RFS2 Rules Released – Industry Reponds

Joanna Schroeder

After a two-month delay, the Environmental Protection Agency (EPA) has finally announced the final rule for the implementation of the second phase of the Renewable Fuel Standard, aka RFS2. As part of the rules, the EPA will both set the national mandatory blend levels as well as monitor compliance through its new reporting system. The monitoring system will also track carbon emissions of fuels which will be required to be reduced as the RFS progresses.

“EPA was right to recognize that ethanol from all sources provides significant carbon benefits compared to gasoline,” said Renewable Fuels Association President Bob Dinneen. “As structured, the RFS is a workable program that will achieve the stated policy goals of reduced oil dependence, economic opportunity, and environmental stewardship.”

Dinneen continued, “The RFS is the public policy building block upon which America’s renewable fuels industry will be built. Today’s industry and tomorrow’s ethanol producers require stable federal policy that provides them the market assurances they need to commercialize new technologies. To that end, EPA has achieved that goal.”

RFA expressed their disappointment once again with EPA’s reliance on unproven science and reiterated that regardless of what “science” is used for the GHG calculations, all ethanol boasts an improvement over gasoline. Despite the areas where RFA disagrees with the new rules, they stated, “At the end of the day, the RFS is public policy that can and will work effectively.”

Click here to read RFA’s full response to the rules.

Listen to “The Ethanol Report” for an interview with RFA’s Matt Hartwig on the decision.

Ethanol, Ethanol News, Legislation, RFA

New Study Shows Soy-Biodiesel’s Green Ways

John Davis

While soybean-based biodiesel has been unfairly knocked at times for not being as environmentally friendly as it should be, a new study shows just how green fuel from the bean really is.

A new peer-reviewed life cycle profile released by the United Soybean Board (USB) documents multiple energy and environmental benefits of U.S. soybean farming and processing, including biodiesel. This press release has details:

“This profile is the first comprehensive life cycle study covering U.S. soybean production through four major biobased products,” said Wynne, Arkansas soybean farmer John Cooper, a USB Director and Member of the USB Domestic Marketing Committee. “U.S. soy already delivers environmental and energy benefits. It’s exciting to see the trends point to even more in the future.”

The study provides an important resource for companies to update life cycle assessments on their specific products made using U.S. soy.

“The United Soybean Board’s study sheds even more light on why biodiesel is good for the environment,” says National Biodiesel Board Director of Sustainability Don Scott. “Biodiesel production and use recognizes and builds on this progress.”

For example, biodiesel production facilities reduced their energy consumption by 27% compared to the 1998 data. Biodiesel has even more benefits when one calculates the emissions reductions when it is used to fuel a vehicle.

A key objective was to update life cycle inventory (LCI) databases for soybean production and processing as well as conversion into four key soy-derived feedstocks (methyl soyate, soy lube base stock, soy polyol, and soy resin) used in fuel and industrial products. Its cradle-to-gate scope begins with soybean farming (the cradle) and goes through processing of products (the gate).

Another important aspect of this study is that it’s based on U.S. agricultural data for the 2001-2007. The data the Department of Energy’s U.S. Life Cycle Inventory is based on comes from 1998 to 2001. And it contains soybean crushing information not previously available.

Biodiesel, Soybeans

OriginOil Unveils System for Algae Growth & Harvest

John Davis

Our friends at OriginOil, Inc. have developed a comprehensive pilot system for algae growth and harvesting.

This company press release says OriginOil unveiled the system during an event at its Los Angeles headquarters:

At the event, Riggs Eckelberry, OriginOil CEO, spoke to the assembled group of core investors, celebrities and members of the press. “I’m very proud of our team that has worked so hard over the months to make our technologies work in a complete pilot system,” he said. “Until now we have been in pure research and development. Now we have turned the corner to commercialization of our technologies. It’s a historic milestone for us.”

At the heart of the new system is a series of 200-gallon tanks which can be individually configured and managed for various strains, growth strategies, and lighting geometries. The tanks are now illuminated with LED light sticks submerged in icicle-like arrays. A stirrer circulates the algae slowly around the lights.

The system uses an integrated extraction system, a combination of ultrasound generation and low-power electromagnetic pulsing, which you can see in the link of the time-lapse video on the right. It will crank out 5 gallons a minute and also uses a series of settling tanks to separate the oils and biomass. Finally, a water recycling system completes the loop so the process can start again.

See more for yourself at www.originoil.com.

algae, Biodiesel

BAS, Mcgyan to Offer Turnkey Biodiesel Operations

John Davis

Ohio-based Biodiesel Analytical Solutions is teaming up with Minnesota’s Mcgyan Biodiesel, LLC to offer a commercial version of Mcgyan’s cutting-edge biodiesel process technology. A company press release touts the process as something that will “revolutionize an antiquated process and revitalize the withering industry,” and you can see the two companies kick-off their partnership next week at booth #906 at the 2010 National Biodiesel Conference & Expo, in Grapevine, Texas:

Mr. Steven Rupp, president of Mcgyan Biodiesel, LLC, explains, “Mcgyan and BAS will offer the world market a one-stop shop for the cutting-edge Mcgyan® biodiesel process technology. Our comprehensive package of value-added services will include site selection, technology licensing, plant design, plant engineering services, remote plant monitoring, supply of catalyst and other core plant equipment, plant management, plant operator training, feedstock prequalification & procurement, and final product marketing. By offering a turnkey solution to those passionate about investing in the creation of biodiesel production facilities, Mcgyan and BAS will ensure that the Mcgyan Biodiesel brand becomes synonymous with the highest quality biodiesel fuel product on the market.”

Mr. Mark Fashian, president of Biodiesel Analytical Solutions, notes, “the BAS sales force is excited to sell this technology. We believe this process will single-handedly revitalize the biofuels market worldwide.” Mr. Fashian went on to say that “BAS is the premier quality laboratory sales and service provider in the biodiesel industry. It is a perfect fit for our team to also sell a process that consistently
produces ASTM D6751 compliant biodiesel to an industry that has been struggling to meet compliance with the traditional process technologies that have been used since the 1930s.”

The Mcgyan® biodiesel process technology has been around for about three years and combines triglycerides or free fatty acids with an alcohol to produce biodiesel. Usually, large-scale production of biodiesel using triglycerides has some unwanted side reactions that produce soaps and uses numerous water-intensive neutralization and fuel washing steps. But the Mcgyan process overcomes most of these issues and allows for the ultrafast continuous production of biodiesel without waste and unwanted glycerol byproducts. Check ’em out at the National Biodiesel Conference & Expo!

Biodiesel, Biodiesel Conference

ZeaChem Successful in Cellulosic Fermentation Tests

Joanna Schroeder

ZeaChem released the results of its recent fermentation results of acetic acid, used in the conversion of biomass to biofuels. According to the company, the results demonstrated successful process scaling to a level that is 10,000 time greater than the standard scale used in lab tests. Fermentation units were scaled from 0.5 liter to 5,000 liters. Acetogens, which are naturally occurring, are highly robust and unlike yeast, produce no carbon dioxide during the fermentation process.

A ZeaChem Inc. engineer stands in front of a 5,000 liter fermentation tank at Hazen Research, Inc

The company has been collaborating with Golden Colorado-based Hazen Research on the tests. Hazen constructed and hosted the initial front-end process unit and provided the infrastructure and operational support. The initial test exceeded ZeaChem’s time goals for achieving the concentration level, greater than 50 grams of acetic acid per liter in less than 100 hours, as well as exceeded commercial acceptable acetic concentration levels.

“ZeaChem has met and exceeded its concentration and rate fermentation targets,” said Jim Imbler, president and chief executive officer of ZeaChem. “We now have sufficient evidence, based on mixed sugars, to indicate that our results are scalable to industrial production levels. Our process, using naturally-occurring acetogen bacteria and existing processes, exceeds the commercially viable threshold for fermentation. ZeaChem is meeting its milestones and continuing to move forward in deploying cellulosic biorefinery technology.”

Acetic acid is the first step in the hybrid biochemical and thermochemical process for creating cellulosic ethanol and bio-based chemicals, and the company’s next step is to concentrate and purify the ZeaChem produced acetic acid into a salable product, using an energy efficient, non-distillation based process. The company plans on building a 250,000 gallon per year facility in Boardman, Oregon and anticipates that the facility will be in production by the end of 2010.

Cellulosic, Company Announcement, Ethanol

Retech 2010 Kicks Off in DC

Joanna Schroeder

Retech 2010, the Renewable Energy Technology Conference and Exhibition, kicks off in Washington, DC tomorrow. The conference is co-produced by the American Council On Renewable Energy (ACORE) and TradeFair Group. Nearly 300 exhibitors from all sectors of renewable energy are expected to participate.

In addition to the exhibition, there is a Business Conference that will feature more than 250 speakers sharing their insights and knowledge about alternative energy. There are several parallel tracks that will be held during the three days with concentrations on core areas including geothermal, wind, solar, hydro, biomass, biofuels, and waste energy. Additional hot topics encompass the  challenges and opportunities in the green electricity and green building sectors along with industry leaders discussing the innovative, comprehensive and entrepreneurial strategies that will be needed to ensure the sustained growth of the renewable energy industry.

Poet CEO Jeff Broin will discuss ethanol’s impacts during the opening plenary session on Wednesday along with Carol Browner, Assistant to the President for Energy and Climate Change as well as other leaders in the energy and the environmental arena. In addition, Doug Berven, Poet’s Director of Corporate Affairs, will also be speaking and is part of the panel discussion “Research and Development: Conventional Biofuels” to be held on Friday.

Click here to learn more about Retech 2010.

conferences, Energy

Evogene Researching Castor Bean for Biofuels

Joanna Schroeder

There is no shortage of potential feedstocks for biofuels and yesterday, Evogene Ltd based in Rehovot, Israel announced that it will be conducting field trials in Texas and Brazil of its proprietary castor bean lines. The trials will be conducted in conjunction with Texas AgriLife Research in Texas, which is part of the Texas A&M System, and South Cone Agriculture in Brazil. This is the first round of trials outside of Isreal and the castor beans have been designed for higher yield and growth on semi-arid land making it a candidate for second generation biofuel production.

According to Evogene, the purpose of the field trials in Texas and Brazil is to evaluate the lines when grown in the two main target locations for future commercial growth, and further develop them to local conditions. The semi-arid land potentially available for castor commercial growth in these areas is estimated at over 10 million hectares and the climate conditions are suitable for this purpose.

In a company statement, Ofer Haviv, Evogene’s President and CEO said, “During the past few years, in addition to our well-established and rapidly growing agbio trait activities, our biofuel activity has grown with the castor project being a key component. Both the U.S.A. and Brazil have strong potential in terms of land availability, commitment to biofuels and ability to develop large scale agriculture industries. We look forward to working with the professional teams at Texas AgriLife Research and South Cone Agriculture to test our castor lines and further develop them towards commercialization.”

Evogene selected castor beans in part due to the growing demand of biodiesel in Brazil and America, although the biodiesel industry in the U.S is currently undergoing some challenges with the expiration of its tax credit. The biodiesel industry is working furiously to get this, other other safe guards that will continue to move the industry forward, into place.

“There is an immediate need for a sustainable, widely available and cost efficient second-generation plant feedstock for biofuels. We believe that the castor bean varieties Evogene is developing can provide a solution for the industry,” concluded Haviv.

Biodiesel, biofuels, International, News

Biofueling Iowa’s Economy

Cindy Zimmerman

Renewable fuels are the backbone of Iowa’s economy, according to a report released last week by the Iowa Renewable Fuels Association (IRFA).

According to the report, “Contribution of the Biofuels Industry to the Economy of Iowa,” ethanol and biodiesel producers are part of a manufacturing sector that adds substantial value to agricultural commodities produced in Iowa and makes a significant contribution to the state’s economy.

* Accounts for nearly $11.5 billion, or about 8 percent, to Iowa GDP
* Generates $2.3 billion of household income for Iowa households
* Supports more than 70,000 jobs through the entire Iowa economy
* Boosts state tax revenue by $532 million.

“That is an awesome success story,” said IRFA Executive Director Monte Shaw in his address at the 4th Annual Iowa Renewable Summit. “At the same time, we must not rest on our laurels. Iowa and the nation must move quickly to realize the full promise renewable fuels represent.”

Shaw says that means approving ethanol blends up to 15 percent nationwide and for Iowa, urging the Iowa legislature to enact an E10 Fuel Quality Standard so that all gasoline in the state would contain at least 10 percent ethanol. “Why shouldn’t Iowa say that E0 poses too high a cost to our economy and our energy independence? Shouldn’t Iowa lead the way to make E10 the standard fuel with E15 available for those who choose it?” Shaw questioned.

Shaw also called on Congress to restore the federal blenders tax credit for biodiesel and for EPA to implement the federal RFS2 biodiesel usage requirement. “If we can couple those two federal actions with a B5 fuel quality standard here in Iowa, it will go a long way toward restarting Iowa’s 15 biodiesel plants,” he said.

Biodiesel, biofuels, Ethanol, Ethanol News

Tennessee Cellulosic Ethanol Demo Plant Opens

Cindy Zimmerman

Leaders from DuPont Danisco Cellulosic Ethanol (DDCE), University of Tennessee and Genera Energy gathered on Friday in Vonore, Tennessee to cut the ribbon on a new cellulosic ethanol demonstration facility. The 74,000-square-foot plant has now started producing ethanol from agricultural residue and bioenergy crops, including corncobs and switchgrass.

During the grand opening celebration, Kelly Tiller, CEO of Genera Energy and director of external operations for the UT Office of Bioenergy Programs, said, “The University of Tennessee Biofuels Initiative is the only fully integrated program that is working with farmers and agricultural industry to reliably supply the necessary feedstock so biorefineries can produce plentiful, affordable, renewable and sustainable fuels.” She said plans are for Tennessee farmers to place an additional 4,000 acres of switchgrass into production this spring, bringing the total production in the state to nearly 7,000 acres of the dedicated energy crop.

The state-of-the-art facility in Vonore has capacity to produce 250,000 gallons of ethanol annually, though its focus is on optimizing technologies for large-scale production.

Cellulosic, Ethanol, Ethanol News

US Gas Consumption Down, Biofuels Replacing Oil

John Davis

Three years ago, petroleum-based gasoline consumption was the highest the U.S. had ever seen. But thanks in part to biofuels, including biodiesel and ethanol, the amount of gas we use has actually gone down since the peak of 2007.

This article in the Kansas City Star says that while the recession and the increased popularity of smaller, more fuel efficient vehicles has helped cut petroleum use, alternative fuels have done their part and will cover any expected increases in fuel use. And by 2035, American motorists are expected to use less gasoline than they do now:

“We’re on a slow but inexorable path away from petroleum. This is a big deal,” said James Williams, an analyst with WTRG Economics, an oil and gas consultancy.

That decline is reverberating through the oil industry. Refineries now use only 78.5 percent of their capacity, the lowest level since the federal government began routinely collecting the information in 1990. Valero Energy, which once bought refineries enthusiastically, now snaps up ethanol plants instead…

Federal tax incentives for ethanol, though widely criticized, have helped increase production from less than 1 billion gallons in 1992 to 10.5 billion last year. That reduces by 5 percent the amount of gas the country needs.

The article goes on to say that the Energy Information Administration believes that in the next 25 years, petroleum will still account for 88 percent of the fuel for cars and light trucks with the rest coming from mostly ethanol, followed by electricity, natural gas, hydrogen and propane. And some experts believe that alternative fuels could grow even faster if the right infrastructure is put in place.

Biodiesel, biofuels, Ethanol, Ethanol News, News