USDA Loan Helps Minnesota Biodiesel Plant Expand

John Davis

usda-logo2A Minnesota biodiesel facility is getting a $25 million USDA Rural Development loan that will help the refinery expand the number of feedstocks it is able to turn into the green fuel… including the by-product of another green fuel:

soymorUSDA Rural Development is providing SoyMor Biodiesel a $25 million guaranteed loan to purchase equipment that will enable SoyMor to convert multiple types of feed stocks, including an unrefined corn oil waste product from nearby ethanol facilities, into biodiesel. In its current configuration, the plant only has the ability to process soybean oil.

The loan is the second USDA Rural Development has made under the Section 9003 Biorefinery Assistance Program of the 2008 Farm Bill.

USDA officials say the loan will restore nearly 30 jobs to the local Albert Lea community after the biodiesel plant had to suspend operations just more than a year ago. In addition, it will add value to the area’s ethanol industry.

Biodiesel, USDA

Cornell Opens New Biofuels Research Lab

Cindy Zimmerman

The latest national biofuels research facility opened this week in at Cornell University in Ithaca, NY.

cornell biofuelsThe main focus of the new $6 million, 11,000-square-foot Cornell Biofuels Research Laboratory will be on cellulosic ethanol.

“The Biofuels Research Laboratory catapults Cornell to the forefront of renewable energy research and becomes the centerpiece of the university’s broad portfolio of work on cellulosic biofuel and bioproducts,” said Cornell’s Dean of Agriculture and Life Sciences Susan Lynch during a ribbon cutting ceremony. “Many stand to benefit from the work of the Biofuels Research Laboratory, which holds great promise for transforming our economy and alleviating our nation’s energy crisis,” Henry said. “New York farmers will see new opportunities to grow the plant material used as inputs, workers will see job growth in the bioenergy sector, and we all gain from a more sustainable energy supply.”

Henry is pictured here in a Cornell University photo with professor and principal investigator Larry Walker, New York Agriculture Commissioner Patrick Hooker and Cornell President David Skorton.

Cellulosic, Ethanol, Research

Book Review – Energy Shift

Joanna Schroeder

energy-shift-coverThe world’s energy paradigm is shifting and this shift is going to affect every company, CEO, and person in the world. But how? It’s a question I’ve often wondered about so this week I read, “Energy Shift: Game-Changing Options for Fueling the Future.” This book was unique in that it targets business leaders and helps them understand the major forces that are changing how business is being done today. The authors Eric Spiegel and Neil McArthur both work for Booz & Company.

Although the authors cover off on a lot of topics, I wanted to highlight one thing in particular. The authors point out that meeting the world’s growing demand for electric power while limiting the emissions of greenhouse gases is the most urgent imperative for energy policy in the twenty-first century. Developing alternatives to coal has been much talked about as has how to store electricity. However, what you don’t hear as often and that the authors stated quite succinctly as it relates to handling the increase in global demand for electricity is this.

exhibit_8-21“One additional factor that may push demand even higher in the future is the advent of electricity as an alternative energy source for transportation: the the extent that plug-in hybrids and all-electric vehicles succeed in the marketplace, they will increase the demand for electricity in proportion to the decrease in demand for petroleum that they create.”

Despite all the attention to the world’s energy situation, the authors note that there has not been sufficient change in the reality of energy production to significantly shorten the timetable for the energy shift. How fast this will happen, they say, depends on how the three major areas of uncertainty are resolved.

  1. 1.  The future of greenhouse gas regulations.
  2. 2.  Energy Security.
  3. 3.  The pace of technological innovation.

So what happens when you mesh these three challenges together? No one knows. But the authors do make suggestions on how this transition can be smoother, faster and more effective, but you’re going to have to read the book to find out.

Click here to buy “Energy Shift”.

book reviews

What Does Sugarcane Have to Do With Global Warming?

Joanna Schroeder

global_warmingEverything. According to the Brazilian Sugarcane Industry Association (UNICA). The rationale? Brazil’s highly successful, 30-year experience with sugarcane as a feedstock for ethanol. The country’s ethanol program has been in place since the mid-70s. In this time frame, ethanol has saved nearly 600 million tons of greenhouse gas emissions. How much is that? It would take 20 years and six billion trees to have the same results.

Unlike any other country, Brazil’s use of ethanol makes gasoline the alternative fuel. In 2003, flex-fuel cars (FFV) were introduced and today 34 percent of the light vehicle fleet are FFVs and close to 90 percent of new light vehicles purchased are FFVs. In addition, 46 percent of the country’s energy is provided by renewable sources. In addition, all of Brazil’s nearly 400 sugar and ethanol mills are self-sufficient in electricity, and a growing number of mills are generating a surplus by using cane straw and bagasse,

According to the UNICA’s senior international affairs adviser Geraldine Kutas, “Brazil could be a low-carbon economy. Unfortunately, even though the country is a large renewable energy producer, it is also the fourth largest emitter of carbon, because of deforestation. The fight against climate change requires ambitious public policies and joint leadership from the government and the public sector.”

This is just one success story that will be highlighted during Green Week, June 23-26 in Brussels, the largest annual conference to focus on the European Union’s environmental policies. UNICA will participate in both a panel discussion, “Climate Change: What can be asked of emerging economies?” on June 24 as well as have a booth set up in the exhibit area.

For more information about other speakers, topics and events during Green Week, visit www.greenweek2009.alligence.com.

Cellulosic, Company Announcement, conferences, Flex Fuel Vehicles

VIASPACE to Discuss Giant King Grass as Energy Crop

Joanna Schroeder

cover_2009-071I reported several months ago about VIASPACE’s plans to expand the production of Giant King Grass to be used to produce advanced biofuels. VIASPACE is currently growing Giant King Grass in southern China and pursuing opportunities in other regions and countries. Today, the company announced that their Chief Executive, Dr. Carl Kukkonen, will be making several presentations at the China Agricultural University and the Biofuels and Jatropha Markets Asia conference in Jakarta, Indonesia, June 29-July 1, 2009. His presentation is entitled, “Giant King Grass: An Energy Crop for Cellulosic Biofuels and Electric Power Plants.”

VIASPACE is developing the technology to create “grassoline” through the production of a fast-growing feedstock called Giant King Grass. This feedstock is able to produce low-carbon cellulosic biofuels as well as can be used as a replacement for coal at the heat source for electricity generating power plants.

According to Kukkonen, “In addition to biofuels, another near-term use of biomass such as Giant King Grass is to simply burn it, instead of coal or oil, in an electricity generating power plant. An existing coal fired power plant can replace up to 30% of its coal with biomass. Co-firing grass with coal can be accomplished by a straightforward modification of existing power plants, which does not require the large capital expense of building a new power plant. This is probably the simplest and cheapest way to reduce net carbon emissions from coal-fired power plants. However, new 100% biomass-dedicated power plants are also being built, as there are long-term operating and environmental benefits for biomass power plants, compared to coal-burning plants.”

A detailed article about the process was included in the latest edition of Scientific American magazine. The article’s authors believe that cellulosic biofuels are the most environmentally attractive and technologically feasible near-term alternative to oil and possess advantages, in contrast to first-generation biofuels from corn and other edible feedstock.

biofuels, biomass, Company Announcement

Climate Bill Compromise Better for Ethanol

Cindy Zimmerman

Farm state lawmakers led by Rep. Collin Peterson (D-MN) have reached a compromise with Democratic leadership in the House on the so-called climate change bill that makes it more palatable to agriculture and biofuels interests.

collin petersonPart of the agreement includes allowing USDA to have oversight for agricultural carbon offset programs instead of EPA. “The climate change bill will include a strong agriculture offset program run by the U.S. Department of Agriculture that will allow farmers, ranchers, and forestland owners to participate fully in a market-based carbon offset program,” said Peterson. “This agreement also addresses concerns about international indirect land use provisions that unfairly restricted U.S. biofuels producers and exempts agriculture and forestry from the definition of a capped sector.”

The compromise over indirect land use issue was that bill sponsor Henry Waxman (D-CA) will ask the EPA to commission a study of indirect costs and that any method of counting those costs should be agreed to by both USDA and EPA.

Tom Buis, CEO of Growth Energy, was pleased that Peterson and Waxman were able to reach a compromise on the issue. “We believe that additional study of the issue of indirect land use change will further demonstrate that these provisions should never have been a part of the 2007 energy law to begin with,” Buis said in a statement. “This is a good first step in a longer process, including full review by the House and Senate.”

The American Clean Energy and Security Act is expected to come up for a vote on Friday and President Obama encouraged passage during his press conference yesterday. “It is legislation that will finally spark a clean energy transformation that will reduce our dependence on foreign oil and confront the carbon pollution that threatens our planet,” Obama said.

Energy, Environment, Ethanol, Government

Secretary Chu Pushes for FFVs

secretarychu1According to the Governors Biofuels Coalition, U.S. Energy Secretary Steven Chu said in Des Moines the nation’s car manufacturers ought to make all new automobiles able to run on E85 ethanol-blended fuel. But Chu said the government could face resistance should it insist on the new standard, despite two of the nation’s three main automakers’ having recently filed for bankruptcy protection.

Chu, in Iowa awarding the state a share of its federal stimulus money, later said all pumps ought to offer at least a blend of 15 percent ethanol. “We should think about doing the following. I’ve been told it costs about $100 in gaskets and fuel lines to turn a car so that it can go all the way to E85,” Chu said, addressing public officials and news media at the Des Moines Botanical Center. “But a new car , it would only cost $100 out of $15,000. Wouldn’t it be nice to put in those fuel lines and gaskets so that we can use any ratio we wanted,” Chu added. “It’s just a thought, I don’t think you’re going to get any objections in this audience.”

Chu stopped short of saying the Obama administration would require the companies to build all vehicles as flex-fuel-ready. “It’s beginning to be discussed,” Chu said. “But, again, it’s one of those things where I think with virtually anything, once the government steps in the natural tendency is to resist government intervention.”

There is legislation pending in Congress that would require all domestic automobiles to eventually make all vehicles capable of running on E85.

Car Makers, E85, Ethanol

Ethanol Report on Safety

Cindy Zimmerman

Recent accidents involving transportation fuel, including ethanol, have highlighted the importance of safety when it comes to moving flammable and hazardous materials. It turns out that the tanker truck explosion in California on June 13 was actually carrying petroleum, not ethanol as the media reported, but the Canadian National Railway train that derailed in Illinois over the weekend was carrying ethanol.

Ethanol Report PodcastThis edition of the Ethanol Report features comments from Renewable Fuels Association Director of Technical Services Kristy Moore discussing the importance of safety to the ethanol industry and what RFA has done to develop and distribute safety information specifically related to ethanol production and transportation.

More information about ethanol safety can be found on the Ethanol Emergency Response Coalition website – ethanolresponse.com.

You can subscribe to this podcast by following this link.

Listen to or download here:

Audio, Ethanol, Ethanol News, Ethanol Report, RFA

Don’t Miss The Award Winning Documentary “Fuel”

Joanna Schroeder

The award winning documentary, “Fuel” produced by Josh Tickell will be featured during the 2009 Farm to Fuel summit being held in Orlando, Florida July 29-31st. Tickell will be the keynote speaker during lunch on Thursday, July 30 and then later that evening summit participants can enjoy a private screening of the movie.

“Fuel” a documentary about “changing your fuel” fueled controversy. But controversy sells, and the film was awarded Best Documentary, audience award at last year’s Sundance Film Festival. The LA Times says about the film, “Fuel” is a vital, superbly assembled documentary that presents an insightful overview of America’s troubled relationship with oil and how alternative and sustainable energies can reduce our country’s — and the world’s — addictive dependence on fossil fuels.”

Fuel will be in selected theaters this fall.

Other speakers during the Farm to Fuel summit include Florida’s Commissioner of Agriculture, Charles H. Bronson and Florida Governor, Charlie Crist. To learn more about the event, visit www.floridafarmtofuel.com.

Biodiesel, conferences

Toyota Promises New Hydrogen Car By 2015

John Davis

toyotaThe world’s biggest car maker is promising to launch a new fuel-cell car by the year 2015.

This Wall Street Journal article says Toyota made the pledge during today’s annual shareholders meeting:

Other investors asked about the company’s strategy for low-emission, fuel-economic vehicles, a core growth area for many car makers in the current tough environment.

Executive Vice President Masatami Takimoto said at the meeting that the company hopes to roll out an “upgraded” fuel-cell car by 2015, but did not give any further details.

Fuel-cell vehicles are seen as among the most promising green cars, as they run on hydrogen and emit only water, but the high costs of the technology are a major issue for car makers.

Toyota, one of leading fuel-cell car makers, currently leases hydrogen-powered vehicles to governments and corporate customers.

The move is part of the car company’s hopes to stop its current sales slump.

Car Makers, Hydrogen