South Dakota

POPULATION (2015): 858,469

REGISTERED CARS & LIGHT TRUCKS: 940,581

ANNUAL GAS CONSUMPTION (2014): 450 Million GPY

TOTAL RETAIL STATIONS: 608

Maximum E85 use:97 Million GPY
FFVs in use:107,164
E85 stations:87
Flex Station implied demand:+25
Maximum E15 use:360 Million GPY
EPA approved E15 vehicles:752,464
E15 Station implied demand:+486

Fuel specifications

Gasoline:

Conventional

Reid Vapor Pressure:

Contact information for key state regulatory agencies

Department of Weights and Measures, 605-773-3697

State Laws & Incentives

Ethanol and Biobutanol Production Incentive

Qualified and licensed ethanol and biobutanol producers are eligible for a $0.20 per gallon production incentive for ethanol and biobutanol that is fully distilled and produced in South Dakota. Ethanol must also be denatured, 99% pure, distilled from cereal grains, and blended with gasoline to create an ethanol blend. In addition, the producer must have produced ethanol on or before December 31, 2006, to be eligible. Annual production incentives paid to one facility may not exceed $1 million. Cumulative annual production incentives paid out to all facilities may not exceed $7 million per year. Funds are apportioned each month based on the claims submitted and the total funds available. This incentive expires on July 1, 2022. (Reference South Dakota Statutes 10-47B-162 and 10-47B-163)

 

Ethanol Infrastructure Grants

The South Dakota Governor's Office of Economic Development administers the Ethanol Infrastructure Incentive Program, providing grants to offset the cost of installing ethanol blender pumps and underground storage tanks (UST) for ethanol at retail fueling stations throughout the state. Awardees may receive up to $25,000 for the installation of the station’s first blender pump, and up to $10,000 for the installation of each additional pump. Additionally, awardees may receive up to $40,000 per station for the installation of a UST that allows for the use of ethanol blender pumps. For more information, see the Ethanol Infrastructure Incentives website. This incentive expires on July 1, 2022. (Reference South Dakota Statutes 10-47B-162 and 10-47B-164.1-164.2)

Federal Incentives

Ethanol Infrastructure Grants and Loan Guarantees
The Rural Energy for America Program (REAP) provides grants and loan guarantees to rural (population less than 50K) small businesses to purchase renewable energy systems or make energy efficiency improvements. Eligible renewable energy systems include equipment used to distribute flexible fuels. The maximum grant funding is 25% of project costs and the maximum loan guarantee is $25 million. The program is funded through fiscal year 2018 but is subject to congressional appropriations thereafter. For more information, see the REAP website.

Point of Contact
Office of Rural Development, Business and Cooperative Programs
U.S. Department of Agriculture
Phone: (202) 690-4730
http://www.rurdev.usda.gov/

Ethanol plant direct E85/ethanol sales

Current ACE members that offer E85/direct ethanol sales in this state include:

Dakota Ethanol, LLC (Wentworth)
Todd Kruggel – RPMG,
Email: toddk@rpmgllc.com; Phone: 952-465-3227
Patrick Griffin Boyle - RPMG,
Email: pboyle@rpmgllc.com; Phone: 952-465-3234

 

POET Biorefining-Big Stone (Big Stone City)
Craig Palmer, Ethanol Products; Phone: 316-303-3835

Redfield Energy, LLC (Redfield)
Matt Carter, EcoEnergy; Phone: 615-786-0404

Click here for a complete list of domestic ethanol producers and sales contacts for E85/direct ethanol sales

E15/Flex Fuel Profit Estimate
line
South Dakota
AVG STATION (62,000 GPM)
Average Retailer:
New gallons/$$/Mo E15 & Flex: 11,400 $1,900
New Customers/Mo:+1,264 
Additional Merch. Margin from above:$3,700
RINs not applied to reduce price:$550
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TOTAL NEW PROFIT/MO  $6,150
Top Performing Retailer:
New gallons/$$/Mo E15 & Flex:27,000$4,500
New Customers/Mo:+2,998 
Additional Merch. Margin from above:$8,800
RINs not applied to reduce price:$1,500
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TOTAL NEW PROFIT/MO  $14,800

Want to see what E15/Flex fuels could do for your operation?

Try out the E15/Flex fuel profit Estimator
A Roadmap for Ethanol cover

a roadmap for ethanol

You’re thinking about adding or switching to a new fuel grade on your product slate, and you’ve considered premium and diesel, because those are the fuels all station owners consider. But today, the market is different, and you’re curious about what E15, E85, and other flex fuels could do for your business. Good move.

Download the Full Guide