NGA Selects Tennessee for Multi-State Biofuels Partnership

NGA, GM Partner with 10 States to Spur Development of Ethanol Pumps

NASHVILLE – The National Governors Association has selected the state of Tennessee for a multi-state public-private partnership effort to establish more retail ethanol pumps across the state. Tennessee is one of 10 states that will work with GM to enhance access to high ethanol content fuels, such as E-85 (85% ethanol; 15% gasoline). The announcement comes on the heels of Tuesday’s groundbreaking ceremony in Vonore, Tenn. for the nation’s first cellulosic ethanol biorefinery and just one week after the completion of the multi-state project to place biofuels stations along all 885 miles of Interstate 65 in Tennessee, Alabama, Kentucky and Indiana.

“Tennessee is clearly positioned as a leader in biofuels technology and this new partnership, announced today by NGA, will help further our goals of increasing the availability of biofuels for Tennessee motorists,” said Governor Phil Bredesen. “More E85 capable vehicles are currently available and the nation’s first cellulosic ethanol plant is already under construction, so it is vital that we act now to get the needed retail infrastructure in place to make biofuels a real option for Tennesseans.”

“Improving the use of clean, domestically grown biofuels like ethanol will help move us toward a cleaner, more secure energy future,” said NGA Center for Best Practices Director John Thomasian.

Under the terms of the partnership, GM will provide technical assistance to help states assess optimal locations for E-85 infrastructure. GM will work with top ethanol producers and fuel infrastructure experts to optimize E-85 supply to states and will leverage its network of dealers, plants and offices and its extended ethanol related network to promote and advocate E-85 usage.

“The infrastructure for E-85 needs to expand now if the nation is to be ready for the significant growth in ethanol coming from new cellulosic sources,” explained GM Vice President of Environment, Energy and Safety Policy Beth Lowery. “We need a range of alternatives to offset growing oil demand in this country and globally.”

Other states selected to participate in the partnership include Alabama, Florida, Idaho, Mississippi, Missouri, Nebraska, Ohio and Wisconsin. The states will establish an E-85 task force comprised of state officials, retailers and automobile manufacturers to help identify target areas for E-85 refueling stations. The team will identify potential funding sources to support pump installation or conversion and assist with implementing the resulting recommendations.

“This partnership is an excellent fit for a major component of the state’s overall Green Island Corridor initiative,” said TDOT Commissioner Gerald Nicely. “Through TDOT’s Green Island program we’ve already helped establish 52 retail biofuels stations and this partnership will help grow those efforts in underserved areas.”

Currently, there are no E85 pumps in West Tennessee, Hamilton County and between Lebanon and Knoxville. Through this partnership, the state hopes to establish new E85 pumps in Shelby, Madison, Putnam, Cumberland and Hamilton counties.

Flex Fuel Vehicles (FFV) production in the U.S. is growing, with nearly seven million FFVs on the road today and more than 1 million produced in 2007 alone. In Tennessee, at least 90,000 are driving FFVs. GM and other domestic automobile manufacturers have committed to doubling the level of FFV production by 2010 from 2006 levels and make 50 percent of their production FFV capable by 2012.

At the same time, new ethanol production technologies are being developed to expand ethanol availability. In 2007, the United States used 6.8 billion gallons of ethanol, almost all of which was made from domestically produced corn. The Energy Independence and Security Act of 2007 boosted the national Renewable Fuel Standard to 36 billion gallons by 2022, of which no more than 15 billion gallons can be corn-based ethanol; the remaining 21 billion gallons will come from cellulosic sources. 

“Biofuels benefit our state by increasing farm incomes, providing opportunities for rural economic development, improving air quality, and reducing dependence on petroleum,” said Bredesen. “This is an important investment for Tennessee and I am pleased to see the NGA select our state for this first of its kind partnership.”

For more information about state efforts to secure a clean energy future, please visit www.nga.org/center/ci0708.

For more information on Tennessee’s biofuels program, BioTENN, visit www.biotenn.org.

For more information, contact Julie Oaks at (615) 741-2331 or Julie.A.Oaks@state.tn.us.