USDA Seeks Applications for Biobased Funds

Joanna Schroeder

usda-logoThe U.S. Department of Agriculture (USDA) is seeking applications for funding to help support the development of advanced biofuels, renewable chemicals and biobased products. Funding is being provided through the Biorefinery, Renewable Chemical and Biobased Product Manufacturing Assistance Program, formerly known as the Biorefinery Assistance Program. The program provides loan guarantees of up to $250 million to develop, construct and retrofit commercial-scale biorefineries and to develop renewable chemicals and biobased product manufacturing facilities.

The bioeconomy is a catalyst for economic development in rural America, creating new jobs and providing new markets for farmers and ranchers,” said Ag Secretary Tom Vilsack. “Investing in the businesses and technologies that support the production of biofuels and biobased products is not only good for farm incomes. The whole economy benefits from a more balanced, diversified and consumer-friendly energy portfolio, less dependence on foreign oil and reduced carbon emissions.”

Since the beginning of the Obama Administration, USDA has provided $844 million to 10 businesses through the program. Companies receiving these commitments are projected to produce 159 million gallons of advanced biofuels.

USDA will seek applications in two cycles. Applications for the first funding cycle are due October 3, 2016. Applications for the second cycle are due April 3, 2017. For more information, see page 48377 of the July 25, 2016, Federal Register. Application materials can be found on USDA’s Rural Development website.

advanced biofuels, Agribusiness, biochemicals, biomaterials, bioproducts, USDA

Mycogen Seeds, Richard Childress Promote Biofuels

Joanna Schroeder

This past weekend, Mycogen Seeds along with Richard Childress Racing (RCR) sported a new paint scheme for the No. 3 Dow/Mycogen Chevrolet SS driven by Austin Dillon. The paint scheme included the company logo of POET, one of the world’s largest producers of ethanol and other biorefined products. The Crown Royal 400 at the Brickyard NASCAR Sprint Cup Series race took place in Indianapolis, the home of Mycogen Seeds, on Sunday, July 24, 2016. No. 18 Kyle Busch, driving the Skittles Toyota, took the trophy with Dillon finishing 9th.

vcsPRAsset_515593_111814_0c53c3ff-5699-43df-878f-2b8da757d28e_0“We are thrilled to have POET join Mycogen Seeds and RCR to further support ethanol and American farmers,” said Damon Palmer, Mycogen Seeds general manager prior to the race. “The No. 3 is sure to stand out at the Brickyard debuting the POET paint scheme with Austin Dillon behind the wheel.”

The entire field, including the No. 3, runs on 15 percent ethanol-blended fuel, which has powered every NASCAR Sprint Cup Series race car since 2011. “Just as ethanol use in NASCAR improves efficiency on the track, ethanol use overall helps balance the U.S. corn supply,” continued Palmer. “We’re proud to be part of industry collaborations that deliver better market opportunities for American farmers.”

“By using E15, NASCAR shows the world the power, efficiency and dependability of high-octane ethanol fuel,” said Jeff Broin, CEO of POET before the race weekend. “We’re glad to work with Mycogen Seeds and RCR to highlight the benefits of ethanol to our nation’s air, public health and rural economies.”

corn, E15, Ethanol, NASCAR, Racing

Auto Channel’s Rauch Talks Ethanol in Australia

Joanna Schroeder

The Biofuels Association of Australia (BAA) is hosting the National Biofuels Symposium 2016 in Brisbane on August 22-23, 2016. On the ticket is The Auto Channel’s Marc J. Rauch, an outspoken advocate of ethanol and alternative energy who has taken Big Oil head on. He is a frequent participating speaker at industry and media events and recently traveled to Taiwan to speak at the Asia-Pacific Economic Cooperation forum on behalf of the U.S. Department of Agriculture.

PHOTOIt has been a David and Goliath battle against Big Oil, but the good guys keep gaining ground and acceptance because we have the ultimate indomitable weapon on our side: truth,” said Marc. “Ethanol is good for car engines, good for the environment, good for the economy, and good for our health. Australia, because of it’s available land, climate, growing population, lack of domestic crude oil resources and complete dependence upon foreign oil is a perfect place to develop a huge domestic ethanol industry. Other than the puerile myths and ignorant rumors about ethanol there is no reason why Australia and New Zealand shouldn’t be model societies for biofuel production and use. Their success will help all nations chained to petroleum oil fuels understand how they too can break free. This is the message I intend to share with the conference attendees.

The event, with more than 300 attendees expected,  is being supported by Australia’s Queensland Government, where recent policy changes in Queensland and New South Wales along with a detailed plan for its bioenergy sector put biofuels in a great position to help achieve plan and policy goals.

Other featured speakers and notable guests to appear at the symposium include:

  • Anna Palaszczuk, Premier of Queensland
  • Dr. Gerard J Ostheimer, Global Lead for the United Nations SE4ALL Program
  • Robert Wood, Head of Sustainability, Virgin Australia
  • Pramod Chaudhari, Executive Chairman, Praj Industries Limited, India
  • Larissa Rose, Chief Executive Officer, Queensland Renewable Fuels Association
  • Dr. Ian O’Hara, Principal Research Fellow, Queensland University of Technology.

More information about the Biofuels Association of Australia, as well as the entire program schedule and registration information is available by clicking here.

advanced biofuels, biofuels, Education, Ethanol

#Peanut Oil Could be New Fuel Source

Cindy Zimmerman

Providing a new jet fuel source could be a new market for the peanut industry, one that is in the process of being evaluated by both USDA and the Navy.

spgc-16-lamb“I think we owe it to ourselves that any time we can get our product into a new market that we explore these options,” said Dr. Marshall Lamb with the USDA/ARS National Peanut Research Lab during a panel presentation at the 2016 Southern Peanut Growers Conference on the potential for peanut oil as a fuel source.

Dr. Lamb told attendees that peanuts have an advantage over many other crops in that they have a very high oil content. “We’ve got an oil content of roughly 50 percent,” he said, compared to soybeans at just 18 percent and canola about 40. “And if you look at the amount per acre, peanuts are far higher than any other crops we can grow.”

Listen to Dr. Lamb’s presentation here: Dr. Marshall Lamb, National Peanut Research Lab

2016 Southern Peanut Growers Conference Photo Album

Audio, aviation biofuels, feedstocks

ACE Conference to Feature Top Fuel Experts

Joanna Schroeder

The Annual ACE Ethanol Conference is just around the corner and will be full of leading fueling experts sharing their experiences. The event is taking place in Minneapolis, Minnesota August 8-10 2016 and discounted registration rates end August 3rd. Click here to register.

ACE logo“We are excited petroleum industry experts Tom Kloza of OPIS, and David Hackett of Stillwater Associates, will be with us to explain what’s happening and what’s likely to happen in fuel markets, and we’re looking forward to hearing about real world opportunities and challenges of selling E15 and flex fuels from representatives from top ethanol retailers Sheetz, Inc. and Pearson Fuels. These guys are all literally the best at what they do, and it’s a tremendous opportunity to get to learn from them,” said American Coalition for Ethanol (ACE) Senior Vice President Ron Lamberty.

He continued, “Our market development efforts help petroleum marketers understand ethanol, and ACE has always placed equal importance on helping the ethanol industry understand the needs of the people and businesses who ultimately sell our fuel to consumers. This speaking lineup really emphasizes those priorities. It’s tailor-made for both ethanol producers and fuel retailers who have an interest in learning more about the fuel market, and how we can work together to move more gallons of ethanol.”

You can get a more in-depth conference preview from Shannon Gustafson here.

ACE, ACE Ethanol Conference, biofuels, Ethanol

RFA Hosting Safety Seminar in Nebraska

Joanna Schroeder

rfalogo1There will be a free ethanol safety seminar on Saturday, July 30, in Adams, Nebraska hosted by the Renewable Fuels Association (RFA) in conjunction with the International Association of Fire Chiefs, the Pipeline and Hazardous Materials Safety Administration, Ethanol Emergency Response Coalition and TRANSCAER.

The free ethanol safety seminar is taking place at the Adams Fire Department from 9:00 am–2 pm CT. Lunch will be provided.

Attendees will receive in-depth information on proper training techniques that emergency responders and hazmat personnel need to effectively respond to an ethanol-related emergency. Certificates of Completion will be handed out to all attendees at the end of each safety seminar.

The seminar is free to attend and open to the public. Click here to register.

Ethanol, Ethanol News, RFA, safety

Gustafson Jazzes Us Up for @ACEEthanol Conference

Joanna Schroeder

Shannon GustfasonShannon Gustafson is really jazzed for this year’s American Coalition for Ethanol (ACE) annual conference and after speaking with her so am I. The theme is “Power. Passion. Performance.” and Gustafson says it embodies everything that makes American made ethanol great. “The passion of our producers, the power of the American industry and top notch performance of a high octane fuel.” The conference is taking place August 8-10, 2016 in Minneapolis, Minnesota.

Ethanol’s octane benefits will be infused throughout the sessions but one panel in particular will discuss octane in-depth, says Gustafson. “Octane’s Value Proposition and Regulatory Path Forward,” will highlight how refiners calculate the octane value of ethanol and what adjustments they will make at the refinery to accommodate a higher octane fuel. Panelists include Dave Hackett, President, Stillwater Associates and Kristy Moore, KMoore Consulting LLC who will also be giving a presentation, “Up to Spec”.

Gustafson says the conference will kickoff with a market and association update from ACE Executive Vice President Brian Jennings. Other sessions will cover ethanol and dried distillers grains exports, carbon intensity, E15’s progress at the pump, Food Safety Modernization Act Compliance and ethanol plant profits.  The first day’s keynote speaker is Tom Kloza with OPIS who will be giving attendees a market update.  And a fun session is sure to be the “Advocate’s Arsenal: Making web resources work for you”.

Registration is still open and anyone from ethanol producers to academics, economists to consumers can attend and Gustafson says there will be something for everyone.

To get an in-depth preview of this year’s Annual Ethanol Conference, listen to my interview with Shannon Gustafson here: Interview with Shannon Gustafson, ACE

ACE, ACE Ethanol Conference, Audio, biofuels, E15, Ethanol

Washington’s Proposed Clean Air Rule Missing #Biofuels

Joanna Schroeder

The state of Washington has proposed its own Clean Air Rule (CAR) and according to the Renewable Fuels Association (RFA), the rule does not factor in the environmental and health benefits of ethanol blended fuels. In their comments submitted to the Washington Department of Ecology, RFA states that the proposed rule is inconsistent with virtually every other program designed to reduce greenhouse gas emissions (GHGs) and could have the perverse effect of reducing or eliminating the production and use of liquid biofuels in Washington state.

rfalogo1The climate rule is the first of its kind state legislation to cap carbon pollution. Should the legislation pass, it would go info effect in 2017 and would regulate several emissions including those from biofuels. However, “the CAR proposal eschews globally accepted bioenergy carbon accounting methods out of fear that properly recognizing the carbon benefits associated with biofuels would trigger the so-called ‘poison pill’ legislative provision that would shift funding from climate-friendly transportation investments to road and highway construction projects,according to RFA comments.

Citing data from the California Air Resources Board, Oregon Department of Environmental Quality, and U.S. Department of Energy show that first-generation ethanol is reducing greenhouse gas (GHG) emissions by 30–60 percent compared to petroleum, while second-generation ethanol can reduce GHG emissions by 80 percent or more. Yet RFA states Washington state’s proposal fails to recognize those clean air benefits from biofuels.

The proposed CAR treats biofuels and fossil fuels identically, which sets a dangerous carbon accounting precedent with potentially far-reaching impacts,” RFA wrote in its comments. “Other GHG cap-and-trade programs exempt biofuels from a compliance obligation because it is broadly understood that bioenergy combustion emissions are ‘carbon neutral’ (i.e., the biomass recently removed an amount of atmospheric carbon through photosynthesis that is equivalent to emissions from combustion).”

What is interesting, states RFA, is that the state seems to understand the aforementioned point as the proposed rules exempts emissions from biomass combustion in stationary sources such as the use of woody waste biomass to generate electricity.  “It is perplexing that this approach would be (properly) applied to stationary emissions from bioenergy production from biomass combustion, but not to emissions from liquid biofuel combustion,” RFA wrote.

“Implementing the CAR as proposed would set a perilous regulatory precedent, deter investment in the state’s biofuels market, and compel reduced consumption of low-carbon biofuels,” the comments continued. If implemented, developers of advanced biofuel technologies would avoid the Washington state market and instead shift focus on investments in California, Oregon, British Columbia and elsewhere.

For these reasons… we strongly urge the Department of Ecology to exempt biofuels from compliance obligation in the final CAR,” concluded RFA.

advanced biofuels, Environment, Ethanol, Legislation, politics, RFA

Senators Call for More Biodiesel in #RFS

Joanna Schroeder

Forty Senators are calling on the Environmental Protection Agency (EPA) to strengthen biodiesel volumes in the proposed 2018 rules for the Renewable Fuel Standard (RFS).  The senators said that biodiesel and renewable diesel are providing the vast majority of renewable fuel under the Advanced Biofuels category and the EPA should do more to encourage growth.

nBB“The biodiesel industry has met RFS criteria for growth, exceeding the goals that Congress envisioned when it created the RFS with bipartisan support in 2005 and supporting over 47,000 jobs,” the letter states. “To date, biodiesel and renewable diesel have delivered the majority of the advanced biofuels under the RFS. We believe it is clear that these fuels offer the best opportunity for growth in the near future.”

The letter was led by Sens. Roy Blunt ( R-Mo.), Patty Murray (D-Wash.), Chuck Grassley, (R-Iowa) and Heidi Heitkamp (D-N.D). It was signed by a bipartisan group of additional senators from California to Minnesota to Maine.

“I think this letter reflects a growing consensus on Capitol Hill that biodiesel and renewable diesel are successfully delivering the economic and environmental benefits that Congress had in mind when it created the RFS,” said Anne Steckel, vice president of federal affairs at the National Biodiesel Board (NBB). “This is a success story, and hopefully this letter helps show the Obama administration and the EPA that we need to do more. We need to embrace growth in our cleanest fuels, and the EPA proposal as it stands falls short of that.

On behalf of biodiesel producers around the country we want to thank all the senators who signed this letter, particularly Sens. Blunt, Murray, Grassley and Heitkamp for their leadership in organizing the effort,” Steckel added.

The additional senators signing the letter were Tammy Baldwin (D-Wis.), Richard Blumenthal (D-Conn.), Barbara Boxer (D-Calif.), Sherrod Brown (D-Ohio), Maria Cantwell (D-Wash.), Bob Casey (D-Pa.), Susan Collins (R-Maine), Joe Donnelly (D-Ind.), Richard Durbin (D-Ill.), Joni Ernst (R-Iowa), Dianne Feinstein (D-Calif.), Al Franken (D-Minn.), Martin Heinrich (D-N.M.), Mazie Hirono (D-Hawaii), John Hoeven (R-N.D.), Angus King (D-Maine), Mark Kirk (R-Ill.), Amy Klobuchar (D-Minn.), Patrick Leahy (D-Vt.), Ed Markey (D-Mass.), Claire McCaskill (D-Mo.), Jeff Merkley (D-Ore.), Jerry Moran (R-Kan.), Gary Peters (D-Mich.), Jack Reed (D-R.I), Pat Roberts (R-Kan.), Mike Rounds (R-S.D.), Bernie Sanders (I-Vt.), Jeanne Shaheen (D-N.H), Debbie Stabenow (D-Mich.), Jon Tester (D-Mont.), John Thune (R-S.D.), Tom Udall (D-N.M.), Elizabeth Warren (D-Mass.), Sheldon Whitehouse (D-R.I.), and Ron Wyden (D-Ore.).

advanced biofuels, Biodiesel, NBB, RFS

Survey Says…Consumers Don’t Care about Ethanol

Joanna Schroeder

According to a new survey looking at consumers’ decisions at the pump, the environment does not seem to play a primary role in the choices they make. The big factor is price at the pump. According to the Renewable Fuels Association (RFA) and reported in a Reuters article, E15 is about 5 cents per gallon less expensive, or about 2 percent.

E15-Americas-FuelBut do consumers care if ethanol is in their fuel? If you ask Big Oil, then the answer should be yes and have been claiming that ethanol could impair performance and vehicle durability. Yet according to the poll, around four out of 10 Americans who drive to work said they did not know if ethanol was good for performance, while the remainder appeared split. The same portion did not know if ethanol affected gas mileage.

The article says that the debate does not resonate with consumers, in part, because the ethanol industry has focused its efforts on lobbying lawmakers in Washington according to Laura Sheehan, an adjunct professor at Georgetown University’s School of Continuing Studies and a public relations specialist in the energy sector.  She said that it would take a massive personal, consumer education campaign to change consumer perceptions.

Robert White, RFA vice president of industry relations said that there is difficulty in reaching consumers if ethanol is not widely available. E15 is only available in a few hundred stations today and growing and White said as E15 becomes more widely available the industry will do more to educate consumers.

biofuels, E15, Ethanol, RFA