New York Increases Use of #Biodiesel

Joanna Schroeder

New York City has passed legislation to increase the use of biodiesel, in the form of Bioheat, and decrease the use of heating oil. The bill, which passed today by a 47-3 vote, increases the amount of biodiesel in heating oil from the current 2 percent level to five percent by October 1, 2017 then to 10 percent in 2025, 15 percent in 2030 and ultimately 20 percent in 2034.

nBB“New York City is once again setting an example for the rest of the Northeast to follow by ensuring consumers are provided with the nation’s cleanest heating oil,” said Donnell Rehagen, chief operating officer of the National Biodiesel Board (NBB). “Not only does biodiesel dramatically reduce carbon emissions, it reduces other harmful pollutants as well as smog, making New York’s air healthier to breathe.”

The New York City legislation was supported by a wide variety of organizations including the heating oil industry, labor organizations and environmental stakeholders.

“The New York Oil Heating Association has played a vital and vocal role in advocating for the increased use of Bioheat® fuel,” said Rocco Lacertosa, CEO of the New York Heating Oil Association (NYOHA). “We applaud the City Council for passing legislation that will reduce carbon emissions and improve air quality in New York City and we commend our partners in the environmental and labor community for their dedication to this issue. Heating oil in New York City is already, by far, the cleanest heating oil sold anywhere in the United States. The new Bioheat requirement, starting at B5 and eventually going up to B20, is a necessary next step to promote a more sustainable fuel that will reduce our contribution to climate change while enhancing green job creation, encouraging energy independence and supporting local businesses.”

It is estimated that the increase from a two percent biodiesel blend to a five percent blend in New York City would reduce the emissions equivalent to taking 45,000 cars off the road with the increase to 20 percent the equivalent of removing more than a quarter of a million cars.

advanced biofuels, Biodiesel, Bioheat

Final RFA Octane Webinar Sept. 29

Joanna Schroeder

RFA-MatchPro-logo-300x124The Renewable Fuels Foundation is hosting its last of five webinars tomorrow (Thursday, September 29, 2016) focused on ethanol’s unqiue octane properties, its importance as a blend component in today’s gasoline supply, and its potential role as the low-carbon octane source of choice in future fuels.

The fifth webinar will focus on the economics of high octane fuels, specifically the refining economics of producing BOBs for high-octane, mid-level ethanol blends and issues in making the transition to a higher octane gasoline pool.

The webinar, which is being conducted by MathPro, Inc., a firm specializing in technical and economic analysis of the petroleum refining sector, will be held from 11:00 am – noon CT and is free for RFA members and non members can attend for a fee. To reserve your spot, please contact Missy Ruff at 202-446-1944.

Karen Anderson-Schank of RFA member company CHS has said these webinars “present an excellent opportunity to learn more about the tremendous octane benefits provided by ethanol … After participating in the first webinar, I would strongly recommend this series to colleagues in the industry.”

More information on all five webinars is available here.

Ethanol, Ethanol News, Octane, RFA

Future Trade with Cuba is Up in the Air

Jamie Johansen

zp-nh1Our latest ZimmPoll asked the question, “What’s your opinion of the Bayer-Monsanto deal?”

The mega merger is still in the news and a small majority of pollers seem to believe the Bayer-Monsanto deal is bad news for the industry. As the companies work out the kinks farmers will soon see what the future holds and how this consolidation will impact their bottom line.

Here are the poll results:

  • Better solutions for farmers – 26%
  • Bad news – 37%
  • Consolidation is inevitable – 22%
  • Don’t know- 10%
  • Don’t care – 5%

Our new ZimmPoll is live and asks the question, How should U.S. normalize relations with Cuba?

The U.S. Ag Coalition for Cuba represents about 120 national groups each working collectively on individual interests with the common goal of improving trade relations with Cuba. Cubans seek to normalize relations with the U.S. which would include the U.S. lifting the embargo, extending credit to Cuba ensuring future trade deals and opening borders allowing U.S. citizens to travel as tourists to Cuba. Trade would open doors for U.S. agriculture and tourism would seal the deal on demand for U.S. goods. However, many believe any business with Cuba is bad business because of it’s history. Tell us how you feel…end the embargo, open-up tourism for U.S., neither or both

ZimmPoll

Michigan Mass Rolls Out Propane

Joanna Schroeder

Flint, Michigan Mass Transportation Agency (Flint MTA) has rolled-out 16 new propane buses. According to Blue Bird, this is the largest one-time Propane Vision bus purchase to date for commercial use. Flint MTA estimates that when compared to the replaced diesel buses, each propane bus will reduce 800 pounds of nitrogen oxide and 35 pounds of particulate matter per year.

Photo credit: Blue Bird

Photo credit: Blue Bird

“This roll-out signals an expansion for Blue Bird into the transit bus market,” said Phil Horlock, president and CEO of Blue Bird. “We’re bringing decades of experience in school buses and expertise in affordable, alternative fuel buses to transit agencies and public transportation riders.”

The commercial version of the Blue Bird Propane Vision, which comes with a 5-year, 100,000-mile warranty, is Altoona-test rated for 350,000 miles or 10 years. Each 39-seat bus is equipped with a 6.8L Ford engine, a ROUSH CleanTech fuel system and a 100-gallon fuel tank.

Federal Transit Administration funding was used to purchase the propane buses. In addition, Flint MTA secured a yearlong rate of 75 cents per gallon for propane autogas. When combines with the current federal alternative fuel tax credit, Flint MTA’s per gallon cost is 39 cents. The agency averages 20,000 miles per month on the buses, using them for six hours daily during peak service route times.

“Blue Bird Propane Visions buses allow Flint to provide green, affordable public transportation while saving taxpayer dollars,” said Ed Benning, general manager and CEO for Flint MTA. “These federal funds cover 80 percent of the alternative fuel vehicle cost, with a 20 percent local match. The MTA worked closely with Blue Bird to ’Altoona-test’ the bus — an outcome that will benefit all transit agencies that acquire these buses.”

Alternative Vehicles, Propane

Pacific Ethanol to Install 5 MW Solar Energy System

Lizzy Schultz

unknown-2 Pacific Ethanol, Inc. has announced the purchase and installment plans for a new 5 megawatt (MW) solar photovoltaic (PV) power system at its Madera, California biorefinery that produces ethanol, wet distiller grains and corn oil.

The solar plant will be located adjacent to the Pacific Ethanol industrial facility, which currently sits on 137 acres in Madera County, California. The 5 MW solar PV system is projected to reduce the Madera facility’s annual utility costs by over $1 million and is expected to be cash flow positive from year one. The system also qualifies for the Energy Investment Tax Credit.

“The integration of solar power at our Madera plant underscores our commitment to optimize our plant assets, lower the carbon intensity of our ethanol and reduce our operating costs,” says Neil Koehler, president and CEO of Pacific Ethanol. “We are proud to build the first ever commercial solar electricity system at a U.S. ethanol plant. Pending the completion of interconnection agreements with our local utility, Pacific Gas & Electric Co., we expect to begin operating the solar PV system at full capacity in early 2018.”

The system will be designed and installed by Borrego Solar, and $10 million of the project cost will be financed by CleanFund, which provides capital for projects in the renewable energy industry using the Property Assessed Clean Energy (PACE) financing framework.

“Pacific Ethanol represents the new generation of fuel companies — low carbon fuel production powered by zero carbon energy,” says Mike Hall, CEO of Borrego Solar. “This will be one of the largest single-site net metered projects in PG&E territory. Historically these types of projects were limited to a single megawatt, but given the recent CPUC NEM 2.0 ruling, large energy users are now able to go above that threshold and offset a significantly larger portion of their overall usage. In addition, by financing this project through PACE, Pacific Ethanol is able to retain full ownership of the system from day one and capture the tax incentives afforded to solar system owners.”

Ag group, Clean Energy, Ethanol, Facilities, Solar

BioEnergy Bytes

Joanna Schroeder

  • BioEnergyBytesDF1Research and Markets has announced the addition of the “Global Bio-fuels Market 2016-2020” report to their offering. The report forecasts the global biofuels market to grow at a CAGR of 5.87% during the period 2016-2020. The report covers the present scenario and the growth prospects of the global biofuels market for 2016-2020. The report also presents the vendor landscape and a corresponding detailed analysis of the top four vendors operating in the market.
  • Air Products has installed a hydrogen fueling station dispensing unit and a 9,000 gallon hydrogen tank, along with its hydrogen compression and storage technologies for Stark Area Regional Transit Authority (SARTA) in Canton, Ohio. The company will deliver liquid hydrogen to the site from its hydrogen production facility in Sarnia, Ontario (Canada). The 350-bar hydrogen fueling station will have the capacity for future expansion. SARTA will begin fueling buses next month and plans to grow its fleet to 10 buses over the next two years.
  • The owner and manager of a New Jersey feedstock collector and processor pleaded guilty to conspiracy and obstruction for his role in a scheme that generated over $6 million in fraudulent tax credits and the United States Environmental Protection Agency (EPA) renewable fuels credits (RIN credits) connected to the purported production of biodiesel fuel. Malek Jalal, 52, pleaded guilty before United States District Magistrate Judge Norah McCann King for the Southern District of Ohio, announced Assistant Attorney General John C. Cruden for the Department of Justice’s Environment and Natural Resources Division, Acting United States Attorney Benjamin C.
  • Nel Hydrogen Solutions, a division of Nel ASA, has been awarded a contract by SIA Hydrogenis, a leading hydrogen project developer in Latvia, for the delivery of the new dual capability H2Station®, which offers a combined hydrogen fueling solution for cars and buses in Riga.
Bioenergy Bytes

GROWMARK to Purchase Suncor’s Share of UPI

Joanna Schroeder

growmarkGROWMARK will be purchasing Suncor’s assets in Ontario, Canada-based UPI, which provides energy products, including propane, throughout Ontario. As part of the agreement, GROWMARK will purchase Suncor’s 50 percent interest in UPI. Once complete, UPI will be 100 percent owned by GROWMARK. The transaction is subject to conditions including regulatory approvals and terms were not disclosed.

“The agreement aligns with GROWMARK’s focus on growing our petroleum business in Ontario,” said Kevin Carroll, vice president, energy and logistics. “We have had an outstanding partnership with Suncor for the past 20 years, and we are confident this will facilitate the continued success of our energy business in Ontario well into the future.”

Suncor and GROWMARK have also entered into long-term supply agreements for GROWMARK’s petroleum needs in Ontario.

Alternative energy, GROWMARK, Propane

Chevron, ISU Partner on Advanced Biofuel Project

Joanna Schroeder

Iowa State BioCentury Research Farm has entered into a joint project with Chervon, U.S.A. University engineers to develop a pilot plant to develop and demonstrate solvent liquefaction, an advanced biorenewables technology. The technology converts biomass into a bio-oil that can then be processed into biofuels or biochemicals and biochar, a fertilizer that has the ability to enrich soil. Iowa State University (ISU) obtained a $3.5 million grant from the U.S. DOE’s Biomass Research and Development Initiative.

Lysle Whitmer, Ryan Smith and Martin Haverly, left to right, led the development of a pilot plant as part of a joint biofuels project with Chevron U.S.A. Larger photo. Photos by Christopher Gannon.

Lysle Whitmer, Ryan Smith and Martin Haverly, left to right, led the development of a pilot plant as part of a joint biofuels project with Chevron U.S.A. Larger photo. Photos by Christopher Gannon.

The pilot includes a bio-oil production line that includes a 55-gallon solvent tank attached to a twin-screw extruder that mixes, chops, heats and pressurizes that is attached to a reactor. Also included in the mix are product separators and a solvent recycling system.

“This is the culmination of everything we’ve learned about building pilot plants in the past 10 years,” said Lysle Whitmer, senior thermochemical research engineer for the Institute. “This is really a gem that represents everything we’ve learned thus far.”

The project actually began in 2013 when Chevron moved its $1.4 million Small Continuous Liquefaction Unit from Houston to the research farm for the Institute to assist in converting the plant to continuous production. In addition, Chevron was looking for a system to be built to recycle the solvent back into the production process.

Taylor Schulz analyzes the bio-oil and biochar produced by the pilot plant. Photo credit: Christopher Gannon.

“Our modular approach to the plant design allowed for a fair amount of prototyping and proof-of-concept experiments along the way,” explained Martin Haverly, a doctoral student in mechanical engineering and the lead design engineer for the project. “The system is a blend of commercially available products and custom solutions, all tied together at an industrially relevant scale. “All of these efforts helped us end up where we are now, with a safe and functioning pilot plant.”

Robert Brown, director of the Institute noted that the plant functions similar to a mini commercial system. One of the challenges of the pilot plant was to ensure all the steps worked together and operated in harmony. While elements of the system existed, the research team is now working on putting them all together. The engineers have now demonstrated the viability of every one of the pilot plant’s operations but they are still working to efficiently and simultaneously run all the operations. The initial result is a process that produces a bio-oil from wood chips that is low in oxygen and therefore more stable than other bio-oils. Next steps may include working with new feedstocks to create high-value, biorenewable chemicals.

advanced biofuels, biochemicals, Research

ePure Reports #Ethanol GHG Savings Increasing

Joanna Schroeder

screen-shot-2016-09-27-at-9-57-35-amAccording to new data reported by the European renewable ethanol association (ePURE), ethanol’s direct greenhouse gas emissions (GHG) savings in Europe has increased from 59 percent in 2014 to 64 percent in 2015. The European renewable ethanol industry – Annual statistics report 2016 also found that 99 percent of the agricultural crops and residues used to produce European ethanol in 2015 were grown in Europe. This, says ePURE, has provided growers with a needed source of income at a time when the EU agriculture sector is facing difficult pricing constraints. The study was audited by Swiss company Copartner.

“This audited statistical report reinforces yet again European ethanol’s strong credentials as a low carbon transport fuel,” said Robert Wright, secretary-general of ePURE. “However, despite ethanol’s 64% certified savings and confirmed low land use impacts, our sector faces the bizarre situation that the European Commission seems intent on phasing out readily available conventional ethanol. The Commission instead needs to promote, not hamper, all available low carbon transport solutions, including ethanol, if they are to succeed in their fight to reduce transport emissions.”

The Annual statistic report 2016 also found:

  • Since the EU biofuels policy was introduced in 2009, EU ethanol’s average savings increased by 28 percent from 52 percent in 2009 to 64 percent in 2015.
  • Ethanol production remained steady in 2015 with 5.8 billion litres produced. Of this, 78 percent of the ethanol was sold in the biofuel market.
  • European ethanol producers produced 8.8 million tons of co-products in 2015, of which 84 percent was DDGs.
  • In 2015, 37 percent of the ethanol produced was from corn, followed by wheat at 33 percent, sugars  at 20 percent with the remaining feedstocks consisting of other cereals and cellulosic material, wastes and residues.
biofuels, Ethanol, International

Global Bioenergies Leads Wood Residue to Energy Team

Joanna Schroeder

A new team has been created, led by Global Bioenergies, to produce fuel from forest residues. The first step of the partnership, that also includes Preem, Sekab and Sveaskog, will be to conduct a conceptual scope study for building the first biorefinery in Sweden. Back in April the consortium announced its partnership with partial financial support from the Swedish Energy Agency. Since then, the team has selected the Isobutene process developed by Global Bioenergies for the conversion of residue wood derived sugars into a high performance bioethanol. Going forward, the project will be carried out as part of Sweden’s “Bio-based Gasoline Project.”

© Plsa | Dreamstime Stock Photos

© Plsa | Dreamstime Stock Photos

“Sveaskog’s priority is to develop new uses for forest biomass,” noted Ann-Britt Edfast, R&D Manager at Sveaskog. “Our assessment is that forest resources will play a crucial role in the green transition to a fossil-free society. The value chain developed here is of particular interest for Sveaskog since it can use a range of forestry derived by-products and targets a drop-in molecule.”

Over the next several months, the team will study various plant scenarios that will enable the profitable conversion of forestry residues and products into bio-isooctane, a 100-octane rated fuel produced from bio-isobutene. The well to wheel project will include Sveaskog’s foresty activities; the company owns and manages 14 percent of the 30 million hectares of forest land in Sweden. The supply chain will also include Sekab’s CelluAPP(R) biomass to sugar conversion process, Global Bioenergies’ wood-sugars to Isobutene process and Preem’s gasoline production processes, blending and retailing activities.

The project will allow Sekab to showcase its CelluAPP (R) technology. “The Bio-Based Gasoline Project will enable the large scale commercial deployment of our CelluAPP(R) wood-conversion technology and will demonstrate how it can open the forestry sector to the vast new array of markets and in the first instance to high performance bio-based gasoline,” explained Thore Lindgren, vice president of Sekab E-Technology AB.

Global Bioenergies’ technology will also play a vital role in the value chain. Marc Delcourt, CEO of Global Bioenergies further said of the wood to energy project, “The diversification of feedstock has always been central to the development of our Isobutene technology as it opens new territories and markets to our process. Following a first plant project in France based on sugar-beet we are delighted to now work at its deployment downstream of the Swedish forestry industry”.

Stefan Nystrom, Business Development Engineer at Preem added, “The ability to produce drop-in, high performance bio-based gasoline in Sweden from residuals of the Swedish forestry is a central brick in our strategy and commitment to the environment. This partnership offers an entirely new technical solution to produce well known, high performance molecules such as isooctane and to establish a new bridge between our country’s forest and our consumers need for sustainable energy sources.”

advanced biofuels, Cellulosic, Ethanol, Waste-to-Energy