In This Issue:

FYI Newsletter Volume 10, Issue 2, February 21, 2005 

•  NEVC Attends PACE Show •  Second CT E85 DOT Location Now Open •  E85 Dealer Training in Holstein, IA •  ISU FSAE Winter Newsletter •  Upcoming MN E85 Radio Spots

•  GM/NEVC Ropin' Em in with E85       Reception •  Drive Clean and Green Across MO •  NEVC Member Spotlight --     Texas Renewable Energy     Industries Association •  Letters to the NEVC

NEVC Attends PACE Show

Staff of the NEVC returned recently from attending the Petroleum and Convenience-Store Exposition (PACE) of Mid-America in Kansas City, Missouri.  PACE is produced by the Petroleum Marketers and Convenience Store Association of Kansas (PMCA of KS) and the Missouri Petroleum Marketers and Convenience Store Association (MPCA).  The exposition alternates between Kansas City and St. Louis venues, and draws attendees from a number of midwestern states.

As the largest petroleum marketer and convenience store exposition in the Midwest, PACE featured the latest in petroleum and c-store products, industry hardware, softgoods, technology and services, and biofuels such as E85 and Biodiesel. 

“Many retailers were interested in E85 and approached the NEVC booth wanting to know more about the renewable product and how they can make it available at their station,” stated Michelle Kautz, NEVC Director of Communications.  “Overall, the event was a wonderful networking opportunity.”

For a listing of E85 locations around the U.S. as well as in the Midwest, visit the NEVC website at www.E85Fuel.com.

Roger Listenberger, NEVC's
Director of E85 Fuel
Networking at the
NEVC booth at the PACE show.

E85 Dealer Training in Holstein, IA

Galva Holstein Ag, LLC is sponsoring an “E85 Dealer Training Session” on Tuesday, March 22, 2005 at 12:00 p.m. at the Lohff-Schumann Community Center in Holstein, Iowa.  The training session will target northwest Iowa automobile dealerships and salespersons.

Presenting at the event will be NEVC Iowa E85 Coordinator Christi Vander Voort.  She will discuss E85 promotional items available through the NEVC for FFVs.  Also, Mike Jerke, President of IRFA and Manager of Quad County Corn Processors, will also be participating in this informative program.  A complimentary lunch will be included. 

“We are targeting northwest Iowa automobile dealerships and salespeople.  Our goal is to educate them on E85 so that they can be prepared to market FFVS to consumers in 2005,” Anne Johnson of Galva Holstein Ag, LLC added.  “Many of them have no idea if they have FFVS on their lots and do not know how easy it is to check VIN numbers.  We feel that enlightening them on the many benefits of E85 will be worthwhile and want them to be aware of the tax credits available to consumers who purchase FFVs.  Dealers need to be able to respond to E85/FFV questions and understand how it is priced -- E85 is priced 25 cents lower then super unleaded in Galva.  Providing dealers and salespeople with accurate information can only help the E85 industry take another giant step forward.”

“I am excited about the opportunity to share information with local auto dealers about the flexible-fuel vehicles they sell, E85 and its benefits as well as how they can positively influence Iowa’s economy and our national security,” said Vander Voort.  “There is definitely a buzz in Iowa about E85. “

Galva, Iowa recently joined the growing list of Iowa cities which have access to clean-burning E85.   The station is located at 1583 Market Avenue in Galva.

For more information on E85 or flexible-fuel vehicles, visit www.E85Fuel.com.

ISU FSAE Winter Newsletter

Iowa State University’s Formula SAE’s Racing Team has recently published their Winter 2004 The Accelerator newsletter.  The publication spotlights the race to be held May 18-22 in Pontiac, Michigan. ISU’s race car is powered by E85 and the NEVC is a co-sponsor of the vehicle.  To read the complete newsletter, click here.

With over 100 E85 locations in Minnesota, the public-private Minnesota E85 Team have been partnering on local radio spots in the following communities: 

Breckenridge (west-central MN):
In weeks leading up to each major holiday in 2005, E85 ads will air in the Wahpeton-Breckenridge area.  The spots will be customized to each holiday. This package is made possible through a partnership with Conzemius Oil and Breck BP. 

St. Cloud (central MN):
As part of a radio package remaining from an October 2004 "E85 for $0.85" event with First Fuel Bank/East Side Oil, E85 spots are now airing over the past week and the next week.  Both the First Fuel Bank and Federated Co-ops Cenex E85 outlets in St. Cloud are mentioned in the 30-second ads. 

Winona (southeast MN):
In partnership with Severson Oil Company, E85 radio spots will air over the next few months.  Severson's operates three E85 stations in Winona and Austin

Partial funding for E85 consumer education strategies has been supplied by the Minnesota Corn Growers Association/Minnesota Corn Research & Promotion Council and the Minnesota Department of Commerce Energy Division.

For more on development of E85 in Minnesota, visit http://www.CleanAirChoice.org or contact the American Lung Association of Minnesota at 1-800-LUNG-USA (in MN) or 651-227-8014.  For development of E85 nationally, visit www.E85Fuel.com.

General Motors along with the NEVC will again be sponsoring an “E85 Celebration” hospitality reception at this year’s Commodity Classic^sm in Austin, Texas on February 23.  The Roping ‘em in with E85 will include food, drinks and entertainment by the legendary Jerry Jeff Walker.

The event will begin at 7:00 p.m. with beverages and snacks and get kicked into high gear at 8:00 p.m. with Texas Governor Rick Perry (invited) accepting the keys to an E85 Chevrolet Avalanche from representatives of General Motors.  This vehicle, along with 27 other E85 Avalanches, are being provided at no cost to each of the 28 member states of the Governors’ Ethanol Coalition.

Following this short ceremony, we are pleased to present Jerry Jeff Walker, a living icon of the outlaw country music scene that centered around Austin in the 1970s.  Walker’s music, and that of such figures as Willie Nelson, Waylon Jennings, Billy Joe Shaver, and Townes Van Zandt, embodies that of the “country outlaw” performers of the time and we are certain that you will enjoy this entertainment.

YOU are invited!  There is no charge to attend the function, however, in order to plan for the appropriate number of participants, please register by calling Michelle Kautz of the NEVC toll-free at (877) 485-8595 or email mkautz@e85fuel.com.

See you in Austin!

A caravan of hybrid and alternative-fuel vehicles will be making its way through the state of Missouri as part of “Drive Clean and Green Across Missouri,” an event sponsored by the Missouri Department of Natural Resources’ Energy Center, St. Louis Regional Clean Cities and Kansas City Clean Cities Coalitions.

Designed to introduce Missourians to the latest in high-efficiency and flexible-fuel vehicles, “Drive Clean and Green Across Missouri” will kick off April 5 at the Arch in downtown St. Louis and wrap up April 8 in Kansas City. Proposed stops during the tour will include Wentzville, Columbia, Jefferson City, Rolla, Lebanon, Springfield and Warrensburg.

The goal of the caravan is to educate Missouri citizens and students on the benefits of fuel economy in terms of saving money, reducing oil imports, reducing greenhouse gas emissions and generating more efficient technologies. Hybrid electric vehicles (HEVs) typically combine the internal combustion engine of a conventional vehicle with the battery and electric motor of an electric vehicle. Alternative fuels include ethanol, natural gas, propane, hydrogen, biodiesel, electricity, and methanol.

Several sponsoring organizations, including the National Biodiesel Board, the National Ethanol Vehicle Coalition, Missouri Soybean Association, Missouri Corngrowers Association, Laclede Gas, Missouri Propane Gas Association, various organizations associated with alternative fuels, and various automobile manufacturers will be participating in the drive.

A detailed schedule will be available soon.

- From The Forum, Friday, February 11, 2005

"Trying to stick it in our ear every session and force (ethanol) markets is not a healthy way to grow these industries," said Ron Ness, director of North Dakota Petroleum Council, in the Feb. 2 Associated Press article "Bill makes ethanol gas a requirement," written by Dale Wetzel. Wow!

Let's talk about "healthy." Let's start with the record amount of money flooding into the Mideast in exchange for oil. Let's look at where the September 11 terrorists came from. You know, the guys who killed nearly 3,000 U.S. citizens? Let's look at where over 140,000 U.S. troops, including North Dakota National Guard, are operating and remember the 1,400 already killed and thousands that have been seriously injured.

Then you dare to cry foul before the North Dakota Legislature when we try to reduce the amount of oil we are importing by, yes, mandating a little ethanol instead. We are at war with terrorism, much of it funded and conducted by people from the Mideast. One might fairly say that it is for the health of our country that we make sure ethanol is used whenever and wherever possible.

We can mandate that our National Guard members leave their jobs and families for a year or so and possibly get killed or wounded, but we are not supposed to mandate that a harmless little bit of ethanol be mixed in our gasoline. Had we required ethanol use after the 1973 oil crises, many lives and hundreds of billions of dollars may have been saved.

I think it is a real shame that the North Dakota Petroleum Council felt compelled to oppose a bill directly aiming to reduce our dependency on foreign energy while also investing in the tremendous renewable energy prospects of our state. It is not like North Dakota oil producers will have trouble selling the little oil production we have in state, even with 10 percent ethanol or 5 percent biodiesel.

Joe Richardson
Fargo

The Texas Renewable Energy Industries Association (TREIA) is a non-profit trade association established in 1984. Its members are companies, organizations and individuals involved in all of the renewable energy resources - solar, wind, biomass, geothermal and hydro. Included are dealers, distributors and installers of equipment, consultants, manufacturers, project development companies, power generators and marketers, design professionals, public officials, educators and researchers.

TREIA's stated purpose is "To promote the common business interest and to improve the business conditions of persons in Texas engaged in renewable energy industries."

Its current membership numbers over 200. While the portion of the membership focused on ethanol and biodiesel is small, that has not stopped TREIA from advocating for and promoting their use in Texas through the years.

“The renewable fuels sector of TREIA is growing and we invite all who share the desire to create a market in Texas to consider joining,” said Russel E. Smith, Executive Director of TREIA (seen right).

“We joined the National Ethanol Vehicle Coalition to raise the profile of renewable fuels both within the organization and with the broader public,” Smith stated. “The NEVC is an outstanding resource upon which we hope to draw as we push ever harder for the availability and marketing of E85 in Texas. Years of education and policy effort have gone into positioning the state for production and marketing of ethanol, and we are now poised to capitalize on that effort. “

Two of TREIA's overarching policy positions are in firm support of expanded use of renewable fuels:

1. Texas should strive to achieve at least twenty percent (20%) of its total energy consumption in the form of renewable energy by 2020; and
2. All units of government should exercise leadership by making it a priority to purchase energy derived from renewable resources wherever possible.

Three of TREIA's Legislative Objectives for 2005 address ethanol specifically.

Smith added, ”In my opinion, the most important thing that the NEVC and other supporters of the use of ethanol in the U.S. can do is to push for an aggressive expansion of, or outright blanket requirement of, the manufacture of FFVs. With the straight forward nature of the enabling technology, and its modest cost, providing a much larger or universal end-use platform for blended ethanol fuels should be feasible. And with our nation's dependence on foreign oil - and soon on foreign natural gas - creating that platform should be a policy no-brainer.

It is patently obvious that with a massive number of FFVs comes a higher probability of a market for E85 developing. The education and promoting of E85 will follow. It's called marketing. Without the platform, the E85 market will always be small, and ethanol will be limited to low-percentage blends with gasoline, diesel, and perhaps biodiesel - no small market to be sure, but far from the driver toward energy independence a robust E85 market could eventually provide.”

The NEVC welcomes TREIA as a part of our organization.

 Letters to the NEVC

Letters to the NEVC - This section highlights emails that the NEVC has recently received.  Many of the comments or suggestions that we receive are of interest to a wider audience and we would like to share them with our readers.

Fluctuating E85 Price

Hi,

I will be purchasing a vehicle this fall, and a flexible-fuel vehicle is a consideration. What I have noticed, here is Minnesota, is that the price of E85 is only a few cents cheaper than the high price of gasoline, and tends to be priced that way whatever the price of gasoline is. If E85 is only 15% gasoline, why does your E85 price fluctuate and remain just under the price of gasoline?

Thank you,
Craig Mueller

. . .

Mr. Mueller:

Ms. Kautz at the National Ethanol Vehicle Coalition asked me, as a Minnesotan, to respond to your email.

Unfortunately, ethanol prices have been quite high since November 2004. This has caused difficulties for some fuel retailers in their ability to price E85 much less than 87-octane gasoline.

Presently, Holiday Stationstores selling E85 in the metro area are running about 10 cents less than gasoline; when, historically, they had been running 15 to 25 cents less.

If you're traveling western MN, you'll note most E85 stations always sell E85 for 20 cents less than gasoline.

We hope you'll consider more than just the pump price when looking at E85. It is a renewable-based fuel produced right here in MN. It has an octane rating of 100-plus and it reduces tailpipe and evaporative emissions.

In the wholesale market, ethanol prices tend to follow petroleum prices because ethanol is most commonly used as a gasoline additive. Because demand for ethanol is growing rapidly; sometimes, prices spike as the supply gets behind demand. The good news from a price perspective is that a lot more ethanol will be produced in the future as new plants come online (3 more have broken ground in MN). This should help with the pricing of E85 at retail stations.

If you are ever in need of E85 or flexible fuel vehicle information, please contact us at 1-800-LUNG-USA. We can also provide fuel coupons at some of the 100+ outlets now selling E85.

On behalf of the Minnesota E85 pilot market,
Tim Gerlach

Thanks for the emails to the NEVC!  Feel free to email us with your comments at anytime.

NEVC Calendar

February 23, 2005
Ropin' em in with E85 Hospitality Reception sponsored by GM and the NEVC from 7 p.m. - 10:30 p.m. at the Hilton Austin in Austin, TX.  For more information, contact mkautz@e85fuel.com.

February 24-26, 2005
Commodity Classic in Austin, Texas.  For more information, visit www.commodityclassic.com.

April 4-8, 2005
Drive Clean and Green Across Missouri.  For more information, contact Kevin Herdler at herdlekc@kirkwoodmo.org.

May 1-5, 2005

11th Annual Clean Cities Conference to be held in Palm Springs, California.  For more information, email sara_huntley@nrel.gov.

June 7-9, 2005
FedFleet 2005: Keeping in Tune in Nashville, TN.  For more information, visit www.fedfleet.org. 

CONTACT US. . .

Please feel free to e-mail your story suggestions, comments, corrections or clarifications to us at info@e85fuel.com or call us toll free at 877-485-8595.

Phillip J. Lampert, Executive Director
info@e85.com

Shelia Helzer, Director of Administration
shelzer@e85fuel.com

Kathy Frese, CPA, Director of Finance
kfrese@E85Fuel.com

Michelle Kautz, Director of Communications
mkautz@E85Fuel.com

Roger Listenberger, Director E85 Fuel Networking
Phone:  (217) 877-5267
rlistenberger@E85Fuel.com

Louise Saucier, Membership Coordinator
lsaucier@E85Fuel.com

Christi Vander Voort, NEVC Iowa E85 Coordinator
Phone:  (712) 737-6415
cvandervoort@E85Fuel.com

You may view this FYI online at
http://www.e85fuel.com/news/index.htm

NEVC  promotes the use of 85 percent ethanol as a renewable form of alternative transportation fuel while enhancing agricultural profitability, advancing environmental stewardship and promoting national energy independence.