cancel
Showing results for 
Search instead for 
Did you mean: 
marketeye
Veteran Advisor

EPA's 2018 RFS Proposals Bearish?

EPA Wednesday Announces 2018 Proposed RFS Renewable VOs

--19.24 billion gallons total, down from 19.28 in 2017

--15 billion gallons of conventional ethanol, unchanged

--4.24 advanced, down from 4.28

--2.1 biodiesel

--238 cellulosic

 

What say you?

 

Mike

0 Kudos
18 Replies
Mizzou_Tiger
Senior Advisor

Re: EPA's 2018 RFS Proposals Bearish?

Doesn't matter.
0 Kudos
marketeye
Veteran Advisor

Re: EPA's 2018 RFS Proposals Bearish?

Doesn't matter at this moment? Or, the ethanol market doesn't matter period?

 

Mike

0 Kudos
WCMO
Senior Advisor

Re: EPA's 2018 RFS Proposals Bearish?

Not bearish, not bullish.  Is there a set of numbers from actual RFS legislation for comparison?

0 Kudos
Mizzou_Tiger
Senior Advisor

Re: EPA's 2018 RFS Proposals Bearish?

Ethanol is a mature market and a global one too

Most plants are paid for so they will run them wide open till variable cost are no longer covered

If they grind it....it seems to find a home

Small movements in the mandate mean nothing.
0 Kudos
illinifarmer
Advisor

Re: EPA's 2018 RFS Proposals Bearish?

Especially when large movements in the grain mean very little. Remember a few years ago everyone was saying ethanol was dead now look at fuel prices not just oil spinning wheels now days.
0 Kudos
Mizzou_Tiger
Senior Advisor

Re: EPA's 2018 RFS Proposals Bearish?

All the more reason to go to E30 and adapt engine technology that actually produces more HP and uses less fuel on E30 than regular 87 octane.

It exist and isn't expensive. Big oil doesn't want it.

With improved MPG and use of biofuels for diesels we can make E30 work. We don't need E85 pumps. We need blender pumps.
0 Kudos
marketeye
Veteran Advisor

Re: EPA's 2018 RFS Proposals Bearish?

Mizzou_Tiger,

 

More ethanol news. This must be ethanol day in the newsroom. This comes from the RFA:

 

The Executive Management Committee of CAMEX, Brazil’s Chamber of Foreign Trade, announced today it would delay a decision on a pending proposal to impose a tariff of up to 17 percent on Brazil’s imports of U.S. ethanol. The following is a joint statement on this action from U.S. Grains Council (USGC) President and CEO Tom Sleight, Renewable Fuels Association (RFA) President and CEO Bob Dinneen and Growth Energy CEO Emily Skor:

“We are encouraged to see Brazil’s continued postponement on a decision regarding a pending proposal to impose tariffs on U.S. ethanol imports. Our organizations have been tracking this issue for months and have worked heavily in Washington, D.C., and Brasilia to provide all necessary information to the Brazilian government on this issue. Imposing tariffs on U.S. ethanol imports will hurt Brazilian consumers by driving up their costs at the pump. Additionally, this action on U.S. ethanol imports will go against Brazil’s own longstanding view that ethanol tariffs are inappropriate and will harm the development of the global ethanol industry. We will continue this work and appreciate the thoughtful consideration Brazilian officials are taking on a proposal that could have wide-ranging and long-standing impacts on both our industries and the global fuel supply.”

 

Mike

0 Kudos
JimMeade
Veteran Advisor

Re: EPA's 2018 RFS Proposals Bearish?

How much Brazilian corn is going to ethanol and what does it cost to produce?

0 Kudos
erikjohnson61y
Senior Advisor

Re: EPA's 2018 RFS Proposals Bearish?

I think most of Brazil's ethanol is made from sugar cane, not corn.  They also already use higher compression engines to get more out of the ethanol fuel.

 

Surprised no one ever talks about top fuel drag racers to emphasize the amount of potential energy in ethanol.  What do those drag racers run on? Alcohol. The lower ignition point means you can make a higher compression engine without the problem of predetonation from lower octane petroleum fuels.

0 Kudos