Cold Winter Challenges Ethanol Plant Logistics

Cindy Zimmerman

nec14-rail-bobAt the National Ethanol Conference last week, Renewable Fuels Association president and CEO Bob Dinneen had a discussion with Ed Hamberger, President and CEO, Association of American Railroads, on Regulatory Crackdown on Rail Transport. They discussed current government proposals focused on rail cars.

Hamberger kicked off the discussion by noting that ethanol has been one of the fastest growing commodity segments for the railroads growing from 40,000 rail cars of ethanol in 2000 to 330,000 in 2011- an 800 percent increase. While he said there were some challenges, new routes, new track, new employees, he said that over the years, the ethanol industry and the rail industry have become good partners for America. Rail Transportation conversation

nec14-patriot-vondraOne ethanol plant of many that is using the railroads to transport its ethanol and byproducts such as dried distillers grains (DDGs) is Patriot Renewable Fuels, located just off I-80 in Annawan, Illinois.  Using rail and trucks involves a lot of logistics and Patriot’s Rick Vondra has noted that with the cold weather over the last couple months they, along with other ethanol plants, have had challenges in moving their product, in particular rail movement.

“It’s been a tremendous challenge and we’ve had to find alternative ways to move our product,” explained Vondra. He said they are using more trucks but so are other plants and on top of the increased demand from their plant and the ethanol industry, the trucks still have other products to deliver.

So how is the weather affecting the railroad industry? Vondra said snow and ice have been a big factor because rail workers have to go and move switches that can get frozen. They have to remove ice from lines and with temperatures getting as cold as 20 below zero, workers can’t be outside long.

With the goal of increased use of E15 and other higher blends of ethanol being a recurring theme during the conference, I asked Vondra what some of his takeaways of this conversation were. He noted that Patriot is working closely with retailers, wholesalers, distributors and car dealers in their local community to educate people on the benefits of ethanol, but also to encourage more adoption and use of ethanol in the community.

Listen to my interview with Rick where he talks about cold logistic challenges as well as their work on ethanol education. Interview with Rick Vondra, Patriot Renewable Fuels

2014 National Ethanol Conference Photo Album

NEC Coverage sponsored by Patriot Renewable Fuels LLC

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GreenTECH Provides Youth with Green Education

Joanna Schroeder

greentech_smallMOUSE and Solar One have launched GreenTECH, a program that provides youth with an opportunity to positively impact the greening of their schools and communities. GreenTECH, funded by a three-year, $1.08 million grant from the National Science Foundation to Solar One, MOUSE, and the NYU Wallerstein Collaborative, is an initiative to boost youth interest in STEM (science, technology, engineering, and mathematics) skills while introducing them to environmental sustainability and green technology.

MOUSE is about harnessing the spirit and talent of young people to affect change through technology, which for us starts with their learning environment,” said Marc Lesser, MOUSE Education Director. “Ultimately, we view GreenTECH as a way to empower youth to engage with and apply science and technology in ways that position them as activists to address real world problems.” MOUSE is a national nonprofit organization that empowers youth to learn, read and create with technology.

Using Solar One’s CleanTech science curriculum as a platform, MOUSE launched its own badge-based learning program, which includes three levels of hands-on activities for students and teams, and videos that profile engineers and designers involved in energy careers. MOUSE also developed the GreenTECH Lab, a web app that allows youth to visually-display carbon footprint data in their school and reduce its impact.

badge“MOUSE has done a really terrific job adapting our CleanTech program to help students better understand energy and renewables,” said Chris Collins, Executive Director, Solar One. “GreenTECH is so engaging and fun that I am confident it will inspire the next generation of green engineers, scientists and architects.”

To formally recognize the achievements and validate their experience in blending technology with environmental science and leading the greening projects in their school, participants in this program will earn a new MOUSE Squad GreenTECH Badge.

GreenTECH will help youth to learn how energy is created and the potential of renewable energy. It offers a range of projects, such as building an electric generator, performing an energy audit and creating solar-powered toys. These projects will create multiple opportunities for young people to gain expertise in technology, data collection and analysis, and sustainable solutions as they improve their STEM skills and prepare for higher education and careers in the growing green economy.

Alternative energy, Clean Energy, Education, Solar

ACE Preparing for Biofuels Beltway March

Joanna Schroeder

Make Washington keep their word was a common mantra during the National Ethanol Conference last week. American Coalition for Ethanol (ACE) Executive Vice President Brian Jennings is going to help them do just that. Each March, ACE brings nearly 100 ethanol advocates to the Hill to meet with Legislative and key stakeholders to tell their stories about the benefits of ethanol. This year’s Biofuels Beltway March is just around the corner on March 26-27, 2014 in Washington, D.C.

nec14-jenningsThis year, Jennings said they are doing something a bit different. They are asking retailers from different states who have successfully added the infrastructure or the equipment they need to sell E15, E85 or both, to join them. “So they will deliver the message straight from their own experiences that higher blends work. The RFS [Renewable Fuel Standard] works. We want to see you continue to fulfill what the program was intended to do,” said Jennings.

During the NEC conference, a spokesperson from Marathon said E85 won’t work and E15 is a nonstarter. When asked to respond to those comments, Jennings answered, “We added over 200 E85 sites in 2013 and it was based on price. So he is simply not correct when it come to E85. Retailers are looking at it and understanding better today than they ever have how to price E85 relative to straight gas or relative to E10 so the consumer keeps coming back and makes the choice that it works well in my FFV [flex fuel vehicle].”

In terms of E15, Jennings said he was referring to liability. But there are things ACE is working on along with others to erase liability concerns whether those are real or perceive. The other half of the battle and helping them understand the blending economics.

“I was disappointed to hear what the gentleman from Marathon say what he did about higher blends, but what’s going on on the ground, in the states defies the message he was trying to deliver about E85 and E15,” added Jennings.

Listen to Cindy’s interview with Brian Jennings: Interview with Brian Jennings, ACE

2014 National Ethanol Conference Photo Album

NEC Coverage sponsored by Patriot Renewable Fuels LLC

ACE, Audio, biofuels, Biofuels Beltway, E15, E85, National Ethanol Conference

BioEnergy Bytes

Joanna Schroeder

  • BioEnergyBytesDFLeading figures in geothermal power development will be participating in the GEA International Geothermal Showcase in Washington, D.C. on Earth Day, April 22. This includes speakers engaged in projects in Kenya, Tanzania, Switzerland, Romania, Turkey, Italy, Japan, Indonesia, Guatemala, El Salvador, Nevis, Colombia, the United States, Iceland and more.
  • The application period is open for the Green Power Leadership Awards. Sponsored by Center for Resource Solutions (CRS) and the U.S. Environmental Protection Agency, the Green Power Leadership Awards are competitive awards that recognize outstanding commitments and achievements in the green power marketplace.
  • GDF SUEZ Canada, Inc. has announced that the 10MW Beckwith Solar Project in Ontario has entered commercial operation under a 20-year power purchase agreement with the Ontario Power Authority. The project was developed under Ontario’s Feed-in Tariff (FIT) Program, and has the capacity to generate clean, renewable energy for approximately 1,700 homes in Ontario. The $50 million project is located approximately 50 kilometers from Ottawa, and consists of 44,000 solar panels on approximately 80 acres of land.
  • Alterra Power Corp. has completed the acquisition of 100% of the Shannon wind project, a 202 MW wind farm in late-stage development in Clay County, Texas. Alterra acquired the project from Horn Wind, LLC, a north Texas early-stage wind developer that has successfully developed two other wind farms in the region. Last week, Alterra also placed a $4.5 million cash deposit with Oncor, the project’s transmission service provider, which will now begin the design and equipment procurement for the project’s interconnection substation.
Bioenergy Bytes

Dutch Company to Use SkyNRG Biodiesel

John Davis

boskalis1A Netherlands-based company in the construction and maritime infrastructure maintenance businesses will use biodiesel from a company used to fueling things a bit higher above the ground. Royal Boskalis Westminster N.V. (Boskalis) reached an agreement with SkyNRG, a supplier of renewable, sustainable aviation fuel, to provide about 65,000 gallons of biodiesel for Boskalis trucks.

The pilot is consistent with Boskalis’ efforts to reduce energy consumption and carbon emissions. If the pilot proves successful, a pilot on board of one of the Boskalis ships will be contemplated.

In line with the WWF’s 2050 Energy Vision SkyNRG only produces and distributes biodiesel for segments where no better alternative is available. The origin of the sustainable fuel means that it does not compete with the food chain and has no negative impact on biodiversity.

“The partnership with Boskalis will help us in creating a broader market for our biodiesel, thus making it more economically feasible and closing the price gap with fossil fuels,” [says] Dirk Kronemeijer, SkyNRG CEO.

The fuel is to be blended at a 30 percent rate of biodiesel.

Biodiesel, International

Deal Finalized on Texas Biodiesel Plant

John Davis

txA biodiesel maker and a town in Texas finalized a deal to bring a $30 million refinery to the central part of the state. Following up on a story we told you about last month, this article from the Austin Business Journal says the Temple City Council approved a package of incentives to bring waste-cooking-oil-to-biodiesel producer Thomas Biodiesel LLC to the city.

The company will receive five property tax-free years and then see its tax abatement gradually reduced from 100 percent to 50 percent through five 10-percent annual reductions. Combined, the city of Temple estimates the company will save just shy of $1.5 million on the investment that Thomas Biodiesel has planned at the seven-acre site located at 3111 and 3289 Eberhardt Road.

Thomas Biodiesel, now based in Austin, said it will complete the building in mid-2015. The Temple facility, north of Austin, is expected to break ground in mid-2014. AP Harris is the engineering, procurement and construction contractor for the Temple project.

The new, 25,000-square-foot facility that is expected to bring about 30 jobs to Temple.

Biodiesel

Social Media War Room for Ethanol

Cindy Zimmerman

Make no mistake about it. The ethanol industry is engaged in a war of words with anti-ethanol forces and every weapon in the arsenal needs to be deployed to fight against these well-funded opponents.

Christina MartinCommunications and Social Media War Room was the title of one of the breakout sessions at last week’s 2014 National Ethanol Conference. Renewable Fuels Association executive vice president Christina Martin moderated the discussion which included comments from Anne O’Neil, Vice President of The Glover Park Group, which is working for Fuels America, and Michael Fleischer, Senior Vice President of marketing agency Direct Impact.

Martin says the purpose of the session was to “capture the momentum” that a lot of ethanol producers built during the EPA comment period for the proposed change in the Renewable Fuel Standard (RFS). “They reached out as they never have before to their employees, to their investors and local communities and general supporters,” said Martin. Many ventured into social media for the first time and she says they want to keep that momentum going regardless of where the EPA decision on the RFS ends up.

Find out more in Chuck’s weekly podcast, the ZimmCast: Social Media with Christina Martin

NEC Coverage sponsored by Patriot Renewable Fuels LLC

Audio, Ethanol, Ethanol News, National Ethanol Conference, RFA, RFS

Driving Through the Blend Wall

Cindy Zimmerman

nec14-autos-panelWe’ve heard a lot about how higher ethanol blends might affect the producers of the green fuel and the impacts to consumers on the other end. But what about the viewpoint of those who have to build the vehicles on which these higher blends would run? Representatives from General Motors and Mercedes-Benz were among the experts on a panel at the National Ethanol Conference discussing “Driving Through the Blend Wall” from the automotive perspective.

Renewable Fuels Association vice president for technical services Kristy Moore moderated the panel which included Bill Woebkenberg, U.S. Fuels Technical and Regulatory Affairs, Mercedes-Benz Research & Development North America; Coleman Jones, Biofuels Manager, General Motors; and Robert McCormick, Fuels Performance Platform Leader, National Renewable Energy Laboratory.

Woebkenberg pointed out that flex fuels are already here and should be attractive to consumers, considering the high-performance, high-octane features.

“It’s not a filler fuel; it’s a race fuel,” and he believes overcoming consumers’ misperceptions of poor performance is key. But he and his colleague from GM, said carmakers are worried less about the rhetoric that might be swirling around flex fuels and more about what the final rules coming out of Washington might say.

“Automakers are a regulated industry, and we pay a lot more attention to the regulations than we pay attention to the words, because these regulations are the deeds by which we have to live with our business and have to be distinguished from the words we hear,” said Jones.

McCormick offered some insight to their review of 43 studies about ethanol, which should give the rulemakers more information by which those automakers have to live. He said overall they found no failures of E15 in performance.

“The use of E15, in our opinion, is likely to have little impact on 2001 and newer model year vehicles,” he told the audience gathered.

McCormick concluded the panel saying there are paths forward with the higher ethanol blends in the market, for carmakers and consumers alike.

Check out the entire session here: NEC Auto Perspective Panel

2014 National Ethanol Conference Photo Album

NEC Coverage sponsored by Patriot Renewable Fuels LLC

Audio, automotive, Car Makers, Ethanol, Ethanol News, National Ethanol Conference, RFA

BioEnergy Bytes

Joanna Schroeder

  • BioEnergyBytesDFAlgae.Tec Ltd has announce that it has received its first purchase order from an affiliate of Reliance Industrial Investments and Holdings Limited (RIIHL) in connection with the arrangements announced on January 21, 2014. This purchase order is for $2.4 million and is for the supply of certain Algae.Tec algae production technology and associated technical expertise. The work and equipment ordered under this purchase order will be supplied and completed over approximately the next nine months.
  • SunEdison and MIC Solar Energy Holdings, a subsidiary of Macquarie Infrastructure Company LLC have announced the completion of a 16.4 megawatt photovoltaic (PV) solar power plant located outside Tucson, Arizona on Davis-Monthan Air Force Base (AFB). The plant is the largest solar energy facility at any U.S. Department of Defense installation and is expected to reduce the Air Force’s utility costs by $500,000 annually for the next 25 years.
  • The K2 Wind Power Project (K2 Wind) has begun hiring workers for the construction following a ruling by the Environmental Review Tribunal, which dismissed the appeal of K2’s Renewable Energy Approval. The 270 MW K2 wind power project will use 140 Ontario-made wind turbines. Over 1,000 workers from across southwestern Ontario will be involved in the manufacturing and assembly of the wind turbines, site construction and operations.
  • Greg Krissek has begun his duties as CEO of the Kansas Corn Growers Association, Kansas Corn Commission and Kansas Grain Sorghum Producers Association. Krissek has nearly 25 years of experience working with agriculture, ethanol, renewable energy projects and public policy. Krissek fills the position of Jere White, who announced his retirement on February 12. White had been the executive director of Kansas Corn and Kansas Sorghum since 1988.
Bioenergy Bytes

Patriot Out Front with Ethanol

Cindy Zimmerman

nec14-patriot-darryllPatriot Renewable Fuels wants to be the “poster child” for other ethanol plants when it comes to marketing higher blends in their own communities.

You might remember Darrell Rakestraw as the veteran we interviewed last fall about the EPA proposal to lower the Renewable Fuel Standard (RFS). When we spoke to him last week at his first National Ethanol Conference, Rakestraw was three months into his job as market development manager for Patriot. “I’ve learned a lot in three months,” he said. “The one thing I got out of (the conference) is that we have to help ourselves, we have to put the funds in to do the educational piece because no one else is going to do it.”

Listen to my interview with Darrell here: Interview with Darrell Rakestraw, Patriot Renewable Fuels

2014 National Ethanol Conference Photo Album

NEC Coverage sponsored by Patriot Renewable Fuels LLC

Audio, blends, Ethanol, Ethanol News, National Ethanol Conference, Patriot Renewable Fuels, RFA, RFS