Novozymes Talks Flexibility for Ethanol at FEW

Novozymes_logo_leftNovozymes, our sponsor for coverage at the upcoming Fuel Ethanol Workshop (FEW), June 1 – 4 in Minneapolis, Minnesota, will be talking about the company’s flexible solutions to increase ethanol plant profitability and achieve operational goals during FEW. Novozymes invites everyone to stop by its booth #1021 and chat with its knowledgeable team.

Get a sneak peek at Novozymes Bioenergy University – an online training platform to help you boost your operators’ competencies
Play Ethanol Challenge – our fun, interactive new game that explores ethanol production (each day’s top scorer wins an iPad, and everybody who plays gets a prize!)
Fuel your own engine at the Common Ground Cafe – our coffee bar

We also encourage you to join Novozymes in the following FEW sessions:

Yield maximization: propagation and fermentation optimization
Presenter: Derek Payne, Research Associate

Tues., June 2, 1:30-3 p.m.
Track 1: Production and operations
Exploring best practices for yield maximization Continue reading

Ethanol Report as Summer Begins

ethanol-report-adThe kickoff of summer this Memorial Day weekend finds beaches in Santa Barbara California closed as oil spreads off shore and workers try to clear up the mess left by the spill. Elsewhere, the oil industry continues to spread misinformation about ethanol, keeping RFA busy working to clear up misconceptions as fast as they happen.

In this Ethanol Report, Renewable Fuels Association president and CEO Bob Dinneen talks about a new report showing RIN credits have no impact on the price of gas, how E10 is safe for boaters, and when he expects to see the long overdue EPA proposal for volume obligations under the Renewable Fuel Standard (RFS). Ethanol Report as Summer Begins

Ethanol Trade Missions to Expand Markets

Representatives of the U.S. Grains Council (USGC), Renewable Fuels Association (RFA), and Growth Energy were in Tokyo this week for an industry market assessment of the potential to export U.S. ethanol to Japan.

growth-exports“The United States exported 900 million gallons of ethanol in 2014, supporting both U.S. farmers and the ethanol industry. We know that, going forward, ethanol exports have the potential to grow and become equally beneficial for our customers overseas,” said USGC president and CEO Tom Sleight. “USGC, Growth and RFA are committed to launching initiatives in 2015 and 2016 to build demand for U.S. ethanol and address barriers to ongoing imports.”

Over the next two years, the government of Japan will be undertaking a full review of its national energy policies, including biofuels, potentially opening up opportunities for additional ethanol exports there.

“The team came away with a much greater understanding of the current Japanese requirements and market conditions pertaining to ethanol and began the implementation of a strategy to help ensure that U.S. ethanol receives fair market access under the future energy policy that will be adopted when the current policy expires in 2017,” said Jim Miller, chief economist and vice president of Growth Energy.

“The team will continue examining the requirements of the Japanese sustainability standards, looking for ways to overcome infrastructure concerns, and compiling data responding to some of the misinformation government officials still hold regarding renewable fuels,” added RFA’s director of regulatory affairs, Kelly Davis.

Last week, the organizations were part of a mission with USDA’s Foreign Agriculture Service in Mexico to explore potential in that market. One mission member, Greg Krissek, CEO of Kansas Corn, reflected on the trip in this video from the USGC.


Novozymes Part of Global Bioenergy Initiative

sustainableA new UN Sustainable Energy for All initiative was announced this week with the goal of “doubling the global use of renewable energy and ensuring universal energy access by 2030.”

Co-chaired by the UN Food and Agricultural Organization (FAO) and the Roundtable on Sustainable Biomaterials, the initiative includes Novozymes, a global technology provider for the biofuels industry, as a partner in the project to scale up the development and deployment of sustainable bioenergy solutions.

novozymes“With this initiative, we help bring together a diverse range of global frontrunners to advance the development and use of sustainable bioenergy in countries where the environmental and socio-economic benefits are greatest,” said Thomas Videbæk, Executive Vice President for Business Development with Novozymes. “It is a unique chance to involve governments, industry, financial institutions, academia, and civil society to identify opportunities where action on sustainable bioenergy can be accelerated.”

Accounting for nearly half of the global enzyme market, Novozymes has been a major player in the commercial development of cellulosic ethanol. “We produce the enzymes that help break down starch and make sugar available for first generation ethanol and we are working on a number of projects to help breakdown cellulosic material,” said Videbæk in an interview today with DomesticFuel.

Videbæk says next generation biofuels are considered “sustainable bioenergy” under the initiative’s High Impact Opportunity (HIO) goals. “I look at the biofuel area, be it first or second generation, as very sustainable forms of energy,” said Videbæk. “We certainly hope to see that continues going forward.”

Which is one of the reasons Novozymes wanted to be part of this initiative that they hope will help get some regulatory clarity regarding sustainable bioenergy around the world, including the United States. “And we can get politicians to commit to mandates and targets for this type of energy, because we believe that is for the best of the planet’s future,” Videbæk said.

In this interview, Videbæk explains much more about the new initiative and Novozymes’ role in it. Interview with Thomas Videbæk, Executive Vice President of Novozymes

Making More Sustainable Ethanol at FEW

celleratesyngentaAttendees of the upcoming Fuel Ethanol Workshop (FEW), June 1 – 4, will have the chance to learn about the next leap forward for ethanol production, as Syngenta presents: Cellerate – a revolutionary ethanol process technology that converts corn kernel fiber into cellulosic ethanol.

Quad County Corn Processors CEO Delayne Johnson will discuss Cellerate as part of, “Grabbing that Next Rung: Advanced Ethanol Production for Existing Starch Producers.” Don’t miss his presentation:

When: Tuesday June 2, 1:30pm – 3:00pm
Where: Room 101 DEFG

Syngenta also invites you to stop by booth 701 at FEW to learn how Syngenta is making ethanol more sustainable by integrating Cellerate process technology and Enogen corn enzyme technology.

Ethanol Groups Promote Safe Boating on E10

With the Memorial Day weekend approaching fast, the ethanol industry is assuring boaters that 10% ethanol blended fuel is just fine for marine engines, despite what the American Petroleum Institute says.

In response to an API press call with the National Marine Manufacturers Association (NMMA) on Wednesday, Growth Energy CEO Tom Buis noted that “all major manufacturers of outboard and marine motors, as well as small engines, are approved for the use of gasoline blended with up to 10 percent ethanol.”

“What probably does concern boaters is the amount of time they spend dry docked as a result of oil spills, like the one that dumped 21,000 gallons of oil along four miles of coastline in Santa Barbara, California” this week,” said Buis.

rfa-nbra-3Renewable Fuels Association president and CEO Bob Dinneen adds that “E10 has been used successfully in marine engines for 30 years now” and that the higher octane in the fuel helps with summertime boating activities. “It’s gasoline on steroids, it doesn’t pollute, it’ll pull your jetskier, it’ll pull your tuber, it’ll get you to your favorite fishing hole, and you can know you’re supporting America’s farmers and clean water,” said Dinneen.

Dinneen’s simple advice to boaters concerned about using E10: “Take a look at your owner’s manual.” And check out RFA’s FAQs on ethanol and marine engines.

Listen to Dinneen’s comments about E10 and boating here: RFA CEO on E10 Safe for Boats

E15 Comes to Orlando

protecfuelThe Orlando, Florida area is getting its first offering of the higher blend of ethanol, E15. Biofuels distributor Protec Fuel and Kissimmee Citgo have teamed up to launch the 88-octane fuel at the station at 3297 S. John Young Pkwy in Kissimmee, which already sells E85 and B20 biodiesel fuel.

“We are extremely excited to be the first in Central Florida to offer this additional grade of alternative fuel,” said Ken Allen, president of Mid-State Energy, Inc., “and offer our customers more choices as it comes to fueling. This vacation destination is especially prime with all the rental cars that can run on E15, and even E85.” Mid-State Energy, Inc. owns and provides fuel for this station.

These are part of Protec Fuel’s station rollout of dozens of E15 sites to metropolitan areas that include various cities in the South and Southeast. This is the fourth location under Protec to open in Florida.

The news was also welcomed by ethanol advocacy group Growth Energy.

Tom Buis, CEO of Growth Energy, issued the following statement:

“I would like to congratulate Protec for bringing higher performing, lower cost fuel options to more consumers in Florida. Protec recognizes that E15 is a win for both retailers and consumers, and its ongoing efforts to find new locations to offer the homegrown renewable fuel shows that it is a leader in the marketplace.

“The demand for E15 is strong, and it is great to see E15 expand its footprint in Florida. It is clear, with the growing presence of E15 that when consumers are given the choice, they will choose the less expensive fuel that is better for their engines and our environment – one that creates jobs in America and reduces our dangerous dependence on foreign oil.”

Buis pointed out that E15 is compatible with more than 80 percent of the cars on the road today, as millions of miles have been driven on E15 without a single issue.

Study Shows No RINS Impact on Gas Prices

fuelsA new statistical analysis prepared for the Renewable Fuels Association shows that retail gas prices remain unaffected by the “RIN credit” system under the Renewable Fuel Standard (RFS).

According to the analysis, conducted by Informa Economics, Inc., prices for “RIN credits” (Renewable Identification Numbers) used to demonstrate compliance with the RFS had no impact on retail gasoline prices from 2013 through the first quarter of 2015.

Instead, the analysis shows that “…a majority of gasoline price movements can be explained by crude oil prices.” In fact, the study found that gas prices in recent years have been driven almost entirely by crude oil prices and vehicle miles traveled.

RFA President and CEO Bob Dinneen says the study “disproves the faulty assertion by oil industry trade groups that RINs somehow negatively influence consumer gas prices.”

“The bottom line is that RINs are free for refiners who purchase and blend required volumes of ethanol with gasoline,” said Dinneen. “Only those refiners who stubbornly refuse to blend required ethanol volumes have a need to buy separated RINs on the open market; and in the highly competitive gasoline marketplace, there is no way they can pass those costs on to consumers and remain competitive with refiners and blenders who are blending more ethanol than required.”

The new Informa analysis also supports the findings of an April study by former White House economic advisor James Stock, who concluded that “…there is negligible estimated effect of RIN prices on pump E10 prices.” Dinneen notes that Stock is a former Office of Management and Budget official who was involved with the approval of EPA’s proposal in November 2013 that called for scaling back the RFS. “I wish he had that revelation when he was at OMB,” said Dinneen.

Dinneen comments on the new analysis in this interview: RFA CEO on RINs/Gas Price Analysis

Biofuels, Nat Gas Boost Nonpetroleum Usage Levels

Petroleum is still tops in transportation fuels, but biodiesel, ethanol and natural gas have taken the biggest bite out of its share since 1954. This report from the U.S. Energy Information Administration (EIA) says the numbers harken back to when coal-fired steam locomotives were declining and automobile use was growing rapidly.
nonpetroleumconsumption
After nearly 50 years of relative stability at about 4%, the nonpetroleum share started increasing steadily in the mid-2000s, reaching 8.5% in 2014. Of the nonpetroleum fuels used for transportation, fuel ethanol has grown most rapidly in recent years, increasing by nearly one quadrillion British thermal units (Btu) between 2000 and 2014. Nearly all of the ethanol consumed was blended into gasoline in blends of 10% or less, but a small amount was used in vehicles capable of running on higher blends as the availability of those flexible-fuel vehicles grew. Consumption of biodiesel, most of it blended into diesel fuel for use in trucks and buses, grew to more than 180 trillion Btu by 2014.

In 2014, transportation use of natural gas reached a historic high of 946 trillion Btu, 3.5% of all natural gas used in the United States. Transportation natural gas is mostly used in the operation of pipelines, primarily to run compressor stations and to deliver natural gas to consumers. Natural gas used to fuel vehicles, although a much smaller amount, has more than doubled since 2000.

RFA Honored with 3rd TRANSCAER Award

rfa-transcaerFor the third year in a row the Renewable Fuels Association (RFA) was awarded the annual TRANSCAER® Achievement Award for its work training first responders for ethanol-related emergencies.

The award is given to “recognize the achievements of individuals, companies, and organizations which have gone beyond the normal call of duty to advocate, demonstrate and implement the principles of TRANSCAER®.” The volunteer coalition works to ensure the nation’s emergency responders are prepared and educated with the most up-to-date information to handle hazardous material disasters.

RFA established an “Ethanol Safety Seminar” program — in conjunction with TRANSCAER® — to educate emergency responders on the make-up and properties of ethanol as well as proper emergency techniques when responding to potentially harmful scenarios. The curriculum is centered on Ethanol Emergency Response Coalition’s (EERC) “Training Guide to Ethanol Emergency Response,” which has been used over the past five years to educate 4,600 first responders all across the country.

Missy Ruff, RFA’s technical services manager, was on hand to receive the award Tuesday at the AAR/BOE Hazardous Materials Seminar in Addison, Texas.