With Trump Taking America’s Helm, How Will #Biofuels Fare?

Joanna Schroeder

Donald Trump speaking at the Iowa Renewable Fuels Summit in January 2015. Next year's Summit will focus on the post election forecast. Photo credit: Joanna Schroeder

Donald Trump speaking at the Iowa Renewable Fuels Summit in January 2016. Next year’s Summit will focus on the post election forecast. Photo credit: Joanna Schroeder

In what many are calling an unexpected win for Donald Trump for the next presidency, the renewable energy industry is already asking what will this mean for them. As Democrats tend to be known for greater environmental action and with a Republican in office for the first time in eight years, a concern could bloom as to the the safety, in essence, of the renewable energy industry. So where exactly does Trump stand on some key energy policies? S&P Global Platts is reporting that while Trump has addressed biofuels, the Clean Air Act and the EPA among other issues, he has never outlined any specific plans, unlike his opponent, Hillary Clinton.

Following is a compilation on three key renewable energy areas from S&P Global.

BIOFUELS
Trump has offered broad public support to the Renewable Fuel Standard (RFS), but in September he unveiled an economic policy package that included a statement that the market underpinning the RFS, the EPA’s Renewable Identification Number program, “penalizes” refiners for not meeting “impossible” requirements. After these statements were criticized, they were removed from Trump’s campaign website and staffers claimed they were posted in error.

REGULATIONS
Trump has promised to either dismantle or overhaul the Environmental Protection Agency and roll back Obama administration regulations to curb coal industry pollution. Cramer said Trump believes EPA needs to return to its core mission of protecting clean water and clean air, and that Congress has granted it too much leeway in interpreting legislation.

Trump is expected to try to scrap the Clean Power Plan. He questions the widely held scientific consensus that human activity is causing climate change.

Trump is expected to abandon, or at least weaken, efforts by EPA and the Department of the Interior to regulate methane emissions from oil and gas operations and also could weaken future car and truck fuel-economy standards.

RENEWABLE ENERGY
Trump’s possible efforts to end incentives for alternative energy development would boost near-term demand for fossil fuels. For example, a potential cut in the Investment Tax Credit to 10% from the current 30% would slash solar installation demand by 60%, according to S&P Global Market Intelligence.

Only time will tell, of course, but in the near term AgWired will be posting reacts from the industry and continue to tell the story of renewable energy.

Alternative energy, Biodiesel, Ethanol, Opinion, politics

Fulcrum BioEnergy & BP Enter Biojet Fuel Partnership

Joanna Schroeder

Photo credit: Fulcrum BioEnergy

Photo credit: Fulcrum BioEnergy

Fulcrum BioEnergy and BP have entered into a partnership that includes an investment of $30 million by BP. One goal of the partnership is to accelerate the timeline for completion of Fulcrum’s biorefinery that will produce bioject fuel. Fulcrum BioEnergy and Air BP, the aviation division of BP, have also entered into a partnership with an offtake fuel agreement that will provide Air BP with 50 million gallons per year of bioject fuel with a total agreement of 500 million total gallons of aviation fuel. In addition, Air BP will provide fuel supply chain services for the blending, certification and delivery of the biojet fuel.

“Entering into this strategic relationship with a global oil and gas company enhances the value of Fulcrum’s waste to fuel platform,” said E. James Macias, Fulcrum’s president and CEO. “This allows us to accelerate development of our second and third plants. With BP’s expertise in refining and fuel services, their partnership provides value beyond the investment, fuel offtake and logistic services.”

Jon Platt Chief Executive Officer at Air BP added, “We are delighted to be a strategic partner with Fulcrum – a pioneer in the development and production of lower-carbon jet fuel from municipal solid waste. The aviation industry has set ambitious lower carbon goals. This agreement gives Air BP guaranteed access to low-carbon jet fuel to help our customers meet these goals. We are excited by the opportunities that this partnership offers.”

Fulcrum is also reporting that this agreement, along with several others, will accelerate the development of more larger-scale project across the U.S.

aviation biofuels, biojet fuel

Sandra’s Quick Shop To Host Pump Promo in Garnett, KS

Joanna Schroeder

Sandra’s Quick Stop in Garnett, Kansas is celebrating the addition of several blender pumps that will offer consumers the choice to fill up with higher ethanol blends with Kansas Gov. Sam Brownback as a guest of honor.

The retail station, located at the junction of Highway 169 and Highway 59, is hosting a pump promotion on Thursday, November 10, 2016 from 11:00 am to 1:00 pm. Fuel discounts will be offered: drivers will get 15 cents off E15 fuel; 30 cents off E30 fuel; and E85 fuel will be sold for 85 cents per gallon.

sandras-quick-stop“This is about increasing the motorists’ choices when they fill up,” said store owner Sandra Zook. “If you want to use regular unleaded or premium fuel, that’s great, but now you have access to E15 if you have a vehicle 2001 or newer, and E30 and E85 if you have a flex fuel vehicle.”

Staff from East Kansas Agri-Energy (EKAE), Kansas Corn and the Renewable Fuels Association (RFA) will be at the event to answer questions about E15 fuel that is approved for all vehicles 2001 and newer, as well as E30 and E85 that can be used in flex fuel vehicles. In addition there will be free food, along with Kansas Lottery promotions and gift cards for veterans, sponsored by the RFA and EKAE.

“With E15, you’re getting a higher octane fuel for a lower cost,” EKAE President and CEO Jeff Oestman noted. “Ethanol is a homegrown fuel that helps our local economies and reduces our reliance on foreign oil, which is important to a veteran like me.”

Kansas Corn CEO Greg Krissek added, “This blender pump grant program is intended to add ethanol choices at high-volume fuel stations like Sandra’s. Our program is expanding the availability of ethanol blender pumps. We’ve also added three stations in Wichita, and more stations are in the works.”

The new fueling infrastructure was paid for in part with a grant from the USDA’s Biofuels Infrastructure program via the Kansas Better Blends Initiative that is providing $2.3 million in funds for Kansas fuel retailers to add ethanol blender pumps.  The Kansas Corn Commission is implementing the program.

E15, E85, Ethanol, Retailers

Novozymes Debuts Biological Foam Control for Sugarcane #Ethanol

Joanna Schroeder

Novozymes has launched the first ever biological foam control for sugcarcane ethanol called Fermax™. The enzyme protease replaces chemicals in the sugarcane ethanol production and prevents foam development during the fermentation process. According to Novozymes, ethanol plants that trialed Fermax experienced improved control as well as a cost reduction of up to 20 percent as compared to using chemicals.

“This is the first ever biological solution that prevents foam development during the fermentation process, which is a critical issue for producers,” said Daniel Cardinali, Novozymes’ head of sugarcane platform and biorefining for Latin America. “With Fermax, sugarcane ethanol producers can use sustainable enzyme technology to lower their costs, reduce the need for harsh chemicals, and increase the amount of ethanol they can produce in their fermentation tanks.”

Foam develops during the fermentation process as the yeast produces ethanol and carbon dioxide. The carbon dioxide creates foam, which can cause overflow of the fermentation tank and lead to production losses. Excessive foaming also forces plants to increase fermentation time and operate at lower capacity. To control this issues, a combination of anti-foam and dispersant chemicals are typically used to reduce the formation of foam, but their performance varies according to process and feedstock conditions.

fermax_infographic_eng

Whereas according to Novozymes, Fermax delivers predictability and consistency. It helps stabilize the fermentation process to remove the variation seen in current, chemical-based technologies. The product does not remove the foam, rather it prevents foam from forming. The enzyme changes the foam structure by breaking down the stabilizing proteins to make it lighter and less dense. This enables better fermentation control, which allows producers to operate their plants more efficiently.

Fermax can completely replace, or work in combination with, traditional dispersant chemicals to boost their activity. Novozymes cites it can also save up to 70 percent of anti-foam chemicals. In addition, Fermax is easily applicable across a variety of plant configurations, i.e. continuous/batch fermentation and continuous/batch yeast treatment.

“This enzyme is a very cost-efficient solution, competitive with harsh chemicals, but without all their hidden costs, including supply issues, yeast damage, and incrustation,” Cardinali adds. “Sugarcane ethanol producers have traditionally not used enzymes. With Fermax, we start to apply the fascinating power of nature also within this growing industry to further improve production economics.”

advanced biofuels, Cellulosic, enzymes, Ethanol, Novozymes

New Blender Pumps Open In Holstein, Iowa

Joanna Schroeder

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Photo Credit: Holstein Travel Center

Holstein Travel Center has added four blender pumps and to celebrate the retail station is hosting a pump promotion November 11-12, 2016. The station is located on Indorf Avenue in Holstein, Iowa. The station will be receiving its ethanol from Quad County Corn Processors based in Galva, Iowa. A portion of the costs, $50,00, was awarded to the station under the Iowa Renewable Fuel Infrastructure program.

For the grand opening, there will be multiple specials and gift card drawings. On Nov. 11, E85 will be 85 cents per gallon between 3–5 p.m. CT and the same price the following day between 11 a.m.–1 p.m. CT. E15 will also be specially priced at $1.15 per gallon and E30 will be $1 per gallon those same times and days.

“We are looking forward to celebrating our grand opening and providing consumers more choices at the pump,” said Chris Brown, director of operations for the Holstein Travel Center. “Our partnership with Quad County Corn Processors will help bolster our local economy and shows a commitment to Iowa’s renewable fuels. I am glad to join that growing list of Iowa retailers who are making this commitment.”

Delayne Johnson, CEO of Quad County Corn Processors, said he is pleased to see further expansion of ethanol blender pumps in Iowa and around the nation. “Blender pumps allow retailers to provide more of what consumers want — choice. We are proud to collaborate with Holstein Travel Center to provide cleaner burning ethanol and congratulate them on their grand opening.”

“We thank Holstein Travel Center for installing ethanol blender pumps at its station,” said Robert White, RFA vice president of industry relations. “Ethanol is the lowest cost, highest octane source on the planet and we are glad consumers have stations like this that gives them greater access to more fuels. We look forward to more stations offering higher ethanol blends in the near future.”

E15, E85, Ethanol, Retailers, RFA

MSU Awarded $6M Biofuel, Carbon Grant

Joanna Schroeder

Montana State University (MSU) has received a $6 million, four-year grant from the National Science Foundation to develop new innovations at the intersection of food, energy and water systems. MSU will be working alongside the University of Wyoming and the University of South Dakota to address the sustainability profiles of biofuels and carbon capture technologies that would be introduced in the Upper Missouri River Basin.

Paul Stoy, associate professor in the Department of Land Resources and Environmental Sciences, is the principal investigator of a collaborative effort to address questions about whether biofuels and carbon capture technologies can be sustainably introduced into the Upper Missouri River Basin. MSU photo by Sepp Jannotta.

Paul Stoy, associate professor in the Department of Land Resources and Environmental Sciences, is the principal investigator of a collaborative effort to address questions about whether biofuels and carbon capture technologies can be sustainably introduced into the Upper Missouri River Basin. MSU photo by Sepp Jannotta.

The project’s Principal Investigator is Paul Stoy. He is an associate professor in the Department of Land Resources and Environmental Sciences in MSU’s College of Agriculture. Each of the three coordinating universities will receive $2 million to pursue its portion of the project. On the whole, Stoy said, the grant “emphasizes interdisciplinary student training.”

According to Stoy, the primary goal of the project is to develop a framework for evaluating proposals to reduce atmospheric carbon dioxide concentrations while maintaining food security, water quality, biodiversity and other benefits. Stoy also anticipates the identification of unexpected social and environmental conflicts when biofuels are used to generate energy and CO2 is removed from the atmosphere and stored in geological formations or in ecosystems.

The Upper Missouri River Basin refers to the Missouri River and all its tributaries upstream of Sioux City, Iowa. The basin contains parts or most of five states — Montana, Wyoming, South Dakota, North Dakota and Nebraska — and more than 20 Indian reservations. It represents 30 percent of the wheat produced in the United States, 13 percent of the soybeans, 11 percent of the cattle and 9 percent of the corn, according to the Upper Missouri River Basin Association. The region also contains the Colstrip power plant in eastern Montana — the second largest coal-fired generating facility west of the Mississippi — and the Bakken shale formation.

“This four-year grant is important to Montana,” said MSU Vice President for Research and Economic Development Renee Reijo Pera. “It will allow us to address fundamental questions in the energy sector and enables us to partner with our neighboring scientists in Wyoming and South Dakota. These grants are highly competitive and so we are proud of the accomplishments of our scientists.”

Thirty-one private, state and federal institutions and more than 50 people, including 18 MSU faculty and 13 MSU graduate students, will be involved in the project that will run into 2020, Stoy said. MSU will take the lead on research related to agriculture and biofertilizers, food security, clean energy, and water supply and quality. Researchers at USD will focus on land use, biodiversity and ecosystem services assessment. UW will take the lead on issues related to agricultural economics, economic modeling and land use. Importantly for the integrated award, all institutions will have the opportunity to collaborate on all aspects of the project.

advanced biofuels, Carbon, Clean Energy, Climate Change, Research, water

Paris Agreement in Force, GRFA Stresses #Biofuels Role

Joanna Schroeder

grfa-logoOn November 4, 2016 the Paris Agreement, reached during COP21 and signed by nearly 200 countries, went into force. This is the first enforceable accord setting targets to curb global carbon emissions with the goal of limiting global warming to no more than 2 degrees Celsius above pre-industrial levels. With the agreement now ‘official,’ the Global Renewable Fuels Alliance (GRFA) has once again called for biofuels to be integrated into governments’ plans to reach their climate goals.

“Today’s legally binding agreement is a historic first and includes many of the world’s largest national economies, covering the majority of global carbon emissions,” says Baker. “This commitment demonstrates the urgency of immediate action to begin the transition to a low-carbon global economy.”

The transport sector is estimated to represent 25-30 percent of global emissions and currently has the lowest renewable energy share of any sector – opening up an area of opportunity for emission reductions. Baker says the use of ethanol as a carbon offsetting transport fuel alternative is a cost effective and immediately available option for action on emissions from this sector. According to GRFA, in 2014 total GHG emission reductions from global ethanol production and use was 169 million tons CO2 equivalent.

GRFA stresses that its members are committed to the fight against climate change through the development of new technologies and best practices that enable the production of renewable fuels with the smallest environmental footprint possible. These members have extended an offer to signatories of the Paris Agreement to provide expert and technical support to countries. To date, almost 60 countries already have biofuel-supportive policies in place and/or have included biofuels as part of their Intended National Determined Contributions (INDC) plans submitted during COP21.

Baker adds, “The implementation of the Paris Agreement today comes just three days before the start of COP22 when global leaders will next have the opportunity to discuss policy options to curb emissions. The GRFA encourages government leaders to strengthen their national climate plans submitted at COP21 to take advantage of opportunities to increase the use of biofuels in the transport sector.”

advanced biofuels, Climate Change, Environment, Ethanol

September Ethanol Exports Back on the Rise

Joanna Schroeder

According to new government data, September U.S. ethanol exports were 99.6 million gallons (mg), an increase of nearly 28 percent or 22 mg over August exports. The data was analyzed by the Renewable Fuels Association (RFA) and found that September is the highest monthly volume export in nearly 5 years (December 2011). Just six countries purchased 92 percent of U.S. ethanol exports in September. According to RFA, the increase can be attributed, in part, to 27.9 mg in shipments to Canada, which increased by 33 percent from August exports. Coming in second is Brazil, with imports of 18.1 mg down from 7 mg the prior month. China’s exports were back on the upswing with imports of 17.8 mg followed by the Philippines (10.4 mg), the United Arab Emirates (9.2 mg) and South Korea (5.4 mg). Year-to-date exports stood at 693.9 mg, implying an annual total of 925.2 mg for calendar year 2016.

September exports of U.S. denatured fuel ethanol more than doubled from August to 44.1 mg. The top three markets were Canada with 26.0 mg (59%), China with 14.9 mg (34%) and Peru with 3.1 mg, (7%). Export sales of undenatured fuel ethanol in September held firm at high levels, increasing 2 percent over August levels to 51.5 mg. Brazil backed off from August undenatured imports, buying 18.1 mg (35%) in September. The Philippines export market was reinvigorated with 10.4 mg (20%) of undenatured product, while the 9.2 mg (18%) to the UAE reflected only the second time in two years that U.S. undenatured ethanol entered the country. South Korea, China and Singapore were other larger customers for undenatured fuel ethanol.

ethanolpicture11-4

September sales of denatured ethanol for non-fuel use dropped back to a more normal volume of 2.1 mg after reaching nearly 6.5 mg in August. Canada was the primary customer with 1.9 mg, down from 3.0 mg the prior month, while the remaining volume was parceled out among several countries.

Following three straight months of sizable ethanol imports, September volumes entering the United States were fairly insignificant at just 5,535 gallons. About 5,000 gallons of undenatured ethanol were sourced from China and the remainder was Canadian denatured ethanol. Year-to-date total imports are 33.7 mg, suggesting annualized imports just shy of 45 mg. Should this volume be realized, the United States would import less than half of what it brought in for calendar year 2015.

U.S. distillers dried grains with solubles (DDGS)—the animal feed co-product from dry mill ethanol production—in the global marketplace have been making measurable strides since the beginning of the year; however, September data showed a 15% pull-back from the prior month with 990,971 metric tons (mt) shipped. Once again China was the top market for U.S. exports with 166,650 mt, which is a third less than entered the country in August. China’s share of the total U.S. export market in September fell to just 17%–in sharp contrast to taking in half of all U.S. distillers grains exports in calendar year 2015. In September, South Korea increased its offtake to 166,650 mt (13%) and Vietnam purchased 123,267 mt (12%), while Mexico scaled back from August volumes by 39 percent to 122,513 mt (12%). Other larger markets include Thailand (87,506 mt), Egypt (56,461 mt), Turkey (46,200 mt) and Canada (41,291 mt). Through September, DDGS exports stood at 8.6 million mt, indicating an annualized total of 11.5 million mt. If realized, this would be the second largest DDGS export volume in history.

Ethanol, Exports, RFA

Sea-Tac Home to New Aviation Fuels Program

Joanna Schroeder

A new sustainable aviation program is underway at the Seattle-Tacoma International Airport (Sea-Tac) that if successful could supply all airlines flying out of the airport access to aviation biofuels. Partners in the initiative include the Port of Seattle, SkyNRG and the Carbon War Room (CWR). This announcement marks the first step initiated to provide an airport-wide sustainable aviation fuel supply for all routine airline operations.

port-of-seattle-logoAccording to the press announcement, current biofuel supply agreements in the U.S. are being made through one-off contracts between producers and airlines. The goal of this partnership is to accelerate the transition of sustainable aviation fuel from an alternative produce uses selectively to a standard product used by all airlines at the airport.

“The demand for sustainable aviation fuel is there, but right now it is more expensive and complicated to source,” said Port of Seattle Commission President John Creighton. “We want to make it simple and cost-effective for all airlines to access sustainable aviation fuels and ideally create a model that can work for airports around the United States.”

CWR and SkyNRG will work with Sea-Tac to evaluate specific funding mechanisms to cover any cost difference between sustainable aviation fuels and conventional fuels. Long-term, the program includes strategizing with decision makers regarding locally sourced fuel and future regional economic investments, identifying supply routes for the sustainable aviation fuel, and ensuring that any alternative fuels used at Sea-Tac are truly sustainable, avoiding both competition with food and impact to habitat.

The companies are engaging airports to act as the key orchestrator of the procurement and delivery of sustainable aviation fuels, aggregating funds and demand for all stakeholders. The partners say by integrating the fuel directly into the on-airport fueling infrastructure, at an airport-wide blend ratio, this standardization will send a strong and consistent demand signal to the sustainable aviation fuel industry, which will boost investor confidence and catalyze industry growth.

This is the next step in a process that began late last year by the Port of Seattle with a $250,000 Biofuel Infrastructure Feasibility Study, in partnership with Alaska Airlines and Boeing, that will assess costs and infrastructure necessary to deliver sustainable aviation fuel to aircraft at Sea-Tac. That study is expected to be released in early 2017.

aviation biofuels, biojet fuel

PNNL Turns Sewage Into Fuel

Joanna Schroeder

Researchers at the U.S. Department of Energy’s Pacific Northwest National Laboratory (PNNL) have discovered the key to converting sewage to biocrude oil. Using the technology that mimics the geological conditions the Earth uses to create crude oil, called hydrothermal liquefaction, coupled with high pressure and high temperatures, crude oil can be produced in minutes. The resulting product is similar to petroleum pumped out of the ground with a minimal amount of water and oxygen mixed in. Once produced, the biocrude can then be refined using conventional petroleum refining operations.

Sludge from Metro Vancouver’s wastewater treatment plant has been dewatered prior to conversion to biocrude oil at Pacific Northwest National Laboratory. Courtesy of WE&RF.

Sludge from Metro Vancouver’s wastewater treatment plant has been dewatered prior to conversion to biocrude oil at Pacific Northwest National Laboratory.
Courtesy of WE&RF.

In the U.S., more than 34 billion gallons of sewage is treated each day. According to PNNL, who estimates that a single person could generate two to three gallons of biocrude per year, the daily sewage amount could produce the equivalent of nearly 30 million barrels of oil per year.

Sewage, or more specifically sewage sludge, has long been viewed as a poor ingredient for producing biofuel because it’s too wet. The approach being studied by the PNNL team eliminates the need for drying required in a majority of current thermal technologies which historically has made wastewater to fuel conversion too energy intensive and expensive. HTL may also be used to make fuel from other types of wet organic feedstock, such as agricultural waste.

Using hydrothermal liquefaction, organic matter such as human waste can be broken down to simpler chemical compounds. The research team pressurized the material to 3,000 pounds per square inch — nearly one hundred times that of a car tire. The pressurized sludge then goes into a reactor system operating at about 660 degrees Fahrenheit. The heat and pressure cause the cells of the waste material to break down into different fractions — biocrude and an aqueous liquid phase.

“There is plenty of carbon in municipal waste water sludge and interestingly, there are also fats,” said Corinne Drennan, who is responsible for bioenergy technologies research at PNNL. “The fats or lipids appear to facilitate the conversion of other materials in the wastewater such as toilet paper, keep the sludge moving through the reactor, and produce a very high quality biocrude that, when refined, yields fuels such as gasoline, diesel and jet fuels.”

Along with the biocrude, the liquid phase can be treated with a catalyst to create other fuels and chemical products. A small amount of solid material is also generated, which contains important nutrients. For example, early efforts have demonstrated the ability to recover phosphorus, which can replace phosphorus ore used in fertilizer production.Read More

advanced biofuels, Research, Waste-to-Energy