BYO Ethanol Campaign Renewable Fuels Association (RFA) American Coalition for Ethanol (ACE) Nebraska Corn Board (NCB)

Why E85/Ethanol Blender Pumps? Federal tax credits available for installation Blenders tax credit available Incentive available from Nebraska Corn Board Consider making changes as you adapt to meet the Payment Card Industry(PCI) Data Security Standards (DSS) Support local economy by selling a Nebraska made fuel All customers pay for equipment, not just FFVs

Why E85/Ethanol Blender Pumps? Faster product turnover vs. straight E85 pump Prepare station for higher ethanol blends - Even if not offered immediately Energy Independence and Security Act requires 36 billion gallons of renewable fuels by 2022 More ethanol capacity coming online More flex-fuel vehicles - 50% of all vehicles produced by GM, Ford & Chrysler by 2012

The BYO Ethanol Campaign Jointly managed effort of the Renewable Fuels Association & the American Coalition for Ethanol Additional campaign funding provided by: State corn grower organizations in CO, IA, IL, KS, KY, MI, MN, MO, NE, OH & SD. National Corn Growers Association Ethanol Committee

BYO Ethanol Campaign Efforts Expand Market Development Efforts Conduct Educational Seminars & Webinars Technical and Regulatory Industry Support Safety & Environmental Program Support Enhance Website Development Print & Distribute Materials Facilitate Marketer Assistance Programs Expand Consumer Awareness Efforts

BYOethanol.com

What is a “Blender Pump?” Not new technology Already found in over half the dispensers in the country Offers consumers more choices at the pump Dispenser will blend to make various blends of ethanol Typically two tanks, process usually uses E10 and E85 or denatured ethanol For use in FFV’s only

How does a blender pump work?

Renewable Fuels Standard

Blender Pumps - What’s in it for you? PCI Compliance: Are you already looking for new equipment? More product choices for your customers on same footprint. Partial qualification for alternative fuels infrastructure tax credit. Uses existing tanks and pipes – huge cost savings. Ethanol plants sell direct – can bypass supplier markup. Flexibility for future approval of additional ethanol blends (E15). Dispenser paid for by the sales of all products, not just E85.

What’s in it for you? E85 Option: * Sources: RFA: 3/30/10

What’s in it for you? E98 Option: * Sources: RFA: 3/30/10

Federal Incentives Alternative Fuels Infrastructure Tax Credit – 50%, up to $50,000. – Must be associated with E85 expense to qualify. Volumetric Ethanol Excise Tax Credit (VEETC) – $.45/gallon for denatured ethanol. – Quarterly submission, payment in 30 days. RINs – Vary in value depending on market. – Can add significant value to concept.

Federal Infrastructure Tax Credit Current Ethanol Pump Option: 1.Standard Dispenser: $ 14,000 2.Blender Pump: $ 16,000

Blender Pump: Flex-Fuel add-on: $ 2,000 ¼ of Standard Pump: $ 3,500 Total E85 Expenses of $ 5,500 Blender Pump Federal Infrastructure Tax Credit

50% of $5,500 for E85 Expenses = Federal Tax Credit: $ 2,750 Net Blender Pump cost: $13,250 vs. $14,000 for standard dispenser. * Manufacturers may offer further discounts Federal Infrastructure Tax Credit

Nebraska Corn Board: – Up to $5,000/station – Marketing/promotion support – Application available at Growth Energy: – Up to $5,000/station – Application available at Local Incentives

Final Look at Cost: Current Ethanol Blender Pump * Does not include potential income from VEETC or RINs.

Anticipated Cost: UL Approved Blender Pump * Does not include potential income from VEETC or RINs.

Underwriters Laboratories (UL) Blender Pumps & E85 De-certified all equipment in October 2006 News recently on E25 certification E85 blender/dispenser are certified in 2010 E15 Different issue Blender pump would accommodate E15

Equipment Various configurations from: Bennett – Alan Levine Dresser Wayne – Scott Negley Gilbarco Veeder-Root – David Zumbaugh

What is available? Sales Kits: Examples of properly labeled dispensers. Examples of free label packages Examples of available brochures Business Case Tax Forms Blending Fuels Magazine Checklist for conversion or new installations. Changes in Gasoline IV CD

What is available? Dispenser Labels: Meet all FTC requirements. Meet recommendations of EPA for liability & consumer protection.

What is available? Expert Advice from Team: More than 40 years of ethanol expertise administering this program. Access to the other experts in the industry. Assistance with blender’s license & tax forms. Recommendations based on station layouts. And more…

Nebraska Corn Board Assistance $5000/station – Download application at: Marketing/PR assistance – Mailing to FFV owners in surrounding region – Station promotional event – Discussion points – Media assistance

Station Requirements for Funding Complete application for preapproval Offer e85 and at least 1 other midlevel blend Clearly label products above e10 as “for Flexible Fuel Vehicles” Submit picture of pump and labels along with receipts Preference for funding : – Earliest appliers – Interstate/major highway access – Fleet customers secured – Automobile dealer first fill partnership – Station in city over 10,000 – Local Corn Growers Association support

Additional Information Request an information packet or schedule a brief presentation by contacting Susan at Complete a grant application at View the webinars at Twitter

Questions? Ron Lamberty: American Coalition for Ethanol (605) Robert White: Renewable Fuels Association (402) To watch the webinar, or to get more information, please visit: Nebraska Corn Board