Study Shows Biodiesel’s Growth in California

John Davis

biodieselcalCalifornia is poised to make some big waves in the biodiesel market… at least according to a new study from the Environmental Defense Fund and E2. This story from Biodiesel Magazine says the report profiles six companies in California revolutionizing the industry.

“Once again, California is ahead of the curve when it comes to delivering on fuels that not only protect the environment but also make good business sense to produce,” said Emily Reyna, senior manager of partnerships and alliances for EDF. “Because of the state’s commitment to biodiesel, we’ll continue to see biodiesel opportunities grow, an industry that is prime to be a leader in alternative fuels for California.”

The companies profiled in this case study—Biodico, North Star Biofuels LC, Yokayo Biofuels, Crimson Renewable Energy LP, Imperial Western Products and Propel Fuels—each demonstrate one of the six steps of the biodiesel value chain. These companies are integrating innovative practices and expanding the commercialization of low-carbon fuels with production capacities up to 20 MMgy. Some of these companies recycle used cooking oil as a feedstock, some are working to supply the Navy and oil refineries with lower carbon fuels, while others are working to assure choosing a biodiesel blend is as easy as picking up a different fuel pump.

“The case study serves as a great reminder that California is successfully producing biodiesels that are cost-effective, will reduce emissions, and provide quality jobs in the state,” said Biodico President Russ Teall. “To stay competitive and grow California’s economy, it’s imperative we continue to support the policies and businesses that are working hard every day to strengthen our biodiesel industry.”

The study goes on to credit California’s low carbon fuel standard (LCFS) for driving biodiesel demand and growth. It also credits the federal renewable fuels standard (RFS) combining with the LCFS for helping expand California’s and the Nation’s biofuels industry.

Biodiesel

ACE Unite & Ignite Conference Kicks off with a Bang

Joanna Schroeder

ACE13-ignite-and-unite-lambertyI don’t know what it is, but there’s something about the ethanol industry that gets me jazzed up about biofuels and my latest spark: the American Coalition for Ethanol (ACE) 26th Annual Ethanol Conference that kicked off tonight in Des Moines, Iowa. The opening reception was abuzz with the latest news and contagious optimism about the industry, despite Big Oil’s efforts to block E15 and other higher blends of ethanol.

To get a preview of the event, I chatted with ACE’s Ron Lamberty, better known as the “fuel guy,” because Ron not only works with fuel retailers and the petroleum industry in his role as senior vice president, but he also owns several fuel retail stations. So if anyone knows how safe and beneficial ethanol is to consumers, it’s Ron.

Lamberty noted that the ethanol industry is battling against a competitor that really doesn’t want to compete and doesn’t feel any need to tell the truth. “We’re battling against all this misinformation,” he said, but truth is on our side and we’ve got to keep getting it out any way we can.”

He said that things are going well for the ethanol industry and they just need to ride out this full-scale assault. He believes that once consumers get a chance to buy more of the industry’s fuels, they will see they are a good thing and he doesn’t think any amount of advertising can stop the movement of ethanol.

ACE13-Ignite-and-uniteThis year’s conference theme is “Unite and Ignite” and Lamberty says the theme is near and dear to him. He said, “You’ve heard the saying, it’s not you, it’s me, well in this case we’re saying its not ACE, it’s you. We truly want our members to go out and do these things.” He said ACE has learned through doing their fly-in, that it’s a lot more effective to have people who work in the industry every day tell their story.

Lamberty says the industry needs to fight back and people need choice. “And when people have choice, they will choose us.”

Listen to my full interview with Ron Lamberty who discusses not only the importance of this year’s theme, but also the Renewable Fuel Standard (RFS) and the truth about RINs (Renewable Identification Number). ACE Unite & Ignite Kicks off with a Bang

Visit the ACE 26th Annual Ethanol Conference photo album.

ACE, ACE Ethanol Conference, Audio, biofuels, E15, Ethanol, RFS, RINS

Growth Launches “You’re No Dummy” Campaign

Joanna Schroeder

In response to the major ad campaign funded by Big Oil in an effort to block higher blends of ethanol into the marketplace (such as E15), ethanol advocacy group Growth Energy has launched an advertising campaign called “You’re no Dummy“. The goal of the campaign is to help Americans better understand that the oil industry is trying to stop the growth of renewable fuels for the purpose of protecting their bottom line.

“For too long we’ve had all our energy eggs in one basket,” said Growth Energy Board of Directors co-chairman General Wesley K. Clark (Ret.) who explained he saw it coming back when he was a Captain working at the Pentagon in the summer of 1973. “Renewable fuels are critical to national security.” He noted that the Renewable Fuel Standard (RFS) is vital to national security and “we can’t let go of the Renewable Fuel Standard.”

“The campaign we have launched today is designed to do one thing – show consumers that the oil industry has attempted to deceive them over and over again and it’s time they stop being treated like puppets by the oil industry,” said Tom Buis, CEO of Growth Energy during a media call. “It is time consumers are allowed a choice when they fill up at the pump – a choice that allows them to not only save their own hard-earned money, but also spend their money on an American product that creates American jobs, promotes energy independence and improves our environment.”

“We understand we’re the little guy. We know we’re the underdog. It’s David versus Goliath,” continued Buis. “But the biofuels industry will no longer tolerate misleading information and nor should the American public. While Big Oil may be one of the largest and well-funded industries on the planet – they are not entitled to use their influence to control Congress to maintain unbridled control over the transportation fuels marketplace.”

Youre No Dummy TV adBuis said that consumers need to know they are being deceived by Big Oil and they are preventing them from having the ability to make a choice at the pump. “Our message is simple – You’re no dummy. Don’t let the oil industry treat you like one,” Buis concluded.

As part of the “You’re no Dummy” campaign, ads will air nationally on major cable news networks such as FOX, CNN, MSNBC and RFD-TV, as well as several local markets. The multi-media campaign also includes print, radio and social media.

Listen to the “You’re no Dummy” press conference here: Growth Launches You're No Dummy Campaign

Audio, biofuels, E15, Ethanol, Growth Energy, Video

Plug Power Awarded $650,000 DOE Grant

Joanna Schroeder

Plug Power Inc. has been awarded a $650,000 contract from the U.S. Department of Energy (DOE) to demonstrate the use of hydrogen-based fuel cells to power the refrigeration units in semi-trailer trucks that transport perishable and frozen foods. The company was selected by the Fuel Cell Technologies Office within the DOE’s Office of Efficiency and Renewable Energy (EERE) to showcase its fuel cells in transport refrigeration
units (TRUs). These units are large air conditioners that regulate cold temperatures for Plug Power logoitems such as frozen pizza, fruits, vegetables, meats, dairy products and other goods that must be kept chilled or frozen during transport from distribution centers to retail destinations.

According to Plug Power, the majority of the approximately 300,000 TRUs traversing U.S. highways are powered by diesel generators. Diesel is costly and produces environmentally hazardous particulate matter and nitrous oxide (NOx) emissions. A typical TRU will consume about 10 gallons of diesel per day, and emit roughly 101 kg of carbon dioxide (CO2).

By comparison, hydrogen-powered fuel cells emit only a small amount of heat and water, making them an environmentally friendly alternative energy source. Fuel cells operate more efficiently, cleanly and quietly, at lower cost than diesel. In addition, Plug Power says its customers that use hydrogen fuel cells to power material handling forklift trucks will benefit from deployment of fuel cells in their TRUs, by leveraging the hydrogen infrastructure already in place. Increased on-site hydrogen consumption would result in lower fuel expenses overall, due to economies of scale.

“Plug Power’s leadership in the material transport industry is generating interest and development funds for implementation of fuel cells in adjacent markets,” said Andy Marsh, CEO of Plug Power. “This TRU award demonstrates how Plug Power is now executing on its market expansion strategy to architect fuel cell solutions across a wider range of opportunities.”

Plug Power’s TRU fuel cells, which will be based on its GenDrive technology, will cool Carrier Transicold refrigeration units on trailers delivering products for a Sysco Corp. distribution center on Long Island in New York. Each TRU will run for a minimum of 400 hours over the two-year contract period. Hydrogen will be supplied by Air Products. Researchers at the Pacific Northwest National Laboratory (PNNL), a contractor that manages government programs for the DOE, will oversee the program.

Alternative energy, Hydrogen

REG, Franken Mark Expansion of MN Biodiesel Plant

John Davis

Renewable Energy Group (REG) officials were joined by federal, state and local leaders, including U.S. Senator Al Franken, for a ribbon-cutting of a southern Minnesota biodiesel plant. This REG news release says the upgrades to the 30-million gallon refinery in Albert Lea was a $21 million project started last October and will allow the plant to use multiple raw materials such as waste animal fats and greases and inedible corn oil, as well as vegetable oils it was originally built to use.

“We completed the upgrades at REG Albert Lea on time and on budget,” said Daniel J. Oh, Renewable Energy Group, Inc. President and Chief Executive Officer. “That is a testament to the hard work of our team and contractors.”

REG LogoWithin days of start-up, all biodiesel produced at Albert Lea met the company’s REG-9000® quality specifications, which exceed the industry’s ASTM B100 standard. Multi-feedstock biodiesel has been available at Albert Lea since June 19. The upgrade project supported between 70 and 80 construction jobs.

“With these upgrades, REG Albert Lea stands ready to supply more high-quality biodiesel in Minnesota as the state prepares to increase its blending from B5 to B10,” Oh said. “Minnesota is one of a growing number of states that recognize how biodiesel helps make us more energy secure and environmentally sustainable.”

Sen. Franken, who serves as Chairman of the Senate Energy and Natural Resources Energy Subcommittee, says the Albert Lea plant is one shining example of how biodiesel is a true success story of the Renewable Fuels Standard.

REG initially built the plant for SoyMor in 2005 before buying it two years ago. REG now has eight active biorefineries in five states with a combined annual production capacity of more than 255 million gallons.

Biodiesel

GPRE Cuts Ribbon on Atkinson Ethanol Plant

Joanna Schroeder

IMG_0481[2]Green Plains Renewable Energy (GPRE) held a ribbon cutting for their newly acquired ethanol plant in Atkinson, Nebraska. GPRE bought the idled plant in June 2013 after being offline for nearly a year. The plant employs 42 people, a third of which were employed at the plant prior to its shutdown, and is now in full operation. With the acquisition of the biorefinery, GPRE now has 10 ethanol plants in operation and is the fourth largest producer of ethanol in the world.

The Atkinson ethanol plant will produce 50 million gallons of ethanol each year from approximately 15-17 million bushels of corn and will also produce 145,000 tons of distillers grains (DDGs – livestock feed).

Nebraska Senator Deb Fischer lauded the community of Atkinson and surrounding area for it’s accomplishments and also thanked GPRE for their investment in north central Nebraska. She said GPRE is a great company and they not only recognized the great community of Atkinson, but that they are also looking to build a strong partnership with the community.

Sen. Fischer is a rancher who feeds her cattle DDGs. “One thing I always tell folks about agriculture: We have to stick together,” said Sen Fischer. “We need to stick together in rural communities. And when we have a business partner like Green Plains that is willing to come in to this community, willing to make a pretty darn big investment in this community to provide good jobs, to provide a market for your crops, to provide a by-product for livestock producers, I think we all need to thank them for making that investment.”

biofuels, Ethanol, Renewable Energy

Darling Int’l Buying Canadian Rendering for Biodiesel

John Davis

darlingTexas-based rendering leader Darling International Inc. is buying all the assets of Canadian company Rothsay, a division of Maple Leaf Foods Inc. for approximately CAD $645 million in cash. This Darling news release says the deal includes machines to turn fats and proteins into biodiesel feedstocks, as well as an actual biodiesel operation itself.

Rothsay has a network of five rendering plants in Manitoba, Ontario and Nova Scotia and a biodiesel operation in Quebec, Canada. Rothsay employs approximately 550 people and generated approximately CAD $85.0 million of EBITDA over each of the past two fiscal years.

Randall C. Stuewe, Darling International’s Chairman and CEO said, “The combination of our two companies will create North America’s leading provider of independent rendering and recycling services. The opportunity to add Rothsay to our North American platform is an exceptional honor. Rothsay is Canada’s premier recycler of animal by-products and a leading biodiesel manufacturer. We look forward to joining forces with Rothsay’s management team and employees and to the opportunity this brings our shareholders for future growth.”

Earlier this summer, Darling opened a joint venture renewable diesel plant with energy giant Valero in Louisiana. That plant also uses animal fat to make the renewable diesel, as well as using waste cooking oil and corn oil.

Biodiesel

BioEnergy Bytes

Joanna Schroeder

  • BioEnergyBytesDFPOET-DSM Advanced Biofuels is now hiring full-time, quality team members to operate its 20 million-gallon-per-year cellulosic ethanol plant, which is set to open in early 2014. Project LIBERTY is a cellulosic biorefinery under construction today in Emmetsburg, Iowa that will use crop residue (corn cobs, leaves, husk, some stalk) to produce 20 million gallons of ethanol per year, later ramping up to 25 million gallons per year. The plant is currently filling a number of positions, including: environmental health and safety specialist, plant engineer, accountant, and plant technician.
  • Solar Power International 2013 is taking place in Chicago, Illinois from October 21-24, 2013 at the McCormick Place. New show programming and events for 2013 include multiple featured areas on the show floor for companies to showcase their technologies and foster new business ventures along with new educational sessions. Click here to learn more and to register.
  • IMPCO has announced the availability of its bi-fuel CNG fuel system for the 2014 Chevrolet Cruze 1.4L sedan. The company says this system eliminates “range anxiety” by including a trunk mounted Type 3 tank (8.4 gasoline gallon equivalent) that provides over 200 miles of additional range.
  • EnterSolar hasannounced the receipt of more than $6 million through multiple rounds of NYSERDA funding to facilitate the construction of 10 new large-scale commercial solar installations. The awards are being funded under the Competitive PV program as part of Governor Cuomo’s NY-Sun initiative. EnterSolar is currently working with a number of businesses and seeking others that may have interest in participating in round 3 of the Competitive PV Program.
Bioenergy Bytes

Farm Bureau: RFS Bendable, Just Don’t Break It

John Davis

afbf-logoFarm Bureau officials are making the case that the Renewable Fuels Standard has some flexibility… but just don’t break it. In this story on its newsline, American Farm Bureau energy economist Matt Erickson makes the case that the RFS is working, but Americans are using 10 billion fewer gallons of gasoline this year than in 2007 when the law was passed. That drop makes mandated amounts in the RFS unrealistic. But he believes the flexibility in the law still makes it beneficial.

“It’s reduced our dependence on foreign crude oil. Now we’re importing over 40 percent instead of 60 percent that we saw in 2007-2008. It also creates good paying jobs in rural America, creates environmental benefits to society. It’s a good energy policy and I’d rather have my energy source come from a farmer than a Middle East dictator.”

Erickson dismisses Big Oil’s claims that the law is causing economic harm, and he says it just needs a little tweaking.

“EPA does have the flexibility to adapt within a changing environment. The world is changing quite frankly. We had the recession. We have CAFE standards which are higher fuel efficiencies within our transportation system.”

Finally, Erickson makes the case that if we abandon the RFS, we would pull the plug on new cellulosic technology.

“Looking at cellulosic, we’re going to sources such as algae or corn residue containing the corn cob anything that’s left in the field that’s not the food.”

Biodiesel, Ethanol, Farm Bureau, RFS

Senator Michael Bennet Visits Gevo

Joanna Schroeder

Senator Michael Bennet (D-CO) recently toured and met with Colorado-based Gevo to discuss renewable fuels and chemicals for Colorado and the U.S. economy. Senator Bennet met with Gevo executives including chief executive officer Patrick Gruber, Ph.D. to discuss energy policy and see first-hand the research and development Gevo has done on creating isobutanol to be converted to biochemicals and renewable fuels.

photoIsobutanol is a drop-in product that can be used in existing infrastructure. Gevo’s isobutanol has successfully cleared registration with the U.S. EPA as a fuel additive, is the first isobutanol to be listed in the EPA’s Fuel Registration Directory, making it approved for blending with gasoline. Last June Gevo worked with the United States Air Force (USAF) to provide fuel for the first successful “alcohol-to-jet” (ATJ) fuel test flight in an A-10 Thunderbolt II.

“We applaud Senator Bennet’s support for the renewable energy industry and appreciate his visit to our headquarters to learn about the technology that makes Gevo a leading renewable chemicals and advanced biofuels company,” said Gruber.

Senator Bennet remarked that he very much enjoyed his visit to Gevo and said, “Colorado has a strong reputation as a hub for innovation and firms like Gevo are leading the way. By developing innovative techniques for converting biomass to fuel, Gevo is a critical part of developing a balanced national energy portfolio.”

advanced biofuels, biobutanol, biochemicals