Carbon
“If you raise 200 bu. corn with a CI score of 0, that’s $1.57 per bushel and an extra $314 in value. Now, the ethanol plant isn’t expected to share 100%, but it could be 25% to 30%,” says Paul Neiffer, a farm CPA.
The U.S. ethanol industry is lobbying the Biden administration to ensure lower-carbon aviation fuel made from ethanol will qualify for subsidies.
Waste issues for renewables may seem huge but not when compared to the alternatives. John Phipps says one problem is the availability bias. He analyzes the cost of the waste compared to alternatives in Customer Support.
Renewable diesel is revving up interest from both agriculture and the oil industry, and now oil and agriculture companies are teaming up to find additional crop sources to fuel the growing demand.
Most carbon programs available to farmers have required a change in practice, which left many long-term users of no-till practices and cover crops on the sidelines. However, 2023 is shaping up as a turning point.
A new partnership between Corteva, Bunge and Chevron to create proprietary canola hybrids will boost vegetable oil supplies to fuel the renewable diesel market while also creating a new revenue stream for farmers.
United Airlines is teaming up with a corn ethanol maker in a bid to ramp up production of green jet fuel to deal with carbon credits and climate change by 2028.
Currently, most voluntary carbon programs are based on payment for a change of practice on the farm. But what’s the tipping point for farmers to make any change in exchange for enrollment in a carbon program?
“The funds awarded today by the DOE will undoubtedly accelerate the innovations taking place at U.S. ethanol plants, opening new opportunities for low-cost, low-carbon energy,” says Growth Energy’s Emily Skor.
Profitability and efficiency are big drivers for growers evaluating conservation-based farming practices. Each farmer who spoke at the Trust In Food Symposium said they have adopted at least one such practice, to date.