The CEO and President of the RFA, Bob Dinneen, led the last panel discussion and provided closing comments. I interviewed him to get his thought on how this year’s Conference went.
Bob says that attendance far exceeded his expectations given the state of the industry at the moment. He saw a lot of people coming in seeming to be very down because of the economy but he has reminded everyone over and over, “It’s going to get better!” He likes to point out the positives such as 31 new plants opening in 2008.
He says that one of the keys to a re-invigorated economy needs to be a new energy policy paradigm in the country. That’s going to mean not allowing petroleum to dictate the debate. He observed that people in the oil industry, including several who spoke at the Conference, see the benefits of ethanol.
You can listen my closing interview with Bob here: Bob Dinneen Interview (mp3)
“When the history books are written, 2008 most likely will go down as an anomaly year, ” began John Urbanchuck, Director of LEGC, LLC. Housing market crash. Financial market crash. Global recession. Commodity boom and bust. Wave of bankruptcies. “We slipped into a recession in December 2007, ending a seven year run of economic growth.” But, he continued, President Obama, in his address last night, brought back his primary message: hope.
Urbanchuk was one of this year’s Conference speakers and he focused comments on his latest economic report, “Contribution of the Ethanol Industry to the Economy of the United States.” Click here to download the full report.
You can listen to Urbanchuk’s comments at the conference here: John Urbanchuk Comments (mp3)
2009 National Ethanol Conference Photo Album
Our final keynote speaker was Joe Petrowski, CEO, Gulf Oil. Once again the ethanol industry was able to hear directly from a representative of the oil industry.
Joe was entertaining as well as informative. He says that he’s not a fan of high cost energy and that we should have a goal to have low cost energy. But he says that there is not unanimous agreement in Washington, DC on this issue. In fact, he says that some have global warming as their secular religion. He made a point of saying that carbon is an issue but he just doesn’t think it’s the most important issue facing our society right now. He really brought a unique perspective to the podium.
You can listen to Joe’s comments here: Joe Petrowski Comments (mp3)
Steven Wagner, Merrick & Company, is a board member of RFA who says he attended the first National Ethanol Conference in Iowa. He says it’s a lot warmer here than it was there.
He’s very encouraged about the progress that’s being made to develop ethanol, especially from the standpoint of cellulosic.
When it comes to unity in the ethanol industry he says that there needs to be good standards in the area of fuel and engine technology. He points out how important it is to have organizations around the world get together and learn from each other since different countries have taken different approaches to the development of biofuels.
You can listen to my interview with Steven here: Steven Wagner Interview (mp3)
At the Conference today, the Renewable Fuels Association, the Canadian Renewable Fuels Association and the European Bioethanol Fuel Association announced the formation of the Global Renewable Fuels Alliance. Pictured are (l-r), Bliss Baker, Executive Director, Global Renewable Fuels Alliance; Gordon Quaiattini, President, Canadian Renewable Fuels Association; Robert Veirhout, Secretary General, European Bioethanol Industry Organization; Bob Dinneen, President and CEO, Renewable Fuels Association.
Their first initiative is to reach out to the World Bank, along with other organizations, to encourage them to make investments in developing countries’ biofuels infrastructure a top priority.
While Brazil is not yet a part of this organization, Bliss Baker, Executive Director, of the Global Renewable FuelsAlliance, said that they have spoken and invited them, along with dozens of other worldwide organizations, to join the alliance. Bob Dinneen, President and CEO of the Renewable Fuels Association followed up by saying, “Quite frankly, we expect them to join.”
The announcement of this global alliance comes on the heals of President Obama’s commitment to continued biofuels development in the States and the cooling of the “food versus fuel debate” which was proven to be a hoax this summer as commodity prices plummeted and food prices skyrocketed. There was a consensus among the group that the time was right to begin working together to help build the global energy infrastructure.
Gordon Guaiattini, President of the Canadian Renewable Fuels Association, stressed the importance of helping developing countries develop their agricultural productivity. “Agriculture productivity and poverty are directly linked.” He wants this new organization to take a similar approach that leading agricultural groups have which includes helping developing countries adopt more sustainable practices while increasing output. He said that they will ensure that biofuels are developed in a sustainable manner that will allow poverty stricken areas to significantly increase their economic condition.
As energy is a global issue, this new alliance, which represents 60 percent of the global biofuels production and 29 countries, will focus on ensuring that international biofuels policies are sustainable, and developed in a way that each countries’ best interest as the center of all decisions. To learn more, visit the Global Renewable FuelsAlliance’s website at www.globalrfa.org.
You can listen to the full press conference here: Global Renewable Fuels Alliance Press Conference (mp3)
2009 National Ethanol Conference Photo Album
I’ve had an opportunity to speak with several board members and one of them is Bernie Punt, Siouxland Energy & Livestock Coop.
Like other members he’s very optimistic about the future of the ethanol industry. Bernie says that the Conference always draws an interesting group of people in the industry who have a common set of goals and concerns. He’s currently the Chairman of the NEVC and he agrees with Bob that the industry needs to speak with one voice.
He says that the industry hit a speed bump and there is a need to smooth out the supply and demand situation for ethanol but he’s confident in the long term need of our country to produce its own fuel.
You can listen to my interview with Bernie here: Bernie Punt Interview (mp3)
The first press conference here at the Conference focused on some new research that show almost no land use change impact from 15 billion gallons of U.S. corn ethanol.
Indirect land-use affects of corn-based ethanol would be “small” reported Thomas Darlington, with Air Improvement Resource, Inc. Darlington has been working with RFA to help legislators, in particular the California Air Resources Board (CARB) and Environmental Protection Agency (EPA) better understand Land-Use Change. Indirect land use research is still in its infancy in terms of the scientific research behind the issue.
The ethanol industry is still awaiting the EPA RFS2 ruling on indirect land-use’s role in greenhouse gas effects, and CARB is scheduled to hold a hearing on their final report on April 23-24th. The industry has been working hard to work with organizations to ensure that legislation is not put into place, based on speculation, that would prohibit the growth of biofuels.
Originally, land use change impact was estimated to be large. But Darlington points out that the earlier studies don’t take into effect yield improvements and “land use credits” from the use of distillers grains. His research also lays out a “philosophical” assumption that if the U.S. exports are constant or increasing even with ethanol, no international land use effects should be assigned to corn ethanol. This was derived from reviewing past research including Argonne National Labs last Fall. In essence, Darlington’s research proves that when taking these elements into account, corn ethanol has a very small impact on land use change and GHGs.
You can listen to Darlington’s comments here: Thomas Darlington Comments (mp3)
To read the full report, go to the RFA website.
Jim Ford is the Vice President of the American Petroleum Institute. He was our keynote speaker at the opening general session of the Conference.
Ford was introduced by RFA President/CEO, Bob Dinneen who stressed the importance of working with the petroleum industry. “They’re our customers, they’re the ones bringing our product to the consumer, so we have to work constructively with them,” said Dinneen.
Ford filled in at the last minute for API president and CEO Jack Gerard, who is preparing for a Congressional hearing in Washington tomorrow. “The U.S. oil and natural gas industry understands and appreciates ethanol’s role in the national gasoline marketplace,” said Ford. “Our industry is the largest consumer of ethanol and a key player in increasing it’s use.” Ford also noted that many petroleum companies are directly engaged in the ethanol business, including BP and Shell.
Ford said the current economic crisis underscores the need for both industries to work together. “If we get it right, we can get our country on the road to economic recovery and ensure that we have the energy supplies that we will need in the decades ahead,” he concluded.
You can listen to Jim’s comments here: Jim Ford Keynote Speech (mp3)
Keep an eye on our: National Ethanol Conference Photo Album
The state of the U.S. ethanol industry is still strong, despite significant challenges, according to Bob Dinneen, RFA President and CEO.
“Some look at what we’re up against and see “an industry in crisis.” I look at what we’re up against and see an industry with the perseverance and determination to succeed,” said Dinneen in his annual address this morning at the National Ethanol Conference in San Antonio.
Dinneen outlined the accomplishments of the industry in the past year, including record production at more than nine billion gallons, economic growth of 34 percent, another 240,000 jobs, and 85 percent operating capacity despite recent plant closures.
Acknowledging the challenges facing the industry, Dinneen called for unity - both in the United States ethanol business and internationally. “Our industry must reject division and approach the challenges that face us all with the same spirit of cooperation, dedication and vigor that has always served us well,” he said. Dinneen also announced that the national ethanol trade associations of Canada, Europe and the United States are joining together in a Global Alliance to educate and promote ethanol in international forums.
You can listen to Bob’s opening speech here: Bob Dinneen State of the Industry (mp3)
Keep an eye on our: National Ethanol Conference Photo Album
The 2009 National Ethanol Conference got started this morning with a golf tournament and welcome from Renewable Fuels Association Chairman, Chris Standlee, Agengoa Bioenergy Corporation. It’s a bright sunny day and we’ve got an eager and smiling bunch of ethanol industry representatives making new connections and renewing old ones.
Chris says he’s expecting this to be a great conference and that not only are we in oil country but that there are more attendees this year from the oil business than usual. Chris says that he’s very optimistic about the health of the ethanol industry even in light of the challenging year we just completed.
You can listen to my interview with Chris here: Chris Standlee Interview (mp3)
Keep an eye on our: National Ethanol Conference Photo Album
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