Ethanol Under Threat

Recent political challenges to the Renewable Fuels Standard overlooks the many positive effects of ethanol.
Ethanol Under Threat
Since its inception, the ethanol industry has had a positive impact on the U.S., helping to strengthen the market for American-grown corn, create jobs in rural communities, reduce fuel costs for consumers and promote a cleaner environment. Mounting political opposition to the current Renewable Fuel Standard (RFS), however, is threatening the fuel's long-term viability.

Congress mandated the RFS in 2005 to give consumers a choice, other than petroleum-based fuels, at the pump. This policy required that 7.5 billion gallons of transportation fuel come from renewable sources by 2012. The 2007 RFS elevated the requirements to 36 billion gallons of renewable fuel by 2022.

As a result, ethanol has become an economic powerhouse, creating demand for more than 4.5 billion bushels of U.S. corn during the 2012–2013 marketing year alone.1 It also has created an industry that employs more than 375,000 Americans, directly and indirectly - from ethanol plant personnel to professionals in the trucking and livestock industries.2

In addition to jobs, ethanol production supports the livestock industry by generating a better-quality, high-protein feed known as dried distiller's grains (DDGs). A bushel of corn processed into ethanol produces approximately 17.5 pounds of DDGs. A metric ton of this superior livestock feed can replace, on average, 1.22 metric tons of corn and soybean meal.3

Ethanol benefits general consumers as well, saving the average U.S. driver up to $1.50 per gallon on gasoline and promoting a cleaner environment by reducing carbon emissions.4 The more than 16 million flex-fuel vehicles on the road today indicate that a ready market for blends higher than E10 exists. But recent efforts to lower the RFS could hurt an industry that has helped so many.

To demonstrate its continuing support of affordable, sustainable biofuels, Syngenta has launched a three-year initiative to donate one dollar to the renewable fuels industry for every acre planted with Enogen® corn. In 2013 - the initiative's inaugural year - Syngenta donated $65,000 to Fuels America, a leading renewable-fuels advocacy organization.

"At Syngenta, we believe renewable fuels play a crucial role in spurring economic and technological advancements that benefit our nation, our industry and our local communities," says David Witherspoon, head of renewable fuels at Syngenta. "We're proud to contribute in any way possible."

1 USDA, "World Agricultural Supply and Demand Estimates Report," Jan. 10, 2014.
2 Renewable Fuels Association, "Contributions of the Ethanol Industry to the Economy of the United States," updated Jan. 31, 2013.
3 USDA, October 2011
4 Ethanol Producer Magazine, "New analysis: Ethanol cutting crude oil, gasoline prices," Sept. 24, 2013.