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Impact of Biofuels
      on the Region

Farm Bureau’s Involvement

      Troy Bredenkamp
   Executive Vice President
    Colorado Farm Bureau
Impact of Biofuels

• In a word…Positive.
  – 13B gals of ethanol produced in 2010.
  – Displaces 445M barrels of oil.
  – Reduces GHG emissions by 40-60%
  – Rural economic stimulus.
  – By-product a great feedstock for
    animal agriculture.
Impact of Ethanol
         on Corn Market
– Approx. 4.5B bushels used in ethanol
  production.
– 1.5B bushels returned in distillers for
  feed
– 3B bushels total used in ethanol
  production.
– 12.67B bushel crop in 2010.
– Ethanol production = 23.7% net of
  crop.
Impact of Biofuels
     Regionally/Colorado
– Ethanol/biodiesel production
  throughout Ports to Plains corridor…
  • 3.95B gal of ethanol production in NE, SD,
    KS, ND, TX, CO, NM and WY.
  • Jobs, jobs, jobs
  • Good for animal agriculture
  • Transportation (over road, rail)
– In Colorado
  • 125M gal/yr ethanol capacity
  • NREL HQ in CO
  • Emerging technologies – algae, cellulosic
Farm Bureau
      Supports Biofuels…

• AFBF/CFB Energy Policy:
  – Supports VEETC
  – Supports RFS
  – Blender pump incentives
  – Supports continued research into
    advanced biofuels technology.
  – Defends biofuels with respect to
    the food vs. fuel debate.
  – All forms of energy.
Colorado Farm Bureau
   Renew Colorado Project…

• CFB explored developing an
  ethanol plant (2007-2010)
  – 60M gal plant in NE Colorado
  – State-of-art advanced biofuels
  – FS was promising…37% ROI
  – CFB proceeds - to fund rural
    economic development across CO.
• Recession, credit market dries
  up, project has been shelved.
Challenges Facing
         Grain-based Biofuels

•   Limitations – 17B to 20B gal/yr max.
•   High feedstock prices.
•   Food vs. fuel debate will intensify.
•   Potential loss of tax credits.
•   Low carbon fuel standards (CA model)
•   Access to capital/credit.
•   9+ billion population by 2050 (UN est.).
•   Continued loss of farm ground to
    development.
A Bright Future
          For Biofuels…
• Political unrest across the globe.
  – Increasing fossil fuel prices
  – Increases public desire for “home
    grown” energy.
• If advanced biofuels technology
  can be commercially developed.
  – Cellulosic technology
  – Low carbon tech alternatives
  – Diversify feedstock into woody
    biomass, refuse, etc.

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Bio-fuels and Colorado Farm Bureau

  • 1. Impact of Biofuels on the Region Farm Bureau’s Involvement Troy Bredenkamp Executive Vice President Colorado Farm Bureau
  • 2. Impact of Biofuels • In a word…Positive. – 13B gals of ethanol produced in 2010. – Displaces 445M barrels of oil. – Reduces GHG emissions by 40-60% – Rural economic stimulus. – By-product a great feedstock for animal agriculture.
  • 3. Impact of Ethanol on Corn Market – Approx. 4.5B bushels used in ethanol production. – 1.5B bushels returned in distillers for feed – 3B bushels total used in ethanol production. – 12.67B bushel crop in 2010. – Ethanol production = 23.7% net of crop.
  • 4. Impact of Biofuels Regionally/Colorado – Ethanol/biodiesel production throughout Ports to Plains corridor… • 3.95B gal of ethanol production in NE, SD, KS, ND, TX, CO, NM and WY. • Jobs, jobs, jobs • Good for animal agriculture • Transportation (over road, rail) – In Colorado • 125M gal/yr ethanol capacity • NREL HQ in CO • Emerging technologies – algae, cellulosic
  • 5. Farm Bureau Supports Biofuels… • AFBF/CFB Energy Policy: – Supports VEETC – Supports RFS – Blender pump incentives – Supports continued research into advanced biofuels technology. – Defends biofuels with respect to the food vs. fuel debate. – All forms of energy.
  • 6. Colorado Farm Bureau Renew Colorado Project… • CFB explored developing an ethanol plant (2007-2010) – 60M gal plant in NE Colorado – State-of-art advanced biofuels – FS was promising…37% ROI – CFB proceeds - to fund rural economic development across CO. • Recession, credit market dries up, project has been shelved.
  • 7. Challenges Facing Grain-based Biofuels • Limitations – 17B to 20B gal/yr max. • High feedstock prices. • Food vs. fuel debate will intensify. • Potential loss of tax credits. • Low carbon fuel standards (CA model) • Access to capital/credit. • 9+ billion population by 2050 (UN est.). • Continued loss of farm ground to development.
  • 8. A Bright Future For Biofuels… • Political unrest across the globe. – Increasing fossil fuel prices – Increases public desire for “home grown” energy. • If advanced biofuels technology can be commercially developed. – Cellulosic technology – Low carbon tech alternatives – Diversify feedstock into woody biomass, refuse, etc.