Record-breaking Wind Power Deal Struck

John Davis

A European power company has struck a record-breaking deal for wind power in Europe and North America.

This story from the Wall Street Journal says Spanish-based Gamesa SA has agreed to provide wind turbines, construction and services valued for $9.7 billion to Iberdrola Renovables SA, the renewable-energy unit of Spanish power utility Iberdrola SA:

The agreement is the largest-ever wind-power deal, Iberdrola Renovables said. The turbines will have a joint potential to generate 4,500 megawatts of electricity in wind parks in Europe, Mexico and the U.S., said Gamesa, which is based in Spain. Gamesa is one of the world’s largest wind-turbine makers.

Iberdrola Renovables said it will acquire wind projects currently run by Gamesa in the United Kingdom, Mexico and the Dominican Republic for €65 million (about $101 million).

Iberdrola Renovables and Gamesa will also develop and run jointly wind farms in Spain and internationally.

Wind

Mississippi State Turning Sludge Into Biodiesel

John Davis

Researchers at Mississippi State University are working on a project that will turn wastewater sludge into biodiesel. And to help them out, the Environmental Protection Agency has given the school $200,000 toward the project.

This story from the Starkville (MS) Daily News has more:

“The research and development of sustainable energy technologies can translate into both economic and environmental success,” said Jimmy Palmer, the EPA’s regional administrator. “EPA is committed to promoting the development of clean, sustainable and affordable energy sources.”

With the project, researchers want to increase the amount of oil that could be generated from wastewater treatment facilities, said Rafael Hernandez, an MSU assistant chemical engineering professor and one of the lead investigators on the project.

The water is treated by microorganisms and a fraction of these microorganisms are wasted every day. These wasted microorganisms are sludge created at a waste water treatment facility, Hernandez said.
Researchers have previously discovered that these microorganisms could be extracted and the extract is like an oil, he said. That oil could be converted into biodiesel.

Officials point out that there will be the double benefit of cleaning up the wastewater while producing a renewable energy source that will cut fuel costs.

Mississippi State is becoming quite the place for renewable energy. As you might remember from my May 21, 2008 post, the Bulldogs dominated the recent Challenge X Competition that featured engineering teams from across the country developing engines to run on alternative energies.

Biodiesel

Midwest Flooding Causing Hit to Ethanol & Biodiesel

John Davis

Flooding in the Midwest is dealing a hard blow to ethanol and biodiesel production on two fronts: 1. direct production of the green fuels, and 2. feedstock production.

This story from the Truth About Trade & Technology web site says the high waters have shut down several plants in flood-ravaged Iowa:

At least five small to midsize ethanol plants have shut down recently, according to David Driscoll at Citigroup, who declined to disclose the names of the plants. He warned that these closures are the “tip of the iceberg.”

The Iowa Renewable Fuels Association said Friday the flood has caused 300 million gallons of ethanol production, on an annual basis, to be forced off line and that could quickly grow to 400 million gallons.

In addition, the high water is putting corn fields under water, putting the most popular feedstock for ethanol at risk. That is also forcing already-high corn prices even higher, cutting into tight margins on ethanol production. Soybean fields across the Midwest are also too wet, having similar results on soybean oil used to make biodiesel.

Biodiesel, Ethanol, News

Get Domestic Fuel News On Your Website

Chuck Zimmerman

If you’d like to add Domestic Fuel news to your website we’ve just created a cool new widget that let’s you do so very easily. Just click on “Get Widget” below and it will provide you with the code to embed on your website or web page.

The widget allows you to customize it so it fits in with the theme of your web page. Just let us know if you have any problems.

Miscellaneous, News

E85 Grand Opening in Bloomfield Hills, Michigan

MI Corn Growers Assn.E85 will sell for $2.99 per gallon at the Bloomfield Hills Sunoco fueling facility at 42994 Woodward Ave., in Bloomfield Hills, Michigan. This promotion is part of a a joint effort with the Corn Marketing Program of Michigan and the Detroit Area Clean Cities Coalition from noon until 4 p.m. on Thursday, June 19.

A press conference will begin at 11 a.m. with featured speakers expected to include: Patricia Lockwood, Michigan Department of Agriculture; Jody Pollok-Newsom, Corn Marketing Program of Michigan; Douglas Smith, Oakland County; Maggie Striz Calnin, Detroit Area Clean Cities, Lansing Area Clean Cities, and Next Energy; and Rocky Yaldo, Sunoco station owner.

According to the Corn Marketing Program of Michigan, there are five operational ethanol plants with the capacity to produce approximately 250 million gallons of ethanol per year. The state houses 64 E85 fueling locations to date.

corn, E85, Ethanol, Facilities, News

Transitioning To A Bio Economy

Chuck Zimmerman

Steve HalbrookNext week I’ll be attending Farm Foundation’s program titled, “Transition to a Bio Economy: Risk, Infrastructure and Industry Evolution.” They’ve been advertising here on Domestic Fuel and if you haven’t made your reservation then there is certainly still time.

You may not be familiar with Farm Foundation or this series of programs they’ve been hosting on the subject of a Bio Economy. To learn more myself, I spoke with Foundation Vice President, Steve Halbrook, pictured. He says that Farm Foundation is a non profit organization that works in agricultural and rural policy issues. They bring together industry, government and academic leaders to focus on the challenges facing our food system and rural communities.

Steve says this event will have a special focus on biofuels since it affects all facets of ag and rural areas, especially ethanol in the mid west. He says that leaders from several government agencies, including USDA, approached them hoping that the Foundation could help them better understand this issue.

You can listen to my interview with Steve here: [audio:http://www.zimmcomm.biz/farm-foundation/steve-halbrook.mp3]

Audio, Ethanol, Farm Foundation, Government, News

ICM to Produce Food and Fuel

Cindy Zimmerman

The next generation of ethanol plants will be producing both food and fuel.

ICMICM, Inc. has announced that ethanol biorefineries investing in the company’s newest technology by the end of this year will be capable of commercially producing both food and fuel in 2010. The announcement was made during ICM’s customer meeting at the annual Fuel Ethanol Workshop (FEW) in Nashville, Tenn.

“We are talking about the ‘ethanol biorefinery of the future’…and very near future at that,” said Dave Vander Griend, founder, president and CEO. “Fifty years ago, the U.S. fed the world. We will be able to do that again with a food supply brought about by the evolution of ethanol production.”

ICM is a partner in LifeLine Foods of St. Joseph, Missouri which is already producing both food and fuel using the company’s technology.

corn, Ethanol, FEW, News

FEW Welcome

Cindy Zimmerman

FEW 08 welcomeThe 2008 International Fuel Ethanol Workshop is getting started in Nashville and is expected to attract some 4,000 visitors from around the globe.

This is the 24th year for the event that started out with just a few dozen dreamers. The FEW this year will offer 23 technical workshops on topics such as cellulosic ethanol, non-food feedstocks, water utilization and conservation, non-fossil fuel power, lifecycle analysis, training the biofuels workforce of
tomorrow; and more traditional topics including improving production efficiencies, plant management, and plant safety.

FEW 08 welcomeOpening speakers on Tuesday feature Dr. Robert Zubrin, author of the book “Energy Victory: Winning the War on Terror by Breaking Free of Oil.” He will deliver the keynote address during the general session and offer a plan of how ethanol could help safeguard homeland security and provide solutions for global warming and developing nations.

Renewable Fuels Association president and CEO Bob Dinneen will give an industry update during the general session and provide hope to those who look to move the industry forward.

Also making an appearance on Tuesday will be Bobby Rahal, Indy car champion and co-owner of the Rahal-Letterman racing team that features the Number 17 Team Ethanol car – a model of which is on display outside the convention center.

Cellulosic, conferences, EPIC, Ethanol, FEW, News, RFA

Study Finds Oil Impacts Prices More Than Policy

Cindy Zimmerman

Government biofuel policies affect fuel and farm commodity prices, but the price of a barrel of oil can have even larger effects.

FAPRIThat is the conclusion of a report by the University of Missouri Food and Agricultural Policy Research Institute (FAPRI). The study researched biofuel scenarios based on 500 random draws of possible weather, production and other market influences. The most extreme scenario allows current tax credits and tariffs to expire as scheduled and would not enforce the energy bill mandates. In this scenario, without most current biofuel policies, corn prices would decline 14 percent on average compared to a scenario that continues current support measures.

“The impact of biofuel policies depends not just on the policy but very much on the market context,” said Pat Westhoff, FAPRI co-director.

“Mandates have little market impact when high petroleum prices contribute to high biofuel prices and production levels.” Westhoff said. “On the other hand, mandates can be important when petroleum prices are low or crop supplies are reduced.”

The report, “Biofuels: Impact of Selected Farm Bill Provisions and other Biofuel Policy Options,” was published online June 12.

corn, Ethanol, News, Research

Sun Powering Rice Milling Operation

John Davis

A California rice miller will dedicate the largest rice plant solar installation in the U.S. on Wednesday, June 18th.

Far West Rice will unveil its $6.5 million, one-million megawatt, Mitsubishi Solar System, that the company is using to power its milling operation at Nelson (south of Chico), California.

The solar array will meet about 70-80 percent of the total energy costs of the rice plant, using more than 5,500 Mitsubishi Electric solar panels installed by Pacific Power Management, LLC. When the plant is not operating, the solar system will feed electrical power back into the electrical grid.

Greg Johnson, Executive Vice President of Far West Rice, Inc. said “Going solar made sense from a business standpoint. Our electricity bill will be lower and the installation also means that our communities can breathe easier and enjoy California’s beauty with less air pollution. We are excited to be involved in this technology and know that it will exceed our expectations.”

Mark Frederick, managing partner of Pacific Power Management, commenting on Far West’s installation, said: “Far West Rice showed great initiative in going solar. They have a system now that sets the green standard in the rice industry and gives them a competitive advantage that will only grow as electricity prices increase.”

Solar