Senate Passes Farm Bill with Energy Funding

Cindy Zimmerman June 10, 2013

By a vote of 66 to 27 on Monday evening, the full Senate passed its version of a 2013 Farm Bill which includes mandatory funding for renewable energy programs.

“Specifically, the $900 million in mandatory funding to critical rural energy programs will help provide the certainty investors and businesses need to keep making renewable fuels from diverse feedstocks, from corn stover to woody biomass to municipal solid waste,” said Growth Energy CEO Tom Buis. “By including programs such as the Rural Energy for America Program (REAP), the Biomass Crop Assistance Program, and the Biorefinery Assistance Program, the Senate has reiterated its vote of confidence in our nation’s renewable fuels sector.”

“REAP provides vital cost-share assistance to help petroleum marketers make upgrades or install new equipment at retail stations, ensuring consumers have access to renewable and affordable fuels such as ethanol,” said Brian Jennings, Executive Vice President for the American Coalition for Ethanol (ACE). “Today’s vote highlights strong bipartisan support for market access to E15 and midlevel blends, such as E30 and E85.”

“Farm Bill renewable energy and energy efficiency programs have a solid track record in supporting growth in agriculture, manufacturing, and new employment opportunities in rural America,” Agriculture Energy Coalition co-director Lloyd Ritter added. “We urge the House of Representatives to include the same funding of Farm Bill energy programs in its version of the legislation.”

“We believe, the House like the Senate, will also recognize the job-creating, value-added economic engine that the ethanol industry has become. In 2012, the ethanol producers across this country supported over 300,000 jobs,” said Renewable Fuels Association president and CEo Bob Dinneen. “As the House begins its deliberations, we encourage them to keep the larger goals of energy independence and rural economic revitalization in mind.”

The full House is expected to take up its version of a farm bill next week.

ACE, E15, Ethanol, Ethanol News, Growth Energy, RFA

RFA Releases Rail Transportation Information

Cindy Zimmerman June 10, 2013

The Renewable Fuels Association (RFA) has released the “Guidelines for Hinged and Bolted Manway Assembly” in conjunction with the start of the 2013 Fuel Ethanol Workshop. The publication is a powerful resource for ethanol shippers to ensure the safe transport of ethanol through the rail system.

The guidelines explain in detail the correct assembly of a manway, the proper steps for inspection, the most efficient way to spot imperfections, and the steps needed to create and maintain a consistent process to secure manways in order to end the occurrence of non-accident releases. This illustration-filled guideline was produced in response to an increased need for an engineering standard addressing the inspection, maintenance, and securement of hinged and bolted manways.

The RFA guidelines are an indispensable resource for both manway manufacturers and rail shippers. Nearly 70 percent of ethanol is transported to the marketplace using the U.S. railroad system, with roughly 330,000 shipments of ethanol taking place annually.

RFA representatives will be attending the 2013 Fuel Ethanol Workshop this week and will have a manway on hand to show the correct way to seal and tighten the bolts. We encourage manufacturers and shippers to stop by the exhibit and pick up a copy of the “Guidelines for Hinged and Bolted Manway Assembly.”

“Rail safety is vitally important to the RFA and something as simple as under tightening or over tightening a bolt on the manway can lead to an accidental release of ethanol. We lead an extensive research program looking at the production process for manways and ways to improve their proper securement. Our ultimate goal is zero non-accident releases and the guidelines are a significant first step toward reaching that goal,” said Kristy Moore, RFA’s vice president of technical services.

The publication was made possible with a grant from the Department of Transportation’s Federal Railroad Administration. Additionally, RFA partnered with Watco Compliance Services, VSP Technologies, and Salco Products, Inc. to collect the necessary information on manways and their proper installment.

Ethanol, Ethanol News, RFA, transportation

Groups Not Happy with Colorado Rural REP

Joanna Schroeder June 10, 2013

Groups in Colorado are not happy with the new law that Governor John Hickenlooper signed, SB13-252, that mandates 20 percent of all electricity used by rural Colorado come from renewable sources. Hickenlooper signed an executive order relating to the measure that create an advisory committee to the Director of the Colorado Energy Office on the effective of SB13-252.

The Colorado Farm Bureau is one group and Don Shawcroft, president, said his organization is disappointed to see the Governor sign a measure that will put an unnecessary burden on many Colorado farmers and ranchers in rural communities. “This mandate will cost agricultural producers millions of dollars, and may put many family farms out of business.”

Shawcroft said no voices from the agriculture community were included in the committee and its is very disconcerting that the Governor did not acknowledge the ag industry but putting a farmer or rancher on the advisory committee.

Several Colorado counties are also up in arms and are considering forming a 51st state called North Colorado. The Denver Post reports that a proposal to separate Weld, Morgan, Logan, Sedgwick, Phillips, Washington, Yuma and Kit Carson counties from the rest of the state was hatched at a meeting of county commissioners last week.

According to state commissioners, efforts of the state to crack down on oil and gas as well as increases in rural renewable energy standards were “the straws that broke the camel’s back.” Of the counties affected, two of their main economic drivers are energy and agriculture.

These are also concerns of Shawcroft who said that the measure fails to put agriculture, the biggest consumer of energy in rural Colorado at the table. “We tried to talk to him about our concerns and how this will affect agriculture, but yet again, he didn’t include us in the ongoing conversation,” Shawcroft concluded.

Agribusiness, Electricity, Energy, Legislation, Renewable Energy

Quest for Oil

Joanna Schroeder June 10, 2013

In an age when oil is becoming harder and harder to find and many are calling for more renewable energy, Maersk, a shipping and oil company, has released a new game ‘Quest for Oil’. The game allows players to experience the stresses and strains of successfully managing an oil company.

Maersk said one reason the game was created was because of criticism that the oil industry is suffering from a lack of transparency. The game is is part of the company’s larger plan to engage and educate the public about oil and gas exploration and also to inspire young players to consider employment in the industry.

“By playing the video game you can learn some basic and more advanced aspects of our industry: how to combine data from different sources and make very difficult decisions on high value or high cost, so risk based decisions based on a variety of incomplete information. If you’re successful, you can see how you can grow the business through this game,” said Jakob Thomasen, Maersk Oil CEO.

“The idea of the video game is to introduce the players to the industry and there are secrets in the industry, but we try to give away whatever we can give away and be very transparent about how we do our business,” concluded Thomasen.

Let’s hope that when players discover how hard it really is to find oil, they realize the importance of renewable energy.

Oil, Opinion, Renewable Energy

BioEnergy Bytes

Joanna Schroeder June 10, 2013

Clean Energy Collective has been awarded three new community solar garden projects through Xcel Energy’s Solar Rewards Community program. The 500 kW arrays will be located in Boulder County, Colorado and Denver County, Colorado.
POET-DSM Advanced Biofuels has hired Kevin Potas as its new Business Development Manager. In his position, he will be responsible for outlining licensing options for the company’s technology.
Canada biodiesel company Methes was featured Mad Money on June 6, 2013.
According to SunPower using data provided by the California Solar Initiative, sales of new production homes with rooftop solar power systems nearly doubled from 2011-2012. SunPower said this signals increasing home buyer demand.
Mainstream Renewable Power has announced a joint venture with Actis to deliver 600 megawatts of wind and solar projects into construction and operation in Chile by early 2016.

Bioenergy Bytes

Innovative Microgrid Project: SkyGrid Energy

Joanna Schroeder June 10, 2013

An innovative off-grid water pumping system powered by a Northern Power NPS 100 wind turbine is now benefiting several farmers in North Kohola, Hawaii. This microgrid project, known as SkyGrid Energy, is an alternative to using diesel to generate power. According to Northern Power, the turbine is specifically designed to support microgrids with its sophisticated voltage controls and no inrush current, relieving stress to the system. In addition, the company said the NPS 100’s ability to control reactive power independently of wind speed more reliably meets energy demands, a crucial component of microgrids.

The SkyGrid Energy microgrid has been fully operational since April 2013. In addition to the NPS 100 wind turbine, which is the primary source of energy production, the system also includes a battery bank and solar panels. The system is capable of pumping more than 30 million gallons of water annually and is being used to irrigate 400 acres of agricultural land and support 14 participating farms and agricultural businesses.

The project was partially funded by the U.S. Department of Energy through the Hawaii Renewable Energy Development Venture. Gen‐X Energy Development LLC, the project developer, plans to replicate and deploy this microgrid solution throughout Hawaii and other island communities.

“Besides providing innovation for a better world and helping increase our independence from fossil fuels, the new microgrid is also helping provide a reliable and cost‐effective solution for Hawaii’s agriculture industry. This Northern Power turbine is critical to this microgrid’s success,” said Fred Brown, Gen‐X Energy Development LLC co‐founder.

Alternative energy, Electricity, Microgrid, Wind

Solar Project on Federal Land Gets “Green Light

Joanna Schroeder June 10, 2013

The Quartzsite Solar Energy Project located in La Paz County, Arizona has received approval from the U.S. Secretary of the Interior to proceed. The 100 megawatt project will be located on Bureau of Land (BLM) managed land. The Quartzsite Project will be utilizing SolarReserve’s concentrated solar power (CSP) technology with integrated storage which allows the facility to operate like a conventional power plant.

“These projects reflect the Obama Administration’s commitment to expand responsible domestic energy production on our public lands and diversify our nation’s energy portfolio,” Secretary of the Interior Sally Jewell said. “Today’s approvals will help bolster rural economies by generating good jobs and reliable power and advance our national energy security.”

With more than $600 million of direct investment in Arizona, the Quartzsite Solar Energy Plant will generate approximately 440 jobs during peak construction and 50 full-time jobs for operations and maintenance. In addition, the project is expected to create local economic stimulus in the form of $15.7 million in sales tax during the construction period, with construction spending injecting another $46.3 million into the local and regional economy.

“The BLM has done a tremendous job of administering a rigorous and fair permitting process for this project,” said Kevin Smith, CEO of SolarReserve. “We appreciate the agency’s support of this and other renewable energy projects that are critical to reducing harmful emissions from conventional power plants while creating real employment opportunities. The Quartzsite project will be SolarReserve’s second major project successfully permitted on BLM land which demonstrates that industry and government can collaborate effectively.”

The Quartzite Solar Energy Project has completed all major permitting necessary for advancing the project into construction and is actively engaged in power marketing efforts. The project is slated to begin construction in 2014, once a Power Purchase Agreement has been contracted and financing for the project complete.

Alternative energy, Electricity, Energy, Solar

RFA Offers Communications Training Webinar

Joanna Schroeder June 10, 2013

The Renewable Fuels Association (RFA) will host a free Communications Training webinar on Wednesday, June 19 at 1 p.m. CT. The training session is open to all RFA member companies and anyone interested in helping local ethanol plants promote the value of ethanol is encouraged to participate. The webinar will focus on different methods of community engagement:

Website and Newsletter Content
Social Media
Reporter Outreach
Community Events & RFA Materials
Congressional Visits
Local Advertising Ideas
Idea Exchange

Click here to register.

biofuels, communications, Ethanol, RFA

BMW Boasts Largest Hydrogen Fuel Cell Fleet

Joanna Schroeder June 7, 2013

BMW Manufacturing has expanded its use of Plug Power hydrogen fuel cells at its Spartanburg, South facility to power all material handle trucks and forklifts. The company now has 272 units in its fleet, making it the largest such fleet in North America. In 2010, BMW installed a storage and distribution area for hydrogen supplied by Linde Industrial Gases near its 4-million square foot production facility and then equipped 100 forklift trucks and pallet jacks in its X3 assembly hall with Plug Power’s GenDrive hydrogen fuel cell system.

“BMW’s ongoing commitment to clean production is evident in our recent expansion of our hydrogen fuel cell program,” said Duncan Seaman, BMW Group, Head of Market Operations, Americas. “We appreciate Linde’s partnership in supporting the expansion, making our entire operation more sustainable.”

GenDrive hydrogen fuel cells are an alternative to lead-acid batteries in the $20 billion global material handling market. According to Plug Power, use of the fuel cells lowers operational costs, produces zero emissions and improves reliability. Fuel cell usage also eliminates the need for large battery storage and charging rooms, freeing up valuable production space and removing any lead and sulfuric acid contamination from the work environment. Since battery charging is no longer required, total electricity demand is reduced and the fees associated with battery recycling and disposal are eliminated.“The expansion of BMW’s hydrogen fuel cell material handling fleet in Spartanburg makes BMW one of the world’s largest users of hydrogen fuel cells at a single site,” added Andy Marsh, CEO at Plug Power. “This milestone is significant because it demonstrates that a GenDrive solution can profitably scale to bring enormous benefits to the organization including increased productivity, cost savings and carbon-footprint reductions.”

Alternative energy, automotive, Hydrogen

World Bank: Crude Oil Biggest Driver of Food Prices

Joanna Schroeder June 7, 2013

According to a recent study by the World Bank, “Long-Term Drivers of Food Prices,” oil prices are the biggest driver of higher food prices. The study, using data from 1960-2012, applied an economic model to five internationally-traded food commodities (maize/corn, wheat, rice, soybeans and palm oil) and studied the impact of several food-price drivers. These included energy prices, exchange rates, interest rates, inflation, income and a variable reflecting market fundamentals.

The study also paid special attention to two time periods: 1997-2004 and 2005-2007. Between the two time frames, the price of energy, fertilizers and precious metals tripled. In addition, most food prices doubled. Of all the drivers of food prices, crude oil prices had the biggest impact.

Tom Buis, CEO of Growth Energy noted that also during this time, food and energy price increases also coincided with record profits for the oil industry.

“Not only has the oil industry been responsible for the sky-rocketing gas prices each time you fill up your car, now it turns out they are responsible for the price increases you face at the grocery store. While they enjoy record profits, populations around the world suffer at their expense and struggle to pay for the basic staples of life.”

“The World Bank found that crude oil is responsible for more than half of the increase in food prices,” Buis added. “Couple that with the nearly 100 percent increase in domestic gas prices over the same time frame, and the cost of oil has truly affected the well-being of all Americans in a very expensive way.”

Alternative energy, Food prices, Growth Energy, Oil, Research

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