Minnesota Biodiesel Mandate: I’m Not Dead Yet!

John Davis

mdalogo1Minnesota’s biodiesel mandate, looking like it could take a hit, has risen up like a Monty Python character and shouted back, “I’m NOT dead yet!” Recently, we told you how the mandate was facing an uncertain future, as the date to finally move to B10, a 10 percent blend of the green fuel, is coming this year. But that put it dangerously close to another milestone of moving to B20 next year. But this article from Biodiesel Magazine says a compromise piece of legislation looks like it could preserve the mandate… just at a slower pace.

State Representative Clark Johnson is an ardent supporter of the biodiesel industry. Last month he introduced a bill for the agriculture department and the biodiesel industry seeking to modify future requirements regarding exceptions, what months higher blends should be required, and the date on which the state will jump from B10 to B20. His bill, House File 3203, missed a deadline to move forward, but Charlie Poster, assistant commissioner at the Minnesota Department of Agriculture, says the agency has made concessions to opponents of the increased biodiesel mandate by incorporating HF 3203’s language into an agency “unsession” bill (SF 2618) that is moving forward.

“The bill that’s signed into law probably won’t be HF 3203, but it will be that language,” Poster tells Biodiesel Magazine. “There was a movement by the Alliance of Automobile Manufacturers and the Minnesota Automobile Dealers Association (MADA),” Poster says. “They had some concerns about biodiesel, and they wanted to see the biodiesel mandate gutted—and I don’t think that’s too strong of a word. They were proposing some language that, in all but name, would remove our biodiesel standard. And the Department of Agriculture’s position is that biodiesel has worked really well in our state. It’s lowered the price of diesel fuel. It’s added to farmers’ incomes. It’s doing exactly what we want it to do. It’s been a great success.”

The article goes on to say that in order to appease opponents of biodiesel, the agency made four concessions: 1. Move the B20 date to 2018; 2. Shorten by one month the “summer” months part of the mandate, making it April-September; 3. Make permanent some exceptions for nuclear power plants, railroads, mining, logging and the Coast Guard; and 4. Extend the biodiesel blending waiver for No. 1 fuel to May 1, 2020.

Biodiesel, Government, Legislation

Clean Energy Bill Hits House of Reps

Joanna Schroeder

Clean Energy Victory Bonds WillSeveral groups have been promoting clean energy victory bonds, a throwback from World War II. This week the concept gained support as the House of Representatives as the Clean Energy Victory Bonds Act of 2014. The Treasury bonds starting as low as $25 will allow Americans to invest in the country’s clean energy future.

The bill was introduced by U.S. Reps. Zoe Lofgren (D-Cali.) and Doris Matsui (D-Cali.) and includes 14 co-sponsors and is endorsed by Green America and the American Sustainable Business Council, which together represent half a million consumers, companies, organizations, and investors.

Todd Larsen, corporate responsibility division director for Green America, said, “This bond is modeled after the successful WW II Victory Bond which millions of Americans purchased. The Clean Energy Victory Bond will provide individual and institutional investors with the opportunity to invest in clean energy sectors such as solar, wind, second generation biofuels, electric vehicles, and residential and commercial energy efficiency programs. There are currently few investment opportunities for the average investor interested in supporting the shift to a clean energy economy so this bond fills a need for both investors and industry.”

Clean Energy Victory Bonds logoAccording to Green America and the American Sustainable Business Council, Clean Energy Victory Bonds will create the following 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.

“From a business perspective, the Clean Energy Victory Bond makes great sense,” said Richard Eidlin, co-founder & policy director, American Sustainable Business Council. “The clean energy industry has not had the steady flow of financial support that investors and business need to plan effectively, resulting in investors often deciding to place their investments overseas rather than in the U.S.”

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

Alternative energy, Clean Energy, Electricity, Legislation

Weather Channel Features Juhl Energy

Joanna Schroeder

The Weather Channel recently featured a segment filmed at the Honda Transmission Manufacturing of America plant located in Russells Point, Ohio that includes an onsite wind project developed by Juhl Energy and is owned and operated by ConEdison Solutions. David honda wind powered plantMalkoff visited the plant that is the site of the first major auto manufacturing facility in the U.S. to get a majority of its electricity from wind energy located on its property.

The two operating wind turbines, with blades that are approximately 160 feet long installed on 260-foot towers, are expected to supply nearly 10 percent of the plant’s electricity. Based on their location and actual wind speeds, the combined output from the two wind turbines is estimated at 10,000-megawatt hours (MWH) per year.

Tyler Juhl, VP of Juhl Energy Services, Inc. provided Malkoff and his production team with access to the towers and the amazing views from the top of the turbines. “It was great having The Weather Channel at the Honda facility and giving them an opportunity to show that renewable energy definitely has applications for the traditional manufacturing industry,” said Juhl.

“Wind power is our country’s fastest-growing energy source, and The Weather Channel’s coverage is an ideal way to help Americans appreciate wind power’s many applications,” said Jorge Lopez, CEO of ConEdison Solutions. “We are delighted that The Weather Channel chose to showcase this facility.”

Renewable Energy, Wind

BioEnergy Bytes

Joanna Schroeder

  • BioEnergyBytesDFIncBio, a Portuguese engineering company specializing in state of the art fully automated industrial ultrasonic Biodiesel plants, has just secured an agreement to supply a 55,000 MT/year transesterification plant, for an undisclosed client in South America. It will incorporate IncBio’s ultrasonic technology to produce biodiesel from locally produced palm oil, and Ion Exchange resin towers for purification. IncBio expects the plant to be complete by December 2014.
  • Energy efficiency targets implemented in half of U.S. states in 2012 saved enough electricity to power 2 million homes for a year. These are the findings of Energy Efficiency Resource Standards: A New Progress Report on State Experience, a new report released by the American Council for an Energy-Efficient Economy, based on the most recently available data. The report also finds that most states met or exceeded their targets and that these targets are making substantial contributions to national energy savings.
  • According to a recent report from Navigant Research, worldwide sales of electric and alternative fuel vehicles will grow from 6.6 million in 2014 to nearly 12.4 million in 2022. Government incentives, consumer desire for more fuel-efficient, cleaner forms of transportation, and fleet managers’ interest in lower-cost operations are all driving growth in electric vehicles (EVs) and alternative fuel vehicles, including ones powered by fuel cells and natural gas.
  • To commemorate the official unveiling of the Solar Impulse 2, Altran is offering viewers the opportunity to discover Bertrand Piccard’s new plane in a special “behind-the-scenes” program to be broadcast on altran.tv on April 10, 2014. This program will be available in replay. At the end of the program Altran will be unveiling the first images from Mission Altran, The Solar Impulse Experience, a large-scale simulation game that will be launched on Facebook.
Bioenergy Bytes

Americans Vote for Biofuels

Joanna Schroeder

According to a new national poll conducted by American Viewpoint on behalf of the Renewable Fuels Association (RFA), Americans support the Renewable Fuel Standard (RFS) and other key federal initiatives that support the expanded use of biofuels such as ethanol. Sixty-five percent of adults support the RFS, up from 61 percent in 2012.

E85 pump in Ottumwa Iowa

Photo: Joanna Schroeder

Bob Dinneen, RFA president and CEO said of the poll results, “It is telling that support for the RFS continues to grow in spite of the relentless attacks on ethanol and the RFS financed by Big Oil’s deep pockets. Repeatedly Americans have decisively said they place a premium on energy independence, job creation, and a cleaner environment.”

For these reasons and more, Americans overwhelmingly support the RFS for its ability to strengthen this great nation,” continued Dinneen. “Members of Congress and the Obama Administration should review this data before taking action to reduce or eliminate a program with broad national appeal and tangible energy and environmental benefits.”

Expanding on the polling results, Dinneen added, “Americans see great value in investing in the next generation of fuel, cellulosic ethanol, and they support the idea of an open fuel standard which encourages the manufacturing of cars that run on any number of alternatives to petroleum. In fact, Americans appear to have a visceral dislike for the billions and billions of dollars in government subsidies and special tax treatment that Big Oil has enjoyed for 100 years.”

Sixty-six percent of the respondents favor incentives for the expansion of cellulosic ethanol while 78 percent of respondents favor auto manufacturers to build cars that will run on fuel other than oil. In addition, 66 percent of respondents oppose oil company subsidies while only 22 percent favor oil subsidies.

Read More

advanced biofuels, Cellulosic, Ethanol, RFA, RFS

Mexico Soon to be Home of Major Solar Project

Joanna Schroeder

Weymouth, Massachusetts based Vertex Companies is partnering in the development of a 30 megawatt solar electric power plant located in Zacatecas, Mexico. When complete, this project will be one of the largest of its kind in Latin America.

The announcement was made during the Massachusetts – Mexico Innovation Partnership Mission. The joint announcement was made by Massachusetts Governor Deval Patrick and Zacatecas Governor Miguel Alonso Reyes.

Vertex ZacsL solar projectVERTEX has operated for over a decade in the Mexican market as Vertex Ingenieros Consultores, S. de R.L. de C.V., completing dozens of energy and environmental projects in a variety of industries. In Zacatecas, VERTEX is collaborating with local Mexican partners to develop the first utility-scale solar PV project in the state and one of the largest in Latin America overall. The 30 MW ZacSol 1 project is the first phase of up to 90 MW that will be installed near the municipality of Guadalupe over the next several years. With an estimated $92 million investment in Zacatecas that will create approximately 400 construction and operational jobs, this first phase represents a significant step forward for Mexico in realizing their solar potential.

Mexico has progressive renewable energy policies, high fossil-based electricity prices, and the third highest solar insolation in the world. According to the Inter-American Development Bank, Mexico has a potential for 45 GW of solar energy. SENER, Mexico’s Energy Department, recently reported that solar PV projects are profitable without government subsidies with Northern and Central Mexican projects typically breaking even after only two years.

International, Renewable Energy, Solar

Corn Oil Gains in Popularity as Biodiesel Feedstock

John Davis

cornoilbiodiesel1Corn oil, squeezed from the seeds at the Nation’s many ethanol plants, has seen a meteoric rise in popularity as a feedstock for biodiesel. This article from Ethanol Producer Magazine says use of corn oil as a biodiesel feedstock grew by an impressive 245 percent between 2011 and 2013.

Corn oil’s role as a popular feedstock choice in the biodiesel arena is quite apparent and growing, which made 2013 a great year for corn oil-derived biodiesel. More than 1.04 billion pounds of corn oil were utilized for biodiesel production by the end of 2013, an EIA biodiesel production report showed, making it the second most popular feedstock choice. During the second half of 2013, corn oil finally broke the 100 million pound mark not once, but on three separate occasions.

Corn oil producers have options to sell within local markets, as well as destination markets, says [Joseph Riley, general manager of FEC Solutions]. Locally, the oil can be transported via truck to nearby biodiesel plants or feed producers. In the case of Marquis Energy, the company is located relatively close to one of Renewable Energy Group’s biodiesel plants, says Tom Marquis, director of marketing at Marquis Energy LLC, which installed corn oil separation units in 2008. REG is one of the leading North American biodiesel producers with a 257 MMgy capacity and has been using the feedstock since 2007. “Our freight to their facility is pretty reasonable, so that has been the best market for our plant,” Marquis added.

The article goes on to say that growing markets for corn oil include plants in Louisiana, which use a variety of feedstocks for renewable diesel and California, which likes corn oil’s carbon-related benefits.

Biodiesel, corn, Ethanol, Ethanol News, feedstocks

NASCAR Leader Testifies for Biofuels

John Davis

The Senate Agriculture Committee held a hearing this week on advanced biofuels. Chairwoman Debbie Stabenow of Michigan says advanced biofuels are here now, and they are an important part of the energy title in the recently passed farm bill.

“The Energy Title funds critical programs that helps our farmers produce energy from non-food sources and helps companies get low-interest loans for those facilities, and of course, all that creates jobs,” Stabenow said, adding that to continue to grow the industry, there needs to be policies that support it. She said passing the Farm Bill was a strong first step toward to that goal. “Now we need to provide certainty through a strong Renewable Fuels Standard and tax credits to support long-term investments in our energy future.” Sen. Debbie Stabenow (D-MI), Senate Agriculture Committee

childress-testOne of the witnesses at the hearing was NASCAR team owner Richard Childress who talked about the many benefits of corn-based biofuels, such as the higher fuel performance he has seen in more than five million miles of racing since the E15 ethanol blend was introduced in the 2011 racing season.

“When they decided to go with an ethanol-blend of fuel, in 2010, NASCAR started looking at what was the correct blend to use. After many tests, they came up with E15,” Childress said, pointing out that his own racing team tested up to E30 blends, which he believes would be even better. “Nothing but positive results came out of our tests. Engines ran cooler, ethanol makes more octane so it makes more horsepower, less carbon buildup, better emissions, and our parts when we tore the engines down looked much better.” NASCAR team owner Richard Childress at biofuels hearing

Audio, Ethanol, Ethanol News, farm bill, Government, Legislation, NASCAR

Multifeedstock Refiner Hosting Collective Biodiesel

John Davis

CBCPiedmontA multifeedstock biodiesel refiner plays host to this summer’s Collective Biodiesel Conference. This article from Biodiesel magazine says Piedmont Biofuels in Pittsboro, N.C. will hold the event Aug. 14-17 with this year’s theme being “Think Differently.”

Piedmont Biofuels is known for its community-based approach to biodiesel production and distribution, as well as its process technology innovations such as the cooperative’s trailblazing work in enzymatic production. Piedmont Biofuels’ 14-acre industrial park in Pittsboro, N.C., features multifeedstock biodiesel processing in addition to hydroponics, aquaponics, biochar production and sustainable agriculture. Co-hosting the event will be Central Carolina Community College, where many of the breakout sessions will be held.

“With the Collective Biodiesel Conference being in Pittsboro, N.C., this year, it will be like going to ‘Biodiesel Mecca,’” said Graydon Blair with the CBC Board and owner of Utah Biodiesel Supply.

“We are delighted to have been chosen as the 2014 host site,” said Lyle Estill, Piedmont founder and president. “For grassroots biodiesel, winning the bid for this conference is like winning a bid for the Olympics.”

Registration has just opened, and for more infromation, click here.

Biodiesel

EU Commission Proposes Eliminating Clean Energy Aid

Joanna Schroeder

The European Commission has proposed a plan to phase out support for renewable technologies after 2020. According to state aid guidelines, the Commission recommends removing support mechanisms for renewable technologies that are expected to become “grid competitive” between 2020 ad 2030. The guidelines did not specify was “grid competitive” means and in their current form, only apply to the period from 2014 to 2020.

ewea-logoIn response, the European Wind Energy Association (EWEA) says the move pushes its narrow vision for EU energy policy and clouds the future of wind energy. The association also says the proposals push for market integration above stability, with premiums allocated through tenders to replace feed-in tariffs and “technology neutrality,” which does not distinguish between the maturity of technologies like onshore and offshore wind energy.

However, EWEA explains that a number of exemptions have been included, allowing Member States to opt out of tendering, to tailor support for technologies at different levels of maturity and to determine the pace at which national support is adjusted to comply with the guidelines. In addition, the association says the complex nature of the state aid guidelines risks exacerbating investor uncertainty around the renewables industry and Member States must be flexible in implementing the proposals.

Justin Wilkes, deputy chief executive officer of the European Wind Energy Association, said, “The Commission would have liked to put the cart before the horse, by focusing on forcing wind energy to compete in a market which still does not exist, while ignoring the obvious market distortions that need to be tackled first, such as the majority of subsidies that go to fossil fuels and nuclear.  While we welcome the drive for long-term market integration of wind energy, state aid guidelines are not the ideal tool for the Commission to legislate on energy policy. Member States should be flexible in implementing the guidelines, in order to enable the most cost-efficient development of wind energy in Europe, and avoid increased uncertainty for the sector.”

Wilkes concluded, “In the main, the opt-outs will become the most important tools used by Member States because the Commission has failed to propose good design requirements for its favoured method of tendering.”

International, Renewable Energy, Wind