A Look at 2012 on DomesticFuel

Joanna Schroeder December 31, 2012

2012 was a challenging year for the renewable fuels industry. The biodiesel tax credit expired, the Renewable Fuels Standard was attacked, E15 continues to be attacked and there is yet to be a Farm Bill passed. With the fiscal cliff looming, many tax credits and incentives for wind, solar and advanced renewable fuels are set to expire. This uncertainty caused the wind energy industry to lay off thousands of workers, and several companies striving to produce advanced biofuels altered their business plans to begin producing biochemicals and biomaterials instead.

But on the positive side, the Domestic Fuel industry won the battle to keep the RFS in tact, E15 is now being sold in several states, the National Defense Authorization Act of 2013 was passed ensuring the military can continue to use and develop biofuels and American Ethanol NASCAR driver Austin Dillion won Rookie of the Year. In addition, more energy was produced using renewable energy such as wind, solar and geothermal than ever before and President Obama was elected for a second term. All of these stories, plus more, were some of the Top Stories of 2012 on DomesticFuel.

We now have more than 2,100 followers on Twitter (@DomesticFuel). There were over 1200 posts on Domestic Fuel this year, with nearly 175 with audio interviews, podcasts and recorded press conferences. We covered the Iowa Renewable Fuels Summit, National Biodiesel Conference, National Ethanol Conference, Automotive Service & Repair Week, Iowa Ethanol Day, Trade Talk, Farm Progress, the 25th Annual Ethanol Conference, RFA Sponsorship of the Sturgis Motorcycle Rally and more.

As we enter a new Domestic Fuel era, we wish all of our readers, sponsors and friends a healthy, happy, prosperous and blessed new year!

Alternative energy, Miscellaneous, Renewable Energy

Best Books of 2012

Joanna Schroeder December 31, 2012

If your New Year’s resolution to is get a bit smarter about alternative energy and the environment, then start your education with the Best Books of 2012.

Here are the top five best books I read in 2012.

5. “The Powers That Be,” by Scott L. Montgomery

4. “Eaarth,” by Bill McKibben

3. “Sustainable Transport Fuels,” by David Thorpe

2. “Rooftop Revolution,” by Danny Kennedy

1. “Rebuild the Dream,” by Van Jones

Enjoy your reading!

book reviews

Book Review – Build the New City!

Joanna Schroeder December 31, 2012

Here is an idea to take into the new year – build a new city – or a utopia for the future. Author Todd Durant proposes the U.S. “Build The New City!” to solve three major problems: create millions of jobs, preparation for population growth and rising sea levels and national pride.

Some of our readers may be familiar with South Korea’s Songdo IBD, a $35 billion “smart” city and the largest real-estate development in history. Another similar idea is Tatu City in Kenya. One of the keys to both of these cities is that they are being built with climate change in mind. Durant proposes that the U.S. build a similar city from scratch that incorporates urban living, energy efficiency, renewable energy, public transportation and green spaces.

The New City would be built using the concept of the DurantHybrid for urban transportation and neighborhood planning. The New City will be built upon five principles: 1) federal and state governments absolutely must not be involved in any aspect of the funding; 2) funding of the New City must come entirely from private enterprise and investment; 3) the military should not be involved; 4) issue millions in municipal bonds that will serve to raise money for the building of the city; and 5) the workers who build the New City must be paid well.

Durant acknowledges that he is not a city planner, and the book is big on ideas and light on an actual plan. The idea has merits – the U.S. does need to rethink how it is renovating urban living for the future that may be affected by climate change and diminishing fossil fuels. However, realistically, I can’t foresee a future with a new city but I can see some of Durant’s concepts incorporated into the rebuilding of current cities. Have your own ideas? Share them at www.buildthenewcity.com.

Win a copy of this book. Email me with the name of the book in the subject line and your contact info in the body of the email. The winner will be announced in the January 9th issue of the DomesticFuel newsletter.

book reviews, Clean Energy, Climate Change, energy efficiency

E15 Could Save Iowa Drivers $69M

Joanna Schroeder December 28, 2012

Based on gasoline sales data released today by the Iowa Department of Revenue, the Iowa Renewable Fuels Association (IRFA) said that Iowa motorists could have saved $69 million in 2012 if E15 would have been widely available in Iowa. E15, a blend of 15 percent ethanol and 85 percent gasoline, is approved for use for vehicles manufactured after 2001 or newer.

“$69 million buys a lot of Christmas presents,” said IRFA Executive Director Monte Shaw. “With E15, Iowans can spend less while boosting the Iowa economy. That’s a pretty good deal. IRFA is working with retailers across the state to make E15 access a reality. Until E15 is widely available, Iowans will continue paying more at the pump than they should.”

The potential savings with E15 were calculated using 1,630 million gallons of Iowa gasoline use (extrapolated from Iowa Department of Revenue figures). Roughly 85 percent of the fuel sold goes into vehicles that can legally use E15. Where E15 has been sold, it has averaged 5 cents per gallon lower than E10.

E15, Ethanol, Iowa RFA

Ag Secretary Reacts to EPA Administrator Resignation

Cindy Zimmerman December 27, 2012

Agriculture Secretary Tom Vilsack has had a good working relationship with EPA Administrator Lisa Jackson on various issues important to farmers, ranchers and renewable energy and he is sorry to hear about her resignation from the Obama cabinet.

“Lisa Jackson has served our country well as she balanced improving the environment and the health of the American people – while ensuring our country’s economic competitiveness – because they are intrinsically linked,” said Vilsack in a statement today. “Throughout her tenure, she listened to stakeholders, including farmers and ranchers, and took their concerns into account while considering policies that impacted rural America. She was a friend to me and to those who live and work in rural America and her leadership will be missed.”

Vilsack and Jackson met with representatives of the ethanol industry and toured Renewable Energy Group (REG) biodiesel plant in Newton, Iowa last year. Jackson was instrumental in deciding in favor of a waiver allowing the use of 15% ethanol and against a waiver of the Renewable Fuel Standard requested this year.

advanced biofuels, Biodiesel, Ethanol, Ethanol News, Government

EPA Administrator Lisa Jackson Steps Down

Joanna Schroeder December 27, 2012

After nearly four years as the Administrator for the Environmental Protection Agency (EPA), Lisa Jackson has announced in a statement that she would be stepping down as President Obama begins his second term. While reports say she gave no specific reason for leaving her position, she said in a statement, “I will leave the EPA confident the ship is sailing in the right direction, and ready in my own life for new challenges, time with my family and new opportunities to make a difference.”

Under Jackson’s tutelage, the EPA approved the use of E15 in vehicles and light duty trucks manufactured after 2001. She also announced in 2009, during COP15, that carbon dioxide is a greenhouse gas pollutant, and as such, could be monitored. At the time, both of these decisions caused heated debate that still continues.

In a separate statement, Obama said Jackson has been “an important part of my team.” He thanked her for serving and praised her “unwavering commitment” to the public’s health.

In reaction to her departure, Tom Buis CEO of Growth Energy said, “Administrator Jackson has been a dedicated advocate for the renewable fuels industry and her work to reduce our nation’s addiction to foreign oil, while providing cleaner air and a better environment, should be commended. As Administrator of the Environmental Protection Agency, she should be applauded for all she has done to advance biofuels and a cleaner, better environment. Growth Energy wishes her well and thanks her for her tireless work during her time at the EPA.”

Bob Dinneen, President and CEO of the Renewable Fuels Association (RFA), added, “Administrator Jackson put into action the Obama Administration’s commitment to ethanol and other biofuels. During her tenure, she cleared the way for E15 giving consumers more choice and savings at the gas pump and she protected the progress that has been made in reducing our dependence of foreign oil by recognizing the importance and inherent flexibility of the RFS. The ethanol industry thanks her for her service and looks forward to working with her successor to continue the growth of America’s domestic renewable fuels industry.”

While Jackson has not announced her next move, there is speculation that she may run for Governor of New Jersey. There has been no announcement of who will take her place.

Carbon, Clean Energy, Environment, Growth Energy, RFA

Thorntons Wins Paul Dana Excellence in Bioenergy

Joanna Schroeder December 27, 2012

The Indiana State Department of Agriculture honored Thorntons Inc. as the recipient of the Paul Dana Excellence in Bioenergy Leadership Award. The honor was given during the Greater Indiana Clean Cities Coalition Holiday Reception by Indiana’s Ag Director Joseph Kelsay.

The Paul Dana Award was established by Governor Mitch Daniels and Lt. Governor Becky Skillman in 2006 after Indy Racing League driver Paul Dana was killed in racing accident. A strong supporter of biofuels, the award recognizes those who have shown exemplified leadership and innovative vision in the bioenergy industry.

“I congratulate the Thornton family for its entrepreneurial spirit, growing the fueling business from a single station in New Albany, Ind. in 1952 to be among Forbes Magazine’s 500 largest privately held companies today,” said Lt. Governor Skillman, who serves as Secretary of Agriculture. “We thank you for your support of Indiana and including mid-level ethanol blends and E85 at your stations.”

Thorntons began retailing gasoline in 1952 with a single location in New Albany, Indiana, but the first “Thorntons” opened in Clarksville, Indiana in 1971.

The 2012 Greater Indiana Clean Cities Award Recipients:

Ethanol Blends Award – Thorntons Inc.
Propane/Autogas Award – Indiana Department of Transportation (INDOT)
Compressed Natural Gas Award – Palmer Trucks
Support of Multiple Alternative Fuels and Technologies (Silver BB’s Award) – Ivy Tech Lafayette Automotive Department, Alternative Fuels Technical Training
BioDiesel Blends – North Central Co-op

Alternative energy, Biodiesel, biofuels, Compressed Natural Gas (CNG), Ethanol, Propane

Amyris Begins Biofene Production in Brazil

Joanna Schroeder December 27, 2012

Amyris has announced that it has completed a $42.25 million private placement of its common stock. The company has also begun production of its industrial fermentation facility in Brazil and is producing Biofene, its brand of renewable farnesene, a fragrant oil chemical. When adding a hydrogen molecule to farnesene, you get farnesane, which is the foundation molecule for renewable diesel.

“We are encouraged by the continued, strong commitment from our major investors, particularly as we start up our new industrial fermentation facility for the production of our renewable hydrocarbons in Brazil,” said John Melo, Amyris President & CEO. “Our own farnesene plant at Paraiso has been successfully commissioned, with initial farnesene production underway. We anticipate sales from this facility during the first quarter of 2013.”

The Company sold 14,177,849 shares of common stock in a private placement to existing Amyris investors. The transaction included $37.25 million in cash proceeds and the conversion by Total Gas & Power USA, SAS of $5 million from an outstanding senior unsecured convertible promissory note.

biochemicals, Brazil, Company Announcement

Most Choose Artificial Trees

Melissa Sandfort December 26, 2012

Our latest ZimmPoll asked the question, ”What kind of Christmas tree do you have?”

Our poll results: Fifty-one percent said artificial tree; thirty-three percent said real tree; eleven percent said none and four percent said other. It looks as though the majority of you have allergies to real trees like my family!

Our new ZimmPoll is now live and asks the question, “How would you rate 2012? 1 = Poor, 5 = Excellent” There were a lot of big news items this year: the Olympics; Presidential election; Hurricane Sandy; the death of Whitney Houston; the new iPad and iPhone. But how did the headlines affect your year? Did it make it a stellar year or just a ho-hum kind of year? Let us know, and Happy New Year!

ZimmPoll is sponsored by Rhea+Kaiser, a full-service advertising/public relations agency.

ZimmPoll

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