Minnesota Department of Transportation

This webinar provides a technical deep dive into ethanol as it relates to Minnesota's proposed Clean Transportation Standard. It details the establishment of a 2018 carbon intensity baseline for ethanol, explores methods for carbon intensity reduction through process efficiency improvements, climate-smart agriculture, and carbon capture and storage, and discusses the market deployment of ethanol via E15, E85, and sustainable aviation fuel. The discussion aims to inform the work group's recommendations for achieving the 2030, 2040, and 2050 emissions reduction targets.

This white paper proposes a clean fuels policy specifically designed for the Midwest, aiming to foster economic development and environmental improvements. Key focus areas include supporting a diverse portfolio of clean fuels like biofuels, electricity, and hydrogen; achieving significant greenhouse gas reductions; and enhancing energy security through regional production. The policy emphasizes a market-based, technology-neutral approach, leveraging regional specificities, building on existing state policies, and promoting collaboration, while also detailing considerations for fair lifecycle assessment, administrative efficiency, and direct support for clean fuel producers and agricultural practices.

The meeting covered a project overview, including the decision to move forward without a Vice Chair and a reminder regarding the report drafting process by WSB and the upcoming timeline sharing in October. A technical overview was provided by a guest speaker focusing on baseline conditions for Minnesota, the GREET model, carbon intensity calculations, eligible fuel strategies, and clean fuel scenario modeling. Panel discussions involved a comparative analysis of state policies from Washington State and the ICCT, focusing on implementation challenges, credit generation, and the importance of adaptivity. Industry perspectives were shared by Marathon Petroleum, API, and CHS regarding investment incentives, compliance mechanisms, infrastructural considerations for biorefineries, and cost implications for consumers. Key themes and lingering questions were discussed across development, implementation, evaluation, and work group process categories, with consensus reached on keeping benefits within Minnesota, supporting a technology-based and politically neutral standard, and maintaining flexibility for adaptive management.

The final work group meeting focused on reviewing and discussing feedback from the draft report survey, and going over updates to the 'Findings and Recommendations' chapter. Key discussions involved refining specific recommendation statements (A.1.1, B.2.3, and a combined C.2.3/C.2.4) based on member input regarding carbon intensity targets, climate-smart agriculture practices, verification requirements, and the inclusion of emerging feedstocks like winter annual oilseeds. General feedback highlighted that the report generally captures the range of perspectives but needs more clarity on certain points, such as environmental justice integration, off-ramps, and definitions of terms like "most." Non-work group members also provided input concerning refinery conversions, the necessity of technology neutrality, and concerns regarding the process's transparency and timeline.

The meeting agenda focused on reviewing the timeline and priorities for the next six weeks. Key discussions included reviewing and discussing fuel pathway scenarios modeled by ICF Consulting and determining how a Minnesota Clean Transportation Standard (CTS) might incorporate these scenarios. The group engaged in facilitated Q&A sessions and small group reflections on the modeled fuel pathways for 2030, 2040, and 2050 targets, aiming to identify key principles for fuel pathways to meet legislative targets. The session concluded with report backs, a general work group comment period, and a public comment period.