Informa Study Shows E85, E15 Can Achieve RFS

Joanna Schroeder

According to a new study by Informa Economics, “Analysis of the Potential Use of Biofuels toward the Renewable Fuel Standard in 2014, shows intended Renewable Fuel Standard (RFS) 2014 blending requirements as outlined by statute can be reached through expanded consumption of E85, E15 and carryover of RIN credits (Renewable Identification Numbers). According to the Renewable Fuels Association (RFA), the study “clearly demonstrates why the Environmental Protection Agency’s proposal to reduce RFS blending requirements is unnecessary and imprudent”.

Using empirical data from 2013, the study finds that E85 sales volumes respond strongly to changes in RIN prices. The authors say this demonstrates the RFS program is working exactly as intended to drive expanded consumption of biofuels above the so-called E10 “blend wall.” The study finds, “It is possible for all statutory components and allocations within the Renewable Fuel Standard to be met in 2014, after adjustments have been made for a waiver of a large majority of the Cellulosic Biofuel Standard.”

The study takes a closer look at likely consumption, finding that ethanol consumption in 2014 could be at least 13.7 billion gallons, comFreedom Fuel ethanol blender pumppared to the EPA’s assumption of 13.0 billion gallons. It points toward E85 as a major contributor, “E85 accounts for most of the potential for expanded consumption….The increase could be even larger if E85 is priced at a sustained discount to gasoline (on an energy-equivalent basis), as the consumer response could be stronger than implied by historical data, since discounts have been transitory in the past.”

Bob Dinneen, RFA president and CEO said of the report, “This study is further proof that the so-called ‘blend wall’ can be easily scaled if the RFS is allowed to work as intended. As I have said time and time again, the RIN mechanism is the tool to drive innovation and infrastructure to accommodate higher ethanol blends like E85 and E15. There is absolutely no need to reduce or repeal the RFS. It is working.”

Roger Zylstra, a farmer from central Iowa and current president of the Iowa Corn Growers Association added, “We hope that this study further emphasizes that the EPA decision to lower the RVO just doesn’t make sense. As a corn grower, I know we have the science and the production to back up the current RFS. It is working and we need to move forward, not backward on our energy security.”

The Informa analysis was commissioned by RFA and the Iowa Corn Promotion Board.

biofuels, E15, E85, EPA, Ethanol, RFA, RFS, RINS

BioEnergy Bytes

Joanna Schroeder

  • BioEnergyBytesDFPacific Ethanol has announced it will implement yield-enhancing technology at its Magic Valley, Idaho plant. The company chose ICM Inc.’s Selective Milling Technology as a component in its process to increase corn oil production and boost ethanol yields by increasing available starch for conversion.
  • International marine engineering company, SeaRoc, have been shortlisted for the 2014 renewableUK Health & Safety Awards for their innovation and delivery of a ‘minimal human intervention’ lattice tower installation methodology, recently deployed at Dogger Bank. Voting is open now.
  • NG Advantage welcomed Ken Pulido as the company’s Chief Financial Officer. Pulido comes to NG Advantage with over fifteen years of corporate finance experience focused solely on the energy and power sectors. Having worked for both financial institutions and in corporate energy firms, he has assisted companies in carrying out their strategic business plans by structuring and executing financings across the capital structure.
  • Indianapolis based Palmer Trucks has 38 used 2012 Kenworth T440 Compressed Natural Gas (CNG) tractors for sale. The tractors are one of the first CNG tractor fleets to hit the secondary market in the country. These CNG tractors mark the migration of fleets switching their fuel choice from diesel to compressed natural gas.
Bioenergy Bytes

MIT Researchers Enhancing Solar Power

Joanna Schroeder

MIT researchers have developed a new approach to harvesting solar energy. The technique uses sunlight to heat high-temperature materials whose infrared radiation would be collected by a conventional photovoltaic cell. Researchers say this both improves efficiency as well as could make it easier to store the energy for later use. By adding the extra step, it makes it possible to take advantage of wavelengths of light that typically go to waste.

The process is described in a paper published in the journal Nature Nanotechnology written by graduate student Andrej Lenert, associate professor of mechanical engineering Evelyn Wang, physics professor Marin Soljačić, principal research scientist Ivan Celanović, and three others.MIT nanophotonic solar thermophotovoltaic device

A conventional silicon-based solar cell “doesn’t take advantage of all the photons,” Wang explains. That’s because converting the energy of a photon into electricity requires that the photon’s energy level match that of a characteristic of the photovoltaic (PV) material called a bandgap. Silicon’s bandgap responds to many wavelengths of light, but misses many others.

To address that limitation, the team inserted a two-layer absorber-emitter device — made of novel materials including carbon nanotubes and photonic crystals — between the sunlight and the PV cell. This intermediate material collects energy from a broad spectrum of sunlight, heating up in the process. When it heats up, as with a piece of iron that glows red hot, it emits light of a particular wavelength, which in this case is tuned to match the bandgap of the PV cell mounted nearby.

This basic concept has been explored for several years but Wang says that with TPV systems, “the efficiency would be significantly higher — it could ideally be over 80 percent.”

Lenert, Wang, and their team have already produced an initial test device with a measured efficiency of 3.2 percent, and they say with further work they expect to be able to reach 20 percent efficiency — enough, they say, for a commercially viable product.

In their experiments, the researchers used simulated sunlight, and found that its peak efficiency came when its intensity was equivalent to a focusing system that concentrates sunlight by a factor of 750. This light heated the absorber-emitter to a temperature of 962 degrees Celsius. The MIT researchers say that after further optimization, it should be possible to get the same kind of enhancement at even lower sunlight concentrations, making the systems easier to operate.

Such a system, the team says, combines the advantages of solar photovoltaic systems, which turn sunlight directly into electricity, and solar thermal systems, which can have an advantage for delayed use because heat can be more easily stored than electricity. The new solar thermophotovoltaic systems, they say, could provide efficiency because of their broadband absorption of sunlight; scalability and compactness, because they are based on existing chip-manufacturing technology; and ease of energy storage, because of their reliance on heat.

Alternative energy, Research, Solar

Rethinking Biofuel Yields

Joanna Schroeder

According to new research from Michigan State University (MSU), focusing solely on biomass yield comes at a high price. Looking at the big picture allows other biofuel crops, such as perennial grasses to score higher than corn, as viable alternatives for biofuel production. The research was published in the recent issue of Proceedings for the National Academy of Sciences.

GLBRC / KBS LTER cellulosic biofuels research experiment; Photo“We believe our findings have major implications for bioenergy research and policy,” said Doug Landis, MSU entomologist and one of the paper’s lead authors. “Biomass yield is obviously a key goal, but it appears to come at the expense of many other environmental benefits that society may desire from rural landscapes.”

Landis and a team of researchers from the Great Lakes Bioenergy Research Center compared three potential biofuel crops: corn, switchgrass, and mixes of native prairie grasses and flowering plants. They measured the diversity of plants, pest and beneficial insects, birds and microbes that consume methane, a greenhouse gas that contributes to climate change. Methane consumption, pest suppression, pollination and bird populations were higher in perennial grasslands.

In addition, the team found that the grass crops’ ability to harbor such increased biodiversity is strongly linked to the fields’ location relative to other habitats. For example, pest suppression, which is already higher in perennial grass crops, increased by an additional 30 percent when fields were located near other perennial grass habitats.

This suggests, says Landis, that in order to enhance pest suppression and other critical ecosystem services, coordinated land use should play a key role in agricultural policy and planning. “With supportive policies, we envision the ability to design agricultural landscapes to maximize multiple benefits.”

Landis points out that rising corn and other commodity prices tempt farmers to till and plant as much of their available land as possible. This includes farming marginal lands that produce lower yields as well as converting acreage set aside for the Conservation Reserve Program, grasslands and wetlands.

“Yes, corn prices are currently attractive to farmers, but with the exception of biomass yield, all other services were greater in the perennial grass crops,” Landis said. “If high commodity prices continue to drive conversion of these marginal lands to annual crop production, it will reduce the flexibility we have in the future to promote other critical services like pollination, pest suppression and reduction of greenhouse gasses.”

biofuels, biomass, Cellulosic, Research

Cold Weather, Logistics Problems Squeeze Propane

John Davis

As the Midwest is hit with yet another Arctic blast, experts at the Energy Information Administration (EIA) say the cold and logistics problems are making prices of propane spike. This story from the EIA says part of the problem includes no chance to recover inventories after this fall’s harvest.

In the Midwest, propane is used for both drying agricultural crops and heating homes and businesses. For corn to be stored, it first needs to be dried, using large-scale heaters that often use propane for fuel. A late-2013 corn harvest, along with cold, wet weather, resulted in strong demand for propane at distribution terminals in the Upper Midwest. For the week ending November 1, 2013, Midwest propane inventories dropped more than 2 million barrels, the largest single-week stock draw in any November since 1993. This demand prompted a strong upward price response, and propane at Conway moved to a 3-cent-per-gallon (gal) premium over Mont Belvieu during the first week of November, the first such premium in almost three years.
eiapropane1
After the harvest, logistical problems prevented the region from fully replenishing inventories before the onset of winter. The Upper Midwest is supplied with propane by pipelines (Mid-American and ONEOK) flowing north from Conway (home to 30% of the nation’s propane storage), the Cochin Pipeline coming south from Canada, and from rail deliveries. The Cochin Pipeline, which delivers ethane and propane from Canada to the Upper Midwest, was out of service for maintenance from late November to December 20 and unavailable to deliver supplies. Rail transportation disruptions, both due to weather and other factors, curtailed deliveries from Mont Belvieu and Conway, as well as from Canada.

thuneThe pinch that Midwesterners, especially farmers, are feeling prompted Republican Senator John Thune of South Dakota, the Ranking Member of the Senate Commerce, Science, and Transportation Committee, to send a letter to the Federal Motor Carrier Safety Administration (FMCSA) asking for a lift on limits for drivers transporting propane in the Western region.

“Regional supply disruptions, high demand from a wet corn harvest, and the extreme cold temperatures this winter have strained propane and home heating oil supplies throughout the region,” said Thune. “The brutally cold temperatures in South Dakota, and across the region, this winter are a challenge for families and businesses, and a tight propane market only increases the dangerous conditions residents are facing. I will continue working with all relevant federal agencies to address this ongoing situation.”

FMCSA made similar declarations for propane distribution centers in the Southern, Eastern, and Midwestern areas the administration controls.

Propane

Minnesotans Encouraged to Think Biodiesel

John Davis

Minnesota soybean farmers are reminding their fellow Minnesotans just how much biodiesel has cleaned up the air they breathe. The Minnesota Soybean Research & Promotion Council (MSR&PC), better known as Minnesota Soybean, launched a campaign that clearly illustrates the advantages of soy-based biodiesel in improving air quality, including the following video airing local TV and cable stations, as well on the group’s social media channels:


“We want to open the consumer’s eyes to the reality of emissions from vehicles that run on petroleum. In fact, vehicle emissions are the largest source of air pollution in Minnesota,” states Bill Zurn, a Becker County farmer and Minnesota Soybean New Uses Action Team chair. “There is a positive message here in the use of alternative fuels.”

“Biodiesel is a cleaner-burning fuel that’s made in Minnesota,” says Bob Moffitt, communications director for the American Lung Association in Minnesota (ALAMN). “We recognize biodiesel as a Clean Air Choice® because of its ability to significantly reduce tailpipe emissions and help lessen our exposure to air pollutants. Not only does using biodiesel reduce particulate emissions, it also reduces greenhouse gas emissions.”

The group also points out that biodiesel in Minnesota alone provides more than 5,600 jobs, adds about $928 million to the economy, and increases demand by 13 percent for the state’s while also increasing in-state soybean processing capacity by 31 percent.

Minnesota Soybean is also offering a “North Shore Clean Air Adventure” to Duluth, rated by the American Lung Association as one of the top 25 cleanest U.S. cities. Winners get a three-night stay in the city and $500 spending money. The website www.biodiesel.mn has more information.

Biodiesel, Soybeans, Video

Austrian Trucking Company Buys Biodiesel Trucks

John Davis

13198-027An Austrian trucking company has bought a fleet of trucks able to use up to 100 percent biodiesel. This news release from truckmaker Scania says it has delivered 220 biodiesel-powered trucks to Austrian haulier Nothegger Transport.

“This is both an exciting and prestigious order,” says Christopher Podgorski, Senior Vice President Trucks at Scania. “Scania has invested more than any other manu­facturer in being able to offer both breadth and depth in its range of Euro 6 engines. This is clear evidence that we have correctly assessed customers’ needs.”
Nothegger has ordered the 2-axle tractors, intended primarily for long-haulage, as well as 3-axle rigid trucks. The company has also signed a Scania repair and main­tenance contract for all of the 220 vehicles ordered.

In Austria, there is a tax incentive to use biodiesel as well as lower prices at the filling stations. Despite the somewhat lower energy content in biodiesel and increased maintenance requirements, Nothegger expects to be able to cut its operating costs. At a total distance driven of 150,000 kilometres per year, the annual saving could be about EUR 4,000 per truck.

The announcement comes on the heel’s of Scania introducing its 13-litre 450 hp engine, which meets Euro 6 standard for biodiesel operation.Read More

Biodiesel, International

Mike Haas Receives Eye on Biodiesel Pioneer Award

Chuck Zimmerman

Mike HaasReceiving an Eye on Biodiesel Pioneer Award for lifetime achievement serving the biodiesel industry at the convention was Mike Haas, of USDA’s Agricultural Research Service.

Haas has been a Lead Scientist and Research Biochemist with the USDA’s Agricultural Research Service since 1981. He has been a huge supporter of the biodiesel industry and currently leads a project investigating the production and quality enhancement of biodiesel, and the chemical modification of lipids to produce bio-based petroleum replacements. Haas and the USDA have been a key supporter of the annual Biodiesel Technical Workshop and currently provides leadership for the NBB’s Next Generation Scientists for Biodiesel program.

You can listen to Mike’s remarks here: Mike Haas Remarks

2014 National Biodiesel Conference Photo Album

Audio, Biodiesel, National Biodiesel Conference, USDA

E15 Now Available in Ohio

Joanna Schroeder

Consumers in Ohio can now choose E15 at the pump. American Freedom Energy has become the first retailer in the state to offer the fuel blend to drivers with 2001 or newer vehicles. The station is located at S 430 St. Route 109, Liberty Center, Ohio 43532.

“Being a leader and not a follower, we believe in consumer choice,” said Glenn Badenhop, President and CEO of American Freedom Energy. “Offering higher ethanol blends like E15 fuel pumps Growth 003sets us apart from other stations, but also helps our local economies, helps the environment, and helps reduce our addiction to foreign oil. Alternative fuels are the future.”

Along with E15 for 2001 and newer vehicles American Freedom Energy will offer E85, E40, E30, and E20 for Flex Fuel vehicles (FFVs) at their Liberty Center station. In doing so, American Freedom Energy also joins more than 3,000 retailers throughout the nation who have the infrastructure available to provide motorists with a choice of various ethanol blends. There are currently 14 states that offer E15.

Growth Energy CEO Tom Buis added, “Seeing retail leaders like Freedom Energy, MAPCO Express, Murphy Oil and Minnoco offering E15 continues to validate that there is a viable market for the new fuel. When given the choice, consumers will seek the fuel that costs less, improves the performance of their vehicles and is better for our environment. The increase in E15 availability is quite impressive.”

biofuels, E15, Ethanol, Growth Energy

Len Hering Receives Eye on Biodiesel Award

Chuck Zimmerman

Len HeringLen Hering, a retired Rear Admiral from the U.S. Navy, gave an absolutely wonderful speech during the closing general session of the conference. You might want to share a link to it (listen below) with your friends and family and perhaps even the EPA! In addition he received an NBB Eye on Biodiesel Inspiration Award. Len is also the Executive Director of the California Center for Sustainable Energy.

Hering, is a prominent military and civilian sustainability leader instrumental in bringing B20 to naval bases. In his 32 years of Navy service he was known as a top expert in base operations and facility support with an emphasis on sustainability. His efforts included everything from renewable energy, including biodiesel, to responsible water use, photovoltaic technology, and conservation. Within three years, his team reduced energy consumption by nearly 42 percent, diverted 75 percent of Navy waste from landfills and reduced water consumption by more than one billion gallons, saving tens of millions of taxpayer dollars. President Bush awarded Hering a 2005 Presidential Award for Leadership in Federal Energy Management.

You can listen to Len’s remarks here: Len Hering Remarks

2014 National Biodiesel Conference Photo Album

Audio, Biodiesel, National Biodiesel Conference