Reform Bill: Transparent Attempt to Protect Big Oil

Joanna Schroeder

fuels-americaYesterday Rep. Jim Sensenbrenner introduced legislation that would stall the roll-out of E15. Many in the renewable fuels industry responded to the proposed legislation including Fuels America who noted that the legislation ignores the long track record of successful, rigorous testing that E15 has undergone. “What the bill is clearly geared toward, however, is promoting the interest of oil compaines looking to retain control over America’s fuel option.”

“E15 is the most tested renewable fuel in history and to suggest otherwise ignores a wealth of facts. In multiple tests, E15 has been put through the paces in more than 6 million miles of testing. The results of these tests were so satisfactory that E15 is used in NASCAR vehicles – high-performance racecars that can top 200 miles an hour – have opted to use E15, continued the Fuels America statement.

“The reality is that E15 provides options to Americans and the choice to power their cars with clean and renewable fuel. Unfortunately, Rep. Sensenbrenner’s legislation would limit that choice by favoring the oil industry over hardworking American families and businesses.”

ACElogoThe American Coalition for Ethanol (ACE) who recently had a team of more than 70 ethanol supporters meeting with Congressman in DC, noted that the legislation would require another 18 months of E15 testing at taxpayers expense. Senior Vice President Ron Lamberty called the bill “A transparent attempt to protect Big Oil’s profitable monopoly by taking away a driver’s right to choose which fuel to use in his or her own car.”

“Congressman Sensenbrenner is basing his opposition of E15 primarily on two studies that clearly selected vehicles and components based on their history of performing poorly regardless of the type of fuel that was in them,” said Lamberty. “All Mr. Sensenbrenner is proving is that he either doesn’t know what the studies actually say or he does know, and is misrepresenting the findings. Neither should be acceptable to those who serve with him on the House Science and Technology Committee. In the event the bill passes out of committee, we would hope Congress would recognize this bill for what it actually is and not pass it.”

Lamberty continued, “Jim Sensenbrenner has a well-known history of refusing to accept science that doesn’t agree with his personal opinions. And after repeatedly saying two years of E15 testing by EPA and DoE testing was a “rush to judgment,” does anyone think he’ll accept a smaller, shorter test from the National Academy of Sciences when it says E15 is safe? No, this isn’t about science, it’s about delaying to protect BP and Exxon-Mobil.”

“Congressman Sensenbrenner loves to talk about “individual choice and free-market competition” when he talks about health care, and “defending the freedom and individual responsibilities” of motorcycle riders to not wear helmets, but he doesn’t trust people to make their own choice at the gas pump? Ridiculous,” added Lamberty.

ACE, biofuels, Ethanol, Legislation

Bioenergy Bytes

Joanna Schroeder

  • BioEnergyBytesDFAdvanced Biofuels USA and the U.S. Department of Energy’s BioEnergy Technology Office are co-hosting Biomass 2013: How the Advanced BioIndustry is Reshaping American Energy. This year’s conference will be held July 31-August 1, 2013, at the Washington, D.C. Convention Center, in downtown Washington.
  • According to EIA data, ethanol production averaged 854,000 barrels per day (b/d) — or 35.87 million gallons daily. That is up 47,000 b/d from the week before and the highest rate since the week ending 6/29/2012. It is the largest week-to-week increase since October 2011. The four-week average for ethanol production stood at 819,000 b/d for an annualized rate of 12.56 billion gallons. Stocks of ethanol stood at 17.8 million barrels. That is a 1.8% increase from last week. Imports of ethanol showed zero b/d, down from last week. Gasoline demand for the week averaged 356.0 million gallons daily. Expressed as a percentage of daily gasoline demand, daily ethanol production was 10.07% — the highest since the first week of 2013.
  • Badger State Ethanol has become the newest member of the Renewable Fuels Association (RFA).
  • Gevo, Inc. has announced that the United States District Court for the District of Delaware entered a final judgment in favor of Gevo and against Butamax Advanced Biofuels, LLC (Butamax), a 50/50 joint venture between DuPont and BP, ending the trial court proceedings on Butamax’s Patent Nos. 7,851,188 (‘188 Patent) and 7,993,889 (‘889 Patent).
  • The Environmental Defense Fund (EDF) is calling for support of the “Race to the Top” for energy efficiency and grid modernization, which is included as part of the proposed Department of Energy budget. The energy race would create a competitive grant program for states and communities that adopt innovations in energy efficiency, clean energy deployment and smart grid technologies. The initiative would support the President’s goal of doubling energy productivity from 2010 levels by 2030.
Bioenergy Bytes

How to Recover from Algal Pond Crashes

Joanna Schroeder

Sandia National Laboratory has developed several complementary technologies to help the algae industry in detecting and recovering from pond crashes, and is Algal Pond Photomaking use of the AzCATI test-bed facility to collect data and apply its technologies. The research focuses on monitoring and diagnosing algal pond health and draws upon Sandia’s longstanding expertise in microfluidics technology, its strong bioscience research program and significant internal investments.

According to researchers, because of the way algae is grown and produced in most algal ponds, they are prone to attack by fungi, rotifers, viruses or other predators. Consequently, algal pond collapse is a critical issue that companies must solve to produce algal biofuels cost-effectively. The issue was identified as a key component in the Department of Energy’s National Algal Biofuels Technology Roadmap.

To address the problem, Sandia is addressing the algal pond crash issue in three complementary ways:

  • Developing a real-time monitoring tool for algal ponds that can detect indications of a problem days in advance of a crash;
  • Successfully applying pathogen detection and characterization technologies honed through the lab’s Rapid Threat Organism Recognition (RapTOR) work; and
  • Employing its innovative SpinDx diagnostic device to dig deeper into problems after they’ve occurred and help to identify specific biological agents responsible for crashes.

Sandia’s Tom Reichardt, a researcher who works in the lab’s remote sensing unit, led development of an online algal reflectance monitor through an internally funded project. The instruments are typically set up alongside the algal pond, continuously monitoring, analyzing the algae’s concentration levels, examining its photosynthesis and performing other diagnostics.

“In real-time, it will tell you if things are going well with the growth of your algae or whether it’s beginning to show signs of trouble,” said Reichardt.  However, he cautioned, while this real-time monitoring will warn pond operators when the ponds have been attacked, it may not be able to identify the attacker. He notes that quick identification of organisms in ponds is the key to mitigation.

Now that the core principles of pathogen detection and characterization technologies for pond crash forensics have been successfully proven, the next step for the team will be to conduct more robust demonstrations. The research team will be continuing their work as part of the Algae Testbed Public-Private Partnership (ATP3) led by Arizona State University (ASU), the first national algae testbed. The Sandia team will apply the technologies, collect more data and seek additional collaborations.

advanced biofuels, algae, Research

EU Looks to Tax Argentine, Indonesian Biodiesel

John Davis

eu-flag.gifThe European Union is targeting foreign biodiesel … again. Reuters reports this time the EU is looking to hit imports of biodiesel from Argentina and Indonesia with a duty to keep the green fuel out:

Those countries represent 90 percent of EU biodiesel imports and face retroactive duties from Thursday if an investigation finds the countries have benefited from illegal subsidies.

In an official publication, the European Commission said it had enough evidence that producer subsidies were “causing material injury to the (European) Union industry, which is difficult to repair”.

The European Union is already registering biodiesel from some companies in the two countries as part of a separate case on alleged price dumping – deliberately selling products for less abroad than at home, or for less than they cost to make.

For Argentina, the world’s No. 1 biodiesel exporter, EU regulators said taxes placed on exports of raw materials like soy bean oil used to make biodiesel, but not on the finished product, made it uneconomical to buy the fuel from European Union refiners.

A similar raw material export tax exists in Indonesia, which the Commission said undercuts European refiners.

Both Argentina and Indonesia say they are in line World Trade Organization rules.

U.S. renewable fuel producers have already had their own issues with the EU. Soybean-based biodiesel from the U.S. is banned in Europe, and anti-dumping measures were put on ethanol earlier this year.

Biodiesel, International

See You at Advanced Biofuels Leadership Conference!

John Davis

ABLC2013-1We’ll see you next week at the Advanced Biofuels Leadership Conference (ABLC) in Washington, DC!

Our friends from Biofuels Digest are promising this will be a great forum running April 15-17 at the Gaylord National Resort & Convention Center with real dialogue on the real issues facing the biofuels industry. Just look at some of the folks who will be attending!

Thomas Vilsack, Secretary of Agriculture, USDA
Brooke Coleman, Executive Director, Advanced Ethanol Council
Brent Erickson, Executive VP, BIO
Joe Jobe – CEO, National Biodiesel Board
Mike McAdams, President, Advanced Biofuels Association
Mary Rosenthal, Executive Director, Algae Biomass Organization
Harry Baumes, Director, Energy Policy, USDA
Mindi Farber-DeAnda, Head, Biofuels & Emerging Technologies, Energy Information Agency
Gerald Ostheimer, FAS Science Advisor, USDA – US technical lead, Global Bioenergy Partnership (GBEP)
Congressman Joe Garcia (D-FL)
Valerie Sarisky-Reed, Acting Director, DOE Biomass Program

Plus, many, many more from industry, financing and the military.

I’ll be there Monday to catch all the action and post it right here on Domestic Fuel. See you in DC!

advanced biofuels, biofuels, conferences

Advanced Biofuels USA to Host “Freedom”

Joanna Schroeder

Advanced Biofuels USA is teaming up with HEAT, an environmental advocacy team based at Hood College in Frederick, Maryland, to present a showing of the documentary “FREEDOM“. Following the screening, there will be a panel discussion featuring local leading advanced biofuel researchers and supporters. The event takes place on Earth Day, Monday, April 22, 2013 at Hodson Auditorium in Rosenstock Hall. The event is FREE to the public.

The two groups plan to bring to light the finiteness of the fossil fuel industry, the grip it has on our country’s economy, and the negative impacts on our environment. They will also inform attendees about the growing biofuel industry and how it can help to remedy America’s dependence on fossil fuels.

The documentary FREEDOM, created by Josh and Rebecca Tickell, the makers of the Sundance Film Festival Award Winning “FUEL,” takes place in the aftermath of the 2010 Deepwater Horizon oil spill. The documentary includes insightful and inspirational interviews from former Speaker of the House Newt Gingrich, former NATO Commander Wesley Clark, Amy Smart, and more.

FREEDOM invites people, “Not to just get mad, but get motivated and calls for ‘a revolution in how we live.’ The documentary states a need for, “a shift in the types of houses and cities we live in. We must rethink the way we work and the way we treat each other and the planet. And most importantly, we must transform ourselves.” The New York Times stated that their previous movie, ‘FUEL’ “would make, “Al Gore weep all over his PowerPoint.”.

Following the showing of the documentary, the two organizations plan to hold a group panel discussion featuring local leaders in the research, use, and education of advanced biofuels. The panel will tentatively include: moderator Joanne Ivancic, the president and executive director of Advanced Biofuels USA; Robert E. Kozak, treasurer of Advanced Biofuels USA and president of Atlantic Biomass Conversions will talk about policy roadblocks currently confronting the industry; Dr. Craig Laufer, Hood College biology professor and secretary of Advanced Biofuels USA will talk about the science of advanced biofuels research.

advanced biofuels, Education, Environment

Lee Enterprises and ICM Forge Alliance

Joanna Schroeder

Lee Enterprises Consultants logoLee Enterprises Consulting has formed of a strategic alliance with ICM, Inc. Recently, ICM developed a proprietary patent-pending Generation 1.5 Integrated Fiber to Cellulosic Ethanol Technology for the production of cellulosic ethanol.

ICM’s Director of Sales and Product Management, Brock Beach, will serve as ICM’s liaison to the consulting group. “As ICM continues to expand our presence into other alternative fuels, we are delighted to work with Lee Enterprises Consulting,” said Beach. He notes the new alliance allows the immediate pursuit of discussions with respect to projects combining various types of alternative and renewable fuels.

“We continually seicm_logoek alliances with the top companies to further our ability to fully serve every alternative and renewable fuels industry client,” said Wayne Lee, principle owner of Lee Enterprises Consulting.  “As a leading biofuels and technology provider, ICM has been involved with the global development of 102 ethanol facilities, representing 6.6 billion gallons of annual ethanol production.”

Lee notes that ICM has focused its innovation efforts on cellulosic ethanol and gasification technologies, and adds “In addition to having the best ethanol, cellulosic ethanol and gasification partner available, I think our collaboration will also open the door to many combination projects, so I am very excited to work with ICM.”

Miscellaneous

AFPM Compares E15 to MTBE

Joanna Schroeder

The American Fuel and Petroleum Manufacturers Association (AFPM) had compared the recent New Hamsphire Methyl tert-butyl ether (MTBE) lawsuit loss by the oil industry to E15. MTBE  has been found to contaminate ground water and as a result nearly half the states in the U.S. have banned its use. E15, the most test fuel in the history of the country has never been shown to contaminate ground water and is a more environmental friendly option.

RFA-logo-13Bob Dinneen, CEO and president of the Renewable Fuels Association (RFA), called the statement “reckless” and “revisionist”. “AFPM and the oil companies are living in a fantasy parallel universe if they think they can revise history to tarnish E15 and the RFS.  MTBE did not go through the same 211F waiver process that E15 did.  MTBE did not undergo six million miles of testing like E15 did.  The oil companies pushed 15 percent MTBE approval under a much less rigorous waiver process that did not require the robust emissions and drivability testing that E15 has successfully completed.”

“Oil companies also did not conduct extensive 211(b) health effects testing prior to the registration of MTBE for commercial use,” continued Dinneen.  “Oil companies chose MTBE over biodegradable ethanol because it was a product they produced and it increased their profits.  In fact, they used MTBE to keep ethanol out of the market because the two fuels could not be used together. Unfortunately, MTBE was not compatible with the fuel distribution system. It leaked from tanks and quickly migrated to drinking water supplies.  MTBE is toxic.  Oil companies losing the court case in New Hampshire screams a dire warning that oil companies should not be trusted with our energy future.  Oil companies have a disturbing track record of putting their monopoly ahead of innovation and progress, and their profits ahead of consumer pocketbooks.”

Growth_Energy_logo-1Tom Buis, CEO of Growth Energy called the statement “absurd” and noted that in terms of the New Hampshire lawsuit, AFPM, refiners and oil companies refused to use cleaner-burning, biodegradable ethanol, and instead chose to use an oil-derived alternative that ended up contaminating water systems throughout the U.S., and is also suspected of having carcinogenic properties.

“This is just another example of the length the refiners will go to avoid using renewable fuels,” said Buis. “They chose MTBE over ethanol until it polluted water systems because of leaks – and switched to ethanol after states and local communities started banning its use. The only consistency among the oil companies and its affiliates like AFPM is that they will say and do anything to block market access for biofuels to protect their near monopoly on the liquid fuel system, as well as their bottom line – even if it is at the expense of their customers.”

“In a wild stretch of the imagination that ignores reality and facts, AFPM are trying to say the most tested fuel ever in American history, which is cleaner and biodegradable, will have the same negative effects as a toxic additive produced by AFPM. Give me a break. Big Oil – why don’t you tell the American people just what is in the oil spilling in communities across America, such as the Yellowstone river, the Mississippi river, Kalamazoo, Mayflower Arkansas and all over the Gulf of Mexico? I can tell you one thing – it isn’t environmentally safe, biodegradable ethanol,” concluded Buis.

E15, Environment, Ethanol, Growth Energy, RFA

EIA Previews New State Energy Portal

Joanna Schroeder

2013_05_smallThe U.S. Energy Information Administration (EIA) has launched the most comprehensive, dynamic, and interactive view of the U.S. government’s national and state energy data and information currently available to the public. The state energy portal adds a unique visual dimension to each state’s energy resources and infrastructure.

The agency designed the new portal with a range of users in mind, including policy makers, energy analysts, and the general public, who want to locate and compare state energy data and rankings and customize their own maps and charts, using an assortment of interactive tools.

“The EIA state energy portal raises the bar for visually segmenting state-level energy data. It provides a wealth of energy information to a wide variety of users, including state officials wanting detailed information on the mix of energy resources in their state, analysts assessing a state’s energy sustainability, or government officials seeking the most comprehensive energy information to help develop energy policy,” said EIA Administrator Adam Sieminski.

The portal takes EIA’s vast portfolio of state energy data and analyses and organizes it geographically. Its comprehensive 30-layer mapping feature provides a dynamic visual representation of energy infrastructure and energy resources at the national, state, Congressional district, or county level. Map layers for Federal lands and Electric Reliability regions are also included.

The new portal is EIA’s response to requests from policy makers and energy experts for quick access to multi-level state energy data presented in an easy-to-understand way. EIA collaborated with state energy officials and other stakeholders on the portal’s design and solicited feedback from the public during the beta phase of the project.

Miscellaneous

Genscape Launches 1M QAP-B-Assured RINs

Joanna Schroeder

Through Genscape’s Quality Assurance Plan (QAP), there are now 1,058,000 QAP-B Renewable Identification Numbers (RINa) available for identification to obligated parties using Genscape’s RIN Integrity Network, a visual platform where obligated parties identify producers offering QAP RINs. Genscape’s validation process utilizes the its monitoring technology to offer a cost-effective and truly independent solution to ensure producers are meeting the EPA’s RFS2 regulations.

Genscape Logo Genscape B-RINs are validated using the same  technology and monitoring processes as their A-RINs. “The Genscape B-RIN should be even more valuable than any other QAP provider B-RINs because of the rigor and transparency of Genscape’s processes,” said David Dunn, a broker with Progressive Fuels Limited (PFL). “Their model allows for sign-off on all B-RINs from any producer whereas other providers might not get a blanket acceptance because of their plant-by-plant auditing process.”

Through QAP pre-registration on the EPA website, Genscape is able to provide A-RIN and B-RIN assurance in the interim period between January 1, 2013 and the final QAP rulemaking.

“The interim period enables obligated parties to take advantage of the benefits of affirmative defense and the A-RIN backing before the rule is final. We are aggressively responding to market demand for QAP’d RINs in the interim period,” added Olson.

biofuels, RINS