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National ethanol conference sponsored by electric cooperatives

Local electric cooperatives, interested in developing ethanol plants in their service areas, will take part in a Web conference on Tuesday featuring industry experts, including a representative of East River Electric Power Cooperative. Scott Parsley of Madison will host the National Ethanol Web Conference.

The online conference, sponsored by the National Rural Electric Cooperative Association, will discuss the history, business opportunities, best practices, plant siting factors and future trends of the ethanol industry. Participants throughout the nation will also learn about a new integrated bio-energy center designed to produce ethanol, methane, electricity and bio-diesel through an interconnecting set of facilities.

As assistant general manager of member services for the Madison-based regional power supplier, Parsley and East River's member Touchstone Energy Cooperatives have worked many years to help the ethanol industry grow in South Dakota and Minnesota. Parsley also served one term as Board President of the American Coalition of Ethanol.

"Today, Touchstone Energy Cooperatives serve six of the 12 operating ethanol plants in South Dakota," Parsley said. "Also, three ethanol plants currently under construction in eastern South Dakota have signed contracts to receive their electric service from East River member systems."

East River delivers wholesale power to 21 member distribution systems in eastern South Dakota and western Minnesota. When the Millennium, Aberdeen and Missouri Valley ethanol plants begin operation during the next two years and several existing plants complete expansions, East River's member cooperatives will serve nine ethanol plants in the state with the capacity to produce 762 million gallons of renewable fuel annually. That's enough E-85 to fuel 762,000 flex-fuel autos for an average year of driving.

The recently completed Prairie Ethanol Plant at Loomis, S.D. begins full production in early December. "East River constructed a substation and transmission lines to serve the site," Parsley said. "Meanwhile, Central Electric Cooperative crews installed the distribution circuits to serve the 60-million-gallon-per-year facility.”

Five other ethanol plants in the state receive their electricity from East River member cooperatives. Dakota Ethanol, Wentworth, and VeraSun Energy, Aurora, are served by Sioux Valley Energy. Great Plains Ethanol at Chancellor gets its electricity from Southeast Electric. Heartland Grain Fuels in Huron is served by Dakota Energy. And, James Valley Ethanol near Groton is an industrial customer of Northern Electric.

"The support of the ethanol industry by South Dakota electric cooperatives demonstrates the Touchstone Energy Values of Innovation and Commitment to Community," Parsley said. "We're helping to develop an environmentally-friendly fuel that is good for the local economy, vehicles, consumers, farmers and environment."

Nationally, electric cooperatives serve a majority of the 100 ethanol plants in the United States. These value-added agricultural processing facilities turn locally-grown corn into a renewable fuel, creating new jobs, investments and wealth for their communities. Farmers benefit from increased corn prices and frequently invest in these business ventures. New facilities increase the tax base and population, benefiting local governments and schools. Main Street merchants and local cooperatives benefit from the purchases made by ethanol plants and their employees/families.

Ethanol is helping to reduce U.S. dependence on foreign oil imports, Parsley said. Also, the ethanol manufacturing process also creates valuable byproducts, such as distillers grain -- a popular animal feed.