ACE Conference 2026

Chemtex to Build US Advanced Biofuels Plant

Joanna Schroeder

Chemtex have received word from the USDA that they will receive $99 million to help build an advanced biofuels plant in the United States. The plant will be located in Sampson County, North Carolina and once operational, will produce 20 million gallons of biofuels a years from energy crops. Construction is slated to begin this year. Chemtex has selected Novozymes as its enzymes partner.

“Novozymes is excited to partner with Chemtex to convert energy crops into cellulosic ethanol in North Carolina. It is a great step forward for the U.S. biofuels industry and an endorsement of the technologies Chemtex and Novozymes have each developed. I am confident our collaboration will become a benchmark for the advanced biofuels industry in the U.S.,” said Peder Holk Nielsen, Executive Vice President, Novozymes.

The biorefinery is targeted to go online in 2014 and will employ around 65 employees. The feedstocks used will be grown locally on marginal land that is in part currently being used as “spray fields” for the hog farming industry.

Adam Monroe, President of Novozymes North America said, “Advanced biofuels are commercializing because the Renewable Fuel Standard is working. With public and private investment, we are adding to America’s mix of domestic energy, reducing prices for consumers and freeing us from our dependence on oil.”

Chemtex will use Beta Renewables’ PROESA technology to produce cost-competitive ethanol focusing on energy grasses and agricultural waste as the main source of feedstocks. Read More

advanced biofuels, Agribusiness, Cellulosic, feedstocks

Poll Reveals a Close Presidential Race

Melissa Sandfort

Our latest ZimmPoll asked the question, “Which team for President would be best for agriculture?”

Our poll results: Forty-two percent said Romney/Ryan; thirty-five percent said Obama/Biden and twenty-three percent said neither, we need a better choice.

Our new ZimmPoll is now live and asks the question, “Beyond commodity prices, what will this year’s drought have a greater impact on?” From crop insurance to feed and fuel costs, there are a lot of potential items the drought could impact. But what do you think is going to take the biggest hit?

ZimmPoll is sponsored by Rhea+Kaiser, a full-service advertising/public relations agency.

ZimmPoll

Smart Forvision Concept Vehicle Unveiled

Joanna Schroeder

Daimler, in conjunction with BASF and the American Chemistry Council (ACC), have unveiled a new smart forvision concept vehicle that was designed to save energy and enhance sustainability through vehicle efficiency. One of the energy-efficiency features is a light-transmitting roof with solar cells designed to generate energy and power the vehicle’s climate control system. In addition, the car features an infrared-reflective film developed by BASF, affixed in the windscreen and side windows. The technology protects the car interior from heating up in the summer.

“We are proud to have developed a holistic concept for sustainable urban mobility in cooperation with Daimler,” said Dr. Martin Jung, BASF’s automotive research spokesperson. “Together we are presenting a pioneering vehicle which is without parallel.”

Part of the goal of the project is to demonstrate “Chemistry to Energy”. Chemistry has the power to increase energy efficiency while also reducing the amount of energy consumed. According to an ACC study, chemistry in energy-saving products and technologies have the capability to save upwards of 10.9 quadrillion Btus of energy each year. This is staggering: this amount of energy can power up to 56 million average sized homes or enough to power 135 million cars each year. This level of energy savings could also save $85 billion in energy costs per year.

During the next several weeks, ACC is featuring a series that spotlights how chemistry is aiding in energy efficiency technologies. You can learn more at the “From Chemistry to Energy” website.

BASF, Electricity, Energy, energy efficiency, Solar

CGE Offers Wind Energy Grants

Joanna Schroeder

Schools, governments, public facilities and public school sectors have the opportunity to apply for a wind energy grant that will help institutions reduce their energy bills for five years. Sponsored by Clean Green Energy (CGE), the “Wind for a Better Community Grant” will be awarded to up to 25 institutions for five years. The grant recipients’ buildings will be powered by the new WIND e20 wind turbine.

Once the WIND e20 begins producing energy, the institution will begin to see lower utility bills. CGE will pay for the electricity created by the turbine with the hope that the grant winners will reinvest their savings back into their community.

Those representing a school, municipality or public facility can take advantage of this opportunity by submitting an online application.  Submissions are due no later than October 6, 2012.

Electricity, Energy, Wind

New Study to Assess GHG Impact of Ethanol

Joanna Schroeder

A new study will come out this fall that found that supplementing cattle feed with corn stover decreases the amount of greenhouse gases created during corn ethanol production. The research was designed to assess the impact on the carbon intensity level of a corn ethanol pathway when factoring in the replacement portion of corn grain for feed with corn stover. The study was conducted by Life Cycle Associates and supported by the National Corn Growers Association (NCGA).

“It only makes sense that farmers place an incredible priority of caring for the environment,” said NCGA Ethanol Committee Chair Chad Willis, a grower from Willmar, Minn. “Natural resources, such as healthy soil and clean air and water, enable us not only to make a living but also  to continue what, for most, is a family tradition.”

“Today’s farmers take an active role in ensuring that we adopt farm practices that have been scientifically shown to raise the largest crop possible using the fewest resources, be they nutrients, land or water,” continued Willis. “NCGA supports our efforts by making the solid, scientific information necessary to act as good stewards is readily available.”

One of the criticisms of life cycle analysis is where to begin and where to end. Researchers can choose different starting and stopping points, for example from cradle-to-grave, cradle-to-gate, cradle-to-cradle and well-to-wheel. When selecting when the life cycle analysis evaluation process begins and ends, it allows researchers to more accurately model the full greenhouse gas impact based on the current situation, or how it would be affected if a variable were changed.

Another advantage of conducting lifecycle analyses is that it can be determined where in the corn or ethanol processes resources are consumed or conserved. This enables the agricultural or biofuels industry to adopt technologies and processes that conserve resources while developing ways to improve the processes that consume the most resources. This also can help both industries save resources and costs.

corn, Ethanol, NCGA, Research

Poultry, Govs Make Case for RFS Waiver; RFA Refutes

John Davis

Poultry producers are getting some help from several governors in their call for the EPA to waive the Renewable Fuels Standard (RFS), but officials with the Renewable Fuels Association (RFA) say the RFS is working, and no waiver is needed. Georgia Gov. Nathan Deal has joined Arkansas Gov. Mike Beebe and North Carolina Gov. Beverly Perdue in asking for the waiver (see Deal’s letter here). The EPA has posted the notice in the Federal Register and is accepting public comments for the next 30 days. A decision would come within 90 days.

The poultry industry backs the waiver request, with the National Chicken Council saying, “it is now abundantly clear that severe economic damage has occurred, and will continue, as a result of the RFS’ strain on the corn supply that has been exacerbated by the worst drought in more than 50 years.” Their colleagues at the National Turkey Federation agree. In an interview, the group’s president Joel Brandenberger says that lawmakers created the waiver just for disastrous droughts. “If this isn’t such a situation, you would have to conclude that the waiver process as written is worthless.”

But the RFA points out there are an estimated 2.5 billion RFS credits accumulated over the past two years as a result of ethanol blending above RFS requirements. Officials point out that gives oil refiners extraordinary flexibility to meet RFS targets. “Together with ample ethanol supplies and slower than expected gasoline consumption, these credits make the RFS workable through the 2012/2013 corn marketing year.”

Brandenberger asserts that it is the standard combined with the drought creating tight supplies that is pushing up prices. “The [RFS] has been distorting the corn market from the first day it was created in 2005.” But the RFA counters that this will still be the eighth-largest corn crop in U.S. history, and globally, the second-largest ever. And the group also points to the large amount of animal feed made from ethanol production. “One-third of every bushel used by an ethanol plant is returned to the feed market as high-protein feed. Ignoring this exaggerates the impact of ethanol on corn supplies,” the RFA stated.

Listen to my interview with Brandenberger here: Interview with Joel Brandenberger, President, National Turkey Federation

Audio, Ethanol, Ethanol News, Government, RFA, RFS

Aventine Enters Into Restructuring Agreement

Joanna Schroeder

Aventine Renewable Energy has announced the company has entered into a Restructuring Agreement with 100% of its term loan lenders. Under the terms of this agreement the company will convert the majority of its outstanding term loan debt into newly issued common equity, representing, on a fully diluted basis, approximately 92.5 percent of the issued and outstanding common stock after the issuance.

The company’s board of directors have approved the agreement and 60 percent of the stock holders have also approved the agreement. If the agreement is fully executed, Aventine’s existing debt should be reduced by nearly $135 million. In addition, the agreement would not affect unsecured creditors and trade creditors will continue to receive payments. The transactions are targeted to close sometime in the 3rd quarter of this year.

“The Company would like to thank its lenders and significant stakeholders for supporting its business and operations. These are difficult times for the industry and the consummation of these transactions is expected to result in a much stronger balance sheet for the Company,” said John Castle, Aventine’s Chief Executive Officer.

Company Announcement, Ethanol

Kansas Drivers Have New E15 Retail Station

Joanna Schroeder

Drivers who live and travel through Ottawa, Kansas now have access to E15. The Zarco 66 station located at 2518 E. Logan (intersection of I-35 & HWY 68) has become the second retail gas station to offer E15 in the U.S. Earlier this summer, the Environmental Protection Agency (EPA) gave final approval for the sale of E15 and customers are already showing great support for the higher blend of ethanol. On July 8, 2012 Zarco 66 began offering E15 to drivers in Lawrence, Kansas and the fuel sales are hitting high speeds.

“We are excited to add a high octane renewable fuel choice for our customers on the go in Ottawa, Kansas as we will continue to reduce our dependency on foreign oil through the use of renewable energy sources,” said Scott Zaremba, owner of Zarco 66 stations.

While ethanol has many advantages, one is that it has the ability to help motorists save money at the pump. According to an updated study authored by professors at the University of Wisconsin and Iowa State University, ethanol savings in the Midwest in 2011 were $1.69 per gallon while average savings across the county was $1.09 per gallon.

“American consumers are looking for a choice when it comes to fueling their vehicles, and they now have one more domestic, renewable fuel option with E15 becoming more commercially available,” said Renewable Fuels Association RFA) President and CEO Bob Dinneen. “Ethanol continues to help consumers during these difficult economic times by lowering prices at the pump and supporting more than 400,000 jobs across the country that can’t be outsourced.”

RFA is working with retailers as well as automakers and consumers to ensure E15 is used properly. Vehicles and light duty trucks manufactured after 2001 can take advantage of E15.

The association, along with the American Coalition for Ethanol (ACE) have been working together through their BYO Ethanol program to help interested gas retailers install pumps to sell higher blends of ethanol including E15 and E85. Those interested retailers can review the E15 Retailer Handbook for free to learn more about how to make additional revenue through the sale of E15.

biofuels, blends, Ethanol, RFA

POET & Agrivida Sign Technology Deal

Joanna Schroeder

POET Research has signed a technology collaboration joint development agreement for cellulosic ethanol with Agrivida, a developer of biotechnology platforms for feedstock and feedstock processing. As part of the four-year agreement, POET and Agrivida will develop Agrivida’s technology platforms as a means of reducing capital and operating costs of commercialized cellulosic ethanol biorefineries.

The first feedstock of focus will be corn stover, the key feedstock that POET has been focusing on to develop cellulosic ethanol at its plant under construction in Emmetsburg, Iowa known as Project Liberty. Agrivida is helping POET to develop traits engineered to improve the pretreatment of corn stover and make it easier to break down cellulose while reducing the cost of enzymatic application. These are key areas that need to be refined to help cellulosic ethanol reach price parity per gallon with other forms of first generation biofuels and traditional transportation fuels.

“POET is committed to working with new and innovative technologies that will improve the cost and value of cellulosic ethanol production,” said Dr. Wade Robey, POET Senior Vice President and Chief Technology Officer. “If successful, Agrivida’s novel approach to increase the functionality and value delivery of corn stover will work well with other technologies being developed by POET.”

POET will evaluate and test Agrivida’s proprietary, low-severity corn stover feedstock processing technology, which is targeted to provide significant capital and operating cost savings at commercial facilities.

Mark Wong, Agrivida CEO said, “We are excited to be working with POET to improve the economics of advanced biofuels production. POET has one of the most advanced commercial cellulosic programs in the world with strong research, development and commercial deployment capabilities. POET will be a great partner as Agrivida transitions its technology from research and development to a commercialization phase.”

advanced biofuels, Cellulosic

Solar Energy Industry Gets Legislative Win in NY

Joanna Schroeder

The solar industry in New York state got a legislative win when Governor Andrew Cuomo approved several bills that give tax exemptions to solar projects in the state. Earlier this month the Governor announced $30 million in funding for 16 PV projects through an NY-Sun sub-program as well as $107 million in funding for customer-sited solar photovoltaic (PV) projects larger than 50 kW. The funding is being distributed over two years with $36.4 million available for 2012 and $70.5 million available in 2013 through the NY-Sun Competitive PV program.

“We applaud Governor Cuomo, as well as Senator George Maziarz and Assemblyman Cahill for their bipartisan work paving the way for solar to succeed in New York State,” said Carrie Cullen Hitt, Vice President for State Affairs at the Solar Energy Industries Association (SEIA). “By making it more affordable for businesses and homeowners to install solar systems, these laws are vital to helping New York realize its goal of 45 percent renewable-powered electricity by 2015. We look forward to continuing to work with state leaders so that New York can meet its total solar market potential in the near future.”

Three bills were signed: Bill A 34-B provides tax credits for solar energy system equipment; Bill A 10620 provides for the amount of tax abatement for solar generating systems in cities of one million or more; and Bill A 5522-B exempts the sale and installation of commercial solar energy systems from state sales and compensating use taxes and allows municipalities to grant these systems a tax exemption as well.

The state also has several other policies in place to promote solar investment. These include a feed-in tariff through Long Island Power Authority (LIPA), a New York State Energy Research and Development Authority (NYSERDA) customer-sited tiered program, and rules for net metering that allows customers credit for excess power generated and sent back to the grid.

Nearly 7,500 solar photovoltaic (PV) solar installations have been completed in New York making the state 6th in number of PV systems. When combined, the systems have the capacity to produce 121 megawatts of energy or enough to power around 20,000 average sized homes.

Electricity, Energy, Legislation, Solar