Volume 1, Issue 7
South Dakota Offers Federal Stimulus Money for Blender Pumps
The state of South Dakota has recently established a new program that will provide a $10,000 grant to assist with offsetting the costs of installing blender pump equipment at retail fueling sites that dispense blends of 15%, 30% and 85% ethanol. The program will only be available for 60 days beginning March 17 until close of business May 21st, 2010 on a first come, first served basis.
The grant money is only for the pumps and the associated hardware. Storage tanks, either above or below ground, and other infrastructure items are not eligible. Projects must be completed by December to get the reimbursement.
Information on the South Dakota grant program can be found by clickinghere while the application can be found here.
Should you have an interest in adding a blender pump to your station or converting an existing pump to a blender pump system, the Growth Energy Market Development team urges you to review the above links and at your earliest convenience, contact your equipment supplier.
Each station can also take advantage of the Federal income tax credit. You can find information on how use this credit by clicking here.
“We hope that you will take advantage of this outstanding opportunity to offset a significant portion of the costs associated with the sale of the nation’s future liquid fuels: E15, E30, and E85,” noted VP of Market Development for Growth Energy, Phil Lampert.
For questions regarding installing a blender pump in any state, contact the Market Development office at 1-877-485-8595.
Growth Energy Holds First Executive Leadership Conference
Growth Energy hosted its first-ever Executive Leadership Conference earlier this month in Phoenix, Arizona. The two-day conference was designed to bring Growth Energy members together in order to assess the state of the organization as well as the state of the ethanol industry. The conference featured four roundtables with moderators and guest speakers that included Growth Energy board members, ethanol producers, sports figures and former members of Congress.
The first discussion centered around national security implications of continuing America’s dependence on foreign oil. The panel featured Gen. Wesley Clark, Co-Chairman of Growth Energy, and Dr. Gal Luft, Executive Director for the Institute for the Analysis of Global Security.
“Today, oil is the most strategic commodity in the world and it controls the world’s economy,” said Dr. Luft. “If we want to preserve the future of this country we need to give consumers a choice at the filling station. Giving consumers a choice means that oil can no longer control prices and we will begin to grow a competitive market for ethanol.”
Navigating Congress and the political landscape during an election year was the focus of a bipartisan roundtable discussion held on day two of the conference. Karen Hughes, a former advisor to President George W. Bush, and Josh Gottheimer, a former advisor to President Bill Clinton, were featured on the panel.
“The people in this room have the ability to create American jobs that cannot be outsourced and that’s a powerful message,” Hughes said.
The global market for ethanol was the subject of the third roundtable discussion on the final day of Growth Energy’s Executive Leadership Conference.
The roundtable was moderated by Dave Vander Griend, President and CEO of ICM, Inc., and featured remarks by, Dr. Peder Holk Nielsen, Executive Vice President of Novozymes, Ken Field, Chairman and Chief Executive Officer of GreenField Ethanol, and Ian O’Gara, Manager of Accenture Biofuels Group.
Topics for discussion included how ethanol and biofuels can create positive change throughout the world, and how pressures between global trade, a growing global population and agricultural resources will be balanced in Washington, DC, and in other national capitals.
The final roundtable of the conference presented members of Growth Energy with a detailed presentation about the future market outlook for grain, ethanol and distillers from experts during the fourth and final roundtable discussion at the Growth Energy Executive Leadership Conference.
Each discussion was engaging and informative and the ideas and suggestions generated during these roundtables and presentations will help define Growth Energy’s policy objectives and strategies over the next year.
At the conclusion of all four discussions, CEO Tom Buis said, “We are very grateful to all of the moderators and speakers for leading intelligent and thought provoking roundtable discussions, but even more, we are thankful to have members that are deeply committed to the fight for renewable, sustainable ethanol.”
Dresser Wayne Ovation Series E25 Approved Through UL
Dresser Wayne, a global leader in vehicle energy dispensing technologies, has announced the Ovation Eco Fuel model dispenser has been certified by the Underwriters Laboratory (UL) for use with ethanol blends up to E25. The new approval by UL comes as the market prepares for possible changes in U.S. federal energy policy that would shift the standard gasoline blend from the current E10 to higher levels of ethanol. The Dresser Wayne Ovation Eco Fuel dispenser helps retailers address the growing consumer demand for domestically produced, environmentally friendly fuels while managing their longer-term forecourt investments.
“Motorists continue to call for greener fueling solutions and retailers are demanding technologies that will help them stay in front of the market opportunity while managing regulatory changes,” noted Scott Negley, Director of Alternative Energy Products at Dresser Wayne who also sits on the Growth Energy Market Development Advisory Committee. “Our Eco Fuel dispenser is in use across North America and is designed to handle the higher blends without modifications.”
Gilbarco Veeder-Root Introduces Flexible Fuel Ethanol/Gas Dispenser
Gilbarco Veeder-Root has announced the release of the newest Ethanol dispenser in the Encore® S fuel dispenser product line. The model NJ2 flexible fuel dispenser is a multi-hose blender that offers four fuel products at the same fueling position: regular unleaded, premium unleaded, mid-level ethanol blend and E85.
Each fuel product has its own hose, allowing maximum flexibility for the marketer. Separate hoses are required for ethanol-gasoline blended fuels of different ratios in some states, and the flexible fuel NJ2 is the industry's first flexible fuel model to offer this configuration (UL approval pending). The new flexible fuel NJ2 features the same warranty and CRIND® options as the other Encore S models, including PCI and EMV-compliant payment systems and Applause&™ Media System.
Growth Energy Addresses Attendees at Alabama Clean Fuels Coalition Workshop
Over 80 individuals attended an informative workshop on domestically produced biofuels on March 17 at the Wiregrass Rehabilitation Center in Dothan, Alabama. The workshop featured national biofuel experts offering insights into current and future applications for biofuels in Alabama, including biodiesel, ethanol, compressed natural gas (CNG), and propane, and electricity.
The workshop coordinated by the Alabama Clean Fuels Coalition first included sessions from state leaders and local representatives. Following, a representative from the Boone Pickens Company, Clean Energy Fuels, highlighted the benefits of CNG as a motor fuel. Alliance AutoGas and Blossman Gas joined with CleanFuelUSA to answer the question of why propane is the right choice right now for motor fuel use. Perspectives on the use and quality of ethanol and biodiesel were provided by national representatives from Growth Energy and the Renewable Energy Group.
"The workshop provided attendees the opportunity to learn about all types of alternative fuels," noted Market Development Manager, Michelle Kautz. "I focused on how Growth Energy can assist retailers in installing E85 and blender pump equipment. I also announced the availability of the $2,500 and $5,000 grants that we are offering across the U.S." (See information in introduction of this newsletter regarding funding).
The workshop was designed to appeal to a broad audience. Among the many groups that attended the event for its relevant and practical information represented city, county, and other governmental agencies and officials; fuel producers, distributors, and retailers; school districts, colleges, and universities; fleet and transportation managers; the media; and interested consumers.
Daryl Hannah and her ethanol-powered ‘Kill Bill’ car appear downtown
SANTA CRUZ -— Daryl Hannah stopped downtown Tuesday at the community television studio, bringing with her the 1979 Pontiac Trans Am she drove in Kill Bill.'
The actress and environmental activist appeared with local ecologist David Blume on Community TV's live call-in show "Eco-Review" to promote ethanol as an alternative energy source.
"Many, if not most, of the problems we face as a species come from the way that we produce our energy," Hannah said.
Last year she had the sports car converted to run off 85 percent ethanol, or E85, a move she says rebuts concerns from the U.S. Environmental Protection Agency about using higher blends of ethanol.
Federal regulations limit the amount of ethanol per gallon of gas to 10 percent. The EPA is considering a waiver that would allow states to mandate an increase in the maximum alcohol fuel blend to 15 percent nationwide. Opponents of the E15 waiver cite safety concerns, namely corrosion and overheating, and some are skeptical of ethanol's environmental benefits.
Green Rest Stops Planned in Ohio
According to the Associated Press, the Ohio Turnpike Commission has announced plans to open up two "green" rest areas, powered by renewable energy such as wind or solar power and they will carry E85.
The new service plazas will be built on both sides of the turnpike in Ohio's Williams County. Along with E85, the facilities will allow for recharging of electric cars and cable and Internet hookups for parked trucks. The stops will also feature gas pumps, restrooms, restaurants and gift shops. The new facilities should open next year.
Currently, Ohio has 64 E85 locations throughout the state. Although details have not yet been released, the Ohio Department of Development will be offering grants to assist with additional E85 retail infrastructure. These funds are allocated for the current state budget ending in July 2011.
Growth Energy Offers 2010 E85/Blender Pump Brochure
The new 2010 E85 and Blender Pump brochure is now available. The six panel brochure includes frequently asked questions on E85 and FFVs. The entire inside of the brochure includes a matrix-like listing of FFVs offered since 1995.
Member Spotlight — MFA Oil Company
MFA Oil Company is a farmer-owned cooperative formed in 1929 with more than 40,000 members. The company supplies fuels, lubricants and propane to customers in Missouri, Arkansas, Oklahoma, Kansas and Iowa. Through a subsidiary, MFA Oil operates Break Time convenience stores in Missouri and Arkansas and Jiffy Lube and Big O Tire franchises in central Missouri.
"MFA Oil Company is committed to helping to do our part to support and grow the usage of higher blends of ethanol, this is why we initially joined Growth Energy Market Development." says Tom May, Director of Marketing for MFA Oil.
MFA Oil currently offers E10 in all of 166 PetroCard 24 unmanned fueling locations as well as 79 Break Time convenience stores. MFA Oil offers E85 at 29 of the PetroCard 24 locations in Missouri, Arkansas and Iowa and 22 Break Time locations in Missouri. The company currently has plans to add a blender pump this year through a pilot program with the Missouri Department of Agriculture and the Missouri Corn Growers Association.
"As a Farmer Cooperative it is part of their mission to support our farmer members and in turn support homegrown fuels such as ethanol," noted May.
MFA Oil Company has long been an advocate for ethanol, selling a 10% blend of ethanol in all of our gasoline for the past decade. They believe that ethanol not only brings a better value and helps lower the cost of gasoline to our customers but the positive economic impact back to our rural economies is significant.
MFA Oil installed their first E85 pump in Columbia, Missouri in 2004 and over the next couple of years grew that number to 25 locations. In 2006 through a partnership with Mid Missouri Energy of Malta Bend, Missouri they were able to quickly grow the number of installations while maintaining a 20 percent discount to regular gasoline. They had to make sure that customers that were trying E85 found a value and consistency in the price in order to establish a market.
May went on, "Through a marketing and education program, we found that E85 customers found value beyond just the price at the pump. They knew that they were making a choice to support local farmers and the local economy and reduce our dependence on foreign oil. Infrastructure is one of the greatest challenges we face towards growth and acceptance of higher blends of ethanol. The fuel industry is a volume driven industry so installing pumps that do not initially get as much volume as a regular gasoline pump is a tough sell, however higher blends of ethanol has reduced the price at the pump which boosts volume which in turn encourages companies to consider the investment. The IRS has hindered infrastructure growth by its interpretation of the tax credit that is available. On top of that Underwriters Laboratory has been slow to approve equipment. We have to knock down these barriers so that there is an incentive to put pumps in areas where there is a high density of flexible fuel vehicles."
New and Renewed Growth Energy Market Development Members
Plymouth Energy
Choctaw Coal & Energy
Classic Car Spa
Silco Oil Co.
Should you wish to join Growth Energy, contact marketdevelopment@growthenergy.org.
New E85 and Blender Pump Stations
As of this publication, there are 2,115 E85 stations including 132 blenderpumps. Below is a listing of those opened since our last publication.
| JG Service Station | Uniontown | PA |
| Pic Quik Stores | Las Cruces | NM |
If you know of an E85 station we do not have listed at http://www.e85refueling.com/, please contactus at marketdevelopment@growthenergy.org.
Letters to Growth Energy
Please send comments, questions or suggestions to our Market Development Team and we will share them with our readers in our next FYI newsletter. Email questions, comments or suggestions to: marketdevelopment@growthenergy.org.
Events Calendar
To submit a Calendar item, email marketdevelopment@growthenergy.org.
