Ethanol Groups Note EPA Memo on RINS

Cindy Zimmerman

fuels-americaThe ethanol industry is drawing attention to an Environmental Protection Agency (EPA) memo “buried deep” in the recent proposal for volume requirements under the Renewable Fuel Standard (RFS) about the impact of Renewable Identification Numbers (RINS) and gas prices.

“The memo that came out in the rule package that was made public in the docket by EPA confirm(s) something we’d all confirmed before – that RIN prices didn’t and don’t have an impact on retail gas prices,” said Growth Energy CEO Tom Buis during a Fuels America press call on Thursday with the Renewable Fuels Association (RFA).

RFA Senior Vice President Geoff Cooper explained that EPA openly acknowledges that fact and others in the memo that the ethanol industry has been claiming for some time. “They spend a lot of time in this memo talking about how RIN prices can transform the gasoline market place,” said Cooper, since a higher RIN price results in a “significant decrease in the price for E85.”

Growth Energy Chief Economist Jim Miller adds that the memo shows the RFS is working as intended and the volume obligations under the law should reflect that. “We hope EPA will consider the memo they drafted and revise their proposed rule to reflect the positive elements that the RFS provides to everyone in America,” said Miller.

“By failing to implement the statute, EPA is systematically destructing the RIN credit market and discouraging investment in new technology and infrastructure that would break the blend wall,” concluded RFA president and CEO Bob Dinneen. “We strongly believe that EPA needs to scrap this proposal and get the RFS back on track.”

Fuels America press conference
Audio, Ethanol, Ethanol News, Growth Energy, RFA, RFS

Biodiesel Maker for Hemp-Infused Beer

John Davis

extremebiodieselA biodiesel maker is teaming up with a Southern California brewer to make a hemp-infused beer. This article from Small Cap Network says Extreme Biodiesel is looking at providing hemp seeds to Off Your Rocker, a Southern California Craft Brewing Company.

Joseph Spadafore, President of Extreme Biodiesel stated “As stated previously XTRM has been pursuing several projects to increase our presence in the Hemp sector including Hemp to Biodiesel, and a personal biomass reactor. As federal and governments ease restrictions XTRM will be in a position to capitalize in those markets.”

Some of the terms of the negotiations include royalties for each unit sold.

Biodiesel

USDA Funds 544 REAP Projects

Joanna Schroeder

The U.S. Department of Agriculture (USDA) has awarded 544 renewable energy and energy efficiency projects more than $6.7 million as part of the Rural Energy for America Program (REAP). USDA Secretary Tom Vilsack made the announcement at the Snake River Brewing Company, in Jackson, Wyoming. The company received a $13,810 REAP grant to install a solar panel to generate energy for the business.

srb-logo-3d“These grants will help farmers, ranchers and small business owners use more renewable energy, which cuts carbon pollution, reduces our dependence on foreign oil, saves businesses money on their energy bills and creates American jobs,” Vilsack said. “All of these are crucial components to developing healthier, more economically vibrant rural communities.”

REAP was created by the 2002 Farm Bill and was reauthorized by the 2014 Farm Bill. REAP funding has helped farmers expand renewable energy use in recent years. The new Census of Agriculture shows the number of farms utilizing renewable energy production has doubled in the last five years. Since 2009, USDA has awarded $545 million to support more than 8,800 REAP projects nationwide.

Eligible agricultural producers and rural small businesses may use REAP funds to make energy efficiency improvements or install renewable energy systems, including solar, wind, renewable biomass (including anaerobic digesters), small hydroelectric, ocean energy, hydrogen and geothermal.

biofuels, biomass, energy efficiency, Geothermal, Hydrogen, Renewable Energy, Solar, USDA, Wind

Air Products Debuts Solar-Powered Fueling Station

Joanna Schroeder

Air Products has inaugurated India’s first solar-powered renewable fueling station in an event this week that included chief guest Shri Piyush Goyal, Union Minister for Power, Coal, and New and Renewable Energy, along with Shri Upendra Tripathy, Secretary, Minister of New and Renewable Energy. With the addition of this SmartFuel station, Air Products now has three hydrogen fueling stations operating in India.

Air Products’ SmartFuel H70/H35 retail hydrogen dispenser provides the newest generation of hydrogen dispensing to meet consumer expectations of refilling fuel cell vehicles in a safe, fast and reliable manner.

Air Products’ SmartFuel H70/H35 retail hydrogen dispenser provides the newest generation of hydrogen dispensing to meet consumer expectations of refilling fuel cell vehicles in a safe, fast and reliable manner.

The SmartFuel station is part of a mass public transport bus fueling and vehicle demonstration program, and according to Air Products generates 100 percent renewable hydrogen from solar energy via an electrolyzer. It is located at the Solar Energy Center near Delhi and part of a project managed by the National Institute of Solar Energy. The project was also implemented by India’s University of Petroleum and Energy Studies (UPES) and funded by the Ministry of New and Renewable Energy (MNRE) of the Government of India.

“As a member of industry, Air Products is proud to be involved in a program that has received such crucial validation and support from public sector, educational institute and the regulatory authorities,” commented Ravi Subramanian, business development manager Asia for Air Products’ Hydrogen Energy Systems. “This project is an important, progressive step towards unlocking the potential of hydrogen as a sustainable transportation fuel and alternative energy source, not just for India but the rest of the world.”

UPES is executing this project and it is entirely funded by MNRE. “Although this is a demonstration project, this will be a major stepping stone for India to move towards the hydrogen economy,” added Dr. Niranjan Raje, former director of Indian Oil and the principal investigator for this project.

Alternative Vehicles, Clean Energy, Hydrogen, Solar

USDA Lowers Corn for Ethanol Forecast

Cindy Zimmerman

usda-logoIn the June World Agricultural Supply and Demand Estimate, USDA raised corn beginning stocks for 2015/16 with a 25 million bushel reduction in 2014/15 forecast corn use in ethanol production. The revision, the result of a reduction of the forecast corn use in ethanol reduction for 2014/2015, is based on data reported in the Grain Crushings and Co-Products Production report through April.

Forecasts continue to show farmers planting 89.2 million acres and harvesting 81.7 million acres, with an average yield of 166.8 bushels per acre and production of 13.6 billion bushels, down from 2014 corn production of 14.2 billion bushels.

Despite total supply and ending stocks revisions, USDA continues to estimate the average farm price for the current market year at $3.55 to $3.75 per bushel, and a broader range of $3.20 to $3.80 for the next market year, which begins Sept. 1.

Ethanol, Ethanol News, USDA

BioEnergy Bytes

Joanna Schroeder

  • BioEnergyBytesDF1Alliance BioEnergy Plus, Inc. has announced the opening of Ek Laboratories, Inc. After completing construction at the end of April 2015, the company began installing and optimizing its full service analytical laboratory equipment and building its patented CTS Pilot plant. Both operations have been completed this week.
  • The K2 Wind Power Facility (“K2 Wind”) in Ontario has reached commercial operation. One of Canada’s largest wind projects, the 270 MW facility is owned and operated by Capital Power, Samsung Renewable Energy Inc. and Pattern Energy Group LP. Located in the Township of Ashfield-Colborne-Wawanosh in southwestern Ontario, K2 Wind is comprised of 140 Siemens 2.3 MW wind turbines and operates under a 20-year PPA with the Independent Electricity System Operator.
  • Envision Energy has announced the appointment of John Childs as Head of Turbine Business Development in Europe Middle East & Africa. Childs will be based in its Global Innovation Center in Denmark to lead the company’s turbine business in the EMEA markets.
  • Boralex Inc. has announced the signature of a conditional buy/sell option for a 25% economic interest in the 230 MW Niagara Region Wind Farm project in which Enercon is the majority owner. The total investment is between $900 million and $950 million and Boralex will immediately begin coordination of the project construction phase in partnership with Enercon. Extending across the Regional Municipality of Niagara, the Township of West Lincoln, the Town of Wainfleet and Haldimand County in Ontario, the Niagara Region Wind Farm project will comprise 77 3 MW Enercon turbines and construction will begin in June.
Bioenergy Bytes

“May Day, May Day” Video Released

Joanna Schroeder

Americans United for Change has released a new video in response to the recent oil spill in Santa Barbara, California as well as several other recent oil spills. ‘May Day, May Day‘ is a roundup of news coverage showing why May was another messy oil spill month. The nonprofit notes the images of beach-goers trudging through tar to rescue oil soaked birds serve as a vivid reminder of the consequences of America’s dependence on oil.

The U.S. Environmental Protection Agency (EPA) estimates that there will be 14,000 oil spills this year. This, cites American United for Change, is why people should be asking the EPA ‘what they were thinking’ when they cut back the Renewable Volume Obligations (RVOs) as part of the Renewable Fuel Standard (RFS). The RVOs are significantly under what was mandated by Congress when the legislation was passed. The organization said this decision continues to limit consumer choice at the pump and encourages the oil industry to keep drilling and spilling.

The move would also discourage investment in infrastructure, said Americans United for Change, that would “bust through the so-called ‘blend wall'” and discourage innovation towards cleaner and cheaper fuels.

The new video is as part of the organization’s ongoing project RareIncidents.com, inspired by American Petroleum Institute President Jack Gerard who in 2011 attempted to dismiss the BP spill disaster in the Gulf Coast as “clearly a rare incident”.

Americans United for Change, Biodiesel, biofuels, EPA, Ethanol, RFS, Video

Novozymes Tech Service Adds Profitability

Cindy Zimmerman

One of the themes that Novozymes wanted to drive home to ethanol producers at the Fuel Ethanol Workshop last week was that they deliver more than enzymes when they partner with plants.

few15-novo-billy-kevinA big part of the Novozymes philosophy in helping ethanol plants is technical service. “We have a team of over 40 scientists deployed across the U.S. supporting the biofuels industry,” said Kevin Cox, Novozymes director of technical service for biofuels. “It’s a unique part of our company in that we provide a different value proposition through technical service.”

Novozymes technical service offerings include customer training, process optimization, data analysis, and laboratory support. “Our overarching goal is to be a trusted adviser and a partner to our customers and help them succeed in their business,” Cox said. Interview with Kevin Cox, Novozymes

Billy Whitlock, plant support tech services manager for Novozymes, says they work with plants on trials to make sure new products are right for them. “We’re there working with them whether it’s products that improve yield, to products that try to streamline the production process to increase output,” said Whitlock. “Our arm of the tech services division is really tasked with bringing the knowledge and the information from our headquarters to our customers.”

Interview with Billy Whitlock, Novozymes

2015 Fuel Ethanol Workshop Photo Album

Coverage of the Fuel Ethanol Conference is sponsored by
Coverage of the Fuel Ethanol Conference is sponsored by Novozymes
Audio, Ethanol, Ethanol News, FEW, Novozymes

Camelina Offers Dual-Crop Possibility for Biodiesel

John Davis

camelina harvest1Camelina could help end the food-versus-fuel debate for biodiesel. This article from the American Society of Agronomy says that new research found that growing camelina with soybeans in the Upper Midwest has promising signs.

Russ Gesch, a plant physiologist with the USDA Soil Conservation Research Lab in Morris, Minnesota, found encouraging results when growing Camelina sativa with soybean in the Midwest.

Camelina is a member of the mustard family and an emerging biofuel crop. It is well suited as a cover crop in the Midwest. “Finding any annual crop that will survive the [Midwest] winters is pretty difficult,” says Gesch, “but winter camelina does that and it has a short enough growing season to allow farmers to grow a second crop after it during the summer.”

Additionally, in the upper Midwest, soils need to retain enough rainwater for multiple crops in one growing season. Gesch and his colleagues measured water use of two systems of dual-cropping using camelina and soybean. They compared it with a more typical soybean field at the Swan Lake Research Farm near Morris, MN.

First, researchers planted camelina at the end of September. From there growing methods differed. In double-cropping, soybean enters the field after the camelina harvest in June or July. Relay-cropping, however, overlaps the crops’ time. Soybeans grow between rows of camelina in April or May before the camelina plants mature and flower.

While dual-cropping might not work for everyone, such as farms in the more arid West, where it does work, it also offers benefits, such as boosting soybean yields. Plus, the camelina flowers offer a good food source for pollinators at a time when there might not be a lot for the bees to eat.

Agribusiness, Biodiesel, food and fuel, Soybeans

ZimmPollers Turn to Gas to Fuel Grills

Jamie Johansen

New Holland ZimmPollOur latest ZimmPoll asked the question, “What fuels your grill?”

My family was a little late pulling out our grill this summer, but it’s now out and we have been enjoying it thoroughly. I honestly don’t have a preference, but my husband is pretty adamant about what fuels his grill. So, it’s charcoal all the way in my household. But apparently we are the minority. Our pollers clearly like a gas grill and I was a little surprised we had no electric grillers out there.

Here are the poll results:

  • Charcoal/wood – 44%
  • Gas – 56%
  • Electric – 0%

Our new ZimmPoll is now live and asks the question, How will a ban on antibiotics impact your livestock operation?

This change in federal guidelines will require many regulation modifications and a lot of label changes. The livestock industry is currently working with producers to help with his transition. We want to know how you think this ban on antibiotics will impact your operations.

ZimmPoll