollution can cause serious health problems for anyone with asthma, chronic obstructive pulmonary disease, or other lung disease. This is a very important issue for the American Lung Association.  In addition, I’ve lived in South Dakota my whole life and recognize the important economic and energy security benefits biofuels provide to our state.”

Expo attendees included NEVC members, such as VeraSun Energy and Get N Go, which offer E85 at eight stations in Sioux Falls. 

According to the ALA of the Upper Midwest, a typical flex-fuel vehicle driver can prevent 4 tons of carbon dioxide and other harmful pollutants from entering our atmosphere simply by fueling with E85 instead of gasoline for one year. For more information on the SD Clean Air Choice Team, contact Lindsey McKenzie at 605-336-7222 or email lmckenzie@americanlungsd.org.

The NEVC is a founding member of the SD Clean Air Choice Team. For photos of the event, click here.

Ethanol Adds Millions to Nebraska Revenue

- Source: Nebraska Ethanol Board press release, Jan. 29, 2008

A new report released by Ethanol Across America shows U.S. ethanol plants generate hundreds of millions of dollars to local, state and federal governments through direct and indirect economic generation. 

The Economic Impacts of Ethanol Production chronicles the impacts of these facilities through case studies and examination of existing studies.  The total of state income taxes and property taxes generated by ethanol plants was more than $2.2 billion in 2006 and is estimated to approach $3 billion by 2008.

“These are substantial sums resulting directly from these facilities,” said U.S. Senator Ben Nelson (D-NE), co-chairman of the Ethanol Across America campaign.  “When indirect and induced jobs are considered, along with capital spending and investment, the ethanol industry is adding more than $40 billion of gross output to the U.S. economy.  These are monies being returned to our local communities and providing improved public services,” said Senator Nelson.

The report looks at the ripple effect of these facilities and ethanol’s role in reducing gasoline prices.  By displacing oil imports, ethanol can reduce the U.S. trade deficit by $13 billion annually. The U.S. Department of Agriculture estimates ethanol production will reduce federal farm subsidies by nearly $1 billion over the next seven years.

”We are keeping U.S. dollars at home—plain and simple,” said U.S. Senator Tim Johnson (D-SD), another member of the Ethanol Across America Advisory Board.  “We are increasing net farm receipts, reducing federal farm subsidies and lowering gasoline prices by expanding the overall fuel supply.  And we are doing this with little, if any, impact on food prices.”

Economists found that a prospective 100 million gallon per year ethanol plant could create $10 million of annual income in a typical Nebraskan community. Nebraska is the second largest state for ethanol production, with 20 plants producing 1.3 billion gallons per year.

Todd Sneller, administrator of the Nebraska Ethanol Board and past NEVC chairman, said the positive impact ethanol has had on Nebraska is obvious.

“Ethanol has brought thousands of jobs to Nebraska and has created millions in wealth which flows back to our local communities,” Sneller said. “ Nebraska ethanol is a four billion dollar industry, and that gets bigger each year.”

Download The Economic Impacts of Ethanol Production at http://www.ne-ethanol.org/pdf/economicimpact.pdf or request a free copy from the Nebraska Ethanol Board.

Wealth of Alternatives Could Be Good News, Bad News for Automobile Industry

- Source: Pittsburgh Post-Gazette, Jan. 24, 2008

Although hybrid vehicles have stolen the spotlight, auto manufacturers are planning a wide variety of approaches—ranging from diesel to hydrogen fuel cells—to improve gas mileage and reduce harmful emissions. But what is not yet clear is which, if any, of the many technologies will rise to the top.

"It's really a fascinating time to cover the auto industry," said Jack Nerad, editorial director at Kelly Blue Book. "The whole question of a car's powertrain is up for grabs in ways that it hasn't been for 80 to 100 years. Nobody really knows how all of this is going to shake out."

The wealth of options might be bad news for the leaders of the auto industry.

"This is going to give executives in charge of making decisions a lot of sleepless nights. You make the wrong decision or put too much money in the wrong technology, and it can be a killer for you," Nerad said.

One thing is sure: Fuel cells are years away from regular use because of concerns about the lack of refueling stations and lingering worries over safe use and storage of hydrogen fuel. As for electric power, many automakers agree that lithium ion batteries still have a lot of development work to be done before they can be offered to the public.

"Personally, I think the use of both diesel technology and E85 fuel have the most overall advantages," Nerad said. "Diesel especially offers the most immediate advantage, as long as we're talking about clean diesel technology. Diesel provides significantly higher fuel economy and there's already infrastructure in place to deliver diesel fuel to consumers."

The Diesel Technology Forum says diesel-powered cars, trucks and SUVs provide 20 to 40 percent better mileage than comparable gasoline vehicles and, according to the U.S. Environmental Protection Agency, the nation could save up to 1.4 million barrels of oil per day if one-third of all the vehicles in this country were diesel powered.

Whatever combinations of technology are ultimately chosen by automakers, American consumers should not expect to end their dependence on oil overnight.

General Motors (GM) officials say it will take decades before all alternative fuel products have a big impact on overall oil demand.

"Less than 1 percent of the 820 million cars and trucks in the world today are powered by hybrid or fuel cell technology," GM Chairman and Chief Executive Officer Rick Wagoner said at a news conference last week in Detroit, MI. "With the current global industry sales rate of 70 million units a year, even with our best efforts, it'll take well over 12 years to replace most of the vehicles now on the road with vehicles that are more energy efficient."

NEVC welcomes these newest corporate members to the coalition:

American Lung Association of CO/Denver Metro Clean Cities Coalition
Banks & Company
Farmers Cooperative Elevator Company
Greater Baton Rouge Clean Cities Coalition
McPherson Companies, Inc.
Mobil Lube Express
Shell Express Mart

The Missouri Department of Transportation (MoDOT) is by far the leading Missouri state agency in the use of alternative fuel vehicles.  As they move forward in making the department an even "greener" organization, they feel that joining the NEVC will help them gain better insight into all aspects of ethanol.

“We feel the major obstacles with E85 have to do with creating the infrastructure to support the alternative fuel vehicles and educating people on what alternative vehicles are,” noted MoDOT’s Jeannie Wilson.

Wilson pointed out how children seem to be well educated on the subject. She said, “It amazes me how much our children know about ethanol and biodiesel.  I think it’s important to have a solid grassroots effort in place to educate our children—future consumers of E85—about the use and benefits of ethanol. Besides, children have a way of making their parents stop and listen.”

MoDOT has approximately 600 E-85 vehicles in its fleet and seven bulk E85 sites throughout the state.  

Below is a list of fueling facilities which have installed E85 since the issuance of our last NEVC newsletter.

The following 14 facilities are or will soon be carrying the clean-burning, alternative—E85:

There are currently 1,484 E85 stations available across the United States. For a complete listing, go to www.E85Refueling.com.

To inform us of changes to our E85 site, please email info@e85fuel.com.

February 20, 2008
Grand Opening of 1 st retail E85 station in Mississippi at Ford's Fuel, 812 W Church St., Newton, MS 39345. For more information, contact Don Evans at donevans@fordsmuseum.org.

February 28 – March 1, 2008
2008 Commodity Classic in Nashville, TN. For more information, go to http://www.commodityclassic.com.

March 3-7, 2008
WIREC 2008 in Washington, DC. For more information, go to http://www.americanrenewables.org/.

March 16-18, 2008
CREW 2008: Canadian Renewable Energy Workshop hosted at IPSCO Place, Regina, Saskatchewan. For more information, email lgrant@bbibiofuels.com or call 1-800-501-0224.

Please feel free to e-mail your story suggestions, comments, corrections or clarifications to us at info@E85Fuel.com or call us toll free at 877-485-8595.

NEVC  promotes the use of 85 percent ethanol as a renewable form of alternative transportation fuel while enhancing agricultural profitability, advancing environmental stewardship and promoting national energy independence.