Low fuel prices, high corn prices, and a new CA regulation that penalizes the energy intensity necessary to convert corn to fuel are hurting the industry.
"California's largest ethanol producer, Pacific Ethanol of Sacramento, closed its plants in Madera and Stockton earlier this year, laying off nearly 80 people in the process. The Stockton plant had been open less than five months.
The firm warned investors last week that it could run out of cash by the end of April. The nation's second-largest ethanol producer, VeraSun Energy Corp. of South Dakota, went bankrupt last fall.
Ethanol companies went on a plant-building binge while oil and gasoline prices were still rising. Because ethanol is blended into gasoline, the prices of the two fuels are linked, and ethanol companies wanted to cash in. But too many biorefineries opened, swamping the market.
Then the industry was hit by a double-whammy. Corn prices rose, cutting company profit margins. Then gas prices collapsed, wiping out what little margins were left."
FULL STORY: Producers look to next generation of biofuels
Renewable Natural Gas Makes Inroads in California, Oregon, and Missouri
What is expected to be the nation's largest dairy biogas operation opened in the Central Valley. To the north, Gov. Kate Brown signed the nation's first bill to establish goals to add renewable gas to pipelines, and pigs in Missouri also made news.
Summertime Ethanol Restriction Lifted to Help Corn Farmers—But at What Cost?
President Trump made good on his promise last October to lift the E15 ban in time for the summer driving season. Not mentioned by the Des Moines Register are the downsides to allowing the higher ethanol blend to be sold during the summer, e.g., smog.
U.S. Becomes Net Oil Exporter, If Only Briefly
Oil independence, a goal set by President Nixon in the depth of the 1973 energy embargo, was achieved in the last week of November thanks to a fluke in record keeping as well as an "unprecedented boom in American oil production."
Alabama: Trump Terminates Settlements for Black Communities Harmed By Raw Sewage
Trump deemed the landmark civil rights agreement “illegal DEI and environmental justice policy.”
Study: Maui’s Plan to Convert Vacation Rentals to Long-Term Housing Could Cause Nearly $1 Billion Economic Loss
The plan would reduce visitor accommodation by 25% resulting in 1,900 jobs lost.
Planetizen Federal Action Tracker
A weekly monitor of how Trump’s orders and actions are impacting planners and planning in America.
Wind Energy on the Rise Despite Federal Policy Reversal
The Trump administration is revoking federal support for renewable energy, but demand for new projects continues unabated.
Passengers Flock to Caltrain After Electrification
The new electric trains are running faster and more reliably, leading to strong ridership growth on the Bay Area rail system.
Texas Churches Rally Behind ‘Yes in God’s Back Yard’ Legislation
Religious leaders want the state to reduce zoning regulations to streamline leasing church-owned land to housing developers.
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