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Sugarcane Harvest Begins in Brazil

Joanna Schroeder

Brazil’s 2010/2011 harvest officially begins today, and it is predicted that there will be a 10 percent increase in sugarcane production this year, as compared to last year. This according to the Brazilian Sugarcane Industry Association (UNICA) who is estimating that the sugarcane harvest should reach 595.89 million tons, compared to 541.50 million tons last season. Final 2009/10 production numbers are expected in the next few weeks as the harvest season officially came to a close yesterday.

According to UNICA’s Technical Director, Antonio de Padua Rodrigues, the increased harvest forecast has to be carefully evaluated. “The cane available for ethanol and sugar production in the 2010/11 harvest is virtually the same as in the 2009/10 harvest, which was severely hampered by unfavorable weather conditions. In other words, in terms of crushing, the new harvest should be what the industry was simply unable to complete in the previous harvest.”

According to UNICA, the data collected via satellite images shows no discernible expansion of the area dedicated to growing sugarcane. The expected increase is actually due to a large volume of “bisada” cane, sugarcane that was not processed in the last harvest and has now been growing for two years. Another factor for the larger production is attributed to the gradual increase in production at new mills, especially in the states of Mato Grosso do Sul Goias and Minas Gerais.

Of the total cane volume expected for the 2010/11 harvest, UNICA projects that 43.29 percent will be destined for the production of sugar, and 56.71 percent will be used for ethanol production. Of the ethanol production, estimated to be 27.39 billion liters, 20.14 billion are expected to be produced as hydrous ethanol.

Last season’s reduced harvest caused the amount of ethanol mandated by the country to be lowered. If this season’s harvest goes as predicted, it is anticipated that the ethanol blend levels will be increased to former levels.

Ethanol, News

UK Report on Food Crisis Vindicates Ethanol

Cindy Zimmerman

A new report commissioned by the UK’s Department for Environment, Food and Rural Affairs (DEFRA) has concluded that drought and high oil prices, not biofuels, were behind the so-called food crisis of 2007/2008.

defra“Available evidence suggests that biofuels had a relatively small contribution to the 2008 spike in agricultural commodity prices,” the report noted. “Studies which have found a large biofuel impact across agricultural commodities have often considered too few variables, relied on statistical associations or made unrealistic or inconsistent assumptions.”

The Global Renewable Fuels Alliance (GRFA) welcomed the report’s findings. “This food crisis event in 2008 allowed critics of ethanol to make an easy scapegoat of the industry during a period of unprecedented expansion in ethanol production,” said GRFA spokesperson Bliss Baker. “This is a lesson for us all about the dangerous impact of rising oil prices and the willingness to look to an easy answer, not necessarily the right answer.”

The report found that speculators responding to rapidly declining global wheat stocks caused by ongoing drought originally triggered the crisis, which was exacerbated by countries imposing export restrictions on grains that drove prices even higher. The simultaneous spike in crude oil prices to record levels put upward price pressure on all commodities making the food crisis a truly global event. “The primary impact of high oil prices on agricultural commodities seems still to be through the supply-side, via increased costs of production, rather than the emerging demand-side channel of biofuels,” the report noted. “Fuel and fertiliser account for over half of operating costs of crop farms but many commentators have ignored oil’s ongoing importance as an input into agricultural production.”

Going forward, the report is very optimistic about the world’s ability to respond to both demand for biofuels and the need for additional cropland citing vast amounts of under utilized agricultural reserves around the world.

Read the full report here.

biofuels, Ethanol, Ethanol News, food and fuel, Food prices, International

Siemens to Provide Cape Wind Turbines

John Davis

Siemens will be the supplier of 130, 3.6-Megawatt (MW) turbines for Cape Wind, America’s first planned offshore wind farm off the coast of Massachusetts … if the project is ever built.

This Cape Wind press release says Siemens will also open a U.S. Offshore Wind office in Boston:

“We are pleased to be working with Siemens which is a market leader in offshore wind and we are thrilled Siemens is bringing clean energy jobs to Massachusetts by opening up its U.S. Offshore Wind office in Boston. This agreement between Cape Wind and Siemens represents a major step forward to jumpstarting the American offshore wind industry and increasing energy independence, creating a healthier environment while producing hundreds of green energy jobs,” said Jim Gordon, Cape Wind President.

The Siemens 3.6-MW offshore wind turbines are an industry ‘workhorse’ with 1,000 units sold and 150 units installed and successfully operating.

“While the onshore wind industry is well developed in the U.S., the United States offshore wind resources still offer a vast, untapped source of renewable energy potential. The final approval of the Cape Wind offshore wind farm will be key to the success of the offshore wind industry in the U.S.,” Randy Zwirn, President and CEO of Siemens Energy, Inc. stated.

As anyone who has been following this story knows that it’s not a done deal. About a week ago, the the federal Advisory Council on Historic Preservation held a hearing that could be the end of a nearly 10-year-old fight over the plan to build the wind turbines in Nantucket Sound. If the Department of Interior approves of the project, it could open up green energy and green jobs for the area … unless, of course, the Kennedys and other millionaires find a way to shut it down. Stay tuned.

Wind

Biodiesel Focus of GM, DOE Study

John Davis

General Motors has announced a five-year partnership with the U.S. Department of Energy to study using jatropha plants for biodiesel.

UPI reports that the test sites in India will look at whether jatropha can produce enough oil for the green fuel:

Farms with more than 200 acres of the drought-resistant, non-edible plant will host life-cycle studies near GM plants in India.

“In the long term, if jatropha is commercially viable, it will reduce dependence on petroleum as well as reduce greenhouse gas emissions and promote economic growth,” said Mike Robinson, GM vice president of environment, energy and safety policy.

GM officials say the non-edible plant will also help defuse the food-versus-fuel argument.

Biodiesel, Car Makers, International

METRO Biofuels To Promote Bioheat

Joanna Schroeder

Heating oil is common on the East Coast and so many companies are looking for ways to replace heating oil with alternative sources. Today, METRO Biofuels, based in Brooklyn New York, announced that it is supporting a neighborhood coalition to promote cleaner air quality by using “bioheat” to heat buildings. METRO is the largest independent marketer of bioheat for the New York Metropolitan area, and later this year, plans to open a 110-million-gallon capacity processing facility in Greenpoint, Brooklyn which will create more than 60 green collar jobs and ensure a steady in-city supply of biodiesel for buildings and truck fleets.

The coalition, led by Council Member Jessica Lappin, who represents parts of the Upper East Side, was formed in response to a recent New York City Department of Health air quality survey that listed the neighborhood as having among the City’s worst air quality.

“We got a real wake up call from the Health Department’s report last December,” said Council Member Lappin. “It’s scary. This is what we breathe every day and we need to take some drastic steps soon to improve our air quality. Switching to biodiesel fuel is one way we can start to make a difference right away. We also need to be looking at things like solar power, green roofs, and energy efficient upgrades to further clean our air.”

According to the company, bioheat is a blend of traditional heating oil and biodiesel that is made from a wide variety of vegetable or plant oils including used restaurant grease. Read More

Biodiesel, bioenergy, News

Gilbarco Expands Pump Warranty for E15

Gilbarco Veeder-Root, a company that provides fueling and retail management systems for convenience stores, hypermarkets and service stations, announced today that they have upgraded the warranty on their standard fuel dispensers to cover use of ethanol content up to E15. Gilbarco is the first supplier in the industry to announce this change for fuel dispensers that are under warranty in the field. These dispensers are currently Underwriters Laboratories (UL) approved for ethanol up to E10 under the UL 87 standard.

“We are pleased to lead the market with the expansion of our current warranty from E10 to E15, ensuring that our customers are covered if the current E10 standard is broadened to E15,” said Richard Browne, Vice-President Marketing, North America at Gilbarco Veeder-Root. “Our standard fuel dispenser models, currently UL listed to 10% ethanol, will now carry a warranty for up to 15% ethanol. This change is retroactive to Gilbarco® dispensers manufactured or commissioned in North America since April 1, 2008. Models include the Gilbarco Encore® and Legacy® series dispensers, as well as the Gasboy® Atlas® product line.”

“Our customers can be confident that Gilbarco and Gasboy will honor warranty claims and otherwise support the dispensers they have recently purchased or are considering, should the blending standards change to E15,” Browne said.

Gilbarco Veeder-Root is the industry’s leader in alternative fuels dispensing technology with a full range of flexible fuel solutions. Earlier this month, the company obtained UL and National Conference on Weights and Measures approval for 19 Gilbarco Encore flexible fuel dispenser models for use with blends up to E25.

Ethanol, Ethanol News, News

More Corn Acres for Food and Fuel

Cindy Zimmerman

More corn acreage is in the forecast for this year, according to the USDA Prospective Plantings report out today, and there is still plenty more in storage.

USDAAccording to the forecast, farmers intend to plant 88.8 million acres of corn in 2010, three percent more than both last year and 2008. Meanwhile, the Grain Stocks report shows corn stocks as of the beginning of this month were up 11 percent compared to last year at 7.69 billion bushels.

Matt Hartwig with the Renewable Fuels Association says the numbers show that farmers are producing plenty of corn for both food and fuel. “Corn in storage at this point in the year is at its highest level since 1987, a year in which an all-time record surplus of corn was recorded,” Hartwig notes. “The amount of corn currently stored on farms (4.6 billion bushels) is larger than the amount of corn that is expected to be processed into ethanol in 2009/10 (4.2 billion bushels).” Hartwig also points out that the total amount of corn in storage right now (7.7 billion bushels) “is larger than the total amounts of corn harvested annually as recently as the early 1990s.”

Early reaction to the prospective plantings report is that corn acreage will likely be higher than forecast. While the report estimates corn acreage will increase by 300,000 or more in Illinois, Kansas, Missouri and Ohio, a decrease of 200,000 acres is forecast for Iowa. However, corn growers in Iowa say they definitely expect to see their acres increase when it’s all said and done. Northeast Iowa farmer Tim Burrack, chairman of the Iowa Corn Promotion Board, says the survey was done a few weeks ago when the weather still looked pretty bleak, but that has turned around dramatically. “In our area, I am amazed at how quickly winter left and spring came,” Burrack said during a telephone press conference Wednesday morning. Field work has been underway since Friday and he says they should be ready to plant as soon as the soil warms up.

In southwest Iowa, grower Kevin Ross says the corn that was left unharvested over winter also probably had an impact on the acreage estimate, but the combines are running now and getting the last of that corn out of the fields so they will be ready to plant. Ross says more corn means more ethanol, which means it is even more important for the EPA to approve E15 blends for gasoline. “With the huge stocks being carried out and this extra increase in acres, plus the bushel per acre increase last year, it’s really critical to the success and livelihood of corn farmers to get this corn crop marketed,” he said. “For me and farmers all across the US, E15 being approved by EPA is really very important and I sure as heck hope they see that it’s a good way to go … we need that market.”

Weather in the corn belt this week is nearly ideal for field preparation and soil warming so farmers are hopeful they will not see the planting delays they have experienced the past two years.

Ethanol, Ethanol News, Farming, RFA, USDA

Constellation Energy Completes Solar & Wind Project

Joanna Schroeder

While President Obama only gave a cursory comment about the role of solar and wind in our energy future in his remarks this morning, these industries continue to move forward with completion of renewable electricity projects. Today, Constellation Energy announced that its subsidiary, Constellation Energy’s Projects & Services Group, has completed the installation of a 1.2 megawatt solar and wind power system at the University of Toledo’s Scott Park Campus of Energy and Innovation in Toledo, Ohio. The campus will use the wind and solar project for two purposes: sustainable energy and offer students first-hand experience in renewable energy technologies.

“The creation and production of clean, renewable energy sources is vital to the way we power our world. That’s why The University of Toledo created the Scott Park Campus of Energy and Innovation,” said UT President Dr. Lloyd Jacobs. “Our relationship with Constellation Energy for the solar and wind electric generation systems on that campus will help students and researchers advance the technology that will power our future.”

The project utilizes thin-film-on-glass photovoltaic solar technology that was originally developed based on the University’s own research. Constellation Energy’s Projects & Services Group also installed a 132-foot wind turbine at the site. Together, the solar and wind systems are annually expected to generate the power equivalent to the amount of electricity used by 140 homes in a year. Generating that same amount of electricity using non-renewable sources would result in the release of more than 1,000 metric tons of carbon dioxide and the equivalent of the emissions from 200 passenger vehicles per year.

Constellation Energy finances, designs, constructs and owns these solar installations and supplies power generated on-site to the customer over a period of 15 to 20 years. This creates an attractive and affordable model that requires no upfront capital from customers, such as The University of Toledo, and reduces customers’ use of power from the electrical grid and associated carbon emissions.

News, Solar, Wind

Berkeley Lab Awarded Funds for Biofuels Research

U.S. Department of Energy (DOE) Assistant Secretary for Energy Efficiency and Renewable Energy Cathy Zoi announced today that Lawrence Berkeley National Laboratory (Berkeley Lab) will receive almost $18 million from the Recovery Act to build an advanced biofuels process development facility from the U.S. Department of Energy (DOE). This grant will assist researchers with studies of next generation biofuels by providing industry-scale test beds for innovative technologies called Advanced Biofuels Process Development Unit (PDU).

“The Advanced Biofuels Process Development Unit will serve the efforts of major biofuels research across the nation, including the Bioenergy Research Centers in the DOE Office of Science,” said Berkeley Lab director Paul Alivisatos. “The establishment by EERE of this facility at Berkeley Lab, a DOE Office of Science national laboratory, reflects a renewed spirit of cooperation between the DOE technology and science programs. Berkeley Lab is proud to play its part.”

Zoi added, “The Department of Energy is committed to developing cost-effective and sustainable advanced biofuels. With this investment in the Advanced Biofuels PDU, we will vastly increase the capacity to test new innovative approaches on a larger, integrated scale. Scaling up these clean energy technologies is crucial to addressing climate change and building a strong, domestic clean energy economy.”

The Advanced Biofuels PDU is scheduled to be fully operational by early 2011. The facility will be a publicly available facility where researchers can integrate process steps and test innovative technology pathways, such as those being developed at DOE’s Office of Science Bioenergy Research Centers, and it will be the only one of its kind available for public use.

biofuels, Government, News

New Energy Plan – Offshore Drilling

Joanna Schroeder

President Obama gave a speech this morning from a hanger at Andrews Air Force Base reiterating our country’s need for energy independence. This will be done, he says, through energy initiatives and the government will “lead by example.” In the background, a Navy Green Hornet jet that will fly on a mix of 50 percent biomass on earth day next month.

I believe the only group that will be truly happy after today’s speech is our frenemy Big Oil. Obama said, “So today we’re announcing the expansion of offshore oil and gas exploration, but in ways that balance the need to harness domestic energy resources and the need to protect America’s natural resources. Under the leadership of Secretary Salazar, we’ll employ new technologies that reduce the impact of oil exploration. We’ll protect areas that are vital to tourism, the environment, and our national security. And we’ll be guided not by political ideology, but by scientific evidence.”

They will be guided by scientific evidence? Whose scientific evidence? If we developed policy that was based on sound science, we wouldn’t have two pieces of legislation, the Renewable Fuels Standard (RFS2) and California’s Low Carbon Fuel Standard that are shamelessly based on the misguided and not scientifically supported theory of indirect land use.Read More

Biodiesel, biofuels, Ethanol, Legislation, Oil, Opinion