Rural Iowa Economies Forgo Over $5 Million Every Day the Project is Delayed

Press Contact: Emily Freese
515-322-0435

WEST DES MOINES, IA – The Iowa Renewable Fuels Association (IRFA) yesterday filed a formal request with the Iowa Utilities Commission (IUC) asking that a hearing schedule be established for Summit Carbon Solutions’ carbon capture, use, and sequestration (CCUS) pipeline project. The permit request was submitted to IUC six months ago.

“For twenty-five years, Iowa has benefited greatly from being the most profitable place in the world to convert corn into ethanol,” the filing states. “That is no longer the case because a carbon capture project in Nebraska began operations last fall. There is not a question on the economic benefits: carbon capture and sequestration is happening, and it is happening right here in the Midwest. The only question is whether Iowa will be left behind for months or forever.”

Speaking this morning at the IUC monthly meeting, IRFA Policy Director Colin Gorton repeated the request, urging the Commission to act swiftly as further delays are harmful to Iowa’s rural economy.

“After six months, IRFA can see no reason to delay holding a scheduling conference for this important issue,” Gorton said. “The 27 ethanol plants that are part of the Summit project stand to generate nearly $2 billion annually in additional revenue from CCUS. To underscore the urgency of the situation, that is nearly $5.25 million of forgone revenue for Iowa’s ethanol plants each and every day. At a moment when farmers are struggling and rural economies are hurting, this is incredibly critical.”

Many competing states have CCUS projects that are in operation or are moving forward, including Colorado, Kansas, Nebraska, North Dakota, Illinois, and Indiana. The main international competitor to U.S. ethanol, Brazil, is also embracing CCUS. Ultra-low carbon ethanol is demanded in emerging markets like ocean-going marine vessels and sustainable aviation fuel (SAF).

###

The Iowa Renewable Fuels Association represents the state’s liquid renewable fuels industry and works to foster its growth. Iowa is the nation’s leader in renewable fuels production with 42 ethanol refineries capable of producing over 5 billion gallons annually – including 34 million gallons of annual cellulosic ethanol production capacity – and 8 biodiesel facilities with the capacity to produce 408 million gallons annually. For more information, visit the Iowa Renewable Fuels Association website at: www.IowaRFA.org.