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 Aug. 7, 2017 Source: Mankato Free Press news release Minnesota will raise its biodiesel standards to a 20 percent blend starting next summer, up from the current 10 percent. Gov. Mark Dayton's administration announced the new mandate Thursday at Farmfest. "We were the first to mandate B5, and we are now the first in the nation, again, to mandate B20," Minnesota Agriculture Commissioner Dave Frederickson said. Dayton was expected to make the announcement but canceled, citing ill health. Minnesota has led the nation in setting biodiesel standards starting with a 2005 requirement that all diesel fuel contain at least 2 percent biodiesel. State officials periodically reviews biodiesel production and determined in June the market was ready for the increase in standards starting in May 2018. The move is lauded by soybean farmers, but diesel producers and the trucking industry are expected to push back against the increase. Production companies have told state officials they don't have the necessary infrastructure to move to a 20 percent blend, but a review completed by the Department of Commerce found economic and infrastructure conditions were right for the increase. "This is an opportunity to add value to farmers' products," Frederickson said. The new B20 blend will be sold from May to October, when gas stations will go back to a 5 percent blend due to the cold weather. Mike Petefish, president of the Minnesota Soybean Growers Association, said he expects the industry to challenge the state's ruling to get at least one more year before the standard increase takes place. While he does expect lawmakers to debate pushing the increase back, Petefish said there's too much support behind the standard for any deadline extensions. "It's monumental," he said. "Essentially, we are going to be doubling our consumption of biodiesel in the state of Minnesota." Sen. Nick Frentz, DFL-North Mankato, said he supports increasing biodiesel standards because of the expected economic windfall for south-central Minnesota farmers. "This is the government supporting farmers," he said. "We're talking about a commodity that is a very strong part of Minnesota's agribusiness." Tweet |
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