NCERC

By John Caupert, Executive Director

October 2021

As the National Corn-to-Ethanol Research Center (NCERC) celebrates the 20^-Year Anniversary of its groundbreaking, I can’t help but to share a few thoughts regarding the growth and development of the ethanol industry, as well as its future.

In the year in which NCERC opened its doors for operation, 2003, the U.S. ethanol industry was a 2.8-billion-gallon industry. By the time NCERC celebrated its 15^th Anniversary of operations in 2018, the U.S. ethanol industry was at its peak production of 16.1 billion gallons. But, those are production numbers. What about domestic use and the future of domestic use? In numbers released by Pro Exporter, it was determined that in 2019, if 98% of gasoline sales included 10% ethanol, that would account for 14.1 billion gallons. Furthermore, in the current year, 2021, Pro Exporter determined it would account for 13.3 billion gallons.

So, what do we do?

• As an industry, we can’t just look at the immediate future. We must be looking at the long-term, while having a long-term vision.
• We must expand our base of stakeholders, our coalition, if you will. From farmers to automobile manufacturers; from consumers to policy makers, we have got to all be on the same page.

Why?

• Electric Vehicles (EVs): Some in our industry are embracing EVs. While I’m not opposed to them, I am saying, let’s keep it real. As long as there is one coal fired power plant, as long as there is lithium in a battery, EV’s are not zero emission. We need a level playing field between ethanol and EV’s. With a level playing field, not only will ethanol compete with EV’s, ethanol will beat EV’s with a lower carbon footprint.
• Higher Octane Fuels: Corn based ethanol is the most abundant, most affordable, most efficient form of octane available. We know that engines love octane. As an example, drive a Ford pickup or SUV that has an Ecoboost engine. These engines have great performance, complimented by their improved gas mileage, both due to the engine’s desire for higher octane fuels. If you don’t believe me, contact my wife Jodee and ask her, she’s been driving an SUV with an Ecoboost engine for five years.

Moving to a RON of 95 to 98 will allow for fuels beyond E10 and E15. These new mid-level blends of E20 to E30 should become the norm in the marketplace. By doing so, it would financially benefit consumers while helping the autos meet CAFÉ standards. Mid-level blends, higher octane fuels, call for more ethanol, which in turn, creates greater demand for corn grind, thus benefitting corn growers and farmers all across America. 

But, how do we get there, what is the pathway to the mid-level blend, higher octane fuels? The pathway is immediate, through support of the Next Generation Fuels Act, introduced by U.S. Congresswoman Cheri Bustos. The Next Generation Fuels Act (H.R. 5089) is the legislative tool by which we can and will achieve higher octane fuels.

In closing, we’ve come a long way in the 20 years since ground was broken at the National Corn-to-Ethanol Research Center. We’ve had great accomplishments, but, we have much more to accomplish. Taking our foot off the accelerator is not an option, especially during these continued challenging times of COVID and political forces that prioritize coal burning vehicles over high octane, cleaner burning alternatives. Passing the Next Generation Fuels Act is the answer to bringing more biofuels to the market, making ethanol more accessible to consumers than ever before by making efficiency and greenhouse gas emissions a priority. Higher blends of ethanol is the answer to both of those priorities and is the answer to today’s fuel and domestic market demand challenges.