A 30 million gallon per year ethanol plant in Russell recently began operation, nearly doubling the state’s ethanol production. Combined, the four original plants produce about 40 million gallons per year. Also, at least of two of the state's existing ethanol plants are considering expansion.

Why is ethanol growing? Ethanol demand is increasing dramatically because the petroleum-based fuel oxygenate MTBE is being banned in many states and cities because of groundwater and health concerns. Ethanol is the logical replacement for MTBE. The state of California is phasing out the use of MTBE and that market alone will create a demand for over 300 million bushels of grain.

Many Kansas communities believe they have the grain supply, transportation, and market for the byproduct of ethanol production, distillers grains—a valued livestock feed. Several grower-based groups have used an ethanol pre-feasibility study and template funded by the Kansas Corn Commission, Kansas Grain Sorghum Commission and Department of Commerce and Housing and coordinated through the Kansas Corn Growers Association and Kansas Grain Sorghum Producers Association.

A new incentive for new ethanol production has also sparked interest. The ethanol production incentive bill signed this summer by Governor Bill Graves will help increase the demand for grain sorghum and possibly offer growers value-added opportunities. The bill will extend the five cents per gallon incentive for existing ethanol producers for three years, and will add a 7.5 cents per gallon incentive for new ethanol producers for seven years. The total ethanol incentive program for both new and existing production is capped at $3.5 million per year.

The state now has six ethanol plants, located in Colwich, Leoti, Garnett, Garden City, Atchison and Russell.

Ten percent ethanol unleaded gasoline is good for your vehicles, good for the environment and is made with ethanol from our Kansas farms. Ethanol also reduces our dependence on foreign oil.

If 10 percent ethanol unleaded gasoline isn’t available in your area, ask for it! If it is available, fill it up!