Emissions

New Holland Continues Its Alternative Energy Future with the T4 Electric Power Tractor

Tue, 29 Aug 2023 13:38:50 GMT

Boasting an industry first, New Holland introduces the T4 Electric Power Tractor, which is fully electric and is outfitted with autonomous features. The company says this is ushering in a new tractor class–the Utility Electric.

Benefits to the T4 Electric Power include:

74 hp rated power
Emission-free
Quiet operation
High torque, fast response
4-wheel drive
A proven 12x12 transmission
Clutch-less electronic power shuttle reverser
All the regular power outputs of a traditional diesel utility

New Holland developed the T4 Electric Power for mixed farm, hay and forage, dairy, livestock, municipality, greenhouse and specialty crops applications.

The tractor is powered by a lithium-ion battery pack paired with a fully electrified drivetrain. Rated at 74 hp and 65 PTO hp, the tractor features a 110-kWh maximum energy storage capacity in a 400V nominal high-voltage circuit. The power unit delivers gradual power and continuous torque even at the lowest speeds, which is providing a new experience for loader work and farm chores. Its efficient high voltage powertrain has integrated cooling features.

It’s estimated the tractor can provide four hours of average runtime, which can equate to up to eight hours for low-energy demand applications. The battery can be recharged to 100% within an hour when using commercially available fast-charging systems.

“This tractor is a significant step forward for growers, producers and municipalities. The T4 Electric Power addresses a number of challenges they are facing everyday on their operations,” states Lena Bioni, product marketing manager for New Holland Agriculture North America. “What New Holland is bringing to our farmers is a convergence of technology – electric propulsion, autonomous features, better performance – in the body of a utility tractor that’s setting the stage for a more efficient, sustainable and resilient future our customers are striving for.”

The tractors has cameras and sensors mounted on its Smart Roof, and the modes for autonomous operation are active in the cab via touchscreen display.

Autonomous features include:

Follow Me Mode
The Invisible Bucket and 360 Degree Awareness
Over the Air Updates
Live View
Map Maker

New Holland had previously introduced its alternative fuels focus with the “Clean Blue” campaign and product introductions such as the T7 Methane Power LNG (Liquified Natural Gas) and the T6.180 Methane Power.

The T4 Electric Power was designed by CNH Industrial engineering in the United States (Burr Ridge, Ill., Detroit) and Italy (Modena.)

New Fuel Act Could Pump More Biofuels into the Jet Market

Fri, 16 Jun 2023 13:27:25 GMT

The White House set a goal of producing 3 billion gallons of sustainable aviation fuel (SAF) by 2030 to help achieve climate goals. However, outdated climate data is keeping producers from reaching the finish line, according to various senators.

To address the issue, congressmembers introduced the Sustainable Aviation Fuels Accuracy Act of 2023 on Tuesday. If passed, the bill would require the Department of Energy (DOE) to use the GREET model — a greenhouse gas measuring method considered to be most accurate — to collect data on crop, land and carbon practices that reduce greenhouse gases, which then go on to reduce jet fuel emissions.

“Emissions modeling needs to reflect the latest science and technology. The GREET model will more accurately capture the environmental benefits of biofuels, including for sustainable aviation fuels,” says Sen. Deb Fischer (R-Neb.).

If GREET is considered the most accurate, then why isn’t it the standard? Chris Bliley, Growth Energy’s senior vice president of regulatory affairs, says it comes down to conflicting interests.

“Because aviation is a global marketplace that includes international flights, a lot of people think all countries should be using the international SAF model. But for the U.S., we use tax incentives, so it only makes sense that we would use our own model developed by the DOE. And the DOE should be giving us the gold standard, which is GREET,” Bliley says.

Sen. Joni Ernst, echoed Bliley in saying the international model isn’t a good fit for the U.S. She says it’s a matter of energy dependence.

“Our bill ensures America’s domestic energy production is driven by the U.S. GREET model rather than rely on the current international model dictated by foreign countries like China and Russia. Not only is this model better for our national security, but it also provides an opportunity to support our hard-working American farmers,” Ernst says.

Corn Residue Will Transform into Renewable Plastic in New Industry Deal

Mon, 29 May 2023 21:59:12 GMT

Dow Inc. and New Energy Blue have announced a long-term supply agreement to produce bio-based ethylene from renewable ag residues, specifically corn stover, which comprises stalks and leaves. The financial specifics of the deal were not disclosed.

This agreement is a first in North America, as it enables the production of plastic source materials from corn stover. It also marks Dow’s inaugural agreement in the region to use ag residues for plastic production.

Under the agreement, Dow will aid the design of New Energy Freedom, a new Iowa facility that aims to process 275 kt/year of corn stover. This facility is expected to yield commercial quantities of second-generation ethanol and clean lignin. Almost half of the produced ethanol is planned to be converted into bio-based ethylene feedstock for Dow’s products.

The agreement includes potential commercial supply options for the next four New Energy Blue projects, aiming to expand production and support farmers by providing a stable market for ag residues. The five projects combined are projected to reduce over 1M tons/year of greenhouse gas emissions.

Do Any Airlines Use Sustainable Aviation Fuel?

Tue, 28 Mar 2023 20:44:11 GMT

A new Government Accountability Office report says the Transportation, Energy and Agriculture Departments should do a better job of measuring the progress of their work to spur the production of 3 billion gallons of Sustainable Aviation Fuel (SAF) by 2030.

SAF is alternative jet fuel made from renewable and waste feedstocks that can reduce greenhouse gas emissions on a lifecycle basis. SAF production and use in the U.S. has increased in recent years; this fuel is now used by airlines at two major commercial airports in California.

While U.S. production reached 15.8 million gallons in 2022, it accounted for less than 0.1 percent of the total jet fuel used by major U.S. airlines (see table). This also falls well below the previous Federal Aviation Administration goal for U.S. airlines to use 1 billion gallons of SAF per year by 2018.

Challenge Roadmap

Transportation and ag concurred. Energy indicated the recommendation is completed and that planned roadmap activities will enable progress to be measured.

As discussed in the report, GAO disagrees that the recommendation is completed.

USDA’s Cover Crop Program Would be Made Permanent through Biden's Budget

Fri, 10 Mar 2023 22:23:44 GMT

A $6.8 trillion budget proposal was released by the Biden administration on Thursday with the continued “bottom up, middle out” theme, according to USDA.

“The President’s budget provides USDA with the tools needed to serve all Americans by providing effective, innovative science-based public policy leadership at home and around the world,” Tom Vilsack, USDA secretary said in a press release .

The proposed budget includes:

• $19 trillion to be borrowed through FY 2033
• 10.2 trillion in interest on national debt
• $3 trillion in debt deficit reduction
• $6.9 trillion for spending

So, what’s ag’s stake in the $6.8 trillion plan? As is generally the theme in a farm bill, nutrition would take most of the cake.

Nutrition and the Supplemental Nutrition Assistance Program (SNAP)

According to the release, the administration anticipates 6.5 million people will participate in SNAP. To meet these “critical” SNAP needs, the proposal devotes $6.3 billion of a total $7.1 billion in nutrition for SNAP.

“The budget also includes $15 billion over 10 years to allow more states and schools to leverage participation in the community eligibility provision to provide healthy and free school meals to an additional 9 million children,” the release says.

Ensuring SNAP availability is one obstacle. Ensuring food is available for purchase is another issue the budget looks to address.

Supply Chain Resilience

COVID-19 and the Russia–Ukraine war exposed many broken supply chain links. To solder the chain back together, the White House plans to create programs that will:

• Bolster markets through oversight by the Agricultural Marketing Service.
• Safeguard livestock against pests and disease through Animal and Plant Health Inspection Service (APHIS) investments.
• Ensure “safe and healthy” work environments by hiring more inspectors and health officials.

“These programs build on the pandemic and supply chain assistance funding in the American Rescue Plan to address COVID-19 pandemic-related vulnerabilities in the food system,” the plan says.

The supply chain won’t be the only sector to see new or reestablished programs. A similar approach will also be taken up in the climate department.

Climate Resilience

Cover crop pilot programs would be made permanent if this budget were to pass.

With $208 million more in conservation funds from the 2023 enacted funding level, the NRCS would work to “increase the voluntary adoption of conservation practices that sequester carbon and reduce greenhouse gas emissions associated with agricultural production.”

Related article: Producers Eliminate Fungicide and Insecticide Use, Cut Fertilizer 50%

To put the investments in motion, NRCS would use draw on federal, state and private conservationists to hire “thousands” of employees that would be available to rural America.

These employees would also work alongside climate researchers, which will also be funded in the budget.

Ag Research

In the past, many legislative officials have speculated American ag is falling behind in research compared with other countries. But research might finally see its needs met if this budget proposal passes.

“The People’s Republic of China has become the largest funder of agricultural research and development in the world, surpassing the U.S. and the EU” the report says. “The budget restores American innovation in agriculture by providing a total of more than $4 billion, a $299 million increase above the 2023 enacted level, for ag research, education and outreach.”

Some, including Rep. Salud Carbajal (D-Ca.), feel these research funds are long overdue.

“This administration is taking an important step toward undoing years of underinvestment – as public funding for agriculture research has declined by one-third since 2002,” Carbajal said in a press release.

A letter sent in February to the Office of Management and Budget by Carbajal and other members of Congress stressed the need for increases in ag research.

If these proposed investments are taken-up, Carbajal says American innovation in ag will be “restored.”

Taxes

Arguably the heaviest hitter in the budget bundle is rooted in tax changes that would make American’s pay “their fair share” toward the nation’s debt, according to Janet Yellen, U.S. treasury secretary.

To ensure the “share” is paid, the budget would:

• Raise the corporate tax rate from 21% to 28%. For most farmers this would be almost an 100% tax increase from 2017 when most farmers only paid 15%.

• Include several proposals to eliminate or reduce tax deductions and credits related to oil and natural gas operations.

Many farmers have ground that enjoys oil and gas revenues. This could indirectly reduce those revenues.

• Any farmer with a net worth greater than $100 million would be subject to a minimum tax rate of 25% on all income included unrealized gains not yet tax.

As an example, assume a farmer is worth $125 million and they have $25 million on unrealized gains not yet taxed. They would owe $5 million that can be paid over 9 years in the first year of this proposal or 5 years thereafter.

Plus, if the asset is illiquid, they could make an election to defer the tax until the asset is sold but would owe an “interest charge”. There appears to be no refund if your net worth decreases.

• Increase the Statute of Limitations from 3 years to 6 years for prohibited transactions and material misstatement of assets in a retirement plan.

• Treat all capital gains and dividend income for taxpayers with more than $1 million of taxable income as being taxed at ordinary rates.

As example, assume a farmer had $500,000 of capital gains and $1 million of other net taxable income. All of the capital gains would be taxed at 44.6%.

The administration wants to make farmers and their heirs pay capital gains taxes on any transfers of appreciated property either via gift or at death. They have increased the exemption amount to $5 million per person or $10 million for a married couple and allow portability of any unused amount at the first death.

Related article: Review of President Biden’s Green Book

So, what are the odds of this budget passing? It depends on who you talk to.

Upshot

According to Jim Wiesemeyer , ProFarmer policy analyst, democrats in the House and Senate aren’t sure they’ll produce their own budget documents, saying they’ll review Biden’s proposal and only draft their own resolutions if they need to take a different approach from the president.

Paul Neiffer , farm CPA, believes, with the House in Republican control, there is little chance that much of this will pass in

Four Ag Topics Discussed in Mexico City During USMCA Meetings

Fri, 13 Jan 2023 18:40:59 GMT

Mexico City ran the headlines this week, as Mexican President Andrés Manuel López Obrador hosted President Biden and Canadian Prime Minister Justin Trudeau for the 10th North American Leaders’ Summit.

In their Tuesday meeting, the three leaders shared a conversation including these top takeaways for the ag industry:

1. Semiconductor manufacturing

The three agreed to organize a semiconductor forum with industry representatives and government officials in early 2023 to coordinate semiconductor supply chain needs and investments. Semiconductor companies building new manufacturing facilities in the U.S. would like to put parts of their supply chain in Mexico.

Read more: What to Watch in 2023

2. Methane and food waste reduction

The countries also committed to reducing methane emissions from the solid waste and wastewater sector by at least 15% by 2030 compared with 2020 levels, and to develop a proposal to cut food loss and waste in half by 2030.

3. Energy

Biden, López and Trudeau agreed to create a plan for standards and installation of electric vehicle chargers along their international borders.

The energy topic comes as Mexican officials are in consultations with the U.S. to avoid a U.S.-Mexico-Canada Agreement (USMCA) dispute panel over Mexican energy policy. Canada has also joined in the complaint.

The U.S. Trade Representative’s office says the policy puts billions of dollars in U.S. investments at risk.

Canada also has concerns over the implementation of an electric-vehicle provision in the Inflation Reduction Act signed by Biden last year.

While Trudeau did not elaborate on his concerns, Biden said Trudeau has “always been there” when he reached out. With that, Biden intends to travel to Canada to discuss the matter in March.

Read more: Title 42 Talks Continue with Biden at U.S./Mexico Border

4. U.S./Mexico Border Wall

Biden, in the meeting, was met with thanks from López Obrador for not building “even one meter of wall.”

“You are the first president of the United States in a very long time who has not built even one meter of wall. We thank you for that, sir,” said López Obrador.

The comments come as the Biden administration announced a program to allow 30,000 migrants from Cuba, Haiti, Nicaragua and Venezuela, collectively, to enter the U.S. legally each month.

Still, López Obrador suggested Biden “insist” Congress regularize undocumented Mexican migrants who work in industries where American employers are struggling mightily to find enough workers.

By the end of the discussion, López Obrador labeled Biden as “a man with conviction.” López Obrador then moved to challenge Biden to improve life across the region, telling him he “holds the key” to change.

“This is the moment for us to determine to do away with this abandonment, this disdain and this forgetfulness for Latin America and the Caribbean,” López Obrador said.

While López Obrador and Biden reserved a moment for a border wall discussion, no commentary was shared regarding GMO corn trade .

Read more: Mexico’s GMO Corn Debate Tabled Until 2025, According to Mexico

California Approves Plan to 'Move State Away From Oil' by 2035

Wed, 05 Oct 2022 18:44:12 GMT

Noting an urgent need to address climate change while cutting back on air pollution, the California Air Resources Board (CARB) voted Thursday to require all new cars and light trucks sold by 2035 to be zero-emission vehicles.

Lauren Sanchez, Gov. Gavin Newsom’s climate advisor, called it “a huge day not only for California but the entire world.” The mission, she said: “Move the state away from oil.”

Liane Randolph, chairwoman of the CARB, said the rule is one of the state’s most important efforts yet to clean the air and will lead to a 50% reduction in pollution from cars and light trucks by 2040.

The EV Scoop

Congress gave California permission to set its own rules under the Federal Air Quality Act of 1966 when the state was combatting the toxic yellow-brown smog that hung over Los Angeles.

The Trump administration in 2019 revoked California’s authority to regulate its own air quality, but the Biden administration restored that authority earlier this year.

Already, 15 states , including Colorado and Minnesota, as well as states on the Northeast and West Coast, followed California’s previous zero-emission vehicle regulations.

New York, Oregon, Washington state and Rhode Island officials they plan to adopt California’s rule through their own rule-making process, while New Jersey and Maryland officials said they were reviewing California’s decision. Public comment in Washington state on a similar plan will start Sept. 7.

More than 16% of new cars sold in California in 2022 were zero-emissions vehicles, the state said , up from 12.41% in 2021 and 7.78% in 2020.

What’s Next for America and Electric Vehicles

The rules won’t be immediate and will go into effect in 2026. The mandate forces automakers to phase out gasoline and diesel cars, sport utility vehicles, minivans and pickup trucks in favor of cleaner versions powered by batteries or fuel cells. If automakers do not comply, they could be charged $20,000 per noncomplying car, CARB said.

What if consumers don’t go along? One option: People could still buy internal combustion cars from another state without the mandate. And it will still be legal to buy and sell used fossil-fuel cars and light trucks.

Under the new rules, 35% of new cars must be zero emission by 2026, 51% by 2028, 68% by 2030, and 100% by 2035. The quotas also would allow 20% of zero-emission cars sold to be plug-in hybrids.

The mandate doesn’t cover all of highway transportation: Heavy trucks that burn diesel fuel will have 10 extra years before they are banned. A proposed zero-emission mandate for heavy trucks wouldn’t hit 100% until 2045.

Also, up to 20% of a carmaker’s sales can be plug-in hybrids, which have both electric motors and gas engines, and still count as zero-emission, as long as the minimum battery range is 50 miles or more.

As part of the California mandate, the state will require specific levels of warranty protection for EV batteries and related components.

Notable Hurdles for EV’s

One of them is that an electric car still costs far more than an equivalent gasoline car. According to Kelley Blue Book, the average EV sold for $66,000 in July, compared with $48,000 for the average international-combustion vehicle.

CARB officials pointed to studies that show savings in fuel and maintenance can make an EV a better financial deal over time, and that prices would continue to drop.

Charging is another hurdle. While homeowners can install their own EV charger in a garage, most people who live in apartment buildings and condos don’t have that option. California plans to require multifamily housing landlords to provide some way to charge electric cars.

John Bozzella, president and CEO of the Alliance for Automotive Innovation, which represents major automakers, said California’s mandate would be “extremely challenging” for automakers to meet.

“Whether or not these requirements are realistic or achievable is directly linked to external factors like inflation, charging and fuel infrastructure, supply chains, labor, critical mineral availability and pricing, and the ongoing semiconductor shortage,” Bozzella said in a statement. “These are complex, intertwined and global issues.”

State officials said the rule is critical to meeting to state’s goal to transition to 100% renewable energy by 2045, and that resulting emissions reductions would lead to fewer cardiopulmonary deaths and emergency visits for asthma and other illnesses.

Ag Industry Responds

While environmental groups were largely very complimentary, some said the CARB rule didn’t go far enough. The National Corn Growers Assn. (NCGA) released the following statement:

“As NCGA told regulators during the rulemaking process, constraining the vision of a zero-emission future prevents the state from tapping into the immediate and affordable environmental solutions that come from replacing more gasoline with low-carbon and low-cost ethanol, in both current and new vehicles, including new plug-in hybrids,” NCGA wrote. “Ethanol is on a path to net zero emissions, and NCGA will continue to work with and urge California to use all the tools in its toolbox as it addresses climate change and cuts harmful tailpipe emissions. As recent University of California, Riverside, vehicle testing for CARB found, higher ethanol blends, like E15, significantly reduced most criteria air pollutants compared to standard 10% ethanol blends.”

Q&A With CNH Industrial’s CEO Scott Wine

Tue, 20 Sep 2022 05:01:53 GMT

Scott Wine is the Chief Executive Officer of CNH Industrial N.V. and an executive director on the Company’s Board of Directors. He joined CNH Industrial from Polaris Industries where he was CEO and chairman. He holds a Bachelor’s degree from the United States Naval Academy, and an MBA from the University of Maryland. He serves on the Boards of US Bancorp and the U.S. Naval Academy Foundation.

You’re approaching the one-year anniversary of joining CNH Industrial, how’s it going?

I am almost at the nine-month point now. They announced my new role in late November, and then I joined CNH Industrial in January 2021. It’s been a whirlwind, but every bit the challenge and the opportunity to be expected.

As a company, what’s your unique selling point and positioning right now?

We’ve got two great global brands in ag and also a really strong Case equipment brand in construction. We’ve got an incredibly passionate and dedicated team, and we’ve got a business that is in many ways has been under invested in and under focused on. Yet we’re still number two in the global ag market and I just say ‘my gosh, what happens, we actually run this thing the right way and start to deliver the value that we know we can for our customers and dealers.’ I’m really, really bullish. We’ve got to win on product branding, distribution and I feel comfortable that we can

What are the areas on the top of your list going forward?

The acquisition of Raven gives the indication that I think we should or could have invested a little bit more some of our technology platforms. Precision and autonomy are an opportunity for us, and Raven really helps put us in a very, very competitive position. But our powertrains are industry leading, and some of the things we’re doing with alternative powertrains are also industry leading.

What would you share about the company’s larger structure and the upcoming spin off of the on-highway business?

CNH Industrial is really the name that was taken after we merged with the Iveco and FPT back in 2013. And we’ve only got about three months and a of couple days before we separate that big part of the business. We’ll lose about $14 billion dollars in sales, but we pick up a very, very sharp ability to focus on our dealers and customers, which we’re really excited about.

Where do you see most growth coming in the next few years?

We’re seeing demand order books out well into ‘22 for most of our product lines. Our combines and four-wheel-drive tractors are industry leading, and we hear that regularly. You’re going to continue to see us invest and bring new technologies and new solutions out whether it’s sprayer technology or next gen combine technology, all of these different powertrains–e’re going to continue to innovate and give our farmers different and better productivity and yield tools. We have made a lot of investments and will continue to make a lot of investments of which Raven was one that was an acquisition, and sometimes we’ll do it organically. Sometimes we’ll do it with partners like the investment we were made with Monarch recently on the electrification platforms. So there’s just lots of opportunities for us and I’m really bullish on how we can use that capability to add value for farmers.

What’s the future of autonomy?

Autonomy is really going to go in two areas. There certainly for example, grape harvesting and specialty tractor scenarios where autonomy makes a lot of sense. And there’s also large cash crop customers that operate multiple machines regularly, where autonomy makes a lot of sense.

I think it’s going to depend on where you are, what type of farmer you’re talking to, whether it makes sense or not.

What does one of your dealers look like in the future?

You’re going see us giving them better CRM tools, so they’re better able to service their customers with more information in hand. I think that the digital solutions that they offer, whether it’s reporting or agronomy that they offer to their farmers is going to be better. Their ability to provide better precision support as we put more precision technology on the tractors and combines and equipment the dealers are going to have to be more effective and efficient at servicing those and we’re going to give them the tools to do that.

What about the current issues in the supply chain?

The team has done a really nice job managing through it. I mean, it’s brutal. It’s the most difficult supply chain situation I’ve seen.

I was a supply officer in the Navy before I joined the industrial world. So I’ve been around much of it in all my life. I’ve never seen it this bad. But the team’s done a nice job of managing through it.

There’s just shortages. We’ve been building all year products without all the parts so they have to come back when the parts come in, and we finish them up and ship them out. Lately the semiconductor issue has really started to impact us because a lot of the chip assembly work is done in Malaysia and some of our, some of our key engine component suppliers were relying on those chips and we just can’t get them. So it’s a brutal world, but we’re managing through it. But it’s not easy and not cheap.

What are some of the lessons you learned with your previous roles that you think could have direct application to farmers today?

Well a couple come to mind immediately.

First, all the navy operates on S. O. P.–standard operating procedures–in corporate America we call it standard work. You think about a lot of the farm operations and if they have standard work that they know if somebody’s out and somebody fills in that it gets done the same way. A navy warship turns over the entire population of the ship every three years. Yet they don’t make mistakes. They don’t make mistakes because they have standard work and I think standard work/standard operating procedures would be really good for farmers.

The other is tireless work ethic. I mean I’ve never, in my entire career worked as hard as I did when I was on a Navy warship. You don’t sleep very much. You’re always working, you’re always on and that’s exactly what farmers do.

I think those are two of the most relevant requirements, but I’m sure there are others.

New Legislation Could Put E30 on a Pump Near You

Wed, 27 Jul 2022 20:03:08 GMT

The University of Nebraska-Lincoln (UNL) published a study on the use of E30 in non-flex fuel vehicles in February 2021. The study involved 50 non-flex fuel vehicles that used varying levels of octane to show the contrast between ethanol and carbon dioxide emissions.

Results from the UNL study show that if 10% of Nebraska’s non-flex fuel vehicles switched from E10 to E30 , carbon dioxide emissions would decrease by 64,000 tons per year.

These numbers echoed throughout the ethanol industry, igniting a call to action in some Midwestern states.

South Dakota Weighs In

Marcy Kohl, director of communications and corporate affairs at Glacial Lakes Energy in South Dakota, says her team is well aware of E30’s benefits and they’re pushing for the state to maximize on those opportunities.

“By fueling the state’s fleet with E-30, you save $6 for every 15 gallons of fuel. What does that mean for the South Dakota taxpayer?” Kohl asked. “We’ve been trying to put that pressure on Noem, but she won’t return our calls. We are asking her to support local agriculture, ethanol and the South Dakota economy by fueling the fleet with E-30.”

South Dakota wasn’t the only state to catch wind of Nebraska’s ethanol study. After being published, the results quickly made their way to The Hill.

New Legislation Puts the Wheel in Motion

In August 2021, numerous Representatives backed the Next Generation Fuels Act of 2021, which aims to “promote low-carbon, high-octane fuels, to protect public health, and to improve vehicle efficiency and performance,” according to the bill.

Included in the legislation are requirements for:
1. Manufacturers to design vehicles with E20 blend capabilities in their non-flex fuel vehicles by 2026, and E30 blends by 2031.
2. Fuel retailers to offer the respective higher-octane options as the non-flex fuel vehicles are made available to the public.

Rep. Cheri Bustos (D-IL), who led the bill’s introduction, says this legislation important because it will “bring an environmental lens to biofuels production” by reducing carbon emissions and improving air quality.

While this bill remains in the introduction phase in the House, various Senators moved to introduce the same bill in the Senate on Tuesday.

“ Unstable gas prices have left many families – especially rural families – with a lot of budget uncertainty,” said Senator Grassley (R-IA). “As we look to the future of liquid fuels, this legislation can play a critical role in restoring energy independence, saving consumers money, lowering carbon emissions and expanding the market for farmers and ethanol producers.”

More on biofuels:
What Is the Ethanol Sweet Spot? Up The “E”
EPA Faces Lawsuit for Ethanol’s Impacts on Endangered Species
EPA Proposes New Rules on RFS, Finalizes Biofuel Blending Requirements
John Phipps: It’s Now Less About the Supply of Oil, And More About Refining Capacity in the U.S.

Biden's Climate Agenda Upended by SCOTUS's Ruling on the EPA

Wed, 13 Jul 2022 20:27:47 GMT

The U.S. Supreme Court (SCOTUS) has been busy this summer. On Thursday, the Court’s 6-3 ruling found the U.S. Court of Appeals for the District of Columbia Circuit was wrong when it decided the Clean Air Act gives the EPA power over carbon emissions.

Examples of the EPA’s climate authority that is now at a standstill:
1. Re-engineering the nation’s electric grid
2. Advising coal-producing states and facilities on how to run their operations

Regulations Considered in the SCOTUS Case

SCOTUS’s ruling contradicts the Obama-era power plant rule — Clean Power Plan (CPP) — secured in 2015 that outlined how to combat climate change by reducing carbon pollution from power plants. The rule was put on hold by SCOTUS in 2016, as numerous states and private entities challenged the act.

By 2019, the Trump administration attempted to swap out the CPP for the Affordable Clean Energy (ACE) Rule. This rule offered states the discretion to decide each power plant’s compliance standards.

The D.C. Circuit vacated the CPP and ACE Rule in 2021, before sending the case to the EPA for more proceedings. On Thursday, SCOTUS overturned the D.C. Circuit’s ruling, saying neither plan shows the EPA has regulatory authority, nor do the plan’s offer “clear congressional authorization.”

How SCOTUS Put on the Brakes

According to Chief Justice John Roberts, because the Biden administration “vigorously defends” the Obama-era CPP, the court has the authority to recognize the administration may push the same legislation (CPP) again, which is why SCOTUS has the authority to shut it down now.

“Capping carbon dioxide emissions at a level that will force a nationwide transition away from the use of coal to generate electricity may be a sensible ‘solution to the crisis of the day,’” Roberts explained in his concurring opinion.

He says only Congress, or an agency with express authority from Congress, can adopt a “decision of such magnitude and consequence.”

Jim Wiesemeyer, ProFarmer policy analyst, says SCOTUS is “reining in the power of federal regulators.” He believes federal agencies will now likely have to “adhere” to congressional statues.

Work Around

SCOTUS’s climate change ruling doesn’t necessarily mean climate initiatives will be put at a standstill.

Climate legislation and use of the EPA’s current authority can be leveraged within cities and states to stop climate pollution. However, past climate bills have not passed through the Senate, which might foretell the fate of any future bill. President Joe Biden says he plans to try, nonetheless.

SCOTUS’s busy year is not yet over. In October, the Court will review another round of controversial cases, including affirmative action, environmental protections and election law.

More on EPA:

Court Orders EPA to Reassess Glyphosate Impact on Human Health, Environment

EPA Proposes New Rules on RFS, Finalizes Biofuel Blending Requirements

EPA Proposes Five Changes to Atrazine Labels, Introduces “Picklist” Mitigation

New E15 Pump Availability Marks a “Clear Path Forward” in Sales

Thu, 02 Jun 2022 18:48:47 GMT

On Wednesday, calendars flipped from May to June, marking the start of the first summer with year-round E15.

American drivers also marked two new milestones on Wednesday: Vehicles running on record high gas prices reported by the AAA at $4.67 , and 30 billion miles driven on E15.

Emily Skor, Growth Energy’s CEO, says the biofuel breakthrough is a testament to the rising popularity of E15. Roughly 2,600 pumps in 31 states now offer the lower-cost blend, but Skor says that’s not all we should be focused on.

“Homegrown ethanol is not only more affordable than imported oil, but it cuts climate emissions by 46 percent,” she says. “In fact, nationwide E15 would slash carbon emissions by more than 17.62 million tons – the equivalent of taking 3.85 million cars off the road each year.”

Jon Doggett, National Corn Growers Association CEO, told Chip Flory on AgriTalk that he feels fortunate to have E15 readily available because some parts of the country aren’t able to reap biofuel benefits.

“I was at the store the other day and a guy was asking if I knew where he could buy E15 in the Washington area, and I told him I can’t,” said Doggett. “The guy said, ‘I want to be burning E15 because I understand that it’s better for my engine, it’s better for the environment, and I also understand that would be better for my pocketbook.’ Of course, I told him he has all three of those things absolutely correct.”

Doggett believes availability will improve more with year-round E15. He says removal of the summer ban will incentivize buyers and retailers to purchase blender pumps.

“We are putting a lot of corn grower dollars into those pumps,” he says. “We are going to help subsidize pumps, and the federal government is going to subsidize them as well. We’ve got a clear path forward.”

According to Growth Energy, E15 could save U.S. drivers $12.2 billion annually in fuel costs.

More on fuel costs:

Gas Prices Crush Another Record, Prices Now On Track to Top $5 Soon
Filling A Tractor Tank Daily Now Costs Some Farmers $1,000, Double What It Did a Year Ago
E98-Fueled Diesel Engines set to Run in the Field and on the Road

Setting the Farm Bill Stage

Thu, 23 Dec 2021 17:35:50 GMT

COVID-19 Pandemic and Fallout

Supply chain disruptions will likely steal the limelight, says Jonathan Coppess, University of Illinois professor.
Pandemic challenges could change future policy decisions, says Pat Westhoff, director of the Food and Agricultural Policy Research Institute at the University of Missouri.

“The question is if we write policies to handle any similar emergency in the future,” he says. “Or we choose what was done this time, where we make policies on the fly.”

Political Turbulence

Elections need to be center stage when considering farm bill outcomes, Westhoff says: “If we have a Republican House and Senate, those implications would be very different compared to Democratic control of both chambers of Congress.”

Coppess agrees. “The current political polarization really amplifies the uncertainty about how the farm bill is going to unfold,” he says.

Climate Focus

Wildfires, storms, drought and intense weather events due to climate shift will be the “single biggest driving influence” in policy debates, Coppess predicts. He says climate mitigation and prevention will likely translate into emergency disaster assistance, crop insurance and farm programs in 2023 and beyond.

California Company Says the Future of Tractors Is Electric

Wed, 10 Nov 2021 15:00:55 GMT

Mani Iyer thinks it’s the right time and he’s targeting the right market segment with the right products to bring battery powered tractors to the forefront as a solution.

“This is the perfect time to launch a truly renewable, electric powered tractor, which is repowered with solar energy,” he says. “These tractors have a lot of advantages, and they perform much better than diesel.”

Iyer joined Solectrac as CEO in the middle of 2021. He’s spent nearly 30 years in the ag machinery market including nine years as president and CEO of Mahindra North America. Solectrac is a California-based company focusing on battery powered tractors–specifically focusing on the 70-hp and below market.

What’s the best power ranges for battery-powered tractors?

So far the company has sold 50 plus tractors—mostly into applications for vineyards, specialty crops and rural lifestyle customers.

“We have a sweet spot with three products in the lineup: 30 hp, 40 and 70 hp,” Iyer says.

He says the company has introduced first generation products in each category, however, each is going through upgrades to expand their use with attachments and accessories. Standard loaders and backhoes can be mounted on the tractors, and the three-point hitch allows for all standard implements to be used. Additionally, the 40 hp will be upgraded to 50 hp and additional versions of current products are on the drawing board.

“Customers have been extremely excited—and I appreciate their patience in our roll out,” Iyer says. “Tesla has proven how a product and a company can scale. And thanks to Tesla for showing us the way to make people believe in these products. Rural lifestyle customers are very close to automotive customers—so there’s been a lot to learn from.”

What are the greatest advantages for battery-powered tractors?

Iyer says the coined term around Solectrac’s performance is “Quiet Power,” as the electric-powered motors can provide up to 75 hp equivalent of diesel power with only 65 decibels—which is about the same sound range as a normal conversation. The Lithium iron phosphate batteries last three to eight hours, depending on the application, and the tractors can be ordered with an optional exchangeable battery pack.

“There’s no noise. We aren’t generating any pollutants. And you have full torque at zero RPM,” Iyer says. “You have power and torque across the power scale. Operators are getting close to 90% power at the wheels.”

He says customers in applications where noise levels are sensitive—vineyards, municipal maintenance, equestrians etc—users are boasting about the benefits of being able to operate at the low noise levels.

“For rural lifestyle customers, riding the tractor is like therapy. They love spending time on their machine and on their land. And with our tractors, they can really enjoy what they are doing without generating loud engine noises or breathe pollutants,” Iyer says.

Iyer says in addition to the environmental and power benefits, the Solectrac tractors are assembled in the U.S. with a t percentage of their components made domestically and batteries packs created in their factory. In February 2022, the company is planning to move to a facility five times bigger than its current factory.

“We want to deliver tractors with strong performance, high efficiency, low operating cost, better for the environment, charged renewably, and are quiet and safe,” he says.

How much do battery-powered tractors cost?

Prices for the Solectrac tractors can be expected to be 15% to 20% more than a diesel model, but Iyer says the goal is to provide a return on the cost difference in less than two years, and operators save money over time not buying diesel & oil and they can use their existing attachments.

As for a future with higher horsepower models, Iyer says it’s in the making, understanding how big of a battery pack is required for high horsepower applications and performance.

“But for chicken farms, horse farms, hog farms, using this tractor for their purposes and their property—there is no reason why this shouldn’t perform for them,” he says. “Failure is an option, but fear is not an option for us. We will keep going and innovate daily on these solutions for a cleaner, healthier and safer world.”

In June 2021 Solectrac was acquired by Ideanomics, which is a company that focuses on renewable energy and electric vehicles. Solectrac was founded by Steve Heckeroth in 2012.

NCGA’s Doggett Addresses Biofuels, Infrastructure Repairs

Mon, 10 May 2021 22:34:55 GMT

As President Joe Biden’s administration continues to roll out plans to preserve soils and water it says are negatively affected by climate change, the country’s commodity organizations are weighing in with their respective views.

National Corn Growers Association CEO Jon Doggett told AgriTalk Host Chip Flory on Monday that biofuels could contribute to the nationwide effort.

Specifically, Doggett says he’s been encouraged by EPA Administrator Michael Regan’s reaction to the role biofuels could play in addressing greenhouse gas emissions (GHGs) and even health-related issues.

“One way that we succeed in agriculture is when we solve somebody else’s problems,” Doggett says. “Fortunately, we have some products that meet those needs and solve those problems.”

He references a recent report by Argonne National Laboratory saying ethanol could address carbon dioxide (CO₂), which makes up a large amount of greenhouse gas emissions.

“The report says ethanol contains about half the amount of carbon that gasoline does, which is a pretty cool statistic,” Doggett says.

Flory notes that USDA Secretary Tom Vilsack has not missed an opportunity to educate Regan and others in the Biden Administration about ethanol.

A need for infrastructure improvement. Doggett also addressed the American Jobs Plan during the AgriTalk segment.

He says the Biden Administration’s $2 trillion infrastructure proposal includes several provisions directly impacting corn growers and rural communities.

Included in the Biden Administration plan is a proposed $17 billion for inland waterways, coastal ports, land ports of entry, and ferries. An NCGA press release says the inland waterways system is essential to getting U.S. corn to export, with more than 60% of the grain produced in the United States being transported by barge.

Work needs to be done to bring the nearly 12,000 miles of commercially navigable channels and 240 lock sites up to date, Doggett says.

The complete AgriTalk discussion between Doggett and Flory is available here:

Good News For Ethanol: Americans ‘Can’t Wait To Get On The Road Again’

Fri, 09 Apr 2021 16:44:09 GMT

“On the road again, just can’t wait to get on the road again,” are lyrics to an old tune by Willie Nelson, but they’re playing in the minds of many Americans, at least figuratively, across the country right now.

“People have a pent-up desire to go somewhere, especially on weekends – you can’t hardly find a parking spot at a Lowe’s or Home Depot,” Jordan Fife told AgriTalk Host Chip Flory on Thursday.

Fife, trading manager for the BioUrja Group, says that bodes well in the months ahead for ethanol demand, which took a nosedive a year ago when the pandemic reached U.S. shores.

The April 9 World Agriculture Supply and Demand Estimates (WASDE) support Fife’s perspective. WASDE says that corn used to produce ethanol was raised 25 million bushels based on the most recent data from the Grain Crushings and Co-Products Production report and the pace of weekly ethanol production during March, as indicated by Energy Information Administration data.

Now, with ethanol demand trending upward, the current challenge is that it’s quickly outpacing supply and driving ethanol stocks lower.

“Stocks now are almost 12% lower than the five-year average,” Fife says.

That percentage is even lower on the West Coast, especially in California, which Fife describes as the largest driving center for the U.S.

“It’s like 34% lower than the five-year average there, which is crazy. It’s really something to pay attention to,” he says.

Along with the increased consumption the other key factor impacting stocks is that retailers underestimated how much ethanol would be needed, once the country started to open up again.

Fife says gasoline demand is much higher as well, noting that it is 73% above where it was this same time a year ago. However, it’s 5% below this same time in 2019.

Nimble retailers are cashing in now. QuickTrip, Casey’s, WaWa and other large retailers, now have an advantage over large oil companies with regard to RINs (renewable identification number).

“Those large retailers are able to blend large amounts of ethanol, and when they do that – if they offer an E85 or E15, or something like that – they don’t have an obligation like an oil company. Therefore, they can capture the RIN and sell it back to these large oil corporations that have a volumetric of obligation to blend,” Fife explains.

That revenue will allow large retailers to offer fuel blends to consumers at substantially lower prices than they could have otherwise.

“That incentivizes people to see whether their vehicles can handle the blends, so we should see more discretionary blending at cheaper prices due to the RIN, and you should see higher volumes of ethanol being moved,” Fife says.

CHS, for one, is making E15 fuels accessible to more of its Cenex-branded retail locations, starting this month, now that it’s registered with the U.S. Environmental Protection Agency (EPA) as an E15 manufacturer.

Specifically, CHS plans to offer E15 at Nustar terminals in Kansas, Nebraska, South Dakota and Iowa. CHS currently offers E15 through its McFarland, Wis., terminal.

“As the nation’s leading farmer-owned cooperative, expanding options for ethanol blended fuel is important for our Cenex brand retailers and our farmer-owners,” say Akhtar Hussain, director of refined fuels marketing, in a company press release. “CHS has always been committed to offering ethanol blended flexible fuels throughout its network of 1,450 Cenex-brand retail facilities. Expanding access of Cenex-brand E15 at these select terminals further demonstrates that commitment.”

There are three general categories of ethanol-gasoline blends in the U.S. currently: E10, E15 and E85. The ethanol content of most of the motor gasoline sold in the United States does not exceed 10% by volume, according to the The U.S. Energy Information Administration (EIA).

Only flex-fuel and light-duty vehicles with a model year of 2001 or newer are approved by the EPA to use E15. Flex-fuel vehicles can use any ethanol-gasoline blends up to E85.

While Midwest consumers use the most ethanol-gas blends, Fife says he believes more consumers will use them in the years ahead, thanks to the focus many companies are placing on being carbon neutral.

“It’s a big buzzword right now, but I believe it could be a path to getting more ethanol-based fuels into higher population centers on the West Coast and California,” he says. “I really think we’re on the cusp of a brave, new world for ethanol.”

Corn Prices Inch Closer to $6 on USDA April WASDE Report Data

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