(February 21, 2011) Phoenix, Arizona – Addressing 1,300 ethanol industry leaders at the 16th annual National Ethanol Conference, Renewable Fuels Association (RFA) President and Chief Executive Officer Bob Dinneen will declare that “this industry can and will meet today’s challenges as it has met every ‘insurmountable opportunity’ of the past, and that we will, once again prevail.”

In his annual State of the Ethanol Industry address set to happen at 10:15 a.m. Eastern and available for live streaming at www.DomesticFuel.com , Dinneen will underscore that 2011 will be a pivotal year for American ethanol. “[m]ake no mistake; the challenges facing our industry today are as vexing and complicated as any we have ever faced. We need to be flexible in our approach, disciplined in our message and recognize the limitations of government support in an era of unimaginable debt and competing priorities.”

Specifically, Dinneen addresses the expiration of the Volumetric Ethanol Excise Tax Credit (VEETC) at the end of this year and the discussion of reform for this key policy. “Congress does appear ready to end the ethanol tax incentive program, however. At least, end it in its current form and cost. Our industry needs to work with Congress and the Administration to reform the tax incentive moving forward. We will. Indeed, I welcome a dialogue about the future of the ethanol tax incentive.”

Dinneen is quick to point out that any discussion of ethanol tax policy must be accompanied by a mature and frank discussion of all energy tax policies. “We ought to be encouraging a more sophisticated conversation about all motor fuel tax policy – and all energy tax policy in general. We must address the permanency of tax incentives for very mature and profitable energy industries with the ‘extenders game’ played with renewable energy technologies. We also we need to make sure that if the still emerging biofuels industry is doing its part to reduce government debt, then the entrenched petroleum subsidies are on the table as well. After all, it’s more than just market access that will determine our future; it is market economics first and foremost.”

The challenges and opportunities before the ethanol industry exist beyond the halls of Congress. Expanding the market for ethanol, including the recent partial waiver for E15, will be critical. “Beyond the halls of Congress, there is also much work that needs to be done to expand markets. Last month, EPA announced its approval of E15 for 2001 and newer vehicles. That was great news. But much work still needs to be done to encourage gasoline marketers to offer E15 to consumers.” Dinneen pointed to work being done on health effects testing, state fuel regulations, EPA’s proposed logo, and addressing the misfueling concerns of fuel marketers.

Dinneen’s speech also touches on a wide range of issues including historic ethanol and dried distillers grains (DDGs) exports, the need to continue emphasizing ethanol’s environmental benefits, and the necessity of commercializing advanced ethanol technologies.

“There are also competing proposals as to how to best catalyze investment in cellulose and advanced ethanol technology. The industry needs to rally around a specific proposal soon, or existing policy will be the default and investment may continue to languish.”

Dinneen concludes by laying out what it will take for the ethanol industry to continue to evolve. “One way or another, change is coming to this industry. The question is how will we respond? What will we do to make this change for the better? We need to do what the RFA has done for 30 years – build bridges. We need to build a bridge wide enough for the entire biofuels industry to cross to a more sustainable energy future. We need to build a bridge to our customers and consumers so the road to increased ethanol use is paved with understanding. We need to build a bridge to lawmakers so that we end up with a motor fuel policy befitting a 21st century energy industry. And we need to stride confidently across this bridge with enough vision, strength and innovation to conquer the insurmountable opportunities of our time.”