Investors Interested in Fossil Fuel-Free Portfolios

Joanna Schroeder

According to a recent survey conducted by SRI, 65 percent of retail investors and 53 percent of institutional investors are currently expressing interest in fossil fuel-free portfolios in reaction to climate change. More than 2,000 SRI industry professionals took the First Affirmative Financial Network’s Fossil Fuels Divestment Survey in anticipation of the 24th annual SRI Conference taking place October 28-30 in Colorado Springs, Colorado.

Other key survey findings include:

  • 77 percent see growing risks for investors associated with fossil fuel company holdings in their investment portfolios.
  • 30 percent of those surveyed either already do – or are getting ready to – offer fossil-fuel free portfolios to investors.
  • 63 percent believe that investors will in the next 10 years start divesting in meaningful numbers from fossil-fuel companies due to climate change implications of such energy sources.

SRI Conference Logo“The survey findings strongly suggest that fossil fuel free investing is one of the SRI industry’s next big issues. Ours is an incredibly dynamic field, and as we develop the agenda for the 24th annual SRI Conference in October, we are working hard to present speakers and sessions focused on the most timely, important, and pressing topics,” said First Affirmative President Steve Schueth, producer of The SRI Conference. “Fossil fuel free investing is already becoming a nationwide movement, and it’s likely to gain momentum as the impacts of climate destabilization are felt far and wide.”

Sixty-seven percent of respondents believe that 2013 is the right time for investors to assess and perhaps alter their approach to investing in traditional energy companies, while 40 percent of those surveyed worry about increased diversification risk in fossil fuel free portfolios, in their role as a fiduciary to clients. In addition, 24 percent of those surveyed said they would be able to adequately replace the most carbon-intensive fossil fuel companies in portfolios they managed/advised with holdings that exhibit similar risk/return characteristics.

Carbon, Clean Energy, Climate Change

RFA Honored for Emergency Readiness Training

Cindy Zimmerman

rfa-moore-awardThe Renewable Fuels Association (RFA) was honored today with the “2012 TRANSCAER® National Achievement Award,” at the Association of American Railroads/Bureau of Explosives HazMat Seminar in Addison, Texas.

RFA received the award for its commitment to the goals of TRANSCAER® and for its role in educating communities on how to handle chemical transportation emergencies. TRANSCAER® (Transportation Community Awareness and Emergency Response) is a voluntary outreach initiative that works to keep communities safe and prepares them for possible hazardous transportation emergencies.

“I have worked with TRANSCAER® for many years and am honored to receive this award on behalf of the Renewable Fuels Association,” said RFA Vice President for Technical Services Kristy Moore who accepted the award on behalf of the organization. “I have been involved in planning safety seminars and know that the value of a coordinated response can be the difference between a fire and full out disaster.”

The RFA partners with railroad companies and local industry associates to hold safety seminars on how to handle ethanol related emergencies. The seminars examine everything from how to handle tank farm and bulk storage fire incidents to the transportation and transfer of ethanol blended fuels. The RFA began safety seminars in 2010 and continues to host sessions throughout the United States. To date, the RFA has hosted 69 safety seminars in 20 different states, including Oregon, Pennsylvania, Texas and Tennessee. Ten more seminars are planned this year and the RFA intends to continue this important program next year. The free seminars are open to everyone, including first responders, emergency planners and the general public.

Ethanol, Ethanol News, RFA, safety, transportation

EPA Proposes RFS Amendments

Cindy Zimmerman

The Environmental Protection Agency has announced proposed Renewable Fuel Standard (RFS2) amendments and clarifications, which include new pathway determinations for advanced biofuels such as isobutanol and ethanol from crop residues.

epaThe EPA proposal also includes “various changes to the E15 misfueling mitigation regulations (E15 MMR) which are minor technical corrections and amendments to sections dealing with labeling, E15 surveys, product transfer documents, and prohibited acts” as well as changes to the survey requirements associated with the ultra-low sulfur diesel (ULSD) program.

EPA is proposing to allow renewable diesel, renewable naphtha, and renewable electricity (used in electric vehicles) produced from landfill biogas to generate cellulosic or advanced biofuel RINs. Renewable compressed natural gas (CNG)/liquified natural gas (LNG) produced from landfill biogas are also proposed to generate cellulosic RINs. EPA is also proposing to allow butanol that meets the 50% GHG emission reduction threshold to qualify as advanced biofuel. The rulemaking also proposes a clarification regarding the definition of crop residue to include corn kernel fiber and proposes an approach to determining the volume of cellulosic renewable identification numbers (RINs) produced from various cellulosic feedstocks. Further, this proposal discusses and seeks comment on the potential to allow for commingling of compliant products at the retail facility level as long as the environmental perfor­mance of the commingled fuels would not be detrimental. The action also addresses “nameplate capacity” issues for certain production facilities that do not claim ex­emption from the 20% GHG reduction threshold. Several other amendments to the RFS program are included.

“This proposed rulemaking package is essentially a collection of ‘housekeeping amendments’ that will address several odds and ends that needed to be addressed in the regulatory text,” commented Renewable Fuels Association president and CEO Bob Dinneen. “We are pleased that among these proposed amendments is a provision clarifying that ethanol produced from the cellulosic portions of the corn kernel can qualify as cellulosic biofuel under the RFS2.”

“Companies continue to make investments, put steel in the ground, create jobs and develop technologies that reduce dependence on foreign oil and contribute to a cleaner environment,” said Brent Erickson, executive vice president of the Biotechnology Industry Organization’s (BIO) Industrial & Environmental Section. “They are preparing to make additional investments with assurance that U.S. policy is committed to energy security and production of biofuels.”

The proposal has been submitted to the Federal Register for public comment.

advanced biofuels, BIO, Cellulosic, Ethanol, Ethanol News, Government, RFA, RFS

Rebuffed in EU, Argentina Aims for US Biodiesel Market

John Davis

argentinaflagShut out of selling biodiesel the the European Union, Argentina is now trying its hand at getting into the U.S. biodiesel market. Reuters reports the Argentinians believe it will be easier to meet U.S. environmental laws than overcome Europe’s block

“We’re going through the process of getting EPA approval, which takes some time,” Luis Zubizarreta, president of the Argentine Biofuels Chamber, told the Reuters Latin America Investment Summit.

“We’re well-positioned and we’re very confident of achieving this. In the next few months, we should have that approval.”

Argentina is the world’s top exporter of biodiesel – made from soybean oil – but shipments to its main client, the EU, plunged this year after the bloc launched investigations into possible dumping by Argentine suppliers.

The European block on the South American green fuel has cut in half Argentina’s production. If the EPA approves Argentinian bodiesel for RINs, the article says it would obviously help that country’s market while helping U.S. refiners, importers and others comply with biofuel blending requirements.

Biodiesel, International

New Colorado Biodiesel Plant to Run on Cooking Oil

John Davis

ClearEcos1A new Colorado biodiesel plant will be supplied with used cooking oil as its feedstock. Bio Plant Technologies LLC (operating as ClearEcos) and GHP Biodiesel USA Inc. are joining forces to set up an 11.5 million gallon refinery in conjunction with ClearEcos’ Boulder, Colorado used cooking oil (UCO) collection business.

Kurt Lange, CEO of Bio Plant Technologies states: “Together with our restaurant partners, we will create a cleaner environment and cleaner communities in Colorado. The usage of local restaurants’ grease to create biodiesel for our municipal fleets ensures that the economic and environmental benefits of our business stay in the region. As our business grows, we will continue to create jobs for Colorado.”

Gregory Gettinger, CEO of GHP Biodiesel USA states: ”We are happy to announce this strategic merger between the UCO collection and the biodiesel production. The synergies in production and logistics are striking. Moving up the value chain from used oil collection to an integrated energy provider is a logical strategic step in this industry.”

Bio Plant Technologies touts itself as the only closed loop UCO-biodiesel-return to local communities system in Colorado.

Biodiesel

Wind Changes Course in Texas

Joanna Schroeder

Wind components for export in Corpus ChristiPort Corpus Christi is a leader in import facilities for major manufacturers including wind energy component cargo from global markets. But the wind is changing course. New wind energy market trends have created a reverse trade this year, and on May 18, 2013, wind components destined for export markets were loaded at Port Corpus Cristi for the first time.

Vessel carrier NYK-Hinode’s m/v Kuwana loaded 36 Mitsubishi wind blades destined for Japan at Port Corpus Christi’s cargo dock 9. The operation marks a first-time export opportunity for wind cargo components via the Port. The blades were staged at Mitsubishi’s laydown yard located in Santa Teresa, New Mexico and manufactured in Ciudad Juárez, Mexico. In April, the blades were trucked from New Mexico to a Port Corpus Christi open storage area to await the export operation.

“The Port anticipates additional wind cargo export opportunities within the upcoming months. We continue our commitment to better serve the logistics of wind energy markets,” said John LaRue, Executive Director, Port Corpus Christi.

Alternative energy, Electricity, Energy, Wind

Energy Exec Survey: Energy Independence by 2030

Joanna Schroeder

According to the 11th annual Energy Industry Outlook Survey conducted by the KPMG Global Energy Institute, 62 percent of energy executives believe the U.S. can attain energy independence by 2030, eliminating dependency on foreign oil. The survey polled more than 100 senior energy executives in the U.S. and found that this is a 10 percent increase from last year’s survey. Of this number, 23 percent believe the country can attain energy independence as soon as 2020.

Utility owned Wind-farmIn addition, 17 percent of respondents believe that U.S. energy independence will never happen, a drop of 10 percent.

“Increased domestic production, particularly from shale assets, is having a profound impact on the global energy sector, introducing new sources to the energy matrix,” said John Kunasek, national sector leader for energy and natural resources for KPMG LLP.

He continued, “This ‘shale gale’ is certainly contributing to the increased optimism among energy executives on the potential for U.S. energy independence and driving large investments into the development and production from these shale assets, including ‘Greenfield’ investment plays.”

The survey shows that natural gas is predicted to play an important role and 79 percent of those surveyed agree that the energy industry’s emphasis in developing environmentally friendly technologies should focus on natural gas, followed by nuclear (39 percent), solar (33 percent), and clean coal technologies (32 percent), indicating a slight shift away from the total bullishness around natural gas seen in the 2012 survey results, to a more balanced view with solar and wind technologies making gains.

Ninety-five percent of energy executives expect continued R&D investment in alternative energy projects this year while 55 percent anticipate investments will remain unchanged in 2013. However, the percentage of respondents predicting a 10 percent increase in R&D investment nearly tripled, from 11 percent in 2012 to 30 percent in 2013.Read More

Alternative energy, biofuels, Natural Gas, Nuclear Energy, Oil, Solar, Wind

Foreign Fuels Reduction Act – Good for Biofuels?

Joanna Schroeder

Joe_Manchin_official_portrait_112th_CongressA fancy title does not good biofuels policy make.

Mixed emotions are emanating from the introduction of the “Foreign Fuels Reduction Act,” introduced by U.S. Senators Joe Manchin (D-W.Va) and Bob Corker (R-Tenn). The legislation would allow only domestically-sourced fuels to be used to meet the requirements of the Renewable Fuel Standard (RFS).

“It is time for America to create an all-of-the-above energy policy that will help lead us to energy independence,” Manchin said. “It’s simply common sense to use all of our resources, and that includes non-food based biofuels. I am proud to cosponsor this bill with my good friend Senator Bob Corker to make sure that we continue to develop domestic non-food based biofuels while stopping the current system’s incentives to import food-based ethanol products from foreign countries.”

Corker-090707-18364- 0004According to Corker, the RFS is having some unintended consequences. “This bill is a common sense step toward potentially mitigating gasoline price increases the RFS may contribute to in the near future,” he said. “Because its mandated biofuels volumes are too high, the RFS is also unintentionally incentivizing ethanol imports.  Our bill helps to correct that problem by more properly aligning mandated levels with what we produce domestically.”

The potential challenge with the bill? It would require a reduction in the volume of cellulosic biofuel required under the RFS. It would also result in a pro rata reduction to the total volume of renewable fuel and advanced biofuels,a fight many anti-biofuel camps have been engaged in for years. While this would “ensure” only domestically produced biofuels are used, it would lower the total amount required until production levels ramp up significantly.Read More

advanced biofuels, Cellulosic, Ethanol, Legislation, RFA, RFS

Ethanol Production Inches Up

Joanna Schroeder

ethanol production eiaAccording to the U.S. Energy Information Administration (EIA), fuel ethanol production capacity was 13.9 billion gallons per year (903,000 barrels per day) as of January 1, 2013 with the majority of production located in the Midwest. The report shows a slight increase in the total capacity of operating ethanol plants (193) compared to the same time last year (194). Total nameplate capacity is 12.6 billion gallons per year (822,000 barrels per day) and this report included plants that were idled or temporarily shut down during 2012.

The next EIA annual report on ethanol production capacity is expected to be released during the spring of 2014. This report will include facility-level nameplate production capacity data, which EIA says will increase the transparency of the ethanol industry data.

biofuels, Ethanol, Renewable Energy

Solar Boat Breaks Speed Record

Joanna Schroeder

Switzerland’s MS Tûranor PlanetSolar, the world’s largest solar boat, has set a new speed record for a transatlantic crossing by solar electric vessel. The boat left  from Las Palmas, Spain, on April 25, 2013, and sailed 2,867miles (5,310 kilometers) across the Atlantic Ocean at the average speed of 5.3 knots before reaching Marigot, St. Martin, in the French West Indies on May 18, 2013. The first-of-its-kind catamaran completed this year’s passage across the Atlantic in 22 of days, PlanetSolar Arrives at St. Martinbesting last year’s record by 4 days. This new world record undertaken by an initiative from Switzerland is currently undergoing an authorization process at Guinness World Records.

“Once again, the boat provided a brilliant demonstration of solar energy’s potential by breaking its own speed record for a transatlantic crossing set in 2010 by completing this year’s journey in 22 days, 12 hours and 32 minutes,” said Gérard d’Aboville, Captain of the MS Tûranor PlanetSolar.

He continued, “It is difficult to compare the two crossings because they were conducted at very different times of the year. But it is certain that in light of the lessons learned during the trip around the world, the major maintenance projects carried out last winter—particularly to the propulsion system—have greatly improved the ship’s performance.”

The PlantSolar team had to carefully manage energy consumption in order to maintain an efficient speed and reach St. Martin in less than 26 days. During the transatlantic crossing, the crew encountered phases of substantial cloudiness for several consecutive days and had to adjust the route. The adjustments increased the travelling distance by 7 percent, but enabled the PlanetSolar crew to avoid winds and unfavorable swells.

The new world record is part of PlanetSolar team’s commitment to push the limits of solar technology. After having demonstrated the potential of solar energy by accomplishing the first around the world tour only powered by the sun, PlanetSolar is now touring the world to illustrate the practical applications of such a vessel. In June, the vessel will arrive in the United States, with stops in Miami, New York and Boston. When docking at the ports the ship transforms into an educational platform to share the excitement and the potential of solar power.

Alternative energy, Energy, Solar