Wind Power Line to Move Energy to the East

John Davis

wind energy in U.SA proposed $2.2 billion, 750-mile long, high-voltage overhead transmission line could solve some of the issues of getting wind energy from the areas out west producing it to the areas in the east that need that power. This article from the Minneapolis Star Tribune says Clean Line Energy Partners’ idea is to build a line from the wind turbine farms of Kansas to Indiana, where it can be distributed to urban areas. But the project is meeting some resistance from farmers in the areas it would traverse.

The idea is supported by environmental groups who say it is an opportunity to take a big step forward for an energy source that could reduce the nation’s reliance on fossil fuels and cut air pollution. Clean Line has four other transmission line projects in the works in the West and Midwest.

Clean Line says the project will be an economic boon, with all four states seeing new jobs for construction and local companies providing things like parts and concrete. Lawlor said consumers would benefit, too, by the new source of power that would drive down electricity costs.

Yet many landowners have organized in opposition to Clean Line. They worry about whether the towers and lines will reduce property values, get in the way of farming operations like crop-dusting and irrigation, and even create health risks for those living so close to high-voltage wires.

“This is some of our best ground,” said Kent Dye, 56, who farms about 7,000 acres in northeast Missouri’s Monroe County. “This line — there’s no proven need for it. There are no contracts to provide power, no contracts to sell on the other end.”

Clean Line officials believe that after they have a chance to talk to the farmers and ranchers who have concerns, they’ll be able to convince them of the benefits of easements they can collect money on and the long-term environmental benefits for everyone.

Wind

Analysis: Despite EPA Issues, Ethanol Profitable

John Davis

While most of the news around ethanol seems to focus on its issues with the government, a new analysis shows that the green fuel is in one of its longest profitability runs ever. This analysis from the University of Illinois shows that despite more recent news about troubles with the Environmental Protection Agency (EPA) and its proposal to cut the amount of ethanol in the Nation’s fuel supply, things have been pretty positive for the ethanol industry lately.

There have been basically four sub-periods in terms of net profits: i) high profits from 2007 through mid-2008, ii) breakeven from mid-2008 through the end of 2011, iii) losses for 2012 through early 2013, and iv) high profits again from spring 2013 through the present. The most recent period is the longest run of uninterrupted profits since the series began in early 2007. During this one-year run, profits averaged $0.93 per bushel of corn processed and reached a new high of $2.55 per bushel in early December 2013. The picture presented here is certainly not one of an industry that has suffered because of recent policy proposals.
ethanolprofits1
The author cites several factors that could keep the recent run of profits from continuing for a longer period of time, including DDGS prices at unprecedented high levels, as well as documented “co-integrating” relationship between ethanol and corn prices, simply, if the ethanol price is too high relative to corn prices, then either the ethanol price must fall or the corn price must rise.

Ethanol, Ethanol News

Farmers Offered Incentive to Use Propane

John Davis

perc-farmFarmers are being offered an incentive to use clean-burning propane in their operations. During the recent Commodity Classic in San Antonio, Tx., Mark Leitman, director of business development and marketing for the Propane Education and Research Council (PERC), talked to Tom Steever with Brownfield Ag News and told him that his council is funded by a 4/10-of-a-cent checkoff that helps research, safety and training programs, and includes a commitment to ag-based operations in the Propane Farm Incentive Program.

“We’re constantly looking for new technologies to invest in, trying to find a new application for propane in agriculture or make a grain dryer, for example, and make it better,” he said, adding that new propane engines are much more efficient than the older models, boosting output by 25 percent or more, as demonstrated from their non-scientific findings from last year’s farm incentive program that had farmers reporting a 36 percent reduction in fuel use and 57 percent in cost savings. That’s why he’s optimistic they’ll get more farmers to sign up for this year’s incentive. “We’d love farmers to take advantage of our Farm Incentive program, where they could receive an incentive of up to $5,000.”

Mark admitted a perfect storm of issues – big crop drying years and a colder than usual winter, among other things – did cause a significant spike in prices for propane this year, but he believes some important lessons were learned that will help his members keep prices more stable in the future.

“We’re taking a look at the infrastructure and trying to figure out where our organization can invest in ways to improve things so we’re better prepared moving forward,” he said.

More information on the incentive program is available at Agpropane.com.

Listen to Mark’s interview with Brownfield Ag News here: Mark Leitman, PERC
2014 Commodity Classic Photos

Audio, Commodity Classic, Propane

NYC’s First Large-Scale Biodiesel Plant Coming

John Davis

unitedmetro1The first large-scale biodiesel in New York City could soon become a reality. This article from the New York World says former Republican mayoral candidate and Gristedes magnate John Catsimatidis is resurrecting the Metro Fuel Oil project.

Catsimatidis-owned United Biofuels is seeking approval from the New York State Department of Environmental Conservation for a permit to convert an existing fuel-storage facility on Newtown Creek to take vegetable oil and turn it into fuel that can power diesel-burning vehicles.

Catsimatidis seized the opportunity to acquire the biodiesel operation in the midst of his 2013 campaign, buying it from bankrupt Metro Fuel Oil Corporation and promising to preserve 130 employees’ jobs.

“We wanted to buy a piece of it,” Catsimatidis said in a phone interview. “Before we knew it, we owned the entire thing. By accident, we bought it.”

Metro Fuel Oil had been granted $10 million in bond financing and other benefits from the New York City Industrial Development Agency in 2007 to construct the biodiesel facility but went bust before it could finish the job.

Officials say the refinery would produce between 40 and 50 million gallons of biodiesel per year, and they hope to have it open by the end of this year.

Biodiesel

Beers Greened with Biodiesel for St. Pat’s Day

John Davis

erin1Today is St. Patrick’s Day, and of course, in pubs, bars and restaurants across the country (and the globe), patrons will be toasting the Irish saint and the Emerald Isle with a green beer or two (or many, many more). Why not make your choice a truly green beer and not just one colored with food dye? This article from Biodiesel Magazine says there are many choices of breweries that use biodiesel in their operation.

One example is a company whose flagship Pale Ale brew even has a green label: Sierra Nevada. Ranked as the second largest U.S. craft brewing company by the Brewers Association, Sierra Nevada has used a blend of up to 20 percent biodiesel (B20) for the past six years. Biodiesel blends fuel 15 long-haul and local delivery trucks for the Chico, Calif., company.

“At the brewery we’re always striving to essentially close the loop, and biodiesel helps us turn what could be a waste product into something useful,” said Ryan Arnold, Sierra Nevada communications manager. “The trucks perform well. With up to B20, we don’t see much change in mileage.”

The company grows eight acres of hops and has an onsite garden at its restaurant in Chico, where it also fuels tractors with biodiesel. Other suitability initiatives include diverting about 99.8 percent of its solid waste from the landfill and housing one of the largest privately owned solar arrays in the country.

Several other choices for biodiesel-green beers include Red Lodge Ales, which has used biodiesel for almost 10 years in its small fleet of delivery vehicles; New Belgium Brewing Company, which includes the tasty Fat Tire brands and uses biodiesel made from recycled restaurant grease to fuel trucks and generators for its famous Tour de Fat, a philanthropic “bicycle, beer and bemusement” event that will travel to 10 cities this year; Steam Whistle Brewing, a Toronto, Canada-based craft brewery has a commercial delivery fleet made up entirely of biodiesel-fueled Mack straight trucks and Isuzu Cabover trucks; and Stone Brewing Co., which has a fleet using B20.

So have a truly green beer this St. Patty’s Day. Long live biodiesel and Erin go Braugh!

Biodiesel

Rail Problems Impacting Ethanol Supplies

Cindy Zimmerman

snow-trainOne impact of the long, cold winter across the nation has been weather-related rail disruptions that are taking a toll on ethanol supplies and production.

The record winter weather patterns that have caused repeated snowstorms have resulted in stalled trains, frozen controls and increased demand for rail cars. All that has made it difficult to move ethanol to the Northeast.

The Energy Information Administration reported last week that stocks of ethanol stood at 15.9, down 2.4% from the previous week, the lowest level of the year so far. Stocks are well below the 20-day supply mark for the second week in a row and on the East Coast stocks of ethanol fell to their lowest level on record last week, at 4.6 million barrels compared to 6.4 million this time last year.

“Naturally, limited regional mobility leads to limited regional supply which can impact prices, but market observers believe this is a temporary situation that will soon be corrected,” said Renewable Fuels Association Executive Vice President Christina Martin.

The backlog in transportation is causing ethanol plants to slow production somewhat. According to EIA data, ethanol production averaged 869,000 barrels per day (36.50 million gallons), down 25,000 barrels from the previous week and the lowest in eight weeks.

The backups have also been delaying grain shipments from last year’s record crop but rail company officials, including BNSF and CSX, say they are working hard to get everything back to normal.

Ethanol, Ethanol News, Oil, transportation

DuPont Claims Win in Ethanol Enzyme Lawsuit

John Davis

DuPont_logoDuPont is claiming victory in a lawsuit over a patent on an enzyme to help produce ethanol. Ethanol Producer Magazine reports the case between DuPont-owned Danisco and Novozymes has been ordered to be returned to the U.S. District Court for the Northern District of California.

A DuPont spokesperson noted that the ruling was a win for Danisco DuPont. DuPont acquired Genencor International, an ethanol enzyme company, in 2011. “A panel of three judges ruled that the trial court should not have dismissed as premature Danisco’s declaratory judgment lawsuit against Novozymes given the two companies’ extensive history of patent litigation and Patent Office disputes involving alpha amylase enzymes (genetically modified industrial enzymes used for converting corn and other plant material into ethanol),” the statement said. “In the lawsuit that is now revived, Danisco sought a declaration that (1) its RSL alpha amylase enzymes did not infringe Novozymes’ ‘573 patent; (2) that the Novozymes ‘573 patent was invalid, and (3) that Danisco’s ‘240 patent had priority over Novozymes’ ‘573 patent.”

Meanwhile, Novozymes officials say they now consider the case closed, and the “decision does not in any way change or limit Novozymes’ product offerings to customers and the decision does not affect Novozymes’ financial outlook.”

enzymes, Ethanol

Award for Solar-Powered Remote Weather Monitoring

John Davis

vantageconnectA solar-powered system to remotely monitor the weather has been recognized for its use in the bioenergy and agriculture industries. California-based Davis Instruments picked up a Gold Award for Remote Monitoring at the 2014 Connected World Conference in Chicago for its Vantage Connect.

“With the growing need to manage water resources, protect crops from frost and mitigate damage to our environment, we believe that remote weather data is more important than ever.” said Susan Foxall, Marketing Director, Davis Instruments.

Solar-powered, Vantage Connect does not require an external power source and uses the cellular network to transmit weather data to the Internet. Real-time alarms for specific weather conditions alert users via text and email messages to changing conditions, allowing them to identify and manage potential problems.

The Connected World award was one of two awards Davis won, also picking up honors for CarChip ConnectR, Davis’ telematics solution for fleet monitoring.

Solar

New Jersey Offshore Wind Farm Gets Endorsement

John Davis

fishermensenergyA New Jersey offshore wind farm is reeling in an important endorsement. This article from The News Journal says the aptly named Fishermen’s Energy has received endorsements for its proposed offshore wind farm from the Atlantic County Freeholders and the Greater Atlantic City Chamber of Commerce. It comes as the company awaits approval of its funding from the State of New Jersey Board of Public Utilities.

“As stated in the resolution, the creation of new, well-paying jobs is vital to the economic success of Atlantic County” stated Freeholder Colin Bell. “Wind energy is a growing sector of the economy that provides construction, manufacturing and professional employment opportunities.”

Chris Wissemann, CEO of Fishermen’s Energy, said: “Having the support of the Atlantic County government, as well as the local business community shows how valuable the project is to the local economy. The project meets everything required by the Offshore Wind Economic Development Act, including, most importantly, bringing hundreds of jobs to New Jersey.”

The five-turbine, Fishermen’s Energy wind farm would be the first off of New Jersey’s shores, and if approved, would be the first to get an offshore wind renewable energy credit from the New Jersey Board of Public Utilities.

Wind

Propane Summit to Start AltCarExpo Texas

John Davis

PropaneSummit1Clean-burning propane will be the featured opening of the AltCarExpo Texas. Taking place March 27 in Irving, Tx., the Propane Engine Fuel Summit will be a daylong summit to feature Texas schools and businesses using the clean, economical alternative fuel.

Kicking off the AltCarExpo Texas, the propane summit has invited Texas municipalities, school districts and businesses to discuss the challenges and benefits of fueling with propane autogas, an environmentally friendly and cost effective engine fuel. Presentations from the City of Fort Worth, CleanFUEL USA, Dallas County Schools, Dallas-Fort Worth Clean Cities and Northwest Propane Gas Co., will cover topics such as refueling infrastructure, economic and environmental factors, propane industry equipment and more.

Curtis Donaldson, managing director and founder of Georgetown-based CleanFUEL USA, will discuss what’s to come during his presentation, “The Future of Propane Autogas.”

“As the leading alternative fuel in the United States, propane autogas has come a long way since it first appeared as an engine fuel in 1913. The possibilities for this fuel are just getting started,” Donaldson said. “This American-made resource is saving more than just cash at the pump. It’s driving job creation and energy security by keeping our fuel dollars within our own economy.”

Organizers say laws and incentives in Texas are friendly to propane.

Partners for the Propane Engine Fuel Summit include: U.S. Energy Department’s Dallas-Fort Worth Clean Cities, North Central Texas Council of Governments, AltCar Conference & Expo and TSN Communications.

Propane