EPA Endorses Efficient Producer Pathways for Two Ethanol Plants in Texas

In September, the US EPA made an important announcement by publishing notices that signified the approval of efficient producer pathways for two ethanol production facilities situated in Texas, which are operated by White Energy Inc. These approvals grant White Energy Inc. the authorization to generate Renewable Identification Numbers (RINs) in accordance with the Renewable Fuel Standard (RFS), particularly for ethanol production volumes that are not considered grandfathered.

The scope of these approvals encompasses corn ethanol production at White Energy's facilities, specifically located in Hereford, Texas, and Plainview, Texas. According to data available on the Ethanol Producer Magazine's online plant map, both of these ethanol production facilities currently possess a nameplate production capacity of 150 million gallons per year (MMgy).

Ethanol production facilities that have successfully secured approved efficient producer pathways are endowed with the capability to generate RINs for production volumes that exceed the quantities grandfathered under the prevailing RFS regulations. To better comprehend this, it is important to note that when the RFS program was initially established in its current form, a specific provision was included to "grandfather" or exempt the production volume of pre-existing corn ethanol plants from certain regulatory requirements.

To elaborate further, any new ethanol production volume beyond the quantities that were grandfathered must meet a predetermined benchmark, which mandates a minimum reduction of 20 percent in greenhouse gas (GHG) emissions in comparison to the program's baseline for gasoline. In essence, this threshold is implemented to ensure that any additional ethanol production is more environmentally sustainable by significantly lowering GHG emissions when contrasted with the emissions associated with gasoline production. To facilitate the attainment of efficient producer pathways for increased production, the EPA has devised a structured petition process, thereby assisting ethanol production facilities in acquiring the requisite pathway approvals.

Crucially, the EPA has meticulously conducted an analysis of the environmental impact of ethanol production at these facilities. Their findings reveal that corn ethanol generated at the Hereford facility boasts an impressive 31.6 percent reduction in greenhouse gas emissions in comparison to the baseline emissions associated with gasoline production. Similarly, the Plainview facility demonstrates a substantial reduction of 28.5 percent in GHG emissions. In contrast, the analysis shows that a conventional natural gas-fired dry mill ethanol plant typically achieves a lesser reduction in GHG emissions, specifically around 16.8 percent.