Last week, I was invited to attend the celebration in Madrid related to the Mid America Agri Products/Wheatland (MAAPW) ethanol plant’s connection to the Tallgrass Trailblazer CO2 pipeline. This was the first ethanol plant to connect to the pipeline, and several more will be connected over the next several months. The late Robert (Bob) Lundeen and his wife, Sandy, were the founders of Mid America. It was always Bob’s vision to become the first customer to deliver CO2 to the pipeline for permanent sequestration in Wyoming. It was a privilege to see his vision unfold.

The Trailblazer pipeline will play a huge role in making locally produced ethanol more competitive in the low-carbon fuels market. Many end users insist on low-carbon fuels when purchasing products. Since the fermentation process used by ethanol plants produces high levels of CO2, finding a way to sequester the CO2 is key to getting the best value for the product. Using a pipeline to deliver the product to Wyoming, where many spent gas wells exist, you can safely store the CO2 below ground in a safe manner. This helps ensure that Nebraska’s ethanol plants will be competitive well into the future.

The local economic impact that MAAPW creates for the small village of Madrid and the surrounding agricultural area is significant. The plant directly employs over 40 workers and provides a competitive market into which farmers can sell their corn crop. Across the state, ethanol plants increase the price of corn by approximately 25 cents per bushel. When you combine this corn demand with the needs of area cattle feed yards, the price for corn is very strong. Additionally, the wet distillers’ grains, another byproduct of ethanol plants, are purchased by local cattle feeders to supplement cattle rations with a quality protein. source. A great example of adding value to locally produced corn, which then leaves the area as a biofuel and contributes to the local beef industry. This is how rural Nebraska fosters economic development: by generating taxable income and creating employment opportunities in rural areas.

Governor Pillen has often said that his vision for Nebraska is to export value-added products instead of sending our basic commodities out of the state. We can produce calves on our Sandhills ranches, feed them in our feed yards, use locally grown and produced feedstuffs throughout the state, and then process them in Nebraska packing plants. The Sustainable Beef facility is in North Platte because local feed yards finish cattle grown in the Sandhills. They have access to distillers’ grains and corn produced locally, which reduces shipping costs and ultimately lowers production costs. The local employment base continues to grow, which also increases the demand for housing and basic services for families. Ultimately, our tax base is increased as a result.

As happy as I was to be invited to attend the event, it seemed empty without Bob Lundeen there. He was a true visionary. But his wife, Sandy, and their family remain actively engaged in the business and fully committed to the vision Bob created.

It is a privilege to represent you in the Nebraska Legislature, and I look forward to continuing to hear about issues that are important to you. I can be reached at 402-471-2729 or by emailing me at mjacobson@leg.ne.gov.