Energy Secretary Talks Diesel Relief, Ethanol at NEFB Roundtable
With harvest underway, Nebraska Farm Bureau (NEFB) brought farmers and energy leaders together with U.S. Energy Secretary Chris Wright Oct. 14 to discuss fuel costs and ethanol’s role in the nation’s energy supply.
The roundtable took place on Jim Group’s farm near Louisville in Cass County. Participants included Sens. Deb Fischer and Pete Ricketts, Reps. Don Bacon and Adrian Smith, Nebraska Department of Agriculture Director Sherry Vinton and representatives from Nebraska’s agriculture and energy sectors.
Fuel costs were a central concern. One participant noted that some operations spend $1,000 to $5,000 per day during harvest to keep combines, tractors, and trucks running. Wright said diesel prices had fallen 25 to 30 cents per gallon from their peak and pointed to federal and state actions allowing dyed diesel for highway use as a source of temporary relief.
The discussion also highlighted agriculture’s role in producing energy. NEFB President Mark McHargue described how irrigation supports crop production, livestock, and biofuels.
“Irrigation allows us to produce a pretty consistent crop, which allows us to feed our beef herd and our livestock sector,” McHargue said. “But it also allows us to use about 40 percent of our crops to produce ethanol and biofuels.”
Wright emphasized ethanol’s importance to the nation’s fuel supply.
“We could not power all the cars in the United States of America and fill up everyone’s gasoline tanks without ethanol,” he said. “Today, we simply couldn’t do it.”
The visit came as the Department of Energy announced a new emissions value request process for the 45Z clean fuel production tax credit. The process allows fuel producers whose fuel type, feedstock, or production method is not covered in existing emissions tables to request an emissions value from DOE. That value is needed to seek a provisional emissions rate from the Treasury Department as part of qualifying for the credit.
Wright also pointed to opportunities for ethanol beyond transportation fuel. He said he hopes to return early next year to visit a Nebraska company using ethanol to produce chemicals and expects ethanol to become an increasingly important part of other supply chains.