Pete Landrys Real Gas.com

Your ONLY Comprehensive Source of Ethanol FREE Gas Locations Throughout Louisiana’s 64 Parishes and Mississippi’s 82 Counties.

Pete Landrys Real Gas.com - Your ONLY Comprehensive Source of Ethanol FREE Gas Locations Throughout Louisiana’s 64 Parishes and Mississippi’s 82 Counties.

WEBSITE NEWS HIGHLIGHTS

Breaking News Pic 4

“Pete’s” News Corner

  Your advocate for PURE Gasoline        “Laissez les bon temps rouler”                      Contact “Pete” at:                        way2gopete@yahoo.com                  

   ALL ABOUT ETHANOL GASOLINE ISSUES AND MUCH, MUCH MORE!

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    *     *     *     BREAKING NEWS     *     *     *

BREAKING NEWS:  Those readers who listened to new Governor Edwards last night, you’d think the STATE is going to hell!  And, NO LSU football will NOT be affected because football generates revenue to fund ALL LSU sports and contributes $10 million to the University every year for academics!  What Edwards does NOT tell you is that the State budget went up 50% in the last 8 years while revenues ONLY went up 25%.  Everyone MUST watch State Treasurer’s video in rebuttal to Edwards dire forecast.  Like Kennedy says in this video, we DON’T have a revenue problem, we have a SPENDING problem!  Here’s the link: 

LINK:  http://www.newschannel10.com/clip/12208130/state-treasurer-john-kennedy-provides-gop-response-to-gov-edwards-budget-address

ALSO:  The LSU Tigers start baseball play next Friday (2/19) as they take on Cincinnati for a 3 game series on Friday, Saturday and Sunday!  “Take me out to the old ball game……..”

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ALSO - UPDATE:  My Louisiana Fuels Director contact sent me an e-mail today (12/28/15) with a followup on what may be the reason why Racetrac is apparently having second thoughts about going ahead with the E15 and E85 sales at 11 of their stations in Louisiana.  The apparent reason is: The rumor is that feds are requiring the usual hiring criteria to get the job done and Racetrac was not happy with those Federal requirements.  It is NOT clear if Racetrac will pursue this further at this time. 

An update on the Racetrac plan to install over 150 blend pumps at 11 new/remodeled Racetrac stations throughout Louisiana.  My Louisiana Fuel Director contact just informed me that he learned that Racetrac has POSTPONED their plans ‘indefinitely’.  

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PLEASE NOTE Notice on the right hand side of this page that I posted a notice that I am putting the website up for sale.  Any interested parties, please contact me at the e-mail address listed in the notice.

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   *  *  *   TODAY’S FEATURE ARTICLE   *  *  *

Today I posted an ethanol article from Canada Free Press titled “Scrapping Ethanol Mandates and Tapping Our Fossil Fuels Surplus Will Jump-Start Economy“.  Even Canada knows how to solve the ethanol mandate problem.  It’s a very interesting article……

NOTE:  The full “Today’s Feature Article” is always located below the LSU Sports section on this page.  Just scroll down the page to find it. 

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          *   *   *   WE NEED YOUR HELP   *   *   *

PLEASE HELP REPEAL THE ETHANOL RENEWAL FUEL STANDARD BY E-MAILING OUR U.S. CONGRESSMEN!

PLEASE CALL, WRITE OR E-MAIL YOUR STATE’S U.S. SENATORS AND REPRESENTATIVES AND URGE THEM TO REPEAL THE RFS NOW – READ THE INFORMATION BELOW……the bill is titled “Renewal Fuel Standard Reform Act of 2015″.  

See how to contact your States U.S. Representative and Senator on the website’s “Contacting U.S. Congressmen” above on the page bar at the top of this page.

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LSU SPORTS INFORMATION:

Baseball season is upon us and I started posting articles on LSU baseball TODAY (2/9/2016). 

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 *   *   *  SPORTS ARTICLE SUMMARY  *   *   *   

LSU SPORTS ARTICLE:

Today (2/11) I posted a  GREAT article by LSU Sports.net titled “BASEBALL ANNOUNCES TV, STREAMING SLATE FOR 2016″.

 Read the articles in the LSU section below.

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 *  *  *   GUN CONTROL IN AMERICA   *  *  *

Today (1/9/2016) I posted a new gun control  article on the “Gun Control in America” website page titled “10 MYTHS ABOUT GUNS“.  The article was written by U.S. Senator Chuck Grassley (Chuck Grassley is a Republican senator from Iowa and serves as chairman of the Senate Judiciary Committee) in response to Obama’s newest executive order on gun control of Monday, January 4th.  This is a VERY INFORMATIVE article which clearly ‘DEBUNKS‘ most if not all of President Obama’s claims on gun issues in this executive article.  I encourage you to read the article.  

Please read the article on the website’s ‘Gun Control in America‘ page (see the link on the article tool bar on top of this page).  After you read the article, I URGE you to join either the NRA of NAGR advocates for gun owners TODAY.  They need our involvement and financial support to fight this issue for us.  

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I’ll ONLY post here when I add a new article to the “Gun Control in America” page. 

American gun owners and defenders of the 2nd Amendment NEED HELP in fighting off the Government and State ‘gun control’ advocates!  If you are not currently a member of the NRA (National Rifle Association) or the NAGR (National Association for Gun Rights), you are urged to join TODAY.  Dues for the NRA are only $25/year and $35/year for the NAGR.

Here’s how (the NRA is the most powerful and influential):

NRA:   http://home.nra.org/

NAGR:  http://www.nationalgunrights.org/ 

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 *    *    *   WEBSITE NEWS    *    *    *

 I have resumed my update of our website’s Louisiana ethanol free gas list.  As I indicted when I began this considerable effort, I will update the list on the website when I am completed.  This is a VERY time consuming effort, so bear with me.  

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*   *   *   BASEBALL SEASON IS HERE   *   *   *

 

LSU's Alex Box Stadium

LSU’s Alex Box Stadium

 Here is the link to the LSU Tigers 2016 baseball schedule:

Link:  http://www.lsusports.net/SportSelect.dbml?&&DB_OEM_ID=5200&SPID=2173&SPSID=27866

The Tigers 1st game at the Box is on Friday, February 19th for a 3 game series against Cincinnati.   

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    *    *    *    LSU SPORTS ARTICLE    *    *    *

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GREAT to see that LSU baseball fans will be able to watch EACH AND EVERY Tiger baseball game on TV again this year.

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BASEBALL ANNOUNCES TV, STREAMING SLATE FOR 2016

By Bill Franques/Sr. Associate SID – LSU Sports.net – Jan 14, 2016

 

LSU Baseball at Alex Box Stadium

LSU Baseball at Alex Box Stadium

BATON ROUGE, La. – For the second consecutive year, all 56 of LSU’s regular-season baseball games will be available for viewing as the Tigers will enjoy tremendous exposure during the 2016 season.

LSU is scheduled to make two appearances on ESPN2, one on ESPNU, seven on the SEC Network, three on Cox Sports Television and one on the CBS Sports Network.

2016 LSU Baseball Schedule

Forty of the games will be carried on SEC Network +, the online platform available at SECNetwork.com and the WatchESPN app, and LSU’s two games at Notre Dame on May 10-11 may be viewed online at ESPN3.com and the WatchESPN app.

More than 90 Southeastern Conference baseball games are slated to air across ESPN networks, including 75 on the SEC Network. Coverage of SEC baseball on national television has quadrupled since the SEC Network launched last year.

This year’s SEC Network schedule also includes five wildcard selections, allowing the network the opportunity to determine the best television matchup at a later date. The schedule closes out with the SEC Network airing the entirety of the SEC Baseball Tournament, with the exception of the championship aired on ESPN2.

View the entire SEC network television schedule here.

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* NEW CHANGES TO ETHANOL FREE GAS LIST *

E85 Gas Stations in Louisiana and Mississippi (for info):

Racetrac, 105 Stone Drive, Batesville, MS (Panola County) – 662-561-0065

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We removed THREE ethanol FREE location in Louisiana recently:

Good Hope Handy Mart, 1800 Arkansas Rd, West Monroe (Ouachita Parish) – store closed.  Thanks to Mr Wainwright for the info)

Dalton’s Grocery, 12198 LA Hwy 165S, Glenmora, LA (Rapides Parish) – caught selling ethanol gas WITHOUT pump labels. Thanks to Mr. Miller for the info.

United Food Store, 3500 Airline Hwy, Metairie, LA – store closed and for sale.
Thanks for Mr. Williams for letting me know.

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We added SEVEN new ethanol FREE location in Louisiana &  ONE IN Mississippi recently:

Delta Fuel Company, 23 Briel Avenue, Natchez, MS (Adams County) 601-445-9411 (All E0)

Murphy USA (Wal-Mart), 2211 O’Neil Lane, Baton Rouge, LA (East Baton Rouge Parish) – 225-735-2135 (E0 & E10)

Delta Fuel Company, 179 LA Hwy 578, Crowville, LA (Franklin Parish) – 318-722-3725 (E0 & E10)

Delta Fuel Company, 2202 Julia Street, Rayville, LA (Richland Parish) – 318-728-2241 (All E0)

Delta Fuel Company, 3395 LA Hwy 15, Winnsborough, LA (Franklin Parish) – 318-435-9167 (All E0)

Delta Fuel Company, 8134 LA Hwy 84W, Ferriday, LA ( Concordia Parish) – 318-757-7610 (E0 & E10)

Delta Fuel Company, 33 Crothers Drive, Tallulah, LA (Madison Parish) – 318-574-2215 (E0 & E10)

Delta Fuel Company, 1315 Plank Road, St. Joseph (Tensas Parish) – 318-766-3981 (all E0)

Now Save Convenience, 101 New Natchitoches Rd, West Monroe (Ouachita Parish) – 318-387-4140 – Thanks to Mr. Wainwright for the info!

Super Save Convenience, 4509 Cypress St, West Monroe (Quachita Parish) – 318-396-2532 – Thanks to Mr. Wainwright for the info!

Tensas One Stop, 1106 Plank Road, Saint Joseph, LA (Tensas Parish) – 318-766-4325.  Thanks to Mr. Roberts for the info!

MandeBay Car Wash & Gas Station, 2595 Florida St, Mandeville (St Tammany Parish) – 985-778-0820. Thanks to Mr. McCormick for the info!

Steven Dupuis Oil Bulk Plant, 114 Cason Road, Broussard, Lafayette Parish, 337-445-3188 – Thanks to Mr. Dupuis for letting me know!

Lee’s Hardware, 3525 N. University Ave, Lafayette, Lafayette Parish, 337-896-4186 – Thanks for Mr. Guilbeau for letting me know. 

James Truck Center, 221 Taylor Road, DeRidder, Beauregard Parish, 337-462-8884 – Thanks to the Store owner for letting me know.

NOTEIf any reader locates a store that is selling ethanol FREE gas but is not on our list, PLEASE send me the information asked for on the “Ethanol Facts” page so we can add it to the list!

We encourage all readers to patronize retailers who sell ethanol FREE gas.  If they are not profitable selling EO, they may convert to sell ethanol gas and stores with EO will become harder and harder to find.                                             ——————————————————————————————————- 

Have a GREAT week readers!  

“Pete”        

SCRAPPING ETHANOL MANDATES AND TAPPING OUR FOSSIL FUELS SURPLUS WILL JUMP-START ECONOMY

SCRAPPING ETHANOL MANDATES AND TAPPING OUR FOSSIL FUELS SURPLUS WILL JUMP-START ECONOMY

By Guest Column Jack Gerard – Canada Free Press – Feb 11, 2016

WASHINGTON, D.C.—Pundits and polls agree: Voters are fed up with the status quo.  In a January NBC/Wall Street Journal poll, 61 percent of voters said they want change in the 2016 elections.

When it comes to national energy policy, change is well overdue.  The United States is now the world’s leading producer of oil and natural gas, but until a few weeks ago, we were still operating under a crude oil export ban enacted during the ‘70s oil embargo crisis.

Much of today’s electorate doesn’t even remember the long gas station lines and fuel shortages that gave rise to the export ban, yet it was still a major part of our energy policy until a bipartisan vote in Congress finally overturned it in December.

In the past decade alone, technological advances in oil and natural gas production have ushered in a new era.

American crude oil production jumped 88 percent between 2008 and 2015, and natural gas production increased almost 45 percent since 2005.

The turnaround has helped drive down gasoline prices, slash heating and electricity costs for households and businesses, shrink fuel imports and reduce carbon emissions to near 20-year lows thanks to increased use of clean-burning natural gas.

We’ve come a long way, but our energy policy hasn’t.

Read full article here:  http://canadafreepress.com/article/scrapping-ethanol-mandates-and-tapping-our-fossil-fuels-surplus-will-jump-s

GET RID OF ALL ENERGY SUBSIDIES, NOT JUST ETHANOL, WIND AND SOLAR

GET RID OF ALL ENERGY SUBSIDIES, NOT JUST ETHANOL, WIND AND SOLAR

By Andy Koenig – Investor Business Daily – Feb 10, 2016

 

Alternative energy, like this ethanol plant, is often heavily subsidized. But so are regular sources of energy. Why not end all subsidies to energy?

Alternative energy, like this ethanol plant, is often heavily subsidized. But so are regular sources of energy. Why not end all subsidies to energy?

Washington politicians love giving preferential treatment to their friends, especially if they’re in the energy business. This was evident in the massive tax and spending package passed by Congress last month.

It contained a slew of large tax carve-outs for energy companies, especially those in the wind and solar industry. According to the Joint Committee on Taxation, wind and solar tax credits in the deal will cost taxpayers $26 billion over the next 10 years.

But these special-interest handouts were only the most recent. In November, the Environmental Protection Agency expanded another energy handout with even more harmful effects. It’s called the Renewable Fuel Standard, or RFS, and it requires gas and diesel fuel producers to blend a certain amount of biofuels into their product.

It’s time for Congress to end every such energy give away. Lawmakers should begin to systematically dismantle these tax credits, subsidies and mandates — including those for renewables and fossil fuels.

While we can’t end all these handouts without major tax reform, the RFS is a place we can start. Passed in 2005 and expanded in 2007, today it’s a solution in search of a problem.

At the time, prevailing wisdom was that we needed a reliable fuel alternative to expensive oil, which then was at an all-time high. Yet thanks to America’s own energy revolution, today’s low oil and gas prices have eliminated that concern.

Read full article here:  http://www.investors.com/politics/on-the-right/get-rid-of-all-energy-subsidies-not-just-ethanol-wind-and-solar/

ETHANOL PIONEER ADM’S STRUGGLE REFLECTS DEEPENING INDUSTRY WOES

ETHANOL PIONEER ADM’S STRUGGLE REFLECTS DEEPENING INDUSTRY WOES

By Chris Prentice, Michael Hirtzer and Karl Plume – Reuters – Feb 3, 2016

 

The world's largest corn mill of global grain company Archer Daniels Midland is pictured in Decatur, Illinois March 16, 2015.

The world’s largest corn mill of global grain company Archer Daniels Midland is pictured in Decatur, Illinois March 16, 2015.

When Archer Daniels Midland opened two of the country’s largest ethanol plants in Nebraska and Iowa six years ago, the biofuels market was on the cusp of a boom with prices and profits on the rise.

Now, the plants are more of a headache for the Chicago-based company, considered an industry pioneer, amid crushed margins and weak prices as the financial success of its almost 40-year- old business fades.

In the industry’s first major capitulation to depressed market conditions, ADM’s chief executive, Juan Luciano, on Tuesday said he would consider options, including a sale, for those two plants as well as another in Peoria, Illinois.

The three dry-mill ethanol plants, some of the largest in the country, represent just under half of ADM’s 1.8-billion-gallon-per-year U.S. ethanol capacity.

The news came as ADM blamed weaker-than-expected quarterly profits on poor ethanol margins and depressed U.S. grain exports, sending its shares tumbling almost 9 percent for their worst day in 6-1/2 years.

Read full article here:  http://www.reuters.com/article/us-archerdaniels-results-ethanol-idUSKCN0VC0CC

 

RENEWAL FUEL STANDARD DECEIT

RENEWAL FUEL STANDARD DECEIT

By George David Banks – The Washington Times –Feb 8, 2016

The Environmental Protection Agency (EPA) wants Americans to pay more for their groceries. That’s the only way to explain the agency’s decision to mandate the use of corn-based ethanol in our gas supply.

The decision comes as part of the EPA’s adherence to the Renewable Fuel Standard, a law that requires U.S. transportation fuels to be blended with biofuels, the most common of which is ethanol. The new rule calls for refiners to add more of these renewable fuels this year — 18 billion gallons more.

Like much of the RFS’ history, this is a mistake. The RFS has plagued the country for years by jacking up food and fuel costs. What’s more, it’s outdated and offers zero environmental benefits. Congress should nix this standard before it wreaks more havoc on the country.

Congress passed the RFS in 2005. The goal was to decrease America’s dependence on foreign oil by mixing biofuels, such as ethanol, into our nation’s gasoline supply. Their inclusion would allow the United States to import less oil from abroad.

But the United States no longer depends on oil from foreign producers. Thanks to an explosion in shale exploration, the country recently passed Russia as the world’s top oil and natural-gas producer. In 2014, the nation produced more oil than ever before, increasing its output by 1.6 million barrels a day.

There’s no evidence that the use of ethanol actually lowers oil imports.

Between 2008 and 2014, net oil imports dropped by more than 6 million barrels a day. But that’s largely because domestic production increased by more than 3.5 million barrels a day. Meanwhile, ethanol production increased by a negligible 328,500 barrels a day over that same period — comparatively, a drop in the bucket.

Ethanol has also caused domestic food prices to skyrocket. To meet the growing demand for ethanol, farmers have chosen to produce corn over pork, beef, poultry and other agricultural products.

Read full article here:  http://www.washingtontimes.com/news/2016/feb/8/george-david-banks-epas-renewable-fuel-standard-de/

THE ONE WAY TED CRUZ REALLY DID BEAT A ‘WASHINGTON CARTEL’

THE ONE WAY TED CRUZ REALLY DID BEAT A ‘WASHINGTON CARTEL’

By Shikla Dalmia – The Week – Feb 5, 2016

I’m not a Ted Cruz fan and can’t imagine ever voting for a man so vainglorious. But the junior senator from Texas pulled off a rather remarkable feat in Iowa this week: Not only did he come from behind and win the Republican caucus, but he did so despite dissing the Hawkeye State’s beloved ethanol fuel mandate. No candidate — Republican or Democrat — had touched this senseless boondoggle and lived to tell the tale.

But was this a freak stunt by a freak politician that can’t be replicated? Nyet! Cruz’s campaign offers some lessons to politicians wishing to take a principled stand against welfare for powerful lobbies — what he time and again refers to as the “Washington cartel.”

Iowa, an agricultural state, has been hooked on federal ethanol largesse since 1980 when Congress first started subsidizing it. Although this subsidy ended in 2011, Iowa’s addiction only grew because Congress passed the Renewable Fuel Standard mandate in 2005 requiring refineries to mix ethanol, which is produced from corn, into gasoline in order to cut greenhouse gases and promote energy independence.

Since then, a pledge of allegiance to King Corn has become a rite of passage for any candidate serious about winning the Iowa caucus, never mind that ethanol doesn’t meaningfully cut greenhouse gases. It also raises fuel and food prices (by diverting farmland from fruits and vegetables to corn) and gums up cars.

Indeed, as my Reason colleague Jacob Sullum points out, since 1980, all the Iowa primary winners in both parties have been ethanol boosters. Republican Sen. John McCain’s opposition to ethanol subsidies in the 2008 elections made his candidacy in the state so unviable that he simply stopped campaigning, finishing fourth and handing the contest to former Arkansas Gov. Mike Huckabee, who supported the subsidy. Meanwhile, on the Democratic side, President Barack Obama pilloried Hillary Clinton’s ethanol flip-flop (she was against it before she was for it), and declared ethanol production a national security issue.

Likewise, in this election, on the Democratic side, both Clinton and Bernie Sanders, the fearless crusader against crony capitalism, promised even more federal support for Iowa’s biofuel industry. Among Republicans, Trump out-pandered all his rivals. “I love ethanol,” he declared, vowing to jack up the EPA’s ethanol mandate. The only exceptions were Kentucky Sen. Rand Paul, who has since suspended his presidential bid after placing fifth in the caucus, and Cruz.

Cruz stuck to his guns, despite frontal attacks not only by his rivals but also Iowa’s Republican Gov. Terry Branstad — who took the unprecedented step of warning Iowans that since Cruz doesn’t support ethanol, it would be a mistake to support him.

But Cruz (rightly) insisted that it was not the government’s job to pick “winners and losers” in the marketplace, especially by forcing drivers to pay more at the pump.

He offered his own free market plan to boost ethanol by eliminating EPA’s “blend wall” that had artificially kept the amount of ethanol being blended in gas to below 10 percent, he maintained. Knocking it down, while eliminating all the subsidies that Big Oil enjoyed, he said, would expand ethanol’s market.

But with oil prices plunging due to the fracking revolution, it is hard to see how ethanol could effectively compete without subsidies and it is unlikely that Iowans were fooled.

So how did Cruz win them over? By putting together a shrewd electoral strategy that thwarted what political scientists call the “public choice” dynamic.

Under this dynamic, policies whose benefits go to a small group but whose costs are dispersed across a large population are hard to undo even when the net costs are greater than the net benefits. Why? Because the beneficiaries have every incentive to mobilize — lobby candidates, influence the media, go the polls — on behalf of the policy. However, ordinary folks don’t have an equal incentive to oppose it because the cost to them is too small to be worth the effort. This problem is even more pronounced in a caucus state like Iowa where voting is not just a simple matter of pulling a lever but an evening-long commitment.

But Cruz got his supporters to make the schlep on his behalf not by talking them into an anti-ethanol revolt. (A Des Moines Register survey just before the election found that 42 percent of Iowans disagreed with Cruz on ethanol, 37 percent agreed and the rest were undecided, hardly an electorate champing at the bit to send Big Ethanol a message.) Rather, Cruz assembled a broad but piecemeal coalition of conservative voters by giving each faction something it really, really cared about. He wasn’t like McCain, the other anti-ethanol Republican, who threw down the gauntlet to voters and basically told them to take it or leave it.

Cruz’s anti-ethanol stance appealed to his core Tea Party, anti-establishment base that saw it as part of his courageous commitment to limited-government, fiscal restraint, and free market principles. But the far bigger factor in Iowa politics are evangelicals — some of them are probably sympathetic to ethanol and some are not.

Cruz appealed to them by playing up his Christian roots — and the story of his dad’s redemption, an alcoholic-turned-pastor. His speeches were infused with Biblical references. Just as he convinced Tea Party conservatives that his policy positions seamlessly stemmed from his limited government ideology, he persuaded evangelicals that his policy commitments and religious convictions were coextensive.

These commitments included an unflinching opposition to a gay agenda and abortion rights. In fact, he condemned the Supreme Court’s Obergefellruling legalizing gay marriage as the very definition of tyranny and pledged to return the issue to states — a very clever way of uniting both the Tea Party and evangelical Iowans. His little jeremiad against Trump’s New York values may have appalled pundits. But it instantly concretized for Iowa’s traditional voters the stark contrast between what they stood for — and a creepy playboy who had once said that had Ivanka not been his daughter, he’d date her because “she had a very nice figure.”

The upshot was that instead of Trump bringing new voters to the polls as had been widely predicted, Cruz did, expanding the evangelical share of the electorate from 57 percent in 2008 to 64 percent this time. And he pulled 34 percent of this vote, 13 points more than Rubio, his closest rival. What’s more, of the folks who voted for candidates based on “shared values,” Cruz pulled 17 points more than Rubio, who got the second highest votes from this group.

But Cruz reached out not just to traditional religious voters but also nationalist conservatives worried about security. He backed off not even slightly from his anti-immigrant screeds, pledging to kill any form of legalization for undocumented aliens and building a wall to secure the border. And he dialed up the saber rattling against ISIS, promising to bomb it till the “sand glows.”

Much of Cruz’s agenda is nasty, unlovely stuff playing on people’s fears and demonizing his opponents. Ronald Reagan’s sunny and uplifting optimism it is not.

But its genius is that it shows a way to take on powerful special interest groups and dismantle the edifice of crony capitalism that is corroding trust in this country’s institutions. There is no reason why a more enlightened conservative can’t apply the same formula to appeal to the better angels of Republican voters.

 

HERE’S ALL THE SIGNS THAT ETHANOL’S DAYS ARE NUMBERED

HERE’S ALL THE SIGNS THAT ETHANOL’S DAYS ARE NUMBERED

By Dan Mitchell – Fortune – Feb 4, 2016

 

Republican Presidential Candidate Texas Senator Ted Cruz

Republican Presidential Candidate Texas Senator Ted Cruz

Ted Cruz’s victory in Iowa is just the beginning.

Ted Cruz’s victory in the Iowa caucus is widely — and correctly — seen as a major defeat for ethanol, the biofuel made mostly from corn. Cruz, unlike all other leading presidential candidates, adamantly opposes the Renewable Fuel Standard, the future of which is up for possible debate in the Senate.

If the RFS is rescinded or phased out, the ethanol industry would be in big trouble. And for the first time, this looks like a possibility.

The RFS was enacted in 2005 to reduce greenhouse-gas emissions. It mandates that 95% of gasoline sold in the United Stated be blended with 10% ethanol. That has been a boon to Iowan corn growers. Close to half of the corn grown in Iowa goes to ethanol production. Iowa is also the biggest corn state. So with the exception of Cruz — who comes from Texas, a huge oil state — candidates for president have in general pledged their support for the government mandate, largely because of Iowa’s status as the first state to vote for each party’s nominees.

Cruz’s victory might have changed that equation. There also are other factors working against ethanol: diving oil prices; thin margins; oversupply; questions about its environmental impact; and alternative, more-lucrative uses for corn. Even with the government mandating its use, ethanol is having a tough time of it.

Signs of disinvestment

This week, the Chicago-based grain giant Archer Daniels Midland  ADM -0.53% , the world’s largest ethanol producer, announced that it might unload its three dry-mill corn-processing plants. That’s a sign of disinvestment in ethanol because those plants are devoted largely to ethanol production. Wet mills can be put to a larger variety of uses, including the production of food ingredients. ADM is keeping those.

In a conference call on Tuesday, Juan Luciano, ADM’s chairman and CEO, said that while the dry mills are still generating positive cash flow, the company is reviewing possible “strategic alternatives” for them. That means a possible sale. The company’s five wet mills aren’t part of the review.

Read the full article here:  http://fortune.com/2016/02/04/ethanol-archer-daniels-biofuels/

CRUZ WIN HITS CORN’S CLOUT AND EMBOLDENS ETHANOL FOES IN SENATE

CRUZ WIN HITS CORN’S CLOUT AND EMBOLDENS ETHANOL FOES IN SENATE

By Jennifer A. Dlouhy – Bloomberg Politics – Feb 2, 2016

 

Senator Ted Cruz delivers remarks during his campaign's caucus night celebration in Des Moines, Iowa, on Feb. 1, 2016.

Senator Ted Cruz delivers remarks during his campaign’s caucus night celebration in Des Moines, Iowa, on Feb. 1, 2016.

Senator Ted Cruz’s victory in the Iowa Republican caucuses emboldens other critics of federal biofuel mandates just as the U.S. Senate is poised to consider a measure that would gut the decade-old program.

The Senate could vote on proposals to spike the program’s ethanol mandate or sunset the entire renewable fuel standard in 2022 as part of a broad energy bill now being debated in the chamber.

Refiners, restaurant owners and other critics of federal biofuel mandates seized on Cruz’s caucus win Monday in the face of fierce opposition from ethanol backers, including Iowa Governor Terry Branstad. The pro-ethanol group America’s Renewable Future ran ads against Cruz and trailed him in buses during campaign stops in the state.

“The verdict from the cornfields of Iowa last night was that the RFS is no longer a third rail that GOP leadership should be afraid to touch,” said Stephen Brown, vice president of federal government affairs for refiner Tesoro Corp., in an e-mail. “They can man-up and do something constructive here to confront this fatally flawed program. They key is finding the right approach to help set that stage.”

Cruz, while professing his support for growing the biofuels market, called for an end to subsidies for all forms of energy and said he wanted to see the renewable fuel standard phased out.

‘Clear Message’

“A clear message coming out of Iowa is that whatever political influence ethanol used to have in the state, those days are now over,” George David Banks, executive vice President of the American Council for Capital Formation said in a statement. “Very few Iowans are going to their caucus in support of continuing to prop-up our failed federal corn-ethanol mandate regime, and that’s not something likely to escape the notice of politicians and policy makers in Washington.”

Read full article here:  http://www.bloomberg.com/politics/articles/2016-02-02/cruz-win-hits-corn-s-clout-and-emboldens-ethanol-foes-in-senate

ETHANOL MANDATE, A BOON TO IOWA ALONE, FACES RISING RESISTANCE

ETHANOL MANDATE, A BOON TO IOWA ALONE, FACES RISING RESISTANCE

By Coral Davenport – The New York Times – Jan 31, 2016

 

Gene Simmons loading syrup into truck at the Lincolnway Energy ethanol refinery in Nevada, Iowa

Gene Simmons loading syrup into truck at the Lincolnway Energy ethanol refinery in Nevada, Iowa

AMES, Iowa — Tim Recker has been growing corn in this state his whole life, and using his crops to make ethanol almost as long, at first by the jar for his trucks, now by the barrel for the nation. That is in large part because Congress in 2005 mandated that oil refiners blend ethanol into gasoline.

“When I look out my window and see farms that have built and expanded and improved, it’s because of the ethanol mandate,” Mr. Recker said from his farm in Arlington, Iowa. Mr. Recker, a Republican, said his decision at the presidential caucuses on Monday would be driven by what candidates have said about the 2005 law, which created the Renewable Fuel Standard.

But beyond the borders of a state with outsize importance in the selection of presidents, ethanol may be losing its grip on the body politic. Energy policy experts, advocates in the fight on poverty and even other farmers say a law that has been a boon for Iowa has been a boondoggle to the rest of the country. The ethanol mandate has driven up food costs while failing to deliver its promised environmental benefits. Rising domestic oil production and a global energy glut have all but nullified the pitch that ethanol would help wean the country off foreign oil.

And now a powerful coalition including oil companies, environmentalists, grocery manufacturers, livestock farmers and humanitarian advocates is pushing Congress to weaken or repeal the mandate. As soon as this week, the Senate could vote on a measure to roll back the Renewable Fuel Standard, just days after the Iowa caucuses close and the issue largely goes to rest for another four years.

Even here, as Iowa urbanizes and diversifies, ethanol may be losing its once-powerful hold, some political consultants say. Senator Ted Cruz of Texas, one of the Republican front-runners in Iowa, has called for an end to subsidies for all forms of energy, as well as a five-year phasing out of the renewable fuel mandate that created the ethanol economy here.

That position drew an unusual repudiation from Iowa’s governor, Terry E. Branstad, a Republican who has not endorsed any candidate. “It would be a big mistake for Iowa to support him,” Mr. Branstad told reporters at a forum held by the Iowa Renewable Fuels Association.

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