The National Biodiesel Board is vowing to fight what it considers abuse of the biodiesel tax credit. According to a release from the NBB, the original intent of the credit was to help the biodiesel industry get off the ground, but big oil companies now are trying to take advantage of it:
The NBB has been advised of a potential abuse of this program and is determined to see that it is addressed in an expedient manner. Based on discussions with federal tax authorities, blenders and shippers, there is a suspicion that claims for the tax credit may have been submitted or are intended to be submitted in a way that we believe would constitute an improper use of the tax credit. Anecdotal evidence exists which suggests that foreign companies may be sending or planning to send tanker shipments of biodiesel into US ports, adding a small amount of diesel fuel, claiming the blenders credit on all biodiesel gallons in the shipment, and then exporting the shipment outside the United States.
This type of “re-exporting” activity was clearly not intended by the legislative policy and is an inappropriate use of the tax credit.
NBB officials promise to aggressively pursue legislation to close this loophole and keep the credit in the hands of those it was intended to help. They also encourage anyone who has information about questionable credits to contact the Internal Revenue Service at (213) 576-3837.
Ethanol and the Indy Racing League will be in the spotlight at the 
A New Zealand technology company has secured $3.5 million in private venture capital to develop ethanol from carbon monoxide. 
International investment and advisory firm 
In January 2006, Babcock & Brown Environmental Investments completed the acquisition of Diversified Energy Company, whose primary asset is a 25 mgpy facility in Morris, Minnesota. Babcock & Brown also has two plants under construction: a 100 mgpy facility in Hennepin, Illinois and a 50 mgpy facility in Necedah, Wisconsin.
If the Iowa Utilities Board approves it, an expansion by a major wind energy producer in Iowa will nearly double that state’s wind power generation capacity. 
MidAmerican currently runs 323 wind turbines at three sites in northwest, north central and west central Iowa, generating 459.5 MW of electricity. That’s enough power for about 144,000 homes. 
New Mexico is the latest state to adopt a biodiesel standard as Governor Bill Richardson signed into law a measure that requires all diesel sold in the state to have at least a five percent blend by 2012. State vehicles would have to use 5% biodiesel by 2010. 
Among the states where lawmakers have taken up similar standards is Missouri. The state Senate approved a bill that would require all diesel fuel sold at retail in the state to be a biodiesel blend.
“Every city bears responsibility for taking local action to address our global climate crisis, and vehicle emissions are a major source of greenhouse gases,” said Mayor Newsom. “When it comes to the use of alternative fuels, renewable energy sources and greening our city fleet, San Francisco is demonstrating leadership and commitment on every front.” 
The vice chairman of General Motors says converting automobiles to ethanol is “entirely realistic.”
Scientists have used an SDSC supercomputer to help improve cellulose conversion to ethanol.