Biodiesel Industry to Congress: Renew Tax Incentive

John Davis

uscapitolThe biodiesel industry is calling on Congress to quickly pass a measure that would renew the biodiesel tax credit. The new legislation, sponsored by Sens. Charles Grassley (R-Iowa) and Maria Cantwell (D-Wash.), and Reps. Kristi Noem (R-S.D.) and Bill Pascrell (D-N.J), includes a key reform restructuring the incentive from a blender’s credit to a producer’s credit focused on domestic production. It eliminates the existing blender’s structure, which is allowing foreign producers take advantage of the incentive. The National Biodiesel Board points out that not only will the new legislation encourage domestic production, it will save about $90 million in tax dollars. NBB wants action on it soon.

“The biodiesel industry cannot grow and support good-paying jobs without some level of predictability on tax policy, and the legislative clock is winding down,” said Anne Steckel, NBB’s vice president of federal affairs. “This tax incentive has strong bipartisan support, as demonstrated by the bills introduced today. It’s good for the economy, it’s good for the environment and it’s good for consumers. And importantly the reforms included in today’s bills will appropriately focus the incentive on U.S. production”

“We want to thank Reps. Noem and Pascrell and Sens. Grassley and Cantwell again for their leadership on this issue,” she added. “This bill, when passed into law, will go a long way toward creating biodiesel jobs across the country and reducing our dependence on foreign oil.”

Grassley’s home state Iowa Biodiesel Board and Iowa Renewable Fuels Association (IRFA) added their encouragement to pass the measure, as well as their thanks to the lawmakers involved.Read More

Biodiesel, Iowa RFA, Legislation, NBB

Biodico to Cut Ribbon on Calif. Biodiesel Plant

John Davis

Biodiesel maker Biodico will hold an official ribbon cutting ceremony today at 11:30 a.m. PST for its 20 million gallon per year biodiesel production facility in Five Points, California. The company says the refinery will produce the green fuel from all fats and oils available and will specialize in producing low carbon intensity fuels under California’s Low Carbon Fuel Standard.

biodicoribboncutting1Biodico provides heat and power for the operation through the renewable processing of production byproducts. Crude glycerin is reformed into GBX, a proprietary formulation that is anaerobically digested. Solid biomass byproducts from feedstocks and from surrounding agriculture are gasified. A 20 kW solar cogeneration array adds additional heat and power to the project. In addition to a state of the art laboratory for biodiesel quality control under existing ASTM standards, the project is equipped to be able to test the biodiesel production in real time by Fourier transform infrared spectroscopy and liquid phase impedance EMF feedback.

The ribbon cutting is a celebration not just for Biodico Westside, but for the many project partners who have helped to make the project possible. Biodico’s long standing Cooperative Research and Development Agreement with the Navy, R&D support from the California Energy Commission, and joint projects with academia (West Hills College, Cal Poly, UC Davis, etc.) have all provided valuable technologies and resources that are incorporated into the project. Biodico Westside is a partnership between Biodico and Red Rock Ranch. Red Rock Ranch is a multi-generational farming operation covering thousands of acres and growing over 40 crops that has had a strong commitment to R&D over many decades.

Biodiesel

Cruz Asks ARF to Pull Down Ads

Joanna Schroeder

This week America’s Renewable Future (ARF) launched an ad campaign targeted at presidential candidate Senator Ted Cruz, who they say is against the Renewable Fuel Standard (RFS). The #RFS has been under fire for several years and on Monday, after reviewing more than 270,000 public comments, the Environmental Protection Agency (EPA) released the final volumes for 2014, 2015 and 2016. While the numbers were higher than in the proposed rule, clean energy advocates are calling for the #EPA to raise the volumes of renewable fuel blended to statutory levels. Cruz, it would seem, is not one of those calling for strengthening the RFS.

The ad criticizes Cruz’s hypocritical position on oil subsidies and after airing for less than a week, the Cruz campaign has called on ARF to stop airing the ads. However, says ARF, the letter provides further example of his efforts to deceive Iowans about his support of oil subsidies. (Side note: ethanol does no longer receives subsidies and hasn’t for several years while the oil industry has been raking in the subsidies for more than 100 years.)

Ted Cruz Official PortraitCruz is claiming that subsidies exclusive to the oil industry, like intangible drilling costs, “are analogous to ordinary business expensing that every other industry gets”. He is calling subsidies by another name and hoping Iowans don’t catch on, says ARF. And now that he’s been caught, he’s claiming that he wants to get rid of oil subsidies, but he’s repeatedly told Iowa farmers and plant managers that those subsidies don’t exist. Cruz, ARF continues, is trying to have it both ways, acting like a typical politician, and it’s Iowa farmers who will suffer.

The speech in which Cruz mentions his support of ending “enhanced oil recovery credits for producing oil and gas from marginal wells” is meaningless considering that those provisions are inconsequential and taxpayers would see “no revenue effect” from them according to the Joint Committee on Taxation
“This attempt is yet another example of Cruz lying to Iowans, only this time he’s been caught,” said ARF State Director, Eric Branstad, “He has personally introduced legislation to repeal the RFS, but none to repeal the billions in subsidies to the oil industry. In fact, he’s voted repeatedly against measures to close tax loopholes for oil and gas.”

ARF says Cruz has close to a million dollars personally invested in oil companies, which is roughly equivalent to the over $1 million in campaign contributions he has received from the oil industry. The Super PACS propping up his campaign have received over $25 million from oil interests.

“Cruz is in the pocket of the oil industry and he’s doing its dirty work by trying to kill Iowa’s farm economy to line his own pockets,” Branstad added, “He’s oil’s attack dog and it’s time that Cruz came clean. We stand by our ad and so do the facts.”

biofuels, Ethanol, politics, RFS

BioEnergy Bytes

Joanna Schroeder

  • BioEnergyBytesDF1Global cumulative installed capacity of small wind turbines will increase more than fivefold from 912.6 MW in 2014 to 4.8 GW by 2025, at an impressive Compound Annual Growth Rate (CAGR) of 16.4%, according to research and consulting firm GlobalData. The company’s latest report* states that small wind power capacity, which refers to wind turbines with capacities lower than 100 kilowatts, is expected to grow in European countries including Germany, Spain, Poland, Sweden, and Ukraine, while India and Japan will lead growth in Asia.
  • The Natural Resources Defense Council (NRDC) has launched a six-figure digital and newspaper ad campaign to thank three key Senate Democrats, including Michael Bennet of Colorado, for voting last month to defend the Obama Administration’s Clean Power Plan against Republican attack. The other two senators are Bob Casey of Pennsylvania and Mark Warner of Virginia.
  • The United States just experienced its largest quarter for energy storage deployments since the fourth quarter of 2012. According to GTM Research and the Energy Storage Association’s (ESA) U.S. Energy Storage Monitor, the U.S. deployed 60.3 megawatts of energy storage capacity in the third quarter of the year. This represents 53.1 megawatt-hours.
  • ConEdison Solutions and Volvo Group North America have announced completion of a 5,000-panel parking-lot solar canopy at Volvo Group’s Hagerstown, Maryland powertrain manufacturing facility. The canopy – which will generate clean, renewable electricity at the facility – is among the largest solar carport installations on the East Coast.
Bioenergy Bytes

Clean Energy Victory Bonds for a Clean Climate

Joanna Schroeder

A new bill was introduced in the U.S. this week in conjunction with COP21: the Clean Energy Victory Bonds Act of 2015. If passed, it would help the U.S. meet its climate goals. Introduced by Reps. Zoe Lofgren (D-CA) and Doris Matsui (D-CA), the Act would also create more than 1 million jobs. The Clean Energy Victory Bonds would begin as low as $25 and the funds raised would be invested in clean energy. The bill is endorsed by Green America and the American Sustainable Business Council who have been touting clean energy bonds for several years. A similar act was introduced in 2012 but failed to gain momentum.

clean energy victory bondsTodd Larsen, executive co-director of Green America, said of the bill, “This bond fills a real need for individual and institutional investors, offering them a low risk opportunity to invest in clean energy sectors such as solar, wind, second generation biofuels, electric vehicles, and residential and commercial energy efficiency programs. It will also provide the incentives companies need in the clean energy sector to maintain the United States’ leadership and create over 1 million jobs in the U.S.”

The groups say the Clean Energy Victory Bonds will create major benefits:

  • Leverage $50 billion investment to provide up to $150 billion in public and private financing to fund the production of innovative energy technologies, at a time when the U.S. is falling behind other countries in clean energy manufacture and installation.
  • Help create at least one million competitively-paying jobs in the U.S.
  • Support America’s clean energy sector, helping to ensure that the U.S. remains a world leader in this increasingly crucial and competitive industry.
  • Reduce U.S. dependence on foreign sources of energy, enhance national security, and limit price increases and fluctuations.
  • Provide a secure, competitive, government-backed investment vehicle for average Americans and investment institutions alike seeking a safe place for their money.
  • Offer flexible redemption options at interest rates superior to most bank accounts.
  • Help all Americans to invest in the future of their country and benefit from their investments.
  • Promote a cleaner environment through the financing of clean energy technologies.
  • Protect the health and safety of Americans by reducing local air and water pollution throughout the country.

The groups note that tax incentives for renewable energy come and go, often without predictability, leaving investors and industry scrambling. The Clean Energy Victory Bond, they say, would extend vital tax credits for a decade, giving emerging industries the support they need to develop and become increasingly competitive.

“From a business perspective, the Clean Energy Victory Bond makes great sense,” added Richard Eidlin, co-founder & VP of policy for the American Sustainable Business Council. “The market is speaking, and it’s speaking in favor of clean energy. As the world comes together in Paris to address climate change, it is more important than ever for renewable energy industries to have a new source of investment capital to build the market momentum.”

Clean Energy, Climate Change, Environment, Legislation

Companies Embrace Solar

Joanna Schroeder

A new report finds growth in the use of solar energy has surged 183 percent among America’s top companies in the four years. “Solar Means Business 2015,” also found 59 percent growth in solar installations since last year. The study, the first in four years, was released by the Solar Energy Industries Association (SEIA).

Solar Means Business 2015For the fourth year in a row, Walmart ranked No.1 with 142 MW of solar PV capacity at 348 locations. Other top companies recognized for both their amount of solar capacity and number of solar installations include Kohl’s, Apple, Macy’s, Walgreens, Target, IKEA, Prologis, FedEx, Intel, General Motors, Verizon, Johnson & Johnson, Bed Bath & Beyond, Safeway, Hartz Mountain, Staples, L’Oreal, Kaiser Permanente and Toyota.

“These blue-chip companies have realized investing in solar is a common-sense, cost-effective decision that pays dividends for both the environment and their bottom lines,” said SEIA President and CEO Rhone Resch. “Not only are they helping to create thousands of American jobs in solar, the nearly 1,700 systems currently in operation are generating enough clean, reliable electricity to offset nearly 890,000 metric tons of harmful carbon emissions a year.”

Combined, America’s top corporate solar users installed 1,686 systems totaling 907 MW of solar. Representing a “Who’s Who” of the corporate world according to SEIA. These companies, says the association, are playing an increasingly important role in the development, expansion and promotion of solar nationwide, while also reducing their operating expenses, benefiting customers and shareholders alike.

The report notes that growth in corporate solar adoption is no longer limited to traditional solar markets, but that “solar is a smart business decision wherever your business may be.”

Clean Energy, Electricity, Solar

Global RFA Urges COP21 to Support Biofuels

Cindy Zimmerman

global-rfaAs world leaders continue to meet in Paris for the United Nations Climate Change Conference (COP 21), the Global Renewable Fuels Alliance (GRFA) is asking them to signal their support for biofuels as one of the tools to fight climate change.

“This conference is a real opportunity for world leaders to recognize the role that renewable fuels have played, and will continue to play, in the transition to a low-carbon global economy,” said GRFA president Bliss Baker. “The climate problem is accelerating and biofuels represent one of the most cost-effective solutions to reduce oil use and greenhouse gas emissions from transport in the short and medium term.”

So far, 36 countries have already recognized the opportunity presented by biofuels in reducing GHG emissions and combating climate change, and have included them in their Intended Nationally Determined Contributions (INDC) plans. Studies have shown that most biofuels, like ethanol, are proven to reduce harmful GHGs from 40% to 90% compared to fossil fuels around the world.

“Given the significant contribution biofuel is making in reducing global GHG emissions today, we believe COP 21 participants should call for an increase in biofuel use through the introduction of supportive policies, particularly for advanced biofuels,” concluded Baker.

biofuels, Climate Change, Ethanol, Ethanol News, International

Army Turning Artillery Shells into Biodiesel

John Davis

armyalgae1You’ve heard about pounding swords into plowshares. Well, how about making bombs into biodiesel? This article from the U.S. Army says that’s the idea behind Army researchers, in concert with biofuel maker Algenol Biotech LLC, using algae to turn the propellant in artillery rounds into biodiesel.

“Because the algae-based process uses photosynthesis, it actually consumes carbon dioxide,” said Pamela Sheehan, project officer and principle investigator for the M6 recycling research program at the Armament Research, Development and Engineering Center, or ARDEC, at Picatinny Arsenal.

“So not only is the process not carbon-dioxide generating, it goes beyond being carbon neutral to a carbon-dioxide consumer,” she said. Eliminating the release of carbon dioxide into the atmosphere during destruction of propellant helps the Army reduce its carbon footprint and take action against climate change.

When circumstances allow it, the military recycles metal parts during the demilitarization processes.

However, the algae-based demilitarization method would allow the Army to recycle nitrogen, which is present in all propellants and explosives.

“We’ve conceptualized a process to develop a capability to extract and conserve that nitrogen using a hydrolysis process,” Sheehan said. Hydrolysis is a chemical process of decomposition.

“The nitrogen then is in the form of nitrite and nitrate, and we want to use that nitrogen to grow algae in a reactor. The algae utilizing the nitrogen will grow, and as they grow will produce ethanol, and an oil product that can later be refined into diesel fuel,” she said.

Officials also point out that the process will provide a source of revenue from what is usually a costly, waste-stream process.

algae, Biodiesel, Government

RFA Announces E85Prices.com Contest

Cindy Zimmerman

Users of the popular fuel market website E85prices.com can not only find where the cheapest 85% ethanol is being sold near them, they also have a chance to get it for free.

e85-pricesThe Renewable Fuels Association (RFA) has announced a new contest for E85Prices.com users to win free E85. Each month, RFA will draw one random user from those that have submitted E85 price experiences during the past month and reward them with a $100 E85 fuel card. The more users submit prices, the better chance they have of winning.

“We want to drive consumers to the website in order to capture more data and reward them for doing just that,” said Robert White, RFA’s vice president of industry relations. “Data has never been more important for expanding retail availability of higher ethanol blends and defending the Renewable Fuel Standard against the ‘blend wall’ rhetoric. This new effort will help ensure that our station database and associated price reports are the most accurate possible.”

RFA purchased E85prices.com in February and has since released a new version of the website and the associated mobile app. Users can submit prices for all blends of ethanol like E15 and E30, but must always submit prices for E85 and regular unleaded.

Existing users do not need to do anything new in order to qualify. Non-users need to register at www.E85prices.com and submit your pricing experiences.

App, Contest, E85, Ethanol, Ethanol News, RFA

BioEnergy Bytes

Joanna Schroeder

  • BioEnergyBytesDF1Hanwha Q CELLS Turkey, the Turkish branch of globally leading photovoltaics provider Hanwha Q CELLS Co., Ltd. has finished construction and grid connection of an 8.3 MW solar power plant in Burdur, Turkey. The system is the first part of a project totaling 18.3 MW.
  • As SheerWind, Inc. is nearing completion of a 200 kW INVELOX pilot project for Army National Guard-Michigan and is breaking ground for another in Florida for Tampa Electric, the Company is seeking qualified accredited Investors for growth funding. Funds will be used to meet increasing global demand for commercialization and delivery of its INVELOX technology.
  • Tri Global Energy, a renewable energy company with utility-scale wind energy projects, has added solar to its portfolio of renewable energy resources with the formation of a new business unit–TGE Solar–and the acquisition of K12Solar, a California-based provider of roof-top solar photovoltaic energy systems.
  • Green Power EMC, participating EMCs and Silicon Ranch Corporation have dedicated a 20 MW AC solar generating facility in Jeff Davis County in southeast Georgia near Hazlehurst. Construction was recently completed on the ground-based solar facility, which is situated on a 135-acre tract and includes about 87,000 solar panels. This makes it one of the largest solar generating facilities in Georgia.
Bioenergy Bytes