ACE Conference 2026

Biodiesel Boosts Renderer’s Bottom Line

John Davis

darlingA Texas-based company that has made its living rendering grease and animal carcasses has seen a recent boost to its bottom line… thanks to biodiesel.

CNNMoney reports that Darling International, a company that picks up the waste at 116,000 restaurants and slaughterhouses and is the largest independent renderer in the nation, has also turned profits of $55 million. That makes it CNNMoney’s 13th fastest growing company of 2009, in part, because of its investment in the green fuel:

Now Darling is eyeing a potentially lucrative new market: renewable fuels. The industrial giant Honeywell approached Darling 2½ years ago offering to license technology to make “green diesel” fuel using animal fats.

For 30 years biodiesel has been produced by combining vegetable oil and diesel. But as analyst Jin-Ming Liu of Ardour Capital explains, the fuel gums up engines and performs poorly in cold weather. Researchers have been studying a more efficient formula using animal fats for the 60-billion-gallon-a-year diesel market.

Since a green diesel refinery costs twice as much to build as a standard biodiesel plant, Darling sought a Big Oil partner for capital and refining know-how. It had little luck courting one…

Now things are different. As part of the latest government energy act, the U.S. Department of Energy is offering loans for up to 80% of the cost to build a renewable-fuel factory. Darling just announced that Valero Energy has agreed to be a partner in its proposed $270 million green diesel plant in Louisiana. The government’s final loan decision may come early next year.

Analysts say while animal fats and greases equal just 5 percent of the diesel the country needs, it’s enough to keep this specialty company going and growing.

Biodiesel, Miscellaneous

MotionPower Moves to Big Rigs

John Davis

MotionPowerA couple of weeks ago, Joanna told you about how a company had installed a system that would capture the energy of cars and light trucks that went through a fast-food drive through (see her post from Sept. 14, 2009).

Now, New Energy Technologies has announced it has successfully tested its MotionPower technology for generating electricity from the movement of heavy trucks and long-haul vehicles, and the renewable energy company will now develop a full-scale system suitable for field testing, and ultimately, commercial deployment:

The Company’s MotionPower™-‘Heavy’ system for heavy vehicles has been engineered to generate electricity while addressing utility demands and commercial considerations unique to large vehicles, including minimizing payload disruption, ensuring passenger comfort, and making special allowances for integration of the system at commercial trucking sites such as ports, weigh scales, border crossings, and central distribution sites.

Heavy-duty trucks have up to 25 times more kinetic energy than a typical car traveling at the same speed. New Energy Technologies Inc.’s engineers have developed the MotionPower™-Heavy technology as a fluid-based system, uniquely capable of drawing significant amounts of energy from a single vehicle without jarring its payload or creating passenger discomfort. The efficient transfer of energy from heavy vehicles to the MotionPower™-Heavy system ensures greater electricity production and easier device adoption.

Company officials believe the system will be scalable for electrical generation.

You can see a video of the technology here.

Energy, technology

Ethanol Group Finalizing Comments to EPA

Cindy Zimmerman

The Renewable Fuels Association today released comments to be filed with the Environmental Protection Agency regarding proposed regulations to implement the expanded renewable fuel standard (RFS) program enacted by Congress in the Energy Independence and Security Act (EISA) in 2007.

RFA“Reducing America’s dependence on foreign oil was part of the Energy Security Act, providing economic opportunity and job creation and supporting rural communities were all equally important goals,” said RFA president and CEO Bob Dinneen during a press conference to announce the organization’s comments. “We’re concerned that EPA appears to be ignoring those objectives as it pursues greenhouse gas reduction based on unproven theory.”

In specific comments to be submitted to EPA, Dinneen says they will stress that, “International indirect land use change simply should not be included,” Dinneen said. “Congress did not intend to penalize America’s ethanol producers for decisions made by farmers and governments in other countries.”

The RFA also released a report conducted by Informa Economics that will be included in comments submitted to the EPA. “It calculates that the land needed to meet the demands of the growing RFS mandate would be in the range of 2.2 million acres,” said Dinneen. “Put in perspective, that is one half of one percent of U.S. crop land, one tenth of one percent of world cropland, and six 100ths of a percent of world arable land – certainly not enough to have any meaningful impact on greenhouse gases across the globe.”

Dinneen says RFA is in the process of finalizing its comments to EPA, which will be submitted tomorrow on the final day of the comment period.

Listen to Dinneen’s opening comments here:

Ethanol, Ethanol News, Government, Indirect Land Use, RFA

EPA Admits Uncertainty in Indirect Land Use

Cindy Zimmerman

A group of Midwest senators led by Senator Tom Harkin (D-IA) dropped an amendment to appropriations legislation that would have prohibited the EPA from spending funds to include international indirect land use change (ILUC) emissions in the implementation of the Renewable Fuels Standard (RFS).

Sen. Harkin withdrew his amendment after receiving a letter from EPA Administrator Lisa Jackson that promised the agency would be taking a closer look at the proposed regulation regarding ILUC that would penalize biofuel production such as corn-ethanol.

Jackson said in her letter that it is “clear that there are significant uncertainties associated with these estimates and in particular, with the estimate of indirect land use change.”

“Therefore, I have asked my staff to quantify the uncertainty associated with specifically the international indirect land use change emissions. They are working closely with USDA as well as incorporating feedback from experts who are commenting on the rule. This analysis will allow us to quantify the impact of the uncertainty on the lifecycle emissions. We will present these estimates in the final rule, and I plan to incorporate those estimates of uncertainty in my regulatory decisions.”

Harkin was pleased with the EPA administrator’s admission and promise to address the issue. “I think our amendment got EPA’s attention,” Harkin said.

Ethanol, Ethanol News, Government, Indirect Land Use

Industrial Biotech To Save 2.5 Billion Tons of CO2?

Joanna Schroeder

wwf_logoA new WWF report, “Industrial biotechnology – more than green fuel in a dirty economy,” has concluded that industrial biotechnology could generate between 1 and 2.5 billion tons of greenhouse gas reductions per year by 2030, as well as build a new green economy that works with nature to meet human needs. As such, the WWF is calling for increased political backing for the industry to leverage the positive environmental effects. The findings were peer-reviewed by Novozymes as well as WWF experts.

“In a few years sugar will be the new oil. Already today close to 200 biorefineries are operating in the U.S. and yet we have only seen the beginning. Industrial biotechnology today is a sector with a number of pioneers who are demonstrating that this is technically feasible,” says Steen Riisgaard, CEO of Novozymes. “However, to make the biobased economy into reality, they will require political backing. Novozymes is dedicated to helping ensure a radical shift in the way our societies work, and to reduce our dependency on oil.”

In 2008, the use of Novozymes’ technologies across industries resulted in the reduced CO2 emissions totaling more than 28 nzlogomillion tons – the equivalent of taking 4 million cars off the road.

“WWF sees industrial biotech as an industry that can play a very significant role in the development of a new, green economy if developed in the right way. The world can’t afford to ignore this opportunity,” says John Kornerup Bang, Head of Globalization Programme for WWF.

Click here to read the full press release. Click here to download the full report.

Biotech, Environment, global warming, News

Register Now For Advanced BioEnergy 2009

Joanna Schroeder

ABE-logo_webThe first annual Advanced BioEnergy 2009 Conference & Trade Show is set to happen in Sacramento, California on November 11-13, 2009. The focal point of the event is to explore emerging policies, business strategies and technologies driving the bioenergy industry. In addition, the conference will promote cooperation between this advanced bioenergy industry and traditional energy producers as well as offer paths forward.

Topics include emerging value chains, renewable hydrocarbons, electrical generation from biomass, MSW-to-Energy, dedicated energy crops, policy updates, and more.

Plenary speakers include:

  • *Doug Cameron Managing Director & Chief Science Advisor, Piper Jaffray & Co.
  • *Clark Brinkley Managing Director, International Forestry Investment Advisors
  • *Don Roberts Managing Director, CIBC World Markets
  • *Andrew Lear Manager of Partnerships, Planning & Analysis, Catchlight Energy LLC

Registration is $695 if you sign up by October 9, 2009. Click here to learn more information about the conference.

biofuels, biogas, biomass, biomethane, conferences

Oregon to ‘Save’ Garbage for Energy

Joanna Schroeder

20080103_landfillOregon is the latest state to look to garbage for energy. Waste Management and McMinnville Water & Light will soon use everyday garbage to power thousands of homes. The $10 million plant will be sited next the landfill west of McMinnville. This plant is the first for Yamhill County and is expected to be operational by mid-2010. Once completed, the energy created will be used to power 2,500 homes.

George Duvendack, Riverbend’s district manager said in a company statement, “Our groundbreaking ensures that not even garbage will go to waste. By investing in landfill-gas-to-energy, we are developing clean and renewable energy to power homes and advance sustainability in our community.”

The plant works by collecting methane gas–created from the natural decomposition of waste–from the landfill through a network of underground pipes. From there, the gas will be used to power engines, which will then generate electricity on-site for sale to McMinnville Water & Light. The EPA has endorsed landfill gas an an environmental friendly energy option.

“Landfill gas is an especially smart option for us because it is a resource we already have in the community. That translates to lower costs for customers because there are no transmission fees,” said Paul Elias, general manager of McMinnville Water and Light. “The fact that landfill gas is renewable and reliable is important as well. Wind and solar are renewable, but not as reliable. With gas from Riverbend, we will have a steady and reliable source of clean and low-cost energy for decades to come.”

Waste Management is also developing a similar energy plant at its Columbia Ridge Landfill, located in Arlington, Ore., which is expected to go on-line later this year.

biomethane, Energy, News

Renewable Energy One of Obama’s Pillars in UN Speech

John Davis

ObamaUNRenewable energy was part of Barack Obama’s speech to the United Nations today, as the American president outlined his vision for the future before the world body.

Obama told delegates that the U.S. has spent $80 billion in clean energy. But the overall efforts of using renewable energy to save the climate are for the entire world:

We will move forward with investments to transform our energy economy, while providing incentives to make clean energy the profitable kind of energy. We will press ahead with deep cuts in emissions to reach the goals that we set for 2020, and eventually 2050. We will continue to promote renewable energy and efficiency, and share new technologies with countries around the world. And we will seize every opportunity for progress to address this threat in a cooperative effort with the entire world.

Another world leader made a more personal appeal for the world to address climate change. President Mohamed Nasheed of Maldives, an Indian Ocean island nation that could simply disappear if rising oceans were not checked, told the U.N. that more than speehes are needed to save his country from a watery fate.

global warming, Government, Miscellaneous

Proposed EPA Regs Would Cost Corn Growers

Cindy Zimmerman

A study commissioned by the National Corn Growers Association finds that proposed regulations by the U.S. Environmental Protection Agency to implement the expanded Renewable Fuel Standard would cost the ethanol industry as much as $420 million a year.

NCGAThe study found that the up-front cost to the ethanol industry for compliance with the new regulations could total $30 million, with annually recurring compliance costs reaching up to $420 million.

Higher costs for ethanol producers mean increased costs for corn growers, said Steve Ruh, chairman of NCGA’s Ethanol Committee. “Paperwork has a price,” Ruh said. “At a time of economic recession, the last thing any industry needs are new regulations – especially unneeded recurring reporting requirements – that can cost up to a half-billion dollars a year.”

Ruh says the cost of the new regulations at the farm level will mainly be in the form of extra management and recordkeeping time associated with the “renewable biomass” definition. It is also possible that in some geographic areas other costs will be forced down to the farmer level of the supply chain.

The report, “Compliance Costs Associated with the Proposed Rulemaking for RFS2,” was prepared by Informa Economics.

corn, Ethanol, Ethanol News, Government

Minnesota Governor Talks Ethanol

Cindy Zimmerman

Minnesota Governor Tim Pawlenty supports an increase in the amount of ethanol blended into gasoline to at least 15 percent and is hopeful about the future of next generation biofuels.

Tim Pawlenty at Syngenta SeedsThe governor who might run for president in 2012 answered several questions about ethanol from reporters after helping celebrate the grand opening of the new Syngenta Seeds headquarters in Minnetonka, MN earlier this week.

On the topic of increasing the allowable ethanol blend to 15 percent, “That’s something we have pushed in Minnesota and there’s some good work that has been done at Minnesota State at Mankato showing you can use 15 percent or more without damaging the engines,” Pawlenty said. “We’ve tried to encourage EPA to look at that and they seem to be unwilling or unable to make a decision so far.”

The governor is proud of the ethanol industry in Minnesota and the work being done by companies like Syngenta Seeds to increase corn yields to meet the demand for food, feed and fuel. “We’re going to have to have technological breakthroughs, yields are going to have to be increased,” he said. “That’s why Syngenta is so important, not just for the economy in general, but for that whole mission.”

Pawlenty also looks forward to breakthroughs that will lead to the large scale commercialization of cellulosic ethanol. “We’re hopeful that we’ll see next generation biofuels in the not too distant future based on cellulosic ethanol,” he said. “So far in terms of being able to deploy it, it’s been somewhat small scale but we’re hoping there will be more breakthroughs on that.”

Gov. Pawlenty has announced he will not seek re-election as governor and after his appearance at the Values Voter Summit over the weekend and preparations to launch a national fundraising committee has fueled more speculation that he is considering a run for president in 2012.

Ethanol, Ethanol News, Government