Biofuels Groups Blast House Hearing on RFS

John Davis

uscapitolBiofuels backers say a U.S. House Science Committee had very little to do with science in regards to the Renewable Fuel Standard (RFS). The Congressional committee met on the 10th anniversary of the RFS, and Tom Buis, co-chair of Growth Energy, said the committee has a history of misrepresenting biofuels, relying on misinformation and outright lies to cast a negative light on an American success story.

“Today’s hearing was nothing more than a coordinated attack against biofuels. Minus a few open-minded individuals who examined this issue based on facts, not pre-determined bias, this hearing did nothing to reflect the overwhelming contributions of the RFS…

“With regards to the environmental benefits of ethanol, the facts are clear. According to Argonne National Laboratory, – an objective national laboratory – ethanol reduces greenhouse gas (GHG) emissions by an average of 34 percent compared to gasoline, even when the highly controversial and disputed theory on Indirect Land Use Change (ILUC) is factored into the modeling. Furthermore, Argonne has found that without ILUC included, ethanol reduces GHG emissions by 57 percent compared to gasoline.

“It is unfortunate that the Science Committee missed an opportunity to provide an unbiased examination of the RFS. Instead, the Committee – which has no jurisdiction over this policy – continued to present a misguided agenda to smear biofuels, hosting several witnesses that fabricated information on the impact biofuels have on food prices, the environment and the American economy. This treatment of homegrown American fuels is insulting to the hardworking Americans across our country who are helping fuel our energy independence.”

Renewable Fuels Association (RFA) President and CEO Bob Dinneen said “Big Oil’s narrative opposing the RFS no longer has any currency.”Read More

Ethanol, Ethanol News, Growth Energy, Legislation, politics, RFA, RFS

Cellulosic Biofuels Celebrated at DuPont Plant Opening

Joanna Schroeder

DuPont cellulosic grand openingNevada, Iowa is officially home to the world’s largest cellulosic ethanol biorefinery with the official plant commissioning. When the DuPont facility is at full production, in about a year, it will produce 30 million gallons of cellulosic ethanol from agricultural residues such as corn stover.

The celebration was kicked off with the National Anthem sung by music legend Simon Estes followed by nearly a dozen speakers. The first to take the stage was William Freehery, president, DuPont Industrial Sciences who discussed the theme of DuPont’s advanced biofuels production: “RE. FORM. ENERGY”. Freehery focused his remarks on how the company is changing the way the world thinks about biofuels. He explained how their technology is “reforming” how energy is produced and in the future and how they will “reform” ways to create new materials, “reform” new ways to use them and “reform” new ways to produce them.

“What is significant about today is that we’ve reinvented manufacturing itself,” said Feehery. “Feeding renewable biomass into a commercial scale industrial facility. We’ve also reinvented how we think of and supply energy, and our next act will be reinventing how we turn those same agricultural feedstocks into to new types of materials that people use everyday.”

Also speaking was an individual who came to Nevada to turn the dream of cellulosic ethanol production into reality: Terraun Jones, operations manager. He was lured to Iowa on the platform of his fascination of turning agricultural waste, something Iowa has too much of, into biofuel and bioproducts. When he arrived, his first task was to create the foundation for the plant -the pouring of concrete and adding steel. “It was not just the foundation of our facility, but it was the foundation of an entirely new industry and renewable energy,” said Jones.

Photo: Joanna Schroeder

Photo: Joanna Schroeder

Event speakers included: Host: Jan Koninckx, Global Business Director, DuPont Biofuels; Simon Estes; William Feehery, President, DuPont Industrial Biosciences; Honorable Terry Branstad, Governor, State of Iowa; Honorable Kim Reynolds, Lieutenant Governor, State of Iowa; Honorable Chuck Grassley, U.S. Senator, State of Iowa; Honorable Steve King, U.S. Representative, State of Iowa; Honorable Bill Northey, Secretary of Agriculture, State of Iowa; Terraun Jones, DuPont Employee Representative; Honorable Lynn Lathrop, Mayor, City of Nevada; Dr. Johnathan Male, U.S. Department of Energy;  and Brian Sampson, Grower Harvest Program.

Listen to the full program here: DuPont Cellulosic Biorefinery Welcome Program

advanced biofuels, Audio, biomass, Cellulosic, Ethanol, RFS

EPA Submits Final RFS Rules to OMB for Review

Joanna Schroeder

The U.S. Environmental Protection Agency (EPA) has transmitted its Renewable Fuel Standard (RFS) rules to the White House Office of Management and Budget (OMB) for review as one of the final steps before publishing the final 2014, 2015 and 2016 final RFS rules for renewable volume obligations (RVOs). While the details are not public, the Biotechnology Industry Organization (BIO) is calling on the EPA to correct its course and stop undermining the goals and requirements of the statute. The uncertainty, the organization said, is undercutting much needed investments in advanced and cellulosic biofuels as well as raising greenhouse gas emissions in the transportation fuel sector.

bio-logoMany cellulosic and advanced biofuel companies are members of the organization including several companies who have brought commercial-scale cellulosic ethanol biorefineries online in the past year including Abengoa Bioenergies in Hugoton, Kansas; DuPont in Nevada, Iowa; and POET-DSM in Emmetsburg, Iowa. In addition, several leading advanced biofuels companies focused on waste feedstocks have also seen commercial scale success including INEOS Bio in Vero Beach, Florida; Enerkem in Alberta, Canada; GranBio in Alagoas, Brazil; and ZeaChem in Boardman, Oregon. All of these companies, along with those companies still in development stages, have a significant vested interest in achieving increased mandated volumes for second generation biofuels.

According to BIO, its members are improving conventional biofuel processes, commercializing advanced and cellulosic biofuel production technologies and speeding the development of new bioenergy dedicated crops.

Brent Erickson, executive vice president of BIO’s Industrial & Environmental Section, said after hearing the news that the final rules were sent to OMB for review, “The RFS has been a critical piece of our nation’s energy and climate policy. It has driven the investment of billions of dollars in the development and commercial deployment of ultra-low-carbon biofuels. It has spurred innovation beyond biofuels to the development of greener technologies and manufacturing processes while curbing our dependence on foreign oil.”

“Unfortunately, Erickson continued, “as we explained in our official comments on the proposed rule, EPA’s new interpretation of its statutory authority to waive the requirements of the RFS statute has already chilled investment for advanced biofuels and has increased U.S. greenhouse gas emissions. If EPA issues a final rule that adopts the approach set forth in the proposed rule, the result will be continued market uncertainty and market constraints that will further undermine sustained investment in advanced biofuels.”

The deadline for the release of the final RFS rules in November 30, 2015. Should the RVO’s not be returned to at minimum, mandated levels, the biofuels industry has voiced intent to sue the EPA.

advanced biofuels, BIO, Biodiesel, Cellulosic, EPA, Ethanol, RFS

Renewable Industries Call on Secy of State for Support

Joanna Schroeder

COP 21 is fast approaching and the U.S. will be in the spotlight for its efforts to reduce climate change impacts. In anticipation of the worldwide climate event, leaders of the U.S. biomass, geothermal and hydropower industries are urging Secretary of State John Kerry to support a “pan-renewable technologies approach”. The National Hydropower Association, Biomass Power Association and Geothermal Energy Association (GEA) said in the letter that today these technologies provide 86 percent of the world’s renewable power and this amount is anticipated to grow in the coming years.

Screen Shot 2015-11-02 at 2.57.22 PM“As baseload renewable power technologies, our industries are particularly critical to reducing carbon dioxide emissions, and we encourage Secretary Kerry to recognize the contributions our industries are making to fight climate change,” said Linda Church Ciocci, executive director of the National Hydropower Association.

The letter highlighted some of hydropower, biomass and geothermal benefits:

  • Hydropower was the leading renewable power technology in each of the top five renewable electricity producing countries: China, U.S., Brazil, Canada and Russia.
  • Biomass provides a significant percentage of renewable power around the world, and was the leading renewable electricity source in Germany in 2014, providing 10% of the country’s electricity.
  • Geothermal provides power in 24 countries, including 51% of in-country power supply in Kenya, where these additions are credited with reducing consumer bills by over 30%.

Karl Gawell, GEA executive director, called on the Administration to increase its support of renewable electricity generation. “We are asking for a U.S. approach that recognizes hydropower, biomass power and geothermal power are also important contributors to avoiding fossil fuel emissions today and will be important contributors to meeting future climate goals.

The group stressed in the letter, “. . .[P]ower grids will continue to be a vital means for electricity delivery. Therefore, enhancing the grid and grid-connected technologies is important.

Bob Cleaves, president, Biomass Power Association, added, “Biomass power is recognized the world over for its many environmental and economic benefits. As a baseload power source, it’s an essential part of any renewable energy mix that uses low-value materials that often have no other use. Biomass will play an important role in reducing the use of fossil fuels.”

biomass, Climate Change, Electricity, Geothermal, Hydro

BioEnergy Bytes

Joanna Schroeder

  • BioEnergyBytesDF1Center for Resource Solutions recently released two reports on the U.S. EPA’s Clean Power Plan, which directs states to implement greenhouse gas emissions limits for existing electricity generators. Renewable Energy in the EPA Clean Power Plan. Part 1: Introduction to Emission Rate Credits gives an overview and explanation of Emission Rate Credits (ERCs), which can be used by regulated generators to lower their reported emissions rates. Renewable Energy in the EPA Clean Power Plan. Part 2: Interactions With and Impacts on RECs and Renewable Energy Markets explains the interplay of ERCs and emissions allowances with renewable energy certificates, existing state renewable portfolio standards, and the voluntary renewable energy market.
  • Wolverine Power Supply Cooperative, a not-for-profit generation and transmission electric cooperative, has announced that it has entered into a 20-year power purchase agreement with Exelon Generation for 153 MW of new wind generation in Michigan’s Thumb region. The wind power will be supplied from the Michigan Wind 3 project, which will be located in Sanilac County, Michigan. Exelon is scheduled to begin construction on the project in spring 2016 and begin commercial operation by December 2016.
  • OneRoof Energy, Inc. has announced it has appointed Brian Alexson, formerly CEO for CS Operating, Inc., to the newly created role of chief operating officer (COO). The addition of the COO role is part of strengthening the Company’s sales and operations to drive the Company’s strategic Solar 2.0 initiative aimed at leveraging the scale and low-cost sales capabilities of “non-traditional” residential and retail sales channels with the goal of lowering the cost of customer acquisition.
  • ArcLight Capital Partners has announced the closing of the transaction between its newly formed portfolio company, Leeward Renewable Energy and Infigen Energy to acquire Infigen’s U.S. wind assets. The current portfolio comprises equity interests in eighteen U.S. wind farms with a total installed capacity of approximately 1,557 MW, of which Infigen’s interests comprise 1,089 net MW. In addition, the acquisition includes Infigen’s U.S.-based asset management and operations business.
Bioenergy Bytes

Indy Zoo Cages Oil Beast with Biodiesel

John Davis

Student feeds giraffe1Petroleum can be a real beast for consumers and the environment, but a place that knows a bit about keeping wild beasts in check is using biodiesel to cage its oil usage. This story from WFYI says the Indianapolis Zoo is turning leftover cooking oil into the green fuel.

At the Zoo’s café, Manager Pat Cummings drops an order of fries into the deep fryer. “The oil we actually use, we turn into the zoo and they use to power their vehicles,” Cummings said.

That’s the gist of a new program that’s fueling the zoo’s conservation mission. It has been working with Cummins for about five years to create the biodiesel initiative, and just recently produced its first couple batches to fuel the small utility vehicles it uses.

Nora Fletchall, supervising VP of operations for the Indianapolis Zoo, says the project is in line with the zoo’s mission to encourage people to live greener lives.

“We want to be a model for that, so this is a program that helps us to talk to the public about what we are doing but also engage them in conversations about what they can do as well,” Fletchall said.

Behind the scene’s at the zoo’s fuel station, Jack Bow, Indy Zoo’s director of facilities, says the process is pretty simple.

“We’ll pump it into our processor, we’ll add our catalyst to go with it, basically methanol and potassium hydroxide, it’s heated up and then eventually it will turn into the biofuel we’re using,” Bow said.

The zoo uses about 4,000 gallons of diesel right now. The project could replace 500 gallons of that with biodiesel.

Biodiesel

Vertimass Gets US Gov’t OK for Biofuel Tech

John Davis

vertimass1A California company received U.S. government approval for its technology that will be able to blend more biofuels with gasoline, diesel and jet fuels. This news release from Vertimass says the technology validation allows the company to get a new award of $2 million by the U.S. Department of Energy’s Bioenergy Technology Office.

Vertimass technology was originated at Oak Ridge National Laboratory, where scientists invented novel catalysts that convert a wide range of alcohols including ethanol and butanol into hydrocarbon blend stocks that can be used in existing gasoline, diesel and jet engines without modifications. Additionally, this process can produce renewable chemicals including benzene, toluene, and xylenes (BTX). Thus, Vertimass technology offers a new pathway that can enhance use of biomass-derived renewable fuels that lower greenhouse gas emissions and decrease U.S. reliance on foreign sources of oil. Co-production of BTX and other chemicals can enhance profitability.

“We are excited to clear this critical milestone with the Department of Energy and can now take the next step toward scaling up this novel technology,” said Dr. Charles Wyman, Vertimass president and chief executive officer. “This technology validation further proves the effectiveness and novelty of this technology, and through this DOE award, we intend to work with Technip to ready the technology for introduction into existing and emerging ethanol facilities within two years, thereby significantly expanding the market for renewable transportation fuels.”

“We are very pleased to receive third-party validation of this technology as part of the DOE award so we can now rapidly move to commercialization,” said Bill Shopoff, Vertimass chairman. “We believe this technology will have significant impacts in the renewable plastics and fuels spaces, especially in contributing to attaining Renewable Fuel Standard (RFS2) targets for advanced fuels and Federal Aviation Administration goals of one billion gallons of renewable jet fuel by 2018.”

Vertimass officials point out their simple, one-step process can be easily bolted onto existing ethanol production facilities, resulting in low capital costs.

biofuels, Ethanol, Ethanol News

Ethanol Producer Green Plains to Buy Texas Refinery

John Davis

greenplainsNebraska-based ethanol producer Green Plains says it will buy an ethanol refinery in Texas owned by fuel retailer Murphy USA. This news release from Green Plains says it will pay Hereford Renewable Energy, LLC approximately $93.8 million, including $78.5 million for the ethanol production facility with the balance for working capital.

The facility is a Lurgi-designed, ICM-modified ethanol plant with approximately 100 million gallons per year of production capacity, a corn oil extraction system and other related assets.

“The Hereford facility has many strategic and financial advantages over other destination plants because of its location, leading to both export and domestic market opportunities for ethanol and distillers grains,” commented Todd Becker, president and chief executive officer of Green Plains. “Because it is located near the largest concentration of cattle in the world, with over a million head of cattle fed within a 50-mile radius, the plant can produce a low carbon intensity fuel which is typically sold for a premium to ethanol produced at most other plants.”

Andrew Clyde, president and CEO of Murphy USA, added, “The Hereford facility has become a high-performing facility and we want to recognize the commitment of the Hereford employees who executed the two-year turnaround plan and established a track record of consistent, strong performance. Their commitment created the opportunity for us to attract a prominent, long-term focused buyer such as Green Plains who can build on the progress demonstrated to date at Hereford. This transaction reinforces Murphy USA’s strategic intent of selling our non-core assets in a manner that captures the most value for our shareholders.”

The facility uses a shuttle unload technique that can unload 40,000 bushels of corn per hour, a double-loop track that holds two unit trains at a time and a grain handling system with more than 4.8 million bushels of storage. The plant also has 4.5 million gallons of ethanol storage capacity.

Ethanol, Ethanol News

CBC to EPA: Commit to the RFS

Joanna Schroeder

Congressional Black Caucus LogoSixteen members of the Congressional Black Caucus (CBC) have sent a letter to the Environmental Protection Agency (EPA) today calling on the agency to get back on track with the Renewable Fuels Standard (RFS) and strengthen the biofuels volume requirements. The rules are due to be finalized on November 30, 2015 and the biofuels industry is calling on the EPA to uphold the law and bring the RFS back into compliance with renewable volume obligations (RVOs).

The CBC members point out in the letter the benefits of the RFS to the environment and economy, as well as how renewable fuel including cellulosic and advanced biofuels are reducing greenhouse gas emissions.

As Politico points out, there is dissension among the Congressional Black Caucus ranks. Last year the Caucus sent a letter urging the EPA to lower the amount of corn-based ethanol. Today, 16 members have broken from their group and are now calling on more renewable fuel to be blended under the RFS. The members include: Rep. Payne; Rep. Clarke; Rep. Holmes Norton; Rep. Hastings; Rep. Bishop; Rep. Lee; Rep. Brown; Rep. Davis; Rep. Cleaver; Rep. Rangel; Rep. Johnson; Rep. Adams; Rep. Kelly; Rep. Butterfield; Rep. Carson; and Rep. Clyburn.

Click here to read the letter.

advanced biofuels, Biodiesel, Ethanol, RFS

NBB’s Jobe Talks State of Biodiesel

Joanna Schroeder

The National Advanced Biofuels Conference kicked off last week with a heated discussion about the state of advanced biofuels in the U.S. with a focus on the Renewable Fuel Standard (RFS). Following the panel I had a chance to speak with Joe Jobe, CEO of the National Biodiesel Board NBB) who was joined on the panel by Micheal McAdams, President of the Advanced Biofuels Association, and Monte Shaw, Executive Director of the Iowa Renewable Fuels Association.

Beltway Update Panel at Advanced Biofuels Conf 2015Jobe said the panel was heated because biodiesel represents the only commercially available, nationwide advanced biofuel in the market today. He made reference to one group who said that the RFS is no longer the solution but has become part of the problem. “We are very much opposed to the sentiment,” said Jobe. “We believe biofuels groups need to stay together and not segment and bash each other.”

The RFS is poised to get on track despite two years of stumbling said Jobe. The final RVOs (renewable volume obligations) are due from the Environmental Protection Agency (EPA) by the end of November and Jobe said at least then the industry will have some guidance. It will also aid their argument that increasing the biomass based diesel and advanced biofuels categories will help strengthen the RFS overall. He’s optimistic.

Jobe also stressed the need to get the biodiesel tax incentive reauthorized and put in place for the next few years. In addition, he spoke about one of the topics that will be of great interest in their upcoming conference in Tampa, Florida at the end of January: the next level of discussion on energy policy and that’s carbon policy.

Listen to my interview with NBB’s CEo Joe Jobe here: Interview with Joe Jobe, NBB

advanced biofuels, Audio, Biodiesel, NBB, RFS