Ethanol Supporters Reflect on OPEC Anniversary

Cindy Zimmerman

Ethanol supporters are not wishing OPEC a very happy 50th birthday this week.

Growth Energy organized a press event in Washington today with more than 90 supporters and producers of domestic ethanol to mark the 50th anniversary of the Organization of the Petroleum Exporting Countries – better known as OPEC.

“Since the inception of OPEC we have had conflict in and with the Middle East. We’ve invested generations of soldiers and untold trillions in warfare in the Middle East, over access to oil. We’ve experienced $4-a-gallon gasoline, gas lines and oil shocks to our economy. Every year we pay $300 billion annually – the equivalent of a thousand-dollar-a-person tribute—to foreign countries for oil,” said Growth Energy CEO Tom Buis. “Today, after 50 years of OPEC, we suggest it is time to retire this cartel’s hold over our country.”

Growth Energy Co-chairman Jeff Broin, CEO of ethanol producer POET, commented that ethanol could replace oil if there were an open market for all fuels. “As a producer of ethanol, but even more important, an American, I urge policy makers to immediately take these necessary steps so future birthdays for OPEC can be ‘over the hill’ parties,” said Broin.

Renewable Fuels Association president and CEO Bob Dinneen also issued a statement to mark the OPEC anniversary. “While there may be cause for celebration in the capitals of Saudi Arabia, Iran, Venezuela and other member countries, here in the U.S. it is time to thank America’s renewable fuels industry for staunching the flow of OPEC oil,” said Dinneen in a release. “Without the growing production and use of biofuels in the U.S. and around the world, IEA (the International Energy Agency) calculates that more than one million barrels per day of new oil production would be required. Thanks to forward thinking U.S. policy promoting the production and use of biofuels, the U.S. can celebrate 50 years of OPEC not by cutting cake, but cutting even more oil imports.”

Gal Luft, executive director of the Institute for the Analysis of Global Security, wrote an op-ed about OPEC’s anniversary for Foreign Policy magazine advocating the simple fix that would help decrease dependence on foreign oil – make all cars sold in the U.S. flex fuel vehicles, allowing them to run on any combination of gasoline and alcohol fuels such as ethanol and methanol made from coal, natural gas, and biomass. “Congress could make this happen by imposing an open fuel standard, requiring new vehicles to be flex-fuel-capable. Such a standard would put a virtual cap on the price of oil,” Luft writes. “An open fuel standard would add just $70 to the cost of a new car, the equivalent of filling up a couple of tanks at the pump. Such minimal investment would enable the United States for the first time to challenge OPEC using the weapon the cartel fears most: competition at the pump.”

Energy, Ethanol, Ethanol News, Growth Energy

Record Corn Crop Means More for Food & Fuel

Joanna Schroeder

The crop report was released last week and the USDA is predicting a record harvest – even after accounting for excessive rain in areas of the Midwest. This is promising news as there will be even more corn available for food and fuel. It is interesting to note that prior to ethanol, the excess corn produced had no home. Today, with ethanol, the corn that has never been used for feed, is now used for ethanol.

In Iowa alone, 40 percent of the corn crop goes to ethanol but nationally only 20 percent of the total corn crop goes to ethanol. Also, the livestock industry is the largest consumer of Iowa corn.

I was spent some time with the Iowa Corn Growers Association’s (ICGA) new President Dean Taylor last Saturday before the Iowa versus Iowa State football game to learn more about what this record corn crop means for both farmers and consumers. My first question for Dean, was in fact, what are we going to do with all this corn? We’re going to produce feed, food, fiber and fuel, he said.

“The fuel, the feed, the fiber, the ethanol….all these things are very important. Especially now that we grow so much corn, we have to remember that what we put into ethanol was never even in the market for feed in the past because we’re just growing that much more corn,” said Taylor.Read More

Audio, corn, Ethanol, food and fuel

EPA To Host Free Biofuels & Sustainability Webinar

Joanna Schroeder

The EPA is hosting a free biofuels and sustainability webinar on Tuesday, September 21, 2010 from 9:30 am – 11:00 am PST that will provide a national and regional perspective on sustainability indicators and best practices throughout the biofuel supply chain. Specifically, the webinar will discuss the guiding principles of sustainability developed by the National Biodiesel Board, and examine policy mechanisms for managing biofuel concerns.

Other topics that will be discussed include lessons learned while developing indicators for sustainability as well as how to use these indicators to assess biofuel production methods. These topics are of special interest as they will be used to assist researchers and policy makers in assessing the long-term impacts of biofuels production and use.

Presenters include:

  • Don Scott: Director of Sustainability, National Biodiesel Board
  • Jeff Plowman: Executive Director, Sustainable Biodiesel Alliance
  • Bob Perschel: Northeast Regional Director, The Forest Guild
  • Kevin Fingerman: Researcher, University of California, Berkeley

Space is limited so register now.

Biodiesel, biofuels, Education

Chemists’ Podcast Features Biodiesel from Sewage

John Davis

A U. S. Environmental Protection Agency researcher says that biodiesel can be made from municipal sewage sludge that would cost about the same as diesel made from non-renewable petroleum.

In the latest episode of the American Chemical Society’s (ACS) podcast series, “Global Challenges/Chemistry Solutions,”
the EPA’s David M. Kargbo says sewage treatment plants could use microorganisms that produce higher amounts of oil … up to 10 billion gallons of biodiesel, more than three times the nation’s current biodiesel production capacity:

Kargbo points out in the podcast that demand for biodiesel has led to the search for cost-effective biodiesel feedstocks, or raw materials. Soybeans, sunflower seeds and other food crops have been used as raw materials but are expensive. Sewage sludge is an attractive alternative feedstock — the United States alone produces about seven million tons of it each year. Sludge is a good source of raw materials for biodiesel.

Kargbo’s results appear in ACS’ Energy & Fuels, a bi-monthly journal: “Biodiesel Production from Municipal Sewage Sludges.”

The free podcast is available at iTunes and from ACS at www.acs.org/globalchallenges.

Biodiesel, Research

Yeast Breakthrough Made for Cellulosic Ethanol

John Davis

Researchers at the University of California, Berkeley have made a breakthrough that has some awfully big implications for cellulosic ethanol.

They’ve been able to put genes from grass-eating fungi into yeast and created strains that produce alcohol from tough plant material:

“By adding these genes to yeast, we have created strains that grow better on plant material than does wild yeast, which eats only glucose or sucrose,” said Jamie Cate, UC Berkeley associate professor of molecular and cell biology and faculty scientist at Lawrence Berkeley National Laboratory (LBNL). “This improvement over the wild organism is a proof-of-principle that allows us to take the technology to the next level, with the goal of engineering yeast that can digest and ferment plant material in one pot.”

The researchers hope to insert the same fungal genes into industrial strains of yeast that now are used to turn sugar into ethanol biofuel in order to improve the efficiency of the fermentation process.

“The use of these cellodextrin transporters is not limited to yeast that makes ethanol,” Cate said. “They could be used in any yeast that’s been engineered to make, for example, other alcohols or jet fuel substitutes.”

The research has been funded by the Energy Biosciences Institute (EBI), a research collaboration between UC Berkeley, the University of Illinois, LBNL and the funding sponsor, BP.

Cellulosic, Ethanol, Ethanol News, News

USDA to Fund Rural Renewable Energy Studies

John Davis

The USDA is providing funding to look at the feasibility of renewable energy systems for agriculture producers and rural small businesses.

Grants of up to $50,000 each for a total of $3 million will be made available under the Rural Energy for America Program (REAP):

“Renewable energy production represents a promising revenue source for America’s producers while meeting the nation’s need for new sources of renewable energy,” [Agriculture Secretary Tom Vilsack] said. “These grants will help encourage the development of viable renewable energy projects across the nation and help small business owners, farmers, ranchers and agriculture producers conduct feasibility studies that identify renewable energy opportunities.”

Eligible feasibility studies for renewable energy systems include projects that will produce energy from wind, solar, biomass, geothermal, hydro power and hydrogen-based sources. The energy to be produced includes heat, electricity or fuel. For all projects, the system must be located in a rural area, must be technically feasible and must be owned by the applicant. More information is available by visiting http://www.rurdev.usda.gov/BCP_ReapGrants.html.

Deadline for application is October 5, 2010.

Government, USDA

Fed Grant to Help Turn Montana Biomass into Energy

John Davis

A Montana company has picked up a $350,000 federal grant to build a plant that will turn wood chips and algae into energy.

Algae Aqua-Culture Technology
will use a proprietary process uses a greenhouse-based algae growth system and an anaerobic biodigester to transform a blend of the wood waste and algae into high-value methane for power generation:

“Algae’s amazing productivity offers the ultimate path to a green economy,” according to an elated Michael Smith, AACT’s CEO and Grant Project Manager. “This award is not only gives AACT the initial funding it needs to move into full production, it also gives the timber industry a new way to capitalize on the bounty of Montana’s forests while also reducing Montana’s carbon footprint.”

“The AACT Green Power Housesm (GPH) will help Montana create new, long-term jobs for the woods products industry–and eventually for Montana’s farmers, factories, waste treatment plants and energy production facilities,” Smith said.

Money for the grant comes from the federal stimulus act.

algae, biomass, biomethane

Ethanol Blender Pump Opens in Ord, Nebraska

Cindy Zimmerman

A new ethanol blender pump opening in Ord, Nebraska was a big success last week.

Country Partners Cooperative hosted a pump grand opening on Thursday, September 9 with specials on E10, E20, E30 and E85, door prizes and drawings will be held as well as a BBQ served by the local FFA chapter.

Country Partner’s blender pump was financially supported in part by the Nebraska Corn Board (NCB) through a blender pump grant program offered to those looking at installing blender pumps in Nebraska. “With the incentive being offered by the Nebraska Corn Board and the growing number of flex fuel vehicles (FFV) being driven across the U.S., blender pumps are one avenue to help get the ethanol industry past the blend wall,” said Curt Friesen, a corn farmer from Henderson, Nebraska who serves as chairman of the NCB market development committee.

There is also a federal tax incentive available through the end of the year to these stations that make the investment in a blender pump, and there are incentives offered by companies and ethanol organizations. In addition to the Nebraska Corn Board, the Country Partner’s blender pump was supported by Green Plains Renewable Energy and Growth Energy.

blends, Ethanol, Growth Energy

Valero Corner Store Sells 85 Percent Ethanol

Cindy Zimmerman

Valero Energy Corporation recently announced that one of its company-owned Valero Corner Stores in San Antonio has begun selling E-85, a blend of fuel consisting of up to 85 percent ethanol blended with unleaded gasoline for use in Flex Fuel Vehicles (FFVs).

Valero also announced plans to continue introducing sales of E-85 at new Valero Corner Stores as they’re built. The stores will continue selling all grades of gasoline and diesel fuel at its locations. “There are already millions of Flex Fuel vehicles on the road, and there’s a growing market for E-85,” said Gary Arthur, President of Valero’s Retail Division. “As Valero builds new Corner Stores, we will continue to introduce E-85 sales to satisfy this growing demand.”

“This type of effort by a large retailer like Valero can have a dramatic effect on the availability of E85 and other ethanol blended fuels,” said Ron Lamberty, American Coalition for Ethanol Vice President and Director of Market Development. “Valero’s effort to increase E85 availability shows a confidence that higher ethanol blends will be a growing part of the marketplace,” Lamberty said, “and it will give Valero a leg up in on other retailers who will need to have that same E85 capability to compete for a growing number of new flexible fuel vehicles.” Chrysler, Ford, and General Motors have committed to having 50 percent or more flex-fuel vehicles by model year 2012.

Valero owns and operates nearly 1,000 Corner Stores in Texas, Arizona, California, Colorado, Louisiana, New Mexico, Oklahoma and Wyoming.

ACE, E85, Ethanol, Ethanol News

Flex Fuel US Can Sell to Fleets

Flex Fuel U.S.®, a company dedicated to the development of future fuel solutions and alternative fuel conversion systems, has been awarded approval to sell and install E85 Flex Fuel conversion systems to Federal Government Fleets through the Federal GSA schedule. The system is the first EPA certified product enabling existing cars and light duty trucks to be legally converted to run any blend of gasoline and ethanol up to E85.

To date Flex Fuel U.S. has the capability to convert the Chrysler Charger/300, the Ford Crown Victoria/Grand Marquis/Town Car vehicles and will soon announce a light duty truck. The product can be installed on the vehicle in 2 hours, requires only moderate technical expertise and doesn’t void the warranty on the vehicle. The product is backed by a 24 month warranty covering defects in parts and materials. The owner is fully protected when using higher concentrations of ethanol in the vehicle.

“We believe this new technology provides a valuable tool for fleet managers because it allows vehicles to be retrofitted into alternative fuel at a very low cost. Also if you need a vehicle that’s not offered from the OEM as flex fuel capable, our system can be used.” says Don Althoff, CEO of Flex Fuel US. “Flex Fuel US has a proven track record of success converting vehicles over the last three years. This includes successful fleet demonstration project at the City of Chicago and one underway through the State of Iowa’s DOE Energy Independence Grant. We have proven we can reliably develop, install, and operate E85 conversion systems across multiple vehicle manufactures and engine platforms.”

Flex Fuel US is rolling out conversion systems to federal, state, and municipal fleets to accelerate conversion of legacy vehicles. “We look forward to developing E85 conversion products on vehicles that are not available in Flex Fuel models such as fuel efficient compacts, hybrids and high performance vehicles.” Says Mitch Sremac, founder and inventor.

E85, Equipment, Ethanol, Ethanol News, Flex Fuel Vehicles, News