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calendar   Wednesday - April 22, 2020

kill it while it sleeps

Ethanol Production Idled

Nearly 30% of ethanol plants idled, including four in Minnesota. Gasoline demand has dropped, but eased FDA rules have let one plant pivot to hand sanitizer.

Four Minnesota ethanol plants are idled and many more have throttled back production as COVID-19 has sapped gasoline demand, crushing the biofuel industry.

U.S. ethanol production has hit an all-time low. Nearly 30% of the nation’s 204 biofuel plants have been idled since March 1, while many others have slashed production.

“The fuel market is just telling us to shut down and not operate,” said Randall Doyal, CEO of Al-Corn Clean Fuel in the southern Minnesota town of Claremont. “Economically, its abysmal.”

This is a perfect time to get rid of this boondoggle. If the Spring seeds aren’t in yet, then don’t plant them. If they are, then run this program one more season, and then shut it down.

We don’t need gasahol. We have lots of oil. Right now we have so much oil that the market is crashing. We have no place left to even store it.

Your engines run better on straight gasoline anyway. You get more power and better mileage.

The entire ethanol thing was a) a political move to show OPEC that we didn’t need them that much. Once fracking took off and we had far more oil and gas than we could ever use, it became redundant; and b) for at least half a decade this has been a serving of pork to farmers. Don’t they get enough pork already? Let them grow something else. Even regular corn.


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Posted by Drew458   United States  on 04/22/2020 at 09:17 AM   
Filed Under: • EconomicsOil, Alternative Energy, and Gas Prices •  
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