No Mandatory Energy Funding in House Farm Bill

Cindy Zimmerman

house-agThe House Agriculture Committee passed the Federal Agriculture Reform and Risk Management Act (FARRM) of 2013 by a vote of 36 to 10 late Wednesday night. While the bill does contain an energy title, an amendment to make funding of energy programs mandatory was defeated.

“We thank the entire committee for reauthorizing the programs, but mandatory funding is vital to their continued success. We look forward to working with all Congressmembers and Senators to ensure that a Farm Bill gets enacted this year that includes mandatory funding for these important programs,” said Brent Erickson, executive vice president of BIO’s Industrial & Environmental Section.

The Senate version does contain mandatory funding for renewable energy and energy efficiency programs. “We thank the members of the Senate Agriculture Committee, especially Senator Amy Klobuchar for increasing the funding for the Renewable Energy for America Program, and Senators Joe Donnelly and Pat Roberts for a bipartisan proposal to improve risk management options for biomass crops,” said Lloyd Ritter, co-director of the Agriculture Energy Coalition. “We look forward to working with them to ensure the continued success of Farm Bill energy programs.”

“Funded farm and energy policy is better: it puts those benefits into action. On that score, we’re concerned the House bill missed the mark,” Adam Monroe, Americas Regional President of Novozymes, said of the committee bills. “While we appreciate the House Agriculture Committee reauthorizing the biomass programs, we urge them to follow the Senate committee’s lead and support a strong, fully-funded energy title.”

The Senate bill is expected to go to the floor next week while the House bill is slated for next month.

advanced biofuels, biomass, Energy, Ethanol, Ethanol News, farm bill, Government

Keeping RFS Still Top Concern for Ethanol Industry

Cindy Zimmerman

Progress on a new farm bill is all well and good but defending the Renewable Fuel Standard remains the top priority for the ethanol industry.

buis-ww“The attack on the Renewable Fuel Standard is first and foremost and coupled with it is the blend wall,” said Growth Energy CEO Tom Buis st the National Association of Farm Broadcasting annual Washington Watch issues forum this week. “Oil has never been a fan of the RFS and they knew this day was coming. As we’re up against the 10% blend wall, rather than doing what the law allows and blending higher blends or helping to build out the infrastructure for higher blends to give consumers choice at the pump, they’ve decided they just want to eliminate it and eliminate competition.”

Buis notes that, despite weather challenges this year, corn growers will continue to grow enough corn to meet all needs.

Listen to an interview with Buis here: Interview with Tom Buis, Growth Energy

Audio, Ethanol, Ethanol News, farm bill, Growth Energy, RFS

REG Signs Agreement with Iowa Biodiesel Plant

John Davis

reg-logoIt appears biodiesel giant Renewable Energy Group (REG) has inked a contract manufacturing agreement with an Iowa biodiesel maker. Biodiesel Magazine reports REG signed the 12-month contract with Iowa Renewable Energy LLC to purchase raw materials for the 30 MMgy multifeedstock plant and market biodiesel produced at IRE’s refinery.

“We are pleased REG has chosen to work with Iowa Renewable Energy,” said Ron Lutovsky, IRE’s chief operations officer and chief financial officer. “Our focus on fuel specifications and our BQ-9000 processes are aligned with REG’s commitment to biodiesel quality.”

Biodiesel from the IRE facility will be used to meet growing national and regional demand according to Gary Haer, REG’s vice president of sales and marketing. “We are working closely with the IRE team to include their gallons with biodiesel from our existing REG plant network to fulfill new and existing contracts.”

“IRE’s processing technology allows REG to expand our diverse raw material procurement strategy as well as our transportation and logistics programs to meet our growing customer demand,” said Dave Elsenbast, REG’s vice president of supply chain management.

REG was the actual general contractor and technology provider for the construction of the IRE facility back in 2007.

Biodiesel, REG

Argentina Fights Back Against EU Biodiesel Block

John Davis

areu-flagThe Argentinians are not sitting by and letting the European Union block their exports of biodiesel. Bloomberg reports the country filed a challenge against the EU with the World Trade Organization:

The EU is studying whether to levy import tariffs on countries including Argentina and Indonesia that may be exporting biodiesel with state aid like it did for U.S.-based ethanol producers in February, Roberto Rodriguez Labastida, a London-based analyst at Bloomberg’s New Energy Finance, said today by phone.

“The EU is now collating data on how much specific Argentinean companies are exporting so that if it decides that there’s a real threat of dumping it can quickly introduce measures to counter them,” Labastida said.

The EU has 60 days to address the complaint, according to the statement. The WTO will publish additional information on the complaint in the next few days, it said.

Argentina levies an export tariff on soybean that sometimes is lower than on biodiesel, the fuel that it’s processed into, Labastida said. That may lead to lower prices of the vegetable oil, which offers an advantage to Argentinean biodiesel refineries over European refineries that use the feedstock.

Argentina is the world’s largest exporter of soybean biodiesel. It filed a separate WTO complaint against Spain last year when the Spanish decided to use just EU fuel to meet transportation biofuels quotas. Spain reversed that decision.

Biodiesel, International

Enerkem Launches New Research Project

Joanna Schroeder

Waste-to-biofuels company Enerkem has launched a new research project with the Government of Canada. The project objective is to develop new catalytic processes for the conversion of waste into drop-in biofuels that can be used to replace conventional gasoline, diesel and jet fuel. The Government of Canada is contributing $1.1 million to this project via Natural Resources Canada.

usine_pilote_sherbrooke“Enerkem’s core business is the commercial production of cellulosic ethanol, and we now intend to take advantage of our flexible technology platform to gradually expand our line of biofuels and chemical products,” said Vincent Chornet, president and CEO of Enerkem. “This research project is part of our growth strategy and demonstrates our commitment towards innovation and a greener economy.”

Enerkem’s technology produces a chemical-grade synthesis gas that serves as a key intermediate for the production of renewable fuels and chemicals. This R&D project will be conducted at Enerkem’s research and development pilot facility in Sherbrooke, Quebec, in collaboration with the University of Sherbrooke.

“Through the ecoENERGY Innovation Initiative, our Government is investing in innovative clean energy technologies that create jobs, generate new economic opportunities and protect the environment,” added the Honourable Joe Oliver, Canada’s Minister of Natural Resources. “This program demonstrates our tangible support for energy projects that drive energy innovation.”

advanced biofuels, aviation biofuels, Waste-to-Energy

Visalia Cellulosic Ethanol Plant Surpasses 1,000 Hours

Joanna Schroeder

The demonstration cellulosic ethanol plant owned by Edeniq and located in Visalia, California has exceeded 1,000 hours of continuous operation. The corn-to-cellulosic migration plant uses the company’s proprietary technology to process more than one metric ton of feedstock per day into cellulosic ethanol. According to the company, this achievement exceeded the plant’s initial target. The project, funded in part by a U.S. Department of Energy (DOE) grant, is being used to demonstrate the viability of producing ethanol in a cost-effective manner from non-food sources including corn stover, switchgrass and woodchips.

Edeniq Plant Employee3In addition to achieving over 1,000 hours of continuous operation, the plant sustained and exceeded the DOE’s target of at least 90 percent up time demonstrating over 95 percent operational reliability. In addition, the facility promotes the use of sustainable resources including reusing or recycling substantial portions of its water to meet process demands, according to a company press release.

“While we have been developing these ethanol technology solutions for years, being able to fully integrate and operate our own plant has given us invaluable, deeper insight into the intricacies of the process and has enabled us to continuously improve our core technologies and operations,” said Thomas P. Griffin, chief technology officer at Edeniq. “The DOE has been a tremendous leader and driver in moving US interests toward the commercialization of advanced biofuels, and we look forward to further collaboration with them in the pursuit of this shared mission.”

The next step for Edeniq is to continue operations of the plant under the co-sponsorship of the California Energy Commission. The plant will undergo further process enhancements toward the production of low-cost sugars from a range of biomass and agricultural waste sources, including those indigenous to California. Edeniq is also working with companies to implement larger scale facilities based on the successful testing and operations of its demonstration plant.

advanced biofuels, Cellulosic, Ethanol

Poll Asks Opinion of Committee Farm Bills

Talia Goes

Our latest ZimmPoll asked the question, “Are so-called “ag gag” bills fair?”

Our poll results: Fifty-two percent said No, forty-one percent said Yes and seven percent said I Don’t Know. So most of you feel that ag gag bills are not fair. Do you think answers would be different if we called them “See Something, Say Something” laws?

chart

Our new ZimmPoll is now live and asks the question, “What’s your opinion of committee farm bills?” The Senate Agriculture Committee voted 15-5 to approve their version of a 2013 farm bill. And according to House Ag Committee Chairman, Frank D. Lucas, “The work of the Agriculture Committee, including reauthorizing the Farm Bill, affects every American; ensuring that our farmers and ranchers have the tools they need to produce an abundant and affordable food and fiber supply is as important to our country as national defense.” Let us know what you think.

ZimmPoll is sponsored by New Holland Agriculture.

ZimmPoll

Tractor Pullers to Run On 100% Biodiesel

John Davis

TractorPullPhoto1Those high-powered tractors that scream down the track will have even more sternum-rumbling power as they’ll soon be running on 100 percent biodiesel. This United Soybean Board news release says the National Tractor Pullers Association (NTPA) will allow for the pure green fuel in all of their diesel pulling classes this season. It’s good news for the pullers, who will see a 4 percent increase in torque and horsepower, according to a study conducted by the United Pullers of Minnesota paid for by the state soy checkoff board in Minnesota:

“Performance results like these are an added bonus to the environmental and economic benefits of using biodiesel,” says Larry Marek, soy checkoff farmer-leader and a soybean farmer from Riverside, Iowa. “If NTPA pullers can get these kinds of results on the track, we can certainly get great results using B100 on the farm.”

Also returning to the track this season will be the “Powered by Biodiesel,” Light Pro Stock class, in which all competitors are required to use biodiesel blends.

“B100 performs well, and is dependable even in the most excruciating tests,” says Gregg Randall, NTPA office general manager. “Pullers will definitely want to take advantage of the fuel this pulling season.”

Check out the entire 2013 NTPA competition schedule here so you can experience first-hand the rumble and thunder of your favorite tractor pullers… now using B100.

Biodiesel, Soybeans, USB

Africa Mecca for Clean Energy

Joanna Schroeder

UN Africa Clean Energy Patent StudyAccording to a recent study by the United Nations, less than 1 percent of all patent applications relating to clean energy technology have been filed in Africa, with the majority of this 1 percent filed in South Africa. The study find that Africa is a mecca for clean energy and has the ability to leapfrog existing fossil-fuel energy sources. “Patents and Clean Energy in Africa,” finds the country has an untapped potential for generating clean energy including enough hydroelectric power from its seven major river systems to serve the entire continent’s needs. In addition, the country has great potential for solar, wind and geothermal energy sources.

Hydropower, the most commonly used renewable energy source, is estimated to be utilized at just 4.3 percent of the continent’s total capacity – although recent years have seen efforts to ramp up clean energy, with North African nations leading in solar and wind categories, Kenya in geothermal, Ethiopia in hydro and Mauritius in bioenergy.

The study also points out that intellectual property and patenting in particular have been highlighted as a significant factor limiting the transfer of new clean technologies to developing countries, and identified as a barrier to these countries meeting new emission limits for CO2 and other greenhouse gases. While the lack of patents filed means CETs can be freely exploited in Africa, the lack of these patents to protect their products means source companies may be reluctant to offer up Clean Energy in Africatheir know-how to promote technology transfer, according to a news release on the study.

“The development and transfer of technologies are key pillars in both mitigating the causes of climate change and adapting to its effects; patents are a crucial part of this process,” said UN Environment Programme spokesperson Nick Nuttall. “In addition to an accelerated response to climate change, boosting clean energy technologies have multiple green economy benefits including on public health – for example, in sub-Saharan Africa more than half of all deaths from pneumonia in children under the age of five, and chronic lung disease and lung cancer in adults over 30, can be attributed to solid fuel use,” he added.

Only 10 percent of African inventors apply for patent protection in Africa; the majority tend to seek protection in four other regions: the United States (27 percent), the European Patent Office (24 percent), Germany (13 percent) and Canada (10 percent), according to the study.  The report adds that there are signs that the situation is changing. Despite low patent application numbers, the overall inventive activity in African countries grew by 5 percent between 1980 and 2009, compared to 4 percent at the global level. With a 59 percent increase, mitigation technologies grew most significantly in that period.

Clean Energy, Geothermal, Hydro, Solar, Wind

Iowa Biodiesel Plants at Just Over Half Capacity

John Davis

ia-rfaIowa’s biodiesel plants are at just over half capacity … leaving a lot of room for growth of the green fuel in the state. The Iowa Renewable Fuels Association (IRFA) says the refineries are at 54 percent capacity in the first quarter of 2013, producing 42.7 million gallons.

Nine of the state’s 12 biodiesel plants reported production. If all 12 Iowa biodiesel facilities operated at full capacity, they would produce 315 million gallons in one year. The industry is focused on promoting higher biodiesel blends to boost demand and maximize the biodiesel industry’s positive impacts on the state’s economy.

“While the first quarter was solid start, biodiesel production in Iowa has plenty of room to grow,” stated IRFA Communications Director T.J. Page. “Iowa’s famers and policymakers have a real opportunity to further boost biodiesel’s job creation and rural revitalization potential. IRFA continues to urge the Legislature to create a B10 differential in any fuel tax legislation considered this year. We’ve seen a strong move toward B5 blends, but promoting B10 has the potential to double the positive economic impact.”

The release goes on to say how biodiesel is helping farmers’ bottom lines by increasing the price of soybeans, cutting feed costs and raising the value of animal fats for Iowa’s livestock producers.

Biodiesel, Iowa RFA