NBB Comments on EPA’s Approval of Camelina Oil

January 5, 2012

The EPA has published a final rule approving camelina oil as a feedstock under the Renewable Fuel Standard (RFS2).

Today, the National Biodiesel Board (NBB) released the following statement in support of the ruling.

“Biodiesel’s evolving feedstock diversity is one of its greatest strengths, and we’re pleased to see the EPA recognizing camelina as yet another feedstock that meets the agency’s standards as an Advanced Biofuel,” said Anne Steckel, vice president of federal affairs at NBB. “As it has with other biodiesel feedstocks such as animal fats, recycled cooking oil, soybean oil and canola oil, the EPA’s proposal shows that biodiesel produced from camelina oil reduces greenhouse gas emissions by at least 50 percent compared with diesel fuel. This is good news for our industry and will give biodiesel plants another tool in the toolbox as they continue producing record quantities of America’s Advanced Biofuel.”

Biodiesel, biofuels, Government, NBB

Coalition for E85 Fights Back Against Rising Prices

Cindy Zimmerman January 5, 2012

As prices for 85 percent ethanol fuel are rising in the wake of the expiration of the Volumetric Ethanol Excise Tax Credit (VEETC) on January 1, the Coalition for E85 is increasing its effort to have American-made 85-percent ethanol recognized as an alternative fuel along with natural gas, propane, and hydrogen alternatives.

The expiration of the VEETC resulted in an immediate a 38-cent increase on every gallon of clean E85, which the coalition notes reduces the incentive for Americans to buy domestically produced fuels, and endangers the investments of millions of Flex Fuel auto owners, E85 retailers, producers, equipment manufacturers, and other supporters.

“Despite the tax credit’s expiration, we are continuing to work to protect the investments made by millions of Flex Fuel drivers, and thousands of retailers and producers who want to keep money spent on fuel right here in our country,” said Matt Horton, CEO of Propel Fuels, a leading member of the Coalition for E85. “Oil companies didn’t need the tax credit to keep blending ethanol into gasoline, but America’s alternative fuel retailers need the tax credit to keep E85 affordable. Without Congress’ continued support, America will become more dependent on foreign oil.”

The Coalition for E85 is urging supporters to reach out to their representatives and show support for E85. A tool kit including sample letters to Congress, pump top posters for retailers, and social media links can be found on the coalition’s website.

E85, Ethanol, Ethanol News

California Files Appeal in Ethanol Ruling

Cindy Zimmerman January 5, 2012

As expected, the California Air Resources Board today filed an appeal in the U.S. Court of Appeals for the 9th Circuit to challenge last week’s ruling that the California Low Carbon Fuel Standard (LCFS) violates the commerce clause of the U.S. Constitution.

The Renewable Fuels Association (RFA) responded to the expected action by noting that the judge who issued the ruling has made a good decision in determining that the LCFS discriminates against Midwestern ethanol producers. “Judge O’Neill agreed, basing his ruling on strong evidence and sound constitutional law,” said the RFA statement. “In the Court of Appeals, RFA will vigorously defend the result obtained at the District Court level.”

The judge’s ruling found that the LCFS discriminates against out-of-state corn-derived ethanol and impermissibly regulates extraterritorial conduct and the court therefore issued an injunction against the enforcement of the LCFS in California.

RFA’s Matt Hartwig provides a good overview of the ruling and its implications on the E-xchange Blog. “The RFA is not opposed to carbon-reducing programs but believes any such initiative should be undertaken at the national level, thus avoiding a state-by-state patchwork of unworkable and possibly unconstitutional policies,” notes Hartwig. “If based on the best available science and grounded in real world perception, a national low carbon fuel strategy that complements the Renewable Fuel Standard would be something the RFA and its members would support.”

Ethanol, Ethanol News, RFA

DuPont and NexSteppe Team for New Bio Feedstocks

Cindy Zimmerman January 5, 2012

Two companies have teamed up to develop advanced feedstocks for biofuels, biopower and biobased products.

The collaboration between DuPont and the bio-based firm NexSteppe will be working on new feedstocks for renewable energy, including sweet sorghum and high biomass sorghum hybrids.

Under the agreement, DuPont has made an equity investment in NexSteppe, and through its Pioneer Hi-Bred business, will provide knowledge, resources and advanced technologies to help the company accelerate the breeding and commercialization of new hybrids of these crops in the United States and Brazil.

“We’re using science-based innovation and collaboration to develop scalable, sustainable feedstock options for the biobased industries,” said John Bedbrook, vice president for DuPont Agricultural Biotechnology. “Collaborations like this one with NexSteppe will provide new opportunities for growers to address the rising demand for secure, environmentally sustainable and affordable alternatives to fossil fuels.”

“Sorghum is a crop with significant genetic diversity and great potential that has received relatively little research attention and funding,” said Anna Rath, NexSteppe founder and CEO. “Combining DuPont’s world-class research and development capabilities with our industry knowledge, experienced team and singular focus, we will be able to rapidly improve the crop to produce feedstocks tailored to the needs of the biofuels, biopower and biobased products industries.”

Sorghum has many advantages as a feedstock. It is naturally tolerant to both drought and heat and can grow in marginal rainfall areas with a short growing season and the ability to work in crop rotation systems. Sweet sorghum can be used as a complement to sugarcane in existing Brazilian sugar to ethanol mills, and as a feedstock for advanced biofuels and other biobased products produced from sugars. High Biomass Sorghum is a high-yielding crop that can be used as a feedstock for biopower and cellulosic biofuels. DuPont, through its Industrial Biosciences business, operates and develops industrial processes that use sugar as a feedstock.

advanced biofuels, biomass, Cellulosic, Ethanol, Ethanol News, sorghum

BASF Invests in Cellulosic Sugar Company

Cindy Zimmerman January 4, 2012

Global chemical giant BASF has invested $30 million in a Pennsylvania-based company that has developed a process to produce cellulosic sugars for renewable chemicals and biofuels.

BASF, through subsidiary BASF Biorenewable Beteiligungs GmbH & Co. KG led a $50 million financing round in the technology firm Renmatix Inc.

Renmatix has developed the patented Plantrose™ platform whereby industrial sugar can be produced from lignocellulosic biomass (wood, cane trash or straw). In the Plantrose technology, biomass is split into cellulose and sugar in supercritical water at high temperature and pressure in a two-step process.

Industrial sugars are important renewable resources for the chemical industry and can be used, for example, to produce biofuels or basic chemical products and intermediates by fermentative processes. The availability of industrial sugars in sufficient quantities and at favorable cost is therefore important for the competitiveness of the products.

biofuels, biomass, Biotech, Cellulosic, Ethanol, Ethanol News

IRFA Pleased With Top Caucus Winners

January 4, 2012

As mentioned in an earlier article, last night’s Iowa Caucus results trumpeted a big victory for renewable fuels such as ethanol and biodiesel. Both former Governor Mitt Romney and former Senator Rick Santorum expressed their support for the federal renewable fuels standard while campaigning in Iowa. The Iowa Renewable Fuels Association is happy with the results. Both candidates were 4-for-4 on ethanol issues according to the Iowans Fueled With Pride Iowa Caucus Voter Guide.

“Despite scant attention on agriculture issues by the national media, both Governor Romney and Senator Santorum prioritized rural and ag issues,” said IRFA Past President Walt Wendland, who is the CEO of Golden Grain Energy near Mason City, Iowa and Homeland Energy Solutions near Lawler, Iowa. “It came as no surprise to us that friends of ethanol fared well in the Iowa Caucus. The nation needs an energy policy that recognizes the importance of domestic renewable fuels like ethanol and biodiesel.”

Former Speaker of the House Newt Gingrich, the fourth place finisher, is also a strong supporter of ethanol and biodiesel while the bottom two vote getters, Representative Michele Bachmann and Governor Rick Perry, refused to support the renewable fuels standard.

Iowans Fueled with Pride is a coalition of Iowa renewable fuels producers committed to providing accurate and current information to the public, elected officials and candidates for office. Further, they work to foster an open and comprehensive debate about the future of U.S. energy policy. The coalition does not endorse candidates for office.

Ethanol, politics

Corn Growers Pleased with Ruling on California LCFS

Cindy Zimmerman January 4, 2012

Corn growers are pleased with the ruling last week by a Federal District Court judge in Fresno, California that the state’s Low Carbon Fuel Standard (LCFS) violates the Commerce Clause of the U.S. Constitution and is therefore unconstitutional. The ruling is in response to a suit filed in December 2009 by the Renewable Fuels Association and Growth Energy asserting that the LCFS violates the Commerce Clause by seeking to regulate farming and ethanol production practices in other states.

“This ruling reaffirms our position that the state of California violated the U.S. Constitution when it created a low carbon fuel standard punitive to farmers and ethanol producers outside of the state’s border,” said National Corn Growers Association President Garry Niemeyer. “Corn farmers are good stewards and advocates for thoughtful, fair strategies that will improve our environment through the advancement of biofuels. We hope that this ruling will lead to an inclusive discussion where regulators join other stakeholders to find effective renewable energy solutions.”

The judge ruled that the LCFS discriminates against out-of-state corn-derived ethanol and impermissibly regulates extraterritorial conduct and that the California Air Resources Board (CARB) failed to establish that there are no alternative methods to advance its goals of reducing GHG emissions to combat global warming.

corn, Ethanol, Ethanol News, Government, Growth Energy, NCGA, RFA

Mascoma to Build Cellulosic Ethanol Facility in Michigan

January 4, 2012

With $80 million from the U.S. Department of Energy, Mascoma Corporation, a renewable fuels company based in New Hampshire, will design and construct a commercial-scale hardwood cellulosic ethanol facility in Kinross, Michigan.

Mascoma and the DOE signed an agreement that provides up to $80 million in funding for the facility. These funds are an addition to $20 million previously awarded by the DOE for research and development for this project. The agreement includes a cost-sharing arrangement under which the DOE will contribute to the costs for construction of the facility, and the balance of the construction costs will be funded by Valero Energy Corporation and a grant from the State of Michigan.

The Kinross facility will use Mascoma’s proprietary CBP technology platform, which has been developed by Mascoma over the past five years, to convert hardwood pulpwood into ethanol. Hardwood pulpwood is a selectively harvested, naturally regenerated feedstock and is an underutilized, abundant resource in the surrounding area. Construction of the Kinross facility is anticipated to start in the next three to six months and is expected to be completed by year-end 2013. Kinross Cellulosic Ethanol LLC, a joint venture formed by Mascoma and Valero, will develop and operate the Kinross facility.

“We are excited to apply our proprietary consolidated bioprocessing (CBP) technology platform to produce cellulosic ethanol on a commercial scale and thereby provide a low-cost, sustainable alternative to petroleum-based products,” said Bill Brady, President and CEO of Mascoma.

Cellulosic, Ethanol, Facilities

Wild Weather Big Story in 2011 for Agriculture

Chuck Zimmerman January 4, 2012

Wild weather was the winner for the biggest ag story of 2011 according to our latest ZimmPoll. We asked the question, “What do you think is biggest ag story of 2011?” Wild weather got 40% or the response followed by Record farm land value – 17%; New free trade agreements – 16%; High commodity prices – 16%; Super committee “no”- farm bill – 11% and Record U.S. farm exports at a big fat 0%. Weather, it’s always on the top of a farmer’s mind and with good reason.

Our new ZimmPoll is now live. We’re asking the question, “What do you think of the LightSquared broadband internet proposal?” This is certainly a hotly debated topic with GPS companies and users very concerned over the implications. If you need more information about it you can find lots of resources online here, here and here.

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

ZimmPoll