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Ethanol council highlights production, CO2 sequestration and sustainable aviation fuel prospects
Summary
The North Dakota Ethanol Council briefed the joint agriculture committee on state ethanol production (≈550 million gallons/year), carbon sequestration projects at two plants and potential for sustainable aviation fuel (SAF) that could greatly expand ethanol demand.
Tracy Olsen, chief operating officer for Guardian Energy Management and a member of the North Dakota Ethanol Council, told the joint House and Senate Agriculture and Veterans Affairs Committees that North Dakota now produces more than 550 million gallons of ethanol annually and that the industry uses roughly 184 million bushels of corn each year.
Olsen said five of the six state plants buy more than 80% of their corn locally and that ethanol contributes nearly $1.7 billion annually to North Dakota’s economy. She said two plants (Red Trail and Blue Flint) are currently capturing and sequestering CO2 and that plants that sequester CO2 can reduce ethanol’s carbon intensity by more than 40 percent. “Ethanol is about has a carbon intensity of about 30% less than gasoline,” Olsen said, describing industry carbon‑intensity gains.
Council priorities include expanding in‑state use of ethanol and coproducts, pursuing higher blends such as E15 (unleaded 88) year‑round, supporting research on lower carbon‑intensity corn production, and pursuing next‑generation products (renewable chemicals, sustainable aviation fuel and higher‑protein feed). Olsen said SAF production can require roughly two gallons of ethanol to produce one gallon of SAF; if carbon intensity thresholds can be met, SAF could substantially boost ethanol demand.
Committee members asked about the countercyclical ethanol production incentive (a state program nearing the end of its first term). Olsen said the council is exploring options to replace expiring incentives but that details remain under discussion.
No formal committee action was taken. The council framed ethanol as a major market for North Dakota corn and highlighted sequestration and SAF as possible near‑term growth areas.
