Worldwide power generation will experience five trends over the next 25 years according to the New Energy Outlook 2015 published by Bloomberg New Energy Finance. The report is based on analysis country-by-country and technology-by-technology of electricity demand, costs of generation and structural changes in the electricity system.
“NEO 2015 draws together all of BNEF’s best data and information on energy costs, policy, technology and finance. It shows that we will see tremendous progress towards a decarbonised power system. However, it also shows that despite this, coal will continue to play a big part in world power, with emissions continuing to rise for another decade and a half, unless further radical policy action is taken,” said Michael Liebreich, chairman of the advisory board at Bloomberg New Energy Finance.
New Energy Outlook focuses on five major shifts that will occur through 2040:
- Solar, solar everywhere. The further decline in the cost of photovoltaic technology will drive a $3.7 trillion surge in investment in solar, both large-scale and small-scale.
- Power to the people. Some $2.2 trillion of this will go on rooftop and other local PV systems, handing consumers and businesses the ability to generate their own electricity, to store it using batteries and – in parts of the developing world – to access power for the first time.
- Demand undershoots. The march of energy-efficient technologies in areas such as lighting and air conditioning will help to limit growth in global power demand to 1.8% per year, down from 3% per year in 1990-2012. In OECD countries, power demand will be lower in 2040 than in 2014.
- Gas flares only briefly. Natural gas will not be the “transition fuel” to wean the world off coal. North American shale will change the gas market, but coal-to-gas switching will be mainly a US story. Many developing nations will opt for a twin-track of coal and renewables.
- Climate peril. Despite investment of $8 trillion in renewables, there will be enough legacy fossil-fuel plants and enough investment in new coal-fired capacity in developing countries to ensure global CO2 emissions rise all the way to 2029, and will still be 13% above 2014 levels in 2040.
Jon Moore, chief executive of Bloomberg New Energy Finance, added, “Last year’s forecast from BNEF identified the big share that renewables would have in power investment – that raised eyebrows at the time, but other energy forecasters have since piped a similar tune. This year’s report pushes our thinking further, with updated analysis on the slowing levels of demand we are already seeing, and on the proliferation of small PV systems.”
Biodiesel users in Iowa will soon be saving some money on their gas tax. The Iowa Biodiesel Board says that as of July 1, diesel blended with at least 11 percent biodiesel (B11) will enjoy a tax exemption of 3 cents a gallon compared to regular diesel.
“This state policy represents another link in the chain that secures Iowa’s energy and economic future,” said Grant Kimberley, executive director of IBB. “This incentive, along with other state policies that encourage biodiesel production and use, shores up support for a fuel that delivers jobs, diversifies our fuel supply and reduces greenhouse gases.”
Prior to 2015, the tax for diesel was $0.225 a gallon. The new diesel tax, already in effect, is $0.325 a gallon. Users of B11 or higher will now pay tax of just $0.295 a gallon.
Kimberley added that this won’t automatically mean B11 is less expensive at the pump than diesel, but: “All of the pro-biodiesel policies in Iowa working together, plus federal programs that encourage energy independence, add up,” he said. “This is likely to make B11 pretty competitive at the pump.”
Corn farmers are going to make their voice heard on the Obama Administration’s cuts to ethanol. The National Corn Growers Association says producers from more than a dozen states are expected to turn out at a public hearing and rally in Kansas City, Kansas, this Thursday, protesting the U.S. Environmental Protection Agency’s (EPA) proposal to slash nearly 4 billion gallons of corn ethanol from the Renewable Fuel Standard through 2016.
“Last time, we were very clear to EPA about what we wanted,” said NCGA President Chip Bowling. “It is simple: EPA should follow the statute. For farmers and others in rural America, this new EPA proposal means low corn prices and ethanol plant and industry cutbacks. And for everyone, it means higher gas prices and dirtier air.”
All farmers who can make the trip are encouraged to attend the hearing and public rally, with free bus transportation provided from several points across four states – Kansas, Missouri, Nebraska and Iowa. The buses are scheduled so growers can depart and return the same day, and free food and refreshments will be provided.
A rally in conjunction with the public hearing will kick off at 11:30 a.m. at nearby Huron Park, with several prominent agriculture, business and political leaders talking about the importance of renewable fuels for rural America.
Iowa Renewable Fuels Association
Iowa RFA president Brian Cahill (right) interviewed by KMA radio at American Ethanol 200
president Brian Cahill of Southwest Iowa Renewable Energy
was at the NASCAR American Ethanol 200 presented by Enogen last Friday to support ethanol and this week he will be in Kansas City, Kansas to do the same.
Iowa RFA members will be among those testifying at a public hearing on Thursday to explain what is wrong with EPA’s latest proposal to set volume obligations for biofuels under the Renewable Fuel Standard (RFS). “We’ll be testifying to show the benefits that ethanol provides to the whole country and also get the message across that EPA just can’t change the law,” said Cahill, who says that having the hearing in the Midwest will allow many RFS supporters to attend. “There’s more than just ethanol involved in this so hopefully we’ll see a good show of support for the biofuels industry in Kansas City.”
In this interview from the race on Friday, Cahill also talks about why growers who supply corn for his plant grow Syngenta Enogen, a corn trait designed specifically for ethanol production. Interview with Iowa RFA president Brian Cahill
2015 American Ethanol 200 Presented by Enogen Photo Album
Coverage of the American Ethanol 200 sponsored by Enogen
According to the Agriculture Energy Coalition (AgEC), the current version of the House Appropriations Committee’s Fiscal Year 2016 Agriculture Appropriations Bill would shortchange rural America. As it currently stands, the bill would reduce mandatory spending levels for Energy Title programs including the Renewable Energy for America Program (REAP), Biomass Crop Assistance Program and the Biorefinery, Renewable Chemical and Biobased Product Manufacturing Assistance Program. In light of this, AgEC has vowed to fight the changes in mandatory spending.
Lloyd Ritter, co-director of the AgEC, said, “The renewable energy and energy efficiency programs in the Farm Bill help rural America create new manufacturing opportunities and stable, well-paying jobs. A new report to Congress, released just yesterday, demonstrates the broad economic impact of innovative biobased technology. The biobased products industry contributes $369 billion annually to the U.S. economy and employs more than four million Americans. The more than 40,000 biobased products already on the market displace about 300 million gallons of petroleum per year, which is equivalent to taking 200,000 cars off the road. Countless wind, solar, biomass and other projects are making a major impact as well.”
Ritter continued, “Nevertheless, the House Appropriations Committee is seeking to roll back the mandatory funding levels Congress agreed to last year when passing the bi-partisan Farm Bill. For Fiscal Year 2016, the House bill proposes cutting millions from the Section 9003 program, the Biomass Crop Assistance Program, and the Renewable Energy for America Program.”
“Such reductions in the mandatory funding levels that Congress previously set will undermine the ongoing effectiveness of these programs. The Agriculture Energy Coalition, comprising renewable energy, energy efficiency and agricultural groups, will continue to fight to ensure that these programs are implemented successfully,” concluded Ritter.
The Clean Energy States Alliance (CESA) has released a new report, “Clean Energy Champions: The Importance of State Programs and Policies“. The report provides a comprehensive look at the ways in which states are supporting clean energy as well as offers suggestions on how to further encourage growth.
The report includes 31 case studies form 22 states covering various clean energy programs including Renewable Portfolio Standards, renewable energy tax credits, rebates and other less known programs used to develop the clean energy industry.
“Over the past decade and a half, states across the country have implemented innovative policies that have achieved significant, measurable results,” said Warren Leon, executive director of CESA. “This report clearly outlines how renewable energy production has far surpassed expectations and created a thriving clean energy sector. We must sustain this momentum by supporting various initiatives at the state level, working in tandem with federal agencies, and advancing clean energy with continued bipartisan support.”
In examining the state’s role in clean energy development over the past 15 years, the report identifies seven lessons to consider for the continued growth of clean energy into the future. Those lessons cover the following:
- The significance of state experimentation and the ways states can continue to innovate to move the clean energy sector forward;
- The need for the states to strengthen their existing consumer protection role regarding clean energy technologies;
- The approach states should take when modifying distributed generation policies;
- The value of continuing to address clean energy policy in a non-partisan manner;
- The specific research analysis the federal government should undertake to assist the states;
- The role of federal tax incentives in leveraging state initiatives for clean energy market growth; and
- The importance of structuring EPA’s Clean Power Plan in ways that support existing state clean energy initiatives.
In addition, the report found four key areas where state activity has made significant progress to overcome market barriers: developing the clean energy supply;
overcoming barriers by building the infrastructure for clean energy growth; building a vibrant clean energy industry; and protecting and including consumers.
The National Marine Manufacturers Association (NMMA) has endorsed Gevo, Inc. for the use of isobutanol by the marine industry. They say the renewable fuel is an effective, less damaging, more suitable biofuel than ethanol for powering various types of marine and recreational boat engines.
NMMA has worked with Gevo for five years, the U.S. Department of Energy (DOE), Argonne National Laboratory, the U.S. Coast Guard and others on testing of various renewable fuels. During this testing, NMMA said the data supported isobutanol as the preferred renewable fuel for marine engines.
“Based on years of collaborative testing across the industry, biobutanol fuel blends, such as the ones provided by Gevo during our test program, are a safe and viable alternative to ethanol for use in recreational marine engines and boats up to 16.1 percent by volume,”said Jeff Wasil, engineering manager, Emissions Testing, Certification and Regulatory Development at Bombardier Recreational Products, an NMMA member.
According to NMMA, isobutanol fuel blends solve the concerns of boaters such as damaging engine parts. The studies found isobutanol provided a higher energy content, prevented moisture absorption and phase separation and reduced engine corrosion.
“We believe that the marine industry will be an important market for Gevo’s isobutanol. The technical properties of isobutanol shine in this application. We appreciate the efforts and the collaboration between Gevo and the NMMA throughout the testing program. We are pleased to have provided, from our plant in Luverne, the isobutanol needed to make the 16% isobutanol blended fuels that the studies required, for both on-water tests and in the laboratory,” added Dr. Patrick Gruber, Gevo’s CEO. “We are delighted with the results of the testing and to have the endorsement of the NMMA. Isobutanol has proven to be an effective, highly compatible biofuel for the recreational boating industry.”
The ethanol industry is supporting women in agriculture. The Renewable Fuels Association and Syngenta, maker of ethanol friendly Enogen corn, join a growing group of sponsors of the American Agri-Women Drive Across America. The nation’s largest coalition of farm, ranch and agri-business women, is celebrating 40 years of advocating for agriculture with its “Drive Across America.”
AAW President Sue McCrum and other leaders will drive in a specially wrapped pick-up truck, participating in educational, network and advocacy events hosted by AAW’s more than 50 affiliates. The Drive will finish at the 2015 annual convention in Portland, Maine.