Biodiesel Board Responds to EU Tariffs

John Davis

As I told you yesterday, the European Union has decided to slap some tariffs on American biodiesel coming into the continent because of what the Europeans see as unfair subsidies the US gives to American biodiesel producers.

In response, the National Biodiesel Board’s Vice President of Federal Affairs, Manning Feraci, issued this statement yesterday:

feraci“Today’s meeting is just one step in the ongoing legal process that will ultimately conclude later this year. As we have since these investigations were initiated in June of last year, the NBB will continue to use all legal options at its disposal to defend the interests of the U.S. biodiesel industry.

“Ultimately, before the case is finally resolved, the EC must determine whether U.S. competition is harming the European biodiesel industry before duties of any kind can be imposed. The facts in this case remain the same. The European industry is not being harmed by U.S. competition. In fact, the EC has before it data demonstrating that key European biodiesel companies are doing quite well. And for those companies that are faring poorly, it is factors not related to U.S competition – bad business models; high feedstock costs; and detrimental changes in EU member state policy – that are the cause. As the case proceeds, the NBB will continue to highlight this fundamental shortcoming in the European Biodiesel Board’s complaint.”

Biodiesel

Final 2008 Ethanol Numbers

Cindy Zimmerman

The final 2008 ethanol production and demand numbers are in and despite industry issues towards the end of the year, it was another record with both numbers up over 40 percent from 2007.

RFAAccording to year-end figures released by the Energy Information Administration, American ethanol facilities produced more than 9.2 billion gallons of ethanol in 2008, up from some 6.5 billion gallons in 2007. On average, the U.S. ethanol industry produced 601,000 barrels per day (b/d), compared to 423,000 in 2007.

Ethanol demand continued to outpace production last year. According to the Renewable Fuels Association, demand averaged 630,000 b/d in 2008 or more than 9.5 billion gallons total. By comparison, ethanol demand in 2007 averaged 446,000 b/d.

“Despite the economic challenges facing this country and this industry in 2008, America’s ethanol producers still managed to meet the goals put before them and build the necessary foundation for a strong and robust future for renewable fuels,” said RFA President Bob Dinneen. “While challenges will still persist through 2009, this industry is poised to help lead this nation out of its economic downturn and provide the kind of economic, energy, and environmental stability that is desperately needed.”

Ethanol, News, RFA

Alternative Energy Grants Available

Joanna Schroeder

doelogoThere are several new alternative energy grants available for wind energy and biomass energy. The first grant, “20% Wind by 2030: Overcoming the Challenges” was posted on February 27, 2009 and closes on March 5, 2009. The government is posed to award up to 99 grants for a total of $8 million. You can get more information and apply online at www07.grants.gov/ or click here. The grant application number is DE-PS36-09GO99009.

For those of you working on biomass projects, there is a new grant available, “Biomass Research and Development Initiative” that is aimed at funding biomass projects that will bring technology to market at a competitive price and replace fossil fuels. The grant will award up to $25 million and applications are due on June 1, 2009. You can get more grant details at  www07.grants.gov/ or click here.  The grant application number is DE-PS36-09GO99016.

There are new grants posted every day as the alternative energy industry has been targeted for funds through the recent stimulus packages so check the site often. We’ll also bring you updates as new energy grants are posted.

Miscellaneous

Study Shows Economic Stimulus to Increased Ethanol Blends

Cindy Zimmerman

A new study released today concludes that increasing the blend of ethanol in the U.S. gasoline supply from 10 to 15 percent could boost job creation and economic growth.

Growth EnergyThe study was commissioned by Growth Energy and conducted by researchers from North Dakota State University (NDSU). Nancy Hodur, NDSU researcher with the Department of Agribusiness and Applied Economics, says there would be substantial economic and employment impacts associated with the expansion of the ethanol industry if the blend rate were increased.

“We estimated that annual direct economic impacts would be $9.6 billion and the total direct and secondary impacts would be $24.4 billion and that level of economic activity would support 136,000 jobs,” said Hodur. Those impacts were based on the multiplier effect of adding another 60 ethanol plants nationwide.

Former Congressman and Growth Energy board member Jim Nussle says the study supports the economic need to increase the ethanol blend level, which he says was arbitrarily set 30 years ago at ten percent. “These figures really are dramatic and they prove that when we want we can create these desperately needed jobs,” said Nussle. “The federal government can act right now to increase the amount of ethanol blends in the nation’s fuel supply without having to dip into another stimulus package or create another bill.”

Nussle says the Environmental Protection Agency has the authority to increase the blend level through the rule-making process and while it could theoretically be done quickly the former congressman refused to speculate on how long it might take EPA to take such an action.

Listen to the Growth Energy press conference announcing the study here: [audio:http://www.zimmcomm.biz/growth-energy/3-4-09-GE-presser.mp3]

Audio, blends, Ethanol, Government, Growth Energy

EU Pulls Trigger on Biodiesel Tariffs

John Davis

useuflagsAs I told you a couple of weeks ago, the European Union for some time has been threatening to slap tariffs on American biodiesel coming into Europe… barring some deal today to derail the measures.

Well, this story from Reuters says that there was no last-minute reprieve and the duties are set to hit on March 13th:

The EU firms accuse U.S. producers of being involved in a “splash and dash” scheme, whereby they import cheaper biodiesel from countries such as Brazil and add less than 5 percent of U.S. diesel. The producers then qualify for a subsidy from Washington before exporting it to Europe.

From March 13, U.S. firms exporting biodiesel into the EU will have to pay additional tariffs for an initial six months, ranging from 26 euros ($32.88) to 41 euros per 100 kg…

After six months, the executive European Commission must decide whether to propose definitive duties, which normally last five years. Definitive duties must be approved by EU governments to enter into force…

The temporary duties will make it hard for U.S. biodiesel to compete in the European market, said Manning Feraci, a vice-president with the U.S. National Biodiesel Board.

But for the duties to stick, the Commission will need to find that U.S. imports have harmed producers, Feraci said.

“This simply is not the case,” Feraci said, noting some European producers are doing well, while others have been hurt by factors unrelated to U.S. imports, he said.

You and I both know this is not the last we’ll hear about this. Stay tuned…

Biodiesel, Indy Racing

Algae to Biodiesel Webinar Offered

John Davis

Knowledge is power, and the folks at Garbrook Knowledge Resources are offering a powerful resource in an upcoming Webinar on how to turn algae into biodiesel.
garbrook-algaeforbiofuels
The Advanced Biofuels Resource… what Garbrook bills as the industry’s most comprehensive information source on biofuels… will be offering the “Algae for Biofuels: Current Potential for Commercial Development” Webinar this coming Wednesday, March 11th from 11:00 AM – 12:30 PM EST to tackle some of the challenges surrounding algae as a biodiesel feedstock:

Topics Covered:

* Industry update including major players and partnerships
* Outline of commercialization efforts and approaches
* Progress in commercial algae cultivation, harvesting, and process technologies
* Opportunities for biofuels and co-products derived from algae
* Ongoing algae research and development
* Scientific and technical hurdles that must be overcome for algae biofuel production

It’s not free, but the $149 you’ll pay could return some big dividends in this growing field of a growing green fuel. Check it out by clicking here.

Biodiesel

Ethanol Debuts on the Fashion Runway

Joanna Schroeder

ethanol-jeans-23Ethanol debuted on the fashion runway last year…as a pair of jeans. Yes, jeans. Fashion meets environment with these stylish jeans that are made from cotton grown with less pesticides and sold in recycled packaging.

The jeans are branded “ethanol” to the hilt with the buttons sporting a “e,” and an ethanol patch on the back. But possibly the best feature is the bag of corn that comes with each pair.ethanol-button1

I’m  not sure where to find these jeans and I couldn’t find a website for the manufacturer, but this pair was purchased at a Sam’s Club. I did however find a youtube video with Jordan Sparks and Jessica Lucas promoting the brand.

The label promotes www.allianceforclimateprotection.com which says that, “A portion of proceeds from the sale of the jeans goes to campaigns to help support environmental programs.” When I went to the site there is no information ethanol-patch2about the clothing line nor the programs that are supported through the purchase of the jeans. I tried contacting the organization but as of press time, haven’t heard anything back.

I guess ethanol is not just for cars anymore.

Ethanol, Miscellaneous

Oil Company Enters their E85 Model in Sexiest Tractor Competition

e85-tractorBlodgett Oil Company recently entered a competition to see if their painted “E85 Tractor” entry could win as the “sexiest tractor” at a local Red Cross Tractor Races Fundraiser.

As a Red Cross Tractor sponsor, Blodgett Oil paid $100 and received a cut-out of a plain plywood tractor to decorate in any way they wished. “We chose to promote our E85 product. Our maintenance guy Carl, did a wonderful job!” said Nancy Beckwith, vice president of Blodgett Oil Company. The company owns numerous E85 stations in Michigan.

e85-tractor2About twenty tractors were entered in the competition. During the race, the tractors were moved along a board game like space in a large banquet room, with the attendee’s betting on who will win the race. Whoever had the most bets, won the race. Attendees also betted on the “Sexiest Tractor”.

Unfortunately, Blodgett Oil’s tractor did not win this year’s “Sexiest Tractor” award, but Beckwith said that her company had a blast with our E85 Ethanol tractor appearance which at one time was announced as “the Corn Mobile”.

The “Top Money Winner” tractor was: Primerica Financial Services, owned by Art and Nancy McClintic of Alma, Michigan and voted “Sexiest Tractor” for the second year in a row was: Alma Pontiac Buick GMC, Alma, Michigan.

All money raised was donated to the local Red Cross.

E85

AWEA Sets Its Sights on 2009 and Beyond

Joanna Schroeder

Wind energy celebrated its biggest year in 2008 with 8,000 megawatts being installed–that’s a lot of wind. I wanted to learn more about the industry so I caught up with Susan Williams Sloan, the Outreach Manager for the American Wind Energy Association (AWEA) last week during Commodity Classic. . 

susan-williams-sloan-awea“2008 really was a banner year for the industry,” said Sloan. She anticipates that 2009 won’t be as big of a year due to the economic situation but does see a bright future going forward citing the provisions in the stimulus package.  

Last year, the industry was growing so rapidly that it could take months to have wind turbines delivered, but this year is different. There is a large inventory of wind turbines available. “The Good News is that there are turbines available for those with projects that are ready to move forward,” said Sloan. 

A big challenge for AWEA is building a transmission grid that can help move move wind power from the windy areas to the load centers where people need more electricity. “We must figure out the political issues surrounding moving wind,” said Sloan, and assured me that  AWEA will work diligently to ensure an effective transmission grid is developed.

Listen to my interview with Susan here get the full update on the wind industry’s efforts. [audio:http://www.zimmcomm.biz/domesticfuel/cc-09-joanna-wind-energy.mp3]

Commodity Classic, Wind

K-State Students Take Flex-Fuel Challenge

Cindy Zimmerman

RFA Flex Fuel ChallengeManhattan, KS looked more like Manhattan, NY yesterday as cars were lined up to get E85 for just 85 cents a gallon and E10 for only a dollar, plus a free lunch at the Manhattan Farmers Cooperative Association.

Hundreds of hot dogs and thousands of gallons of ethanol-blended fuel were given away to Kansas State college students at the “Wildcat Free-For-All,” sponsored by the Renewable Fuels Association and the Kansas Corn Commission to launch the Flex-Fuel Challenge, an online national contest to promote E85.

RFA Flex Fuel Challenge“We were very happy with the event. Many students learned of the opportunity via Facebook and email, and this is exactly what this contest is about, educating students where they spend there time – online,” reported Robert White, Director of Market Development for the RFA.

The challenge encourages them to produce a short video, take a photo, or even write a song about creative ideas on renewable energy that will impact future generations. The overall winner will receive a MacBook Air laptop and each week there will be drawings for portable Passport™ hard drives.

Find out more at e85challenge.com.

E85, Ethanol, RFA