World’s First Sustainable Biomass to Replace Coal

John Davis

munro-logoA collaboration between three companies looks to create the world’s first sustainable biomass fuel to replace coal. Manufacturing and innovation leader Munro & Associates is working with with Biomass Energy Enhancements LLC (BEE) and UK-based and AIM-listed Active Energy Group Plc (AEG) to produce a market-ready sustainable biomass fuel that would be able to directly replace coal without retrofitting the plant.

Other processes that have been used in the past, such as simple compaction and thermal drying, either leave a high level of toxic salts in the biomass creating pollution and frequent maintenance issues or leave too much intercellular moisture reducing the effective energy release from the fuels. BEE’s process “explodes” the fibers like popcorn and exposes the intra-fiber moisture and soluble salts which can then be easily removed. This new process allows biofuels to be generated from materials that would not have been suitable or viable before, such as reclaimed waste wood, and diseased and invasive crops or trees.

A further benefit is that the final product is also hydrophobic, which not only prevents possible reabsorption of moisture that would degrade the fuel, but it subsequently reduces distribution, transportation and storage costs.

Although Munro has worked on several new technologies over the years, rarely does the company make the leap to actually invest in the technologies as well,” said Sandy Munro, CEO of Munro & Associates. “This process has the potential to revolutionize the industry and we are very proud to be a part of the Coal Switch Team.”

Munro’s engineers worked with the BEE team to create a highly scalable, mobile and “flexible in the field” process that can be moved anywhere in the world. This creates a massive savings in regards to moving the raw potential biomass to a facility, rather than move the scalable facility easily and cheaply to set up onsite.

Munro officials say its proprietary Design Profit software has allowed the company to scale up a prototype to a market-scale winning solution.

biomass

Farmers Cooperative Hosting Grand Opening

Joanna Schroeder

FClogo_bigFarmers Cooperative Company, in conjunction with the Iowa Renewable Fuels Association (IRFA) and the Iowa Corn Promotion Board (ICPB), will be holding a Grand Opening event Tuesday, September 22nd to promote their new biofuel offerings. The Mount Ayr location (400 East South Street Mount Ayr, IA) will offer E15 for $1.15 per gallon and E85 for $.85 per gallon from 11:00 am to 1:00 pm. A free lunch will also be served to those who fill up with biofuels.

The retail station is also selling biodiesel blends including B5, B11 B20, B30 and B99.

“Thanks to Farmers Cooperative Company and Governor Branstad’s ‘Fueling Our Future’ program, Mount Ayr-area motorists will now have a wide range of cleaner-burning fuel choices when it comes to ethanol and biodiesel blends,” said IRFA Managing Director Lucy Norton. “Not only will nearby motorists benefit from E15, the lowest-cost fuel for the vast majority of vehicles on the road, diesel customers will be able to take advantage of increased fuel lubricity from more environmentally-friendly biodiesel blends, like B20.”

Biodiesel, biofuels, E15, E85, Iowa RFA

ROUSH Offers Ford E-450 Extended Range

Joanna Schroeder

Flint MTA F-450ROUSH CleanTech is now offering a Ford E-450 extended range fuel tank fueled by propane autogas. The larger fuel tank, with 64 gallons of fuel, now holds 56 percent more fuel than the standard option. The truck will begin shipping in October.

“We listened to our paratransit customers who wanted the Ford E-450 chassis, yet also needed more autogas fuel capacity,” said Todd Mouw, vice president of sales and marketing for ROUSH CleanTech. “With this extended range fuel tank, we offer the longest driving range for this model — plus an extended warranty for those customers.”

Built on Ford’s 6.8-liter V10 engine, the Ford E-450 with extended range fuel system comes with an extended 5-year, 100,000-mile warranty exclusively for the transit industry.

ROUSH CleanTech Ford E-450s are California Air Resources Board and Environmental Protection Agency compliant and have completed Federal Transit Administration’s New Model Bus Testing Program (“Altoona Testing”). Altoona-tested vehicles can be purchased using a transit agency’s FTA funds.

Alternative Vehicles, Propane

BioEnergy Bytes

Joanna Schroeder

  • BioEnergyBytesDF1The Andersons, Inc. have announced that its Board of Directors has appointed Pat Bowe, formerly Corporate Vice President of Cargill, Inc., to succeed Mike Anderson as President and Chief Executive Officer, effective Nov. 2, 2015. Mr. Anderson will remain as the Company’s Chairman of the Board. Mr. Bowe will also be appointed to The Andersons Board of Directors.
  • ScottMadden has released The Energy Industry Update. Themed “Strange Brew: Adapting to Changing Fundamentals,” this Update examines a broad array of strategic issues, including: a review of the trends in the community solar market, the different models for its deployment, and the long-term outlook for community solar in the United States; insights drawn from the just-released EPA Clean Power Plan reducing emissions of CO2 from existing power plants—the significant changes from the proposed rule and their implications; and a view of the NY Reforming the Energy Vision (REV) initiatives—where NY is headed, the key issues being addressed, and what REV may mean for the industry.
  • Consumers Energy has entered into a long-term agreement with Geronimo Energy to buy electricity from the 100 MW Apple Blossom Wind Farm, located in Huron County, which plans to start construction next year. As part of this agreement, Consumers Energy will have a future option to purchase the wind farm.
  • PowerFin Partners, a solar development firm based in Austin and San Antonio Texas, has announced SolarHost, a pilot program with CPS Energy that will allow participants to host PV systems on their rooftops in exchange for credits on their energy bill. Working under a power purchase agreement with CPS Energy, PowerFin will install and operate 10 MW of rooftop solar on homes and businesses throughout the CPS Energy service territory. Interested CPS Energy customers can sign up to join the program by going to www.solarhostsa.com.
Bioenergy Bytes

Prez Candidate Bernie Sanders Gives RFS Support

Joanna Schroeder

During a recent Roske on Politics show with host Brent Roske, U.S. Senator Bernie Sanders from Vermont (Dem) gave his support of the Renewable Fuel Standard (RFS). Last month he was in Des Moines, IA for the Iowa State Fair and spoke on the Soapbox but did not mention biofuels or the RFS. However, this visit he was asked directly about the issues facing the RFS in Washington. Now that he has a pro-RFS stand on the record, America’s Renewable Future (ARF) thanked Sen. Sanders for his support who leading the polls in Iowa – one point ahead of Hillary Clinton.

Roske and SandersRoske asked, “We’re in Iowa right now. Back in 2007 you voted for the Renewable Fuel Standard in the Senate. What are your thoughts about it now?”

Sen. Sanders answered: “I think as somebody who believes climate change is the greatest global crisis that we face, I think it’s absolutely imperative that we move away from fossil fuel, from oil, from coal, move to energy efficiency and move to sustainable energies. And Iowa, by the way, in general is doing a very good job, as is my home state of Vermont,” said Sanders, “Iowa is one of the leaders in the country in wind and biofuels. So, I support the Renewable Fuel Standard, I think we got to put more emphasis on cellulosic ethanol, which a more efficient form of biofuel than we currently have.”

“Advanced biofuels like cellulosic ethanol have been a runaway success in Iowa, thanks to a strong RFS that created a partnership between first and second generation renewable fuel,” said former Lt. Gov. and ARF Co-Chair, Patty Judge. “We thank Sen. Sanders for his appreciation of the crucial part biofuels play in the creation of a sustainable energy future. We hope he’ll take us up on our invitation to tour a plant, and learn about how ethanol and other low carbon, first generation fuels are paving the way for advanced biofuels like cellulosic ethanol.”

“Biofuels support over 73,000 jobs in Iowa, reduce pollution and emissions, give consumers a choice at the pump, and reduce our dependence on foreign oil,” added Judge. “The RFS is a critical policy for Iowans and certainly an issue that will help them decide who to support in the caucus.”

advanced biofuels, Biodiesel, Ethanol, RFS

Governors: Restore Wind Research Funding

Joanna Schroeder

Democratic Gov. Jay Inslee of Washington and Republican Gov. Terry Branstad of Iowa have sent a letter on behalf of the Governors’ Wind Energy Coalition calling on the U.S. Senate Appropriations Committee to reverse its decision to hamper long-term investment in research advancing American wind power.

The governors’ letter was sent to Senate Appropriations Committee Chairman Thad Cochran and Vice Chairwoman Barbara Mikulski and refers to funding in the 2016 Energy and Water Development Appropriations bill set for the U.S. Department of Energy’s (DOE) budget and used for research and technology innovation that has helped lower wind power’s costs by 66 percent in the last six years according to the American Wind Energy Association (EWEA).

wind turbines in Iowa

Photo credit Joanna Schroeder

“The nation’s long-term investment in research conducted by DOE’s energy programs, National Laboratories, our state universities, and private companies around the nation has helped fuel the extraordinary growth of the nation’s wind energy industry,” the letter states. “As governors, we see the benefits this innovative research has brought to our states, including energy diversification and continual wealth generation in rural America.”

AWEA states that cutting funding for wind energy research could leave untapped opportunities for new wind farm development and the economic benefits that come with it.  A move that would affect all 50 states according to the letter, especially the Southeast. Another area of concern is the bill’s elimination of funding for grid modernization restrains the U.S. from capitalizing on the full range of economic and environmental benefits gained by diversifying the U.S. electricity mix with homegrown wind energy.

“These states’ Chief Executive Officers are telling Congress that their decision to hinder wind power’s growth hurts their state economies,” said Tom Kiernan, CEO of AWEA. “We support the Governors’ Wind Energy Coalition in urging Congress to restore funding for research that has helped improve wind power’s technology and bring more of wind’s low-cost benefits to American families and businesses.”

Clean Energy, Electricity, Wind

RFA: Oregon Treating Biofuels Unfairly

Joanna Schroeder

The Oregon Department of Environmental Quality (DEQ) has offered a proposal to include indirect land use change (ILUC) emissions when calculating the carbon intensity of biofuels regulated under the state’s Clean Fuels Program (CFP). The Renewable Fuels Association (RFA) has expressed disappointment in the proposal that is to take effect on January 1, 2016 and aims for a 10 percent reduction in the carbon intensity (CI) of transportation fuels in the state over a 10-year period.

rfalogo1RFA President and CEO Bob Dinneen said that the DEQ proposal would have the effect of creating an inconsistent and unfair methodology for estimating the carbon intensity of competing fuel options under the CFP. Specifically, DEQ’s proposal would penalize certain biofuels for theoretical indirect emissions, while assuming that no other fuels induce any indirect greenhouse gas (GHG) emissions at all. DEQ proposed to integrate the flawed ILUC analysis conducted by the California Air Resources Board (CARB), despite the fact that recent analyses have shown that the land use changes predicted by CARB’s computer models have not occurred in the real world. DEQ also flatly ignored the results of new land use modeling approaches, including recently published data from the Department of Energy’s Argonne National Laboratory.

“Oregon DEQ really fumbles the ball with this proposal,” said Dinneen. “The Oregon CFP previously enjoyed broad-based support from the biofuels and ag industries because the CI impacts of all fuels were being evaluated fairly and consistently. But the program is headed off the rails now that DEQ is planning to simply regurgitate CARB’s faulty and biased ILUC penalties, while pretending that other fuels don’t have indirect GHG effects.”

Dinneen continued, “Regrettably, Oregon’s proposal puts politics ahead of science, a problem that has plagued the California program, harming consumers by limiting choice at the pump. The U.S. ethanol industry will continue to support performance-based low carbon fuel programs that are grounded in the principles of fairness, sound science, and consistent analytical boundaries. Unfortunately, Oregon’s proposal doesn’t meet any of those criteria.”

Oregon DEQ is hosting a public hearing on the proposed rule on October 19, 2015 and will accept written comments from the public through October 21, 2015.

biofuels, Ethanol, Ethanol News, Indirect Land Use, RFA

REG Celebrates Opening of Washington Refinery

John Davis

REGgrays1Biodiesel giant Renewable Energy Group (REG) has cut the ribbon on its latest refinery. This company news release says REG formally opened the 100-million gallon capacity Grays Harbor, Washington, biorefinery, formerly owned by Imperium.

“REG Grays Harbor’s addition to REG is a significant milestone for our company,” said Daniel J. Oh, President and CEO, noting that the plant is the Company’s 11th, and now largest, biorefinery and its first west coast production facility. “The transition has been seamless thanks to the dedicated employees here and to other teams within our company.”

Oh also thanked local government leaders in Hoquiam and Aberdeen for working with the Company during the transition and praised the work of Washington’s congressional delegation and Governor Jay Inslee for being champions of advanced biofuels.

Gary Haer, Vice President, Sales and Marketing, told the crowd that production at the Grays Harbor biorefinery will aid REG’s efforts to grow biodiesel sales along the west coast region. “We can now serve customers and expand sales of high quality REG 900™ fuel in Washington, Oregon, western Canada as well as increase sales throughout California to meet LCFS demand,” Haer said. “And with the multi-modal capabilities at the terminal and port, we increase our flexibility to fulfill orders via the use of truckload, rail car, or Panamax class tanker shipments.”

Local leaders welcomed REG to the area business community. “Today marks the beginning of an exciting new chapter for biodiesel production in Grays Harbor,” said Dru Garson, CEO of Greater Grays Harbor, Inc. “We’re excited by the prospects of having REG as a community partner, as their track record of operating plants and re-investing in the community is impressive.”

REG Grays Harbor also boasts 18 million gallons of on-site storage and a terminal that can accommodate feedstock intake and fuel shipments by truck, rail and deep-water vessel.

Biodiesel, REG

Biodiesel Board Responds to EU Protectionism

John Davis

nBBThe European Union has extended its protectionist trade duties that have kept the American green fuel out of the continent since 2009. The National Biodiesel Board (NBB) is calling on Congress to reinstate the U.S. tax incentive now to help counter what NBB sees as unfair trade practices.

“The European Commission has decided to continue a policy that is clearly aimed at giving European biodiesel producers an edge over their competition and a lock on the European market. It is disappointing, and we will continue evaluating our options for fighting these protectionist duties,” [said Anne Steckel, vice president of federal affairs for NBB.]

“This decision highlights why the U.S. biodiesel tax incentive should be reformed and converted into a domestic production credit so that we have a level playing field. When the U.S. biodiesel tax incentive is in effect under the current structure, European biodiesel can be shipped to the United States only to be rewarded with a $1-per-gallon incentive, while at the same time U.S. biodiesel shipped to the EU is slapped with punitive duties. This is obviously unfair to American companies and workers.”

The punitive duties were first imposed by the European Commission on July 7, 2009, and were slated to expire last year. However, in July 2014, the European Biodiesel Board pushed to extend them for another five years, and the Commission has been conducting an “expiry review” for this purpose. The EU has cited the $1-per-gallon biodiesel tax incentive in the U.S. as a reason to extend the duties, ignoring the fact that the biodiesel tax incentive is currently expired and that European biodiesel was eligible to receive the tax credit so long as it was blended in the U.S.

NBB pointed out that European biodiesel producers are able to sell biodiesel in both Europe and the United States without duties or limitation and can freely participate in U.S. policies such as the Renewable Fuel Standard and, before it had expired, the U.S. biodiesel tax incentive.

Biodiesel, NBB

BIO Analysis: Oil Companies Set to Lose Trillions

Joanna Schroeder

A recasting of oil industry data from a recent NERA Economic Consulting study prepared for the American Petroleum Institute (API) found the oil industry would be economically harmed by more than $12.3 trillion in potential profits in 2015 if the Environmental Protection Agency (EPA) sets the Renewable Fuel Standard (RFS) obligations below statutory levels. The analysis, “Economic Impacts Resulting from Failing to Implement the RFS2 Program,” was conducted by the Biotechnology Industry Organization (BIO), and finds the same result; however, views the information slightly differently.

“The Renewable Fuel Standard was designed to drive investment in renewable fuel production, and some oil companies have partnered with biofuel producers to do just that,” said Brent Erickson, executive vice president of BIO’s Industrial & Environmental Section. “Since many of the oil refiners are publicly owned companies, they have a fiduciary responsibility to their shareholders to maximize earnings and generate a return on that investment.”

dreamstime_xs_23776976Erickson continued, “The oil industry reported earnings of a paltry $77.2 billion for 2014, as prices at the pump fell during the year. But if EPA sets the RFS at the statutory volumes in 2015, the industry would be able to earn $12.3 trillion in profits this year by again raising the price of gasoline and diesel. The oil companies owe it to their shareholders to urge EPA to set RFS volumes at the statutory levels.”

According to BIO, the oil industry study from NERA Economic Consulting assumes that if EPA sets the RFS at levels established by the U.S. Congress, oil refiners will elect to export their products rather than sell them to American drivers. The resulting artificial shortage of fuels within the U.S, NERA’s proprietary economic modeling predicts, will raise gasoline and diesel prices to “outrageously high” levels – $93.64 per gallon for regular gasoline and $103.00 per gallon for diesel. NERA’s data indicates that ethanol is the lowest cost fuel component and that higher renewable fuel blends such as E85 would be the lowest priced fuel choice for consumers. Read More

BIO, biofuels, E85, Ethanol, Oil, RFS