Posted October 1, 2010, at 11:25 a.m. CST Mendel Biotechnology and Ohio-based coal mining company Oxford Resource Partners will team up for a pilot project that will experiment with growing Mendel's proprietary miscanthus varieties on Oxford's reclaimed mining lands. A small trial has been planted this year in eastern Ohio to establish a baseline performance for miscanthus and to provide a crop stand to conduct studies into the potential of the perennial grass on the nutrient-poor lands, according to Rasto Ivanic, senior director of business development for Mendel. Reclaimed lands offer opportunities for energy crops on several levels, Ivanic said. First, the land is less productive in traditional food agriculture, making a low-input crop like miscanthus an attractive option. The lands are also surrounded by a working transportation infrastructure, allowing efficient production and delivery to power plants. Finally, perennial crops such as miscanthus establish extensive root structures in the soil, which stabilize the reclaimed land and help to reduce erosion, he said. The root structures also enrich the soil with carbon, contributing to a favorable carbon profile of biomass production in general, but particularly in reclaimed lands. The crops in the trial will be used for testing by Mendel and its partners, but if the project succeeds in developing a robust biomass production system, they could be used in renewable energy production, Ivanic said. The multiyear project and its scale up will be determined by the needs and objectives of the project and partners. Ohio is a great location for the pilot because of its temperate climate and abundant rainfall. "Moreover, Ohio also has a strong agricultural tradition and is home to some of the leading energy companies active in renewable energy, both of which will be important in developing a sustainable biomass industry," Ivanic said. Partnerships like this help end-users and crop developers gain experience with miscanthus in a bioenergy industry that's still in its early stages with many unknowns, he said. "We see this Mendel-Oxford trial as an opportunity to connect traditional energy with renewable energy in a way that creates new opportunities rather than being a 'zero-sum-game.' We believe the production of energy crops on reclaimed mining land would be a win-win-win opportunity for existing energy infrastructure, the Ohio agricultural community and the environment."

A small miscanthus trial has been planted this year in eastern Ohio to establish a baseline performance for the energy crop and to provide a crop stand to conduct studies into the potential of the perennial grass on the nutrient-poor lands

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Mendel Biotechnology and Ohio-based coal mining company Oxford Resource Partners will team up for a pilot project that will experiment with growing Mendel's proprietary miscanthus varieties on Oxford's reclaimed mining lands. 


Mendel plants miscanthus on reclaimed mining lands

Posted October 5, 2010, at 4:19 p.m. CST The Northeast Biomass Thermal Working Group (NEBTWG) on Oct. 5 called on legislators and state officials in the Northeastern U.S. to begin work on meeting 25 percent of the region's heating needs with renewable energy. The group's plan, Heating the Northeast with Renewable Biomass: A Bold Vision for 2025, details the path toward a 25 percent replacement of the Northeast's fossil fuel use in heating with renewable sources of energy. The plan was developed by the Biomass Thermal Energy Council, the New York Biomass Energy Alliance, the Maine Pellet Fuels Association, the Alliance for Green Heat and the Pellet Fuels Institute. As a result of the vision, the NEBTWG was formed to advance the use of biomass for thermal energy in the six New England states and New York. "The Northeastern U.S. relies heavily on fuel oil and other fossil fuels to meet heating demand in the region," said Charles Niebling, general manager of New England Wood Pellet and a member of the NEBTWG steering committee. "This vision presents a common-sense path forward-a path that keeps dollars and jobs in our communities by promoting the switch to renewable, highly efficient sources of thermal energy. For example, Northeastern states consume 5.5 billion gallons of heating oil each year, sending almost $10 billion in economic wealth overseas to foreign nations. Imagine the value to our economy if we could keep a portion of that wealth at home." In an effort to raise awareness of the opportunity for renewable heating in the Northeast, NEBTWG distributed the vision with members of Congress, governors, and officials from state energy, forestry and economic development agencies. More information on NEBTWG and the vision can be found at www.nebioheat.org. Information on the third annual Heating the Northeast With Renewable Biomass conference, being held April 13-14 in Manchester, N.H., can be found at www.heatne.com. "We have an ambitious goal, but with careful attention to forest sustainability and development of the potential of dedicated energy crops, such a transition to heating with renewable biomass can be done," said Dan Conable, executive director of the New York Biomass Energy Alliance and a member of the NEBTWG steering committee. "Scandinavia and western Europe give us clear, cost-effective examples of the kind of dramatic transformations that are possible, moving away from fossil fuel heating to biomass heating in the residential, commercial, and industrial sectors." SOURCE: NEBTWG

The Northeast Biomass Thermal Working Group (NEBTWG) on Oct. 5 called on legislators and state officials in the Northeastern U.S. to begin work on meeting 25 percent of the region's heating needs with renewable energy.

NEBTWG: More heat from renewables in NE

The Northeast Biomass Conference & Expo held Aug. 4-6 in Boston was everything we had hoped it would be. What we didn't expect was the diversity of the attendees. According to Jim Sampson, BBI International's registration manager, eight different countries and 38 states plus the District of Columbia were represented&#8213;not bad for a regional event.
 
 I suspect that it was the subject matter and the first plenary session regarding the carbon neutrality and sustainability of woody biomass that drove attendance. The session was well-attended but unfortunately we weren't able to open it up to comments from the audience as I had earlier thought we would. I thought the dialogue amongst the participants-Moderator Dwayne Breger, director of renewable and alternative energy development for the Massachusetts Department of Energy Resources; Dave Tenny, president and CEO of the National Alliance of Forest Owners; Tom Walker, consultant/team lead for the Manomet Center for Conservation Sciences; Bob Perschel, northeast region director of the Forest Guild; and Michael Goergen, executive vice president and CEO of the Society of American Foresters-however, made up for the lack of audience participation.
 
 It was obvious the presenters had differing views on the use of woody biomass, but instead of arguing they were respectful of one another and at the same time made their views known.
 
 What I found most interesting was the discussion about forest landowners and the fact that they are able to do a better job of perpetuating forest lands when they have more options and markets. This goes against the claims that the use of woody biomass for renewable energy will lead to clear-cutting of forests. Why would forest landowners destroy all of their income in one fell swoop? That‘s akin to the idea that farmers aren't concerned about soil erosion and quality. If they don't take care of their land, then their land won't be as productive and they won't get the yields they need to profit. 
 
 I also attended all of the panel sessions in the biomass project development and finance track, most of which basically concluded that projects without abundant, affordable biomass supplies probably will have a tough time getting financing. 
 
 I was told that protestors had applied to local law enforcement to hold a demonstration and also that some people were handing out fliers, but I personally never saw or heard any of it. I would have been surprised if there had been a huge demonstration, however, as apparently the people against the use of woody biomass for renewable energy production have already gotten what they wanted in the form of the Manomet Center study, the Massachusetts Executive Office of Energy and Environmental Affairs' request for swift policy changes to the state's renewable portfolio standard in light of the study's findings, and the public meetings held regarding the study. 
 
 I just hope the policymakers in Massachusetts don't forget about the forest landowners, loggers and biomass project developers, and the potential for economic development the industry could bring to the state when they are making their decisions.

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Event Tackles Controversial Topics

Things are looking up for the biomass industry. 
 
 After a couple months of challenging assumptions made in mischaracterized studies, we scored a huge victory in July as 114 influential environment and energy scientists from prestigious universities and environmental centers rallied around biomass. They urged key members of Congress to view biofuels as the valuable renewable energy source that they are. And they implored the U.S. EPA to reconsider its Tailoring Rules that equate biomass energy with that of fossil fuels.
 
 Most important, the scientists explained-in scientific detail that was still easy for laymen to understand-how they account for biomass' "carbon neutral" status and its lack of greenhouse gas (GHG) emissions. They even went so far as to say that biomass energy is good for the environment:
 
 "Forests are our nation's primary source of renewable materials and second-largest source of renewable energy after hydropower," they wrote. "Sustainable development of new and traditional uses of our forests helps reduce GHG emissions and has the important benefit of providing economic incentives for keeping lands forested and reducing the motivation for land conversion.
 
 "When wood removals are used to produce both renewable materials as well as bio-energy," the scientists continued, "the carbon stored in forest products continues to grow year after year, more than off-setting any processing emissions while at the same time permanently substituting for fossil fuel intensive materials displacing their emissions." 
 
 This letter could not have been timed better; in Massachusetts, misperceptions continue to spread. 
 
 Ian Bowles, Massachusetts secretary for energy and environmental affairs, recently wrote a letter instructing the state's Department of Energy Resources to draft new regulations that would impose stricter standards for biomass projects seeking to qualify for Massachusetts incentives. The proposal by Secretary Bowles, among other things, would require that biomass power projects provide significant near-term greenhouse gas dividends and includes a proposal that the state develop new carbon accounting rules for biomass power. Bowles' letter also calls for a clear definition of residues and waste woods and proposes that the greatest support be thrown behind plants that produce both heat and power.
 
 Unfortunately, the secretary's letter does little to stop the misinformation spreading about biomass; instead, it continues to spread dangerous myths about our industry. These mischaracterizations must stop if we are to not only reach our energy potential, but to stay alive in the renewable energy game. It seems that while we know that biomass power is an energy source that derives from waste debris, such as branches and waste residue from timber harvests, and that biomass power is a renewable source that is carbon neutral, we need to continue to project the truths about biomass to fix the inaccurate view some have of our industry. 
 
 This letter from top scientists across the country was an encouraging sign for the biomass industry and the 14,000 men and women in this country who are employed by our industry. These scientists' ability to articulate why biomass is beneficial to the environment will work to quell the misinformation circulating about the industry and increase knowledge about what we do and, most importantly, why biomass power is an important energy source. 
 
 We must continue the fight. Biomass power associations and facility leaders must stress to media contacts and elected officials the many positive facts about biomass power to solidify our role in renewable energy. I, for one, fully believe we are capable of righting the myths and showing America that biomass power is both renewable and necessary in our country's energy conversations. 
 
 
 Bob Cleaves is president and CEO of the Biomass Power Association. To learn more about biomass power, please visit <a href="http://www.USABiomass.org">www.USABiomass.org</a>.

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Biomass Power: A Power to be Defended

Biomass '10: Renewable Power, Fuels, and Chemicals Workshop was held in Grand Forks, N.D., on July 20 and 21. This was the eighth such event hosted by the Energy & Environmental Research Center with sponsorship support from the EERC Centers for Renewable Energy and Biomass Utilization, the North Dakota Department of Commerce Division of Community Services and the U.S. DOE. The goal of the workshop has always been to provide a forum to discuss breakthrough technologies regarding the conversion of biomass to liquid fuels, energy, and chemicals. More than 300 registrants, including 40 speakers, from 26 states, seven countries and more than 160 organizations, engaged in lively discussions throughout the technical sessions and networking venues. 
 
 Gerald Groenewold, EERC director, kicked off the event and spoke of the transition between fossil energy and renewable energy and how it needs to be done right for sustainable energy security, economic growth and greenhouse gas emission control. With a strong Canadian delegation in the audience, Groenewold noted that the U.S. can never be truly energy independent because it must retain the long-standing trade relationship with Canada and other allied nations.
 
 Keynote speaker, N.D. Gov. John Hoeven, repeated the theme of transition and highlighted North Dakota's unique blend of expanding oil, gas and coal in the west and expanding bioenergy development in the east. U.S. Sen. Byron Dorgan, D-N.D., who made comments via video, spoke of legislation and seed funding intended to promote technologies that curb global climate change and improve energy security, while maintaining prudent fossil energy growth.
 
 Biomass energy could experience significant growth of 5 to 10 percent of electricity and 10 to 20 percent of transportation fuels in the next 30 years. Several speakers, such as Bill Berguson from the University of Minnesota-Duluth, showed data on the cost-effective supply of biomass feedstocks, both residues and energy crops, which lends support to the case for growth in bioenergy.
 
 Several discussions centered on the future of ethanol as well. Brian Jennings from the American Coalition of Ethanol and Chris Marshall from Argonne National Laboratory sparred over water consumption, field-to-wheels energy issues, and pipeline and blending infrastructures for ethanol versus hydrocarbon biofuels such as green gasoline components. Corn ethanol has, in a sense, blazed a trail for these upcoming biofuels by establishing public interest, financing scenarios, transportation infrastructure and plant construction. 
 
 Several presenters, such as Jennings, Randall Goodfellow from Ensyn Technologies Inc., Adam Wirt from Poet LLC, and Robert Wooley from Abengoa Bioenergy New Technologies, made the case that demonstration projects are revealing the economics for converting cellulosic biomass into liquid biofuels.
 
 Ted Aulich, senior research manager at the EERC, spoke of the reality of 50 cents to $1 a gallon green diesel from nonfood crop oil, and Tom Allnutt of Phycal LLC described a 40-acre algae plant being built now in Hawaii to produce more than 100,000 gallons per year of renewable jet fuel. In the next few years, Poet's 25 MMgy ethanol plant in Emmetsburg, Iowa; the EERC-Tesoro 1 to 3 MMgy renewable jet fuel system in North Dakota, and others will prove the economic competitiveness of biomass-derived liquid fuels. Projects are definitely not stuck in the boardroom.
 
 For biopower production, several speakers emphasized the need for brokers and proven methods for supply of densified biomass to power plants. Several vendors and researchers at the workshop displayed new approaches to chop, shred, grind, bale, pulverize, pelletize, torrefy or pyrolize herbaceous and woody biomass into denser fuels conducive to introduction into an energy system. 
 
 In stark contrast to processing typical terrestrially grown biomass, a panel discussion was devoted to algae as a feedstock for bioenergy. Dave Haberman from IF LLC argued that native algae species exist for bioenergy purposes and genetically modified algae is not worth the risk. Allnutt countered that genetically modified strains can be controlled given the proper safeguards. 
 
 In summary, Biomass '10 was a success, and the status of new technologies and commercial business was updated thoroughly. Consistently higher fossil fuel prices are making biomass a competitive resource on an energy-content basis in some cases. Large amounts of funding from both federal and private sectors have resulted in the construction of several demonstration plants.
 
 
 Chris Zygarlicke is a deputy associate director at the EERC. Reach him at <a href="mailto:czygarlicke@undeerc.org">czygarlicke@undeerc.org</a> or (701) 777-5123.

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EERC's Biomass '10 Workshop Discusses  Breakthrough Technologies

For biomass stakeholders, Labor Day means two things: the beginning of the heating season and the end of the U.S. Congress' August recess. Congress' return to Washington signals the final opportunity to pass much-needed biomass thermal incentives and programs. These bills could dramatically grow the market for biomass fuels and appliances. Despite broad energy legislation dominating headlines, an array of targeted biomass thermal initiatives is just below the surface, awaiting the right political support and timing.
 
 One such key bill is the Home Star Energy Retrofit Act (H.R. 5019), a two-tiered point-of-sale rebate program for home efficiency improvements that includes biomass heating systems. Among its provisions, Home Star would provide $1,000 toward the purchase and installation of qualifying biomass heating appliances, and a lesser amount for a wood stove swap out. The bill passed the House in May, and it is undergoing budget scoring in the Senate; deficit concerns have sent its supporters in search of budget offsets ($6 billion worth). Home Star will likely find its home in a larger "green jobs" package later in the fall before mid-term congressional elections. 
 
 Meanwhile, a more focused package of biomass thermal investment tax credits is still looking for its home in Congress. A companion set of legislation in the House (H.R. 5918) and Senate (S. 3188) would create a 30 percent tax credit for commercial and industrial biomass thermal systems. The other pair, H.R. 2080 and S. 1643, would provide up to a $6,000 tax credit for qualifying residential biomass thermal systems. Together, these bills would boost investment in clean burning, efficient biomass thermal systems for all sectors. 
 
 Large-scale biomass thermal systems, such as district heating and combined heat and power (CHP), stand to gain from passage of the American Clean Energy Leadership Act (S. 1462). Sen. Jeanne Shaheen, D-N.H., working with the Biomass Thermal Energy Council, attached an amendment to section 610 of the bill that would establish tradeable thermal Renewable Energy Credits tied to increasing efficiency rates. Biomass thermal producers would receive 1 credit for operating at less than 50 percent efficiency, 1.25 credits for 70 to 90 percent efficiency, and 1.5 credits for over 90 percent efficiency. Until late July, this bill looked like the vehicle to move major energy reform, but Senate leadership has changed course and is pursuing a scaled-down approach.
 
 The recent introduction of the bipartisan Thermal Renewable Energy and Efficiency Act (H.R. 5805) offers an alternative incentive trifecta for large biomass thermal systems. Capitalizing on the success of district heating in St. Paul, the bill's advocates have proposed increased grant funding for district energy systems, expanded tax-exempt bonding, and a thermal energy production tax credit on a Btu-to-kilowatt basis similar to renewable electricity generation. The bill, nicknamed TREEA, has a diverse supporting coalition, including the BTEC, Sierra Club, International District Energy Association, and U.S. Clean Heat and Power Association. Initial enthusiasm is strong, but with Congress' session closing quickly, TREEA must find a place in a larger energy bill or face being reintroduced in the 112th Congress.
 
 BTEC has led in tracking and analyzing these biomass priorities, matched by education and outreach to impacted businesses, consumers and everyday citizens. We have produced fact sheets, action alerts and policy newsletters that translate complex bills into communicable ideas. Yet for all the collective and credible messaging, strong biomass advocates such as the BTEC and other biomass trade associations are only as effective as their individual members. 
 
 Biomass advocacy and legislative participation may seem foreign, wasteful and cynical for an industry that has grown without the historical aid of government incentives. However, if our industry wants to help the nation realize job growth, reduced oil dependence and lower energy costs, we must actively support legislation such as the bills mentioned above. Share your business passion and expertise with a mission-driven trade association or nonprofit. Discuss biomass with your legislator's energy staff member. Respond intelligently to proposed regulations and industry reports. And, above all, recognize that if we fail to act, all the work that brought biomass issues to the national forefront will fade. Biomass regrows naturally, but biomass thermal legislation needs sustained, vocal support. 
 
 
 Joseph Seymour is a Program Associate at the Biomass Thermal Energy Council. Reach him at <a href="mailto:joseph.seymour@biomassthermal.org">joseph.seymour@biomassthermal.org</a>.

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Playtime is Over: Why September Means Biomass  Advocacy or the Consequences of Inaction

Leslie Equipment joins Bandit sales force
 To assist with the recent influx of chipper sales and wood waste recycling business in the logging sector, Bandit Industries has signed on a new dealer, Leslie Equipment Co., in the Southern U.S. With 10 locations throughout West Virginia, southern Ohio, and eastern Kentucky, Leslie features large rental fleets and vast inventories for immediate purchase. Its complete lines of John Deere construction and forestry equipment will complement Bandit's line of whole tree chippers and Beast recyclers and provide opportunities for expansion into new markets. 
 
 Morbark introduces compact stand-alone flail
 Morbark Inc. has introduced the Morbark 5500 Stand-Alone Flail. The portable debarker/delimber removes the bark and foliage from trees when harvesting wood fiber for high-quality chips for use in the pulp and paper market. The new flail can be used alone or in tandem with a Morbark Whole Tree Chipper. Those currently supplying the fuel market with chips from a Morbark Whole Tree Chipper can now combine that unit with the 5500 Stand-Alone Flail to branch out into the clean chip market. These units work together as one in-woods system to provide the same end-product as a larger combination flail machine. A grinder can also be positioned under the discharge conveyor to produce biomass fuel simultaneously. 
 
 U.S Commerce Secretary recognizes Capstone Turbine 
 U.S. Secretary of Commerce Gary Locke recently led a signing ceremony in Beijing featuring officials from Capstone Turbine Corp., a clean-technology manufacturer of microturbine energy systems, and its new distributor, Sino Clean Energy Group. The ceremony was part of the first U.S. international trade mission to China under the Obama administration. The event recognized the distribution agreement between Capstone and Sino Clean Energy and acknowledged the companies' efforts to broaden China's use of clean-and-green microturbine technology developed in the U.S. The goal of the mission to China and Indonesia is to promote exports of technologies related to clean energy; energy efficiency; and electric energy storage, transmission and distribution. 
 
 Iogen Energy appoints former Shell executive as COO 
 Iogen Energy, a joint venture between Iogen Corp. and Royal Dutch Shell, has appointed Duncan Macleod as chief operating officer. He will replace founding president and current CEO Brian Foody, who will assume the role of chairman of Iogen Energy and continue in his role as president and CEO of Iogen Corp. Macleod will have operational responsibility for Iogen Energy, and oversee the technology development program to advance commercialization of Iogen Energy's cellulosic ethanol. He joins Iogen Energy from Shell, where he was vice president with responsibility for Shell Hydrogen. BIO
 
 Vermeer adds Woodford as new dealer
 Vermeer Corp., a manufacturer of agricultural, biomass harvesting and construction equipment has approved Woodford Equipment as a new dealer in Emmetsburg, Iowa. The new Vermeer dealership will provide equipment services including parts, service and sales support for Vermeer biomass harvesting equipment. Poet LLC is currently conducting Project Liberty nearby and Vermeer staff have been assisting area farmers as they work to provide biomass harvesting solutions. Woodford Equipment will offer sales, parts and service in the Emmetsburg area to effectively support two key products that will help area farmers to achieve Poet's Project Liberty goal to collect corncobs and bale second pass cob bales. 
 
 EPRI board elects Howard president, CEO
 The Electric Power Research Institute board has elected EPRI Senior Vice President Michael Howard as its next president and CEO, effective in September at the retirement of current President and CEO Steve Specker. Howard has more than 30 years of leadership experience in organizations ranging from entrepreneurial start-ups to large public companies and has developed a track record for locating, hiring and mentoring top-tier scientific and technical talent. In his current position, Howard oversees annual research spending in excess of $350 million and is responsible for overseeing EPRI's entire research portfolio including renewable, fossil and nuclear generation; transmission and distribution; energy efficiency; electric transportation; and the environment. 
 
 Witherspoon named to Edenspace board
 Edenspace Systems Corp. announced the election of W. David Witherspoon Jr. to the company's board of directors. He is the head of the North American renewable fuels business for Syngenta Seeds and is a member of Syngenta's Corn and Soybean Leadership Team for the U.S. Witherspoon joined Syngenta in 2004 through the acquisition of Garst Seed Co. where he served as president. He received a bachelor's degree in biology from the Citadel, a master's degree in agronomy from Clemson University and a doctorate in crop science, breeding and genetics from North Carolina State University. Kansas-based Edenspace develops improved crops for production of biofuels and bioproducts from nonfood agricultural residues and dedicated energy crops. 
 
 GE launches 2-stage turbocharged gas engine
 Responding to global demand for high-efficiency power generation, GE has developed a two-stage turbocharged gas engine and is applying its technology to its Jenbacher J624 gas engine. The new engine provides significant output and efficiency increases compared with the single turbocharged version and is well-suited for operation in hot environments and combined-heat-and-power applications. With the new system, which GE developed with specialists from ABB Turbo Systems Ltd., the J624 achieves approximately 10 percent higher output, increasing from 4 to 4.4 megawatts and offers an electrical efficiency of 46.5 percent, an increase of about 1 percentage point. 
 
 Baker-Rullman unveils mobile drying unit
 Watertown, Wis.-based Baker-Rullman Mfg. Inc., a manufacturer of corrugated steel storage bins, hoppers, steel structure and triple-pass rotary drum dryers has completed construction and testing of a mobile drying unit. The Model SD45-12 employs Baker-Rullman's triple pass technology and will be available for lease to customers interested in drying materials to analyze drying capabilities, equipment suitability and emissions data. The system is designed to accept propane, natural gas and solid fuel with complete control systems for all options. The plug-and-play system is designed to accommodate almost any application including sawdust, paper or municipal sludge, wood chips, egg shells, alfalfa, distillers grains, bakery waste, livestock renderings and citrus or vegetable byproducts.
 
 John Deere bulks up D-Series Knuckleboom Loaders
 John Deere Construction & Forestry's new Knuckleboom Loaders are bulked up for improved durability and performance. Features include the fuel-efficient John Deere 6068 Tier 2 PowerTech engine with a high-pressure common rail electronic fuel injection system for improved cycle times and new Pressure Compensated Load Sensing hydraulic pumps with a dedicated swing pump to deliver hydraulic power to all functions. Other updates to the D-Series 335D and 437D Knuckleboom Loaders include: heavy-duty swing bearing and pinion with taller gear teeth to reduce the torque load on each tooth; new improved hydraulic manifold; new standard display monitor with the addition of engine diagnostic information; auto idle; and all John Deere cylinders. 
 
 Martin Engineering acquires Cougar Industries
 Martin Engineering, a supplier of industrial vibrators, has acquired Peru, Ill.-based Cougar Industries, a manufacturer of U.S.-made industrial vibrators. Martin Engineering CEO Scott Hutter said that plans are to retain the Cougar name and continue operations in Peru as a division of Martin Engineering. The company designs and manufactures a line of electric single- and three-phase vibrators in a wide range of force outputs. The firm also manufactures piston, ball, ring and turbine pneumatic vibrators and a complete line of hydraulic powered units.

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Business Briefs

Algae biofuel technology company OriginOil Inc. reported it had received payment from its first customer, Australia-based MBD Energy Ltd., for a Quantum Fracturing System, the first unit in a multiphase commercialization program. The system breaks down nutrients such as CO2 into micro-particles that stay suspended in water longer, allowing algae to feed more efficiently, according to OriginOil.
 
 In May, the companies agreed on a multiphase commercialization program under which OriginOil will supply MBD Energy with its algae-to-oil technology platform in progressively larger installations. Pending success of the initial test phase, MBD will purchase larger systems to serve its power station projects in Australia, beginning with a pilot plant at Tarong Power Station in southeastern Queensland.

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OriginOil reports first payment

The Ontario Trillium Foundation has awarded a $565,000 grant to the Biomass Network Group at Nipissing University's Biomass Innovation Centre to help establish biomass as one of the new clean technologies in the province, and to support economic growth of northern Ontario through curriculum development and training in a range of related jobs and professions. 
 
 The Biomass Innovation Centre was formed in the spring of 2009, and focuses on realizing the positive environmental and financial impacts of using the province's existing wood supply for renewable heat and energy.

Ontario funds biomass research efforts

Pennsylvania State University has awarded a contract to Cincinnati-based AdvanceBio Systems LLC to supply a bench-scale hydrolyzer system for its shared fermentation facility at University Park, Pa. The equipment will be used for research, development and demonstration of technology related to the production of biomass-based fuels and chemicals from lignocelluosic feedstocks. 
 
 AdvanceBio is associated with AdvanceBio LLC, a firm that provides consulting services and technology to companies that are developing new projects in the biofuels industry and biochemical sector. The company will now collaborate with PSU for related research efforts.

PSU, AdvanceBio partner for biomass research

A $100 million Liberty Green Renewables LLC woody biomass power plant has suffered a serious setback, as the local planning commission rejected its development plans in the middle of July.
 
 The 32-megawatt plant was to be sited near Scottsburg, Ind., and burn logging and milling residues. The resulting energy was going to be sold to local utilities, but the Scott County Area Plan Commission voted it down by a 4-2 vote. The company is based in Georgetown, Ind., and also has a Missouri-based joint venture, LG Biomass Missouri LLC, with global company Macquarie Cook Power Inc.

Liberty Green Renewables plans rejected in Indiana

California-based BlueFire Ethanol Fuels Inc., which recently announced a name change to BlueFire Renewables Inc., has advanced to phase II of the U.S. DOE's loan guarantee program with its application for a Fulton, Miss., cellulosic ethanol plant. 
 
 BlueFire has requested $250 million, which would be combined with a previously-awarded $88 million grant and other resources for the facility's construction and launch, according to BlueFire. The company said it is actively recruiting specialists to close the transaction. The facility will produce 19 MMgy of cellulosic ethanol from woody biomass, mill residue and other cellulosic waste. 
 
 The company's name was changed to more clearly illustrate its various renewable energy capabilities.

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BlueFire in phase II of DOE loan guarantee

Texas-based EcoPower Generation LLC announced it has awarded a construction contract to AE&E Group GmbH for a 58-megawatt biomass power plant to be located in the Coal Fields Regional Industrial Park near Hazard, Ky., at the site of a reclaimed coal mine. 
 
 Feedstock for the plant will come from nearby industrial facilities and forest product operations and will include low-quality wood materials such as sawdust, bark, wood chips and sawmill waste. 
 
 The company plans to construct a 1.5-mile-long transmission line to connect the power plant to an American Electric Power substation in order to deliver power to the grid. Initial construction of the plant is planned for the end of the year.

EcoPower Generation awards plant construction contract

Massachusetts-based cellulosic ethanol company Qteros Inc. plans to have a research and development facility in Chicopee, Mass., operational by the end of the year. 
 
 The existing 15,000-square-foot facility, which the company has already leased, will allow for larger-scale fermentation than currently available at the company's Marlborough location. Qteros uses its patented, naturally occurring Q Microbe in the fermentation of wheat straw, sugarcane, switchgrass and other biomass feedstocks. The company plans to license its technology to cellulosic ethanol producers.

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Qteros to open new R&D facility

Quinnesec, Mich.,-based Verso Paper Corp. expects to meet more than 95 percent of its energy needs with biomass feedstock, after a $43 million project that includes upgrades to the mill's existing woody biomass boiler and the addition of a new biomass handling system. 
 
 A turbine generator will also be installed as part of the project, which is in alignment with Verso's three-pronged energy strategy to reduce overall energy consumption; generate more green energy from renewable biomass; and reduce its carbon footprint, all while reducing costs, according to the company.

Michigan paper mill to  upgrade biomass project

A regional renewable jet fuel collaboration has been formed to assess four Pacific Northwest states-Washington, Oregon, Idaho and Montana-to determine biomass feedstock growth, harvest, refining and transport options in relation to sustainable aviation fuel production.
 
 Washington State University will lead the Sustainable Aviation Fuels Northwest project. Other partners include Alaska Airlines, Boeing, Port of Seattle, Port of Portland and Spokane International Airport. Research will include an analysis of biofuel feedstocks native to the Pacific Northwest, including algae, oilseeds such as camelina and woody biomass. The project will identify potential pathways and actions to make aviation biofuel commercially available to airlines servicing the Pacific Northwest. 
 
 WSU, under the leadership of Vice President John Gardner, has been working with Boeing, the U.S. Air Force, Seattle-Tacoma International Airport, Targeted Growth, Weyerhauser, Tesoro and others on an aviation biofuels effort for a couple of years, according to WSU Agricultural Research Center Director Ralph Cavalieri. "The first part of the project was to engage in the discussions among the partners so that a demand for the biofuel would be created," he said. 
 
 Scientists at the college have been working on biomass-to-aviation fuel projects for some time, according to Cavalieri. "Of course, the major research effort we are undertaking is the development of the cropping system to produce the oilseed crops that will go to the crusher and ultimately be processed into standard jet fuel," he explained. "The constraint that the aviation industry and the Air Force placed on the project is to produce the oil from nonfood crops."
 
 Oilseeds that are candidates for the project are camelina and rapeseed. "We have had a major effort underway for a number of years, funded by (the state of) Washington, to examine biomass crops for biofuels," Cavalieri said. "The overarching biomass for biofuels project is led by professor Bill Pan, and it involves switchgrass and other fast-growing perennial grasses, various oilseeds, etc." 
 
 A portion of that project, led by Cook Endowed Chair in Cropping Systems and Professor Scott Hulbert, involves camelina. Hulbert is the principal investigator for WSU's application for funds to USDA's Agriculture and Food Research Initiative in an upcoming round of grant competition for creation of a regional biomass for biofuels research center. "In that proposal, we are partnering with Oregon State University, Montana State University, the University of Idaho, the University of Washington, the USDA-Agricultural Research Service and others," Cavalieri said. "The goal is to advance the knowledge of how to produce oilseed crops in an economically and environmentally sustainable way in the Pacific Northwest with the goal of providing the necessary nonfood vegetable oil to meet the aviation industry's needs in the region." 
 
 Another WSU project is led by Regents Professor Norman Lewis, who has expertise in the basic plant science of woody plants, particularly poplar trees. "His research adjusts the biochemistry of the trees to make them more suitable for use in making bioproducts," Cavalieri said. "Dr. Lewis is leading an effort to secure USDA National Institute of Food and Agriculture funds for a multi-institutional group to advance the production of aviation fuel from lignocellulosic biomass." 
 
 Under the general topic of plant improvement, WSU has several faculty members who are modifying plants to alter the chemical makeup of the oils they express, to examine the genetics of plants for production of biomass and improve their ability to be produced with minimal or no additional inputs. 
 
 Assistant Professor Manuel Garcia Perez is leading a project involving the thermochemical conversion of lignocellulosic biomass through pyrolysis to bio-oil. "This, too, can be used to make aviation fuels after appropriate processing," Cavalieri said. "His efforts are in conjunction with the Voiland School of Chemical Engineering and Bioengineering and with Pacific Northwest National Laboratory."
 
 Professor Shulin Chen, is leading another relevant project, optimizing algae production in northern states. "Dr. Chen is running a very large research program dealing with many other aspects of biofuel and bioproducts development," Cavalieri said
 In cooperation with PNNL, Professor Birgitte Ahring leads WSU's Bioproducts, Sciences, and Engineering Laboratory. "Her primary effort is in the production of ethanol through microbiological processes with subsequent conversion to other biofuels and bioproducts," Cavalieri explained. "Finally, we have economists who are examining the economics of agricultural production of biomass and of transportation issues associated with this developing industry."
 
 The project is being funded by participating parties, and is expected to be completed in six months.

WSU to lead Pacific Northwest aviation biofuel project

One of the biggest challenges facing landowners is how to incentivize hired loggers to cut and utilize low-grade wood to ensure forest health and forest growth, according to Sarah la Cour, director of conservation and planning for W.D. Cowls Inc. Land Co. and member of the Massachusetts Forest Owners Association. La Cour was one of six speakers representing foresters, farmers and labor unions at a media briefing in Holyoke, Mass., July 27, concerned that the state's renewable portfolio standard (RPS) rulemaking process will be driven more by election-year politics than sound, peer-reviewed science. 
 
 The briefing came in response to public meetings held in the area by the Massachusetts Department of Energy Resources regarding the Manomet Center for Conservation Sciences biomass study results and potential policy changes in light of its findings. The DOER will use the study results to determine whether biomass power will qualify for the state's RPS, but some in the biomass and forestry industries are concerned the process is being rushed without proper evaluation. Without RPS qualification, plants lose a key portion of revenue, making biomass power uneconomic.
 
 The study findings, however, have been misrepresented in mainstream media to imply that biomass energy is dirtier than coal. Those incorrect reports prompted clarification letters from Manomet and plenty of noise in the biomass industry. The "Biomass Sustainability and Carbon Policy Study," actually found a complex debt-then-dividend carbon accounting model for biomass, saying burning biomass releases more carbon initially per unit of energy, but that carbon debt is paid off as the forest re-grows and depending on a variety of factors. The study can be seen in its entirety at www.manomet.org. 
 
 Following the June 10 release of the findings, a public comment period through July 9 was opened. Two days before that comment period was up, however, the Massachusetts Executive Office of Energy and Environmental Affairs sent a letter to the DOER, requesting swift policy change in light of the findings, which unfortunately studied only forest biomass, not wood waste and other feedstocks the plants will actually use. Biomass Power Association President Bob Cleaves says that when that wood is taken into account, biomass power is undoubtedly carbon neutral. The study itself even acknowledges that waste wood is favorable to fossil fuels in all technologies and warrants further analysis.
 
 The letter proposed several changes including the definition of biomass and the enactment of efficiency standards, which Cleaves said has not been done to date in the United States. EEA Secretary Ian Bowles requested final standards be drafted by Oct. 31 and final regulations be put in place by Dec. 31. 
 
 "Enacting scientifically unjustified and reactionary restrictions on the sale of and markets for low-grade wood on private forested land, will make private forests unaffordable and more importantly, ecologically unhealthy," la Cour said. "We know biomass energy markets can help our forests' health and improve our rural economies, while producing low-carbon renewable energy." 
 
 At the press conference, la Cour and others addressed job creation, ecosystem benefits for low-grade waste wood and other issues related to biomass energy from wood. "Our concern is additional restrictions on how we regulate our forests," la Cour said. "The biggest issue is keeping ourselves viable." She added that while the byproduct from forests currently has no market, it would keep more loggers in business. "We believe that biomass will help, not harm Massachusetts private forest resources," la Cour said. She went on to say that the idea that landowners will suddenly clear-cut or in any way over-cut their forests to produce biomass fuel "defies logic and basic economics."
 
 A June 18 press release from the Forest Landowners Association reads, "The Forest Landowners Association questioned the DOER's conclusions and cautioned against public policy decisions being made on the basis of agency's narrow interpretations of the Manomet study."
 
 The briefing was an opportunity to ask the DOER and Commonwealth to take a step back and allow more time to draft such important regulations. "Regulations are a big deal," la Cour emphasized. "People are going to disagree on this, but let's take a little time."

Massachusetts farmers, foresters urge caution in drafting RPS

A team of scientists have released what they believe is the largest database available comparing energy crop yields in relation to variables such as site location, plot size, stand age, harvest frequency, fertilizer application, climate and land quality.
 
 Oakridge National Laboratory and Dartmouth College researchers compiled 1,190 biomass yield observations for both lowland and upland types of switchgrass grown on 39 sites across the U.S. These observations were extracted from 18 publications that reported results from field trials in 17 states, from Texas to North Dakota to Pennsylvania. 
 
 Among the factors examined, researchers found that much of the differences in switchgrass yields could be accounted for by variation in growing season, precipitation, annual temperature, nitrogen fertilization and the type of switchgrass grown in a specific region.
 
 For example, lowland switchgrass outperformed upland varieties at most locations, except at northern latitudes. Annual yields averaged 12.9 metric tons (14.2 tons) per hectare (2.47 acres) for lowland and 8.7 metric tons for upland ecotypes. Some field sites in Alabama, Texas and Oklahoma reported biomass yields greater than 28 metric tons per hectare using the lowland cultivars Kanlow and Alamo.
 
 Overall, researchers also found that yields were relatively consistent with the natural geographic range of switchgrass, although significant yields were predicted along the Pacific Coast states. Yields were shown to be limited by precipitation west of the Great Plains and, to a lesser extent, by low mean annual temperature. Maximum switchgrass biomass yields were projected westward from the mid-Atlantic Coast region to Kansas and Oklahoma. 
 
 Stan Wullschleger, crop physiologist who led the study, noted that field trials are often planted to provide local estimates of crop production. "However, viewed in a broader context, results from individual field trials can contribute to a larger perspective and provide regional- to national-scale estimates of yield and the variables that determine that yield," he said. 
 
 The researchers concluded that future studies should extend the geographic distribution of field trials and thus improve understanding of biomass production as a function of soil, climate and crop management for promising biofuel feedstocks.
 The paper was published by the American Society of Agronomy in the July-August 2010 Agronomy Journal. It can be accessed at http://agron.scijournals.org/cgi/content/abstract/102/4/1158.

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Scientists evaluate switchgrass yields across US

The first-ever Energy Statement of the U.K.'s Department of Energy and Climate Change includes grandfathering biomass under its Renewables Obligation, which governs what technologies receive renewable obligation certificates (ROCs). The lack of dedicated biomass grandfathering has been a point of contention for some biomass developers in the U.K., who say acquiring funding for projects is difficult when no set level of income exists to assure investors.
 
 The statement, which can be found on the DECC website, was released in June and presents an overview of the DECC's energy policy, laying out plans for future actions. "We are taking immediate action to exploit the potential of bio-electricity and energy from waste, by grandfathering support under the Renewables Obligation for electricity from dedicated biomass, energy from waste, anaerobic digestion and advanced conversion technologies, such as pyrolysis and gasification," the document reads. "We will publish in the autumn a joint industry/Government action plan to deliver a huge increase in energy from waste through anaerobic digestion."
 
 The measure provides the certainty investors want, according to a statement by DECC Secretary Chris Huhne. Support will be fixed for 20 years, subject to the end date of the RO. In the same document, the DECC proposes a jump from the current target of 20 percent reduction in greenhouse gas emissions by 2020 to 30 percent by 2020. 
 
 U.K. electricity-generation giant Drax Power Ltd. plans to build three 290-megawatt (MW) dedicated biomass power plants in the U.K. that will run on a mix of forest and agricultural residues and energy crops. Drax has been known in recent months for making the loudest and most noise about the policies. The company hopes to begin construction in early 2011 on one of its three dedicated biomass plants. Sites include: the Port of Immingham; North Yorkshire, England, on the site of the company's existing coal-fired, 4,000 MW Drax Power Station; and another location not yet disclosed, according to Melanie Wedgbury, head of external affairs for Drax. 
 
 "We welcome the recognition, by the government, of the importance of biomass to meeting the U.K.'s renewable energy target," a spokeswoman for the company said. "Drax has long believed that biomass could and should make a significant contribution to both reducing carbon emissions and increasing electricity generation from renewables. Specifically, we welcome recognition of the need to grandfather dedicated biomass to encourage investment, which rightly reflects the long-term nature of this capital investment. Further, we accept that the industry is best placed to hedge against the fuel risk and believe that this is preferable to hedging against regulatory risk." 
 
 The spokeswoman goes on to say, however, that the company is concerned there will still be a period of uncertainty for dedicated biomass plants, which would not be accredited or ready to begin generating until after April 2013, when current RO regulations expire and new ones are implemented. The DECC reviews the RO banding, categorized by technology, every four years. The next review begins in October with changes to be implemented in April 2013. "We trust that the DECC will take the opportunity to address this issue early in the review," the Drax spokeswoman said. 
 
 RO banding allows for 20-year grandfathering of all other technologies. Grandfathering for biomass support was not incorporated when the RO was banded in 2008 because, unlike other renewable technologies, a large portion of the generators' costs are ongoing fuel costs, according to the DECC.

UK's DECC to grandfather dedicated biomass

The American Clean Energy Leadership Act, the Senate counterpart to the Waxman-Markey climate bill, includes a federal renewable electricity standard (RES), but renewable energy groups, while grateful for an RES at all, say it's not aggressive enough. 
 
 The bill, authored by Sen. Jeff Bingaman, D-N.M., calls for 15 percent renewable electricity by 2021 including up to 4 percent from improved efficiency. While no renewable energy supporter would say it's a bad idea, most would argue we can do better. "The most important thing is to pass an RES," said Don Furman, head of external affairs for wind energy company Iberdrola Renewables, in a conference call July 22 to discuss the push and Bingaman's efforts. "But we need to strengthen it." An alliance of renewable energy organizations including the Biomass Power Association is pushing for a standard that requires 12 percent by 2014, 20 percent by 2020 and 25 percent by 2025, Furman said. "We have been working on a renewable energy standard in this country for a decade," he said. 
 
 "We are very excited about an RES for two reasons," said Bob Cleaves, president of the BPA. "It not only furthers the expansion of renewable energy in the United States, but it also is a significant job creator at a time when this country is sorely in need of economic growth." Cleaves added that he is grateful for Bingaman's bill and hopes it can be strengthened. 
 
 A federal RES would breathe life into biomass projects stalled or slowed down in the Southeast, according to Paul Gilman, chief sustainability officer for waste-to-energy company Covanta Energy. "We as an industry are on the edge of competitiveness in the Southeast," he said during the conference. 
 
 An aggressive RES would give the hydropower industry a giant boost, too, according to Andrew Munro, president of the National Hydropower Association. Only one-third of the 80,000 dams in the country currently employ hydro power facilities, he cited. 
 According to a Navigant Consulting Inc., study released in February, an RES of 25 percent by 2025 would create 60,000 jobs in the biomass industry alone and about 274,000 across all renewable energy sectors.
 
 "A national RES does a tremendous material job of reducing carbon," Furman said. "It is a carbon bill as well and is something that has a much better chance of passing at this time than some of the other provisions like cap and trade." It has real legs, he said of the Bingaman bill, and a real chance at passing. "Time is short and we only have a few weeks to get this done. But we believe it's possible."

Renewable groups: RES proposal not aggressive enough

In a letter to U.S. House and Senate leaders, 114 of the nation's leading environmental scientists express concern over the proposed U.S. EPA's Tailoring Rule equating biogenic greenhouse gas (GHG) emissions with fossil fuel emissions. It's "incorrect and will impede the development of renewable biomass energy sources," according to the letter. 
 
 The CO2 released from the combustion or decay of woody biomass is part of the global cycle of biogenic carbon and does not increase the carbon in circulation, the scientists wrote. Equating biogenic carbon emissions with that of fossil fuels is not consistent with good science and could stop the development of new emission-reducing biomass energy facilities, they added. "It could also encourage existing biomass energy facilities to convert to fossil fuel or cease producing renewable energy. This is counter to our country's renewable energy and climate mitigation goals."
 
 The EPA's final Tailoring Rule defines which stationary sources will be subject to GHG emission controls and regulations during a phase-in process beginning Jan. 2. Since the draft was released, the biomass industry has argued its emissions should not be included in permitting requirements.
 
 "The CO2 released from burning biomass was absorbed as part of the ‘biogenic' carbon cycle where plants absorb CO2 as they grow (through photosynthesis), and release carbon dioxide as they decay or are burned," the letter states. "This cycle releases no new carbon dioxide into the atmosphere, which is why it is termed ‘carbon neutral.'" Biogenic GHG emissions will occur through tree mortality and decay regardless if the biomass is used as an energy source.
 
 In addition, the scientists argued that biomass power facilities generally contribute to a reduction of GHGs beyond just displacement of fossil fuels, as the use of forest fuels in modern boilers eliminates methane emissions from incomplete oxidation following open burning, landfilling or decomposing, which occurs in the absence of a higher and better use for the material. 
 
 "This letter from top scientists across the country is a great victory for the biomass industry and the 14,000 men and women in this country who are employed by the industry," said Bob Cleaves, president and CEO of the Biomass Power Association. "It vindicates our position that biomass is an essential renewable energy source for the nation." 
 
 About 30 Senate Democrats also signed a letter addressed to Sen. Majority Leader Harry Reid, D-Nev., calling for a renewable electricity standard in his energy bill, asking for a strong standard, not weakened by inclusion of nonrenewable energy sources. "We urge you to ensure that we give our country the opportunity to win the clean energy race by including a renewable electricity standard in energy legislation that is considered this summer," the letter reads. Reid did not include an RES in his bill.

Letters support carbon neutrality of biomass, national RES

While wood pellets have gotten a lot of attention in the biomass industry, especially in Europe, other densified feedstocks exist and can be tailored specifically for a certain boiler or customer, according to Robert White, president of Robert White Industries Inc. in Plymouth, Minn. 
 
 White discussed other feedstock options his company can provide at the Energy & Environmental Research Center's Biomass '10: Renewable Power, Fuels, and Chemicals Workshop held July 20 and 21 in Grand Forks, N.D.
 
 Engineered biomass fuels (EBF) can be made from wood residues, rice hulls, straw, corncobs and corn stover, switchgrass, paper and cardboard, other waste materials and energy crops, White told workshop attendees. They have potential for use in large commercial facilities, large industrial facilities and utility companies. EBF fuels use locally available nonmarketable biomass and are exposed to less price volatility than traditional pellets. "It's a designer fuel," he said. 
 
 A feedstock pricing mechanism is crucial to the future development of the biomass market, according to speaker Stephen Dinehart, principal of Heartland Business Consultants in Middleton, Wis. No biomass market prices currently exist for financial projection and that deters long-term supply contract development, Dinehart said. He defined a market price as the information implicit in individual transaction prices for a commodity including liquidity needs and production requirements; general economic conditions; commodity supply and demand; time value; transaction costs; search costs; and counterparty risk. 
 
 Energy crops have no market price and little production, he explained. Agricultural residual sees significant production, but has minimal market prices and forest biomass and wood residues have simple market prices and significant production. The woody biomass market is single-buyer dominated and is influenced by plant size and supply needs, along with transportation surface, he said. 
 
 An exchange can facilitate the rapid evolution of a pricing mechanism benefiting both industry and natural resource stewardship, he emphasized. The Biomass Commodity Exchange (BCEX) has been designed to provide that mechanism. "The biomass commodity exchange really grew out of requests from industries," Dinehart said, adding that most concerns dealt with cellulosic biomass. The BCEX will launch in 2011; its homepage is at www.theBCEX.com.

Presenters at the EERC's Biomass '10: Renewable Power, Fuels, and Chemicals Workshop provided attendees with information about biomass feedstocks and the importance of having market prices for those feedstocks.

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Biomass '10: Workshop covers wood pellet alternatives, markets

The province of Manitoba has significant biomass resources and capabilities, and power utility Manitoba Hydro is working to capture all possible opportunities.
 
 The fourth-largest utility in Canada, Manitoba Hydro is also the largest exporter of electricity to the U.S., according to Senior Biosystems Engineer Dennis St. George, who was a presenter at the Energy & Environmental Research Center's Biomass '10: Renewable Power, Fuels, and Chemicals Workshop held July 20 and 21 in Grand Forks, N.D. 
 
 Currently, about 74 percent of the energy consumed in Manitoba is imported and nonrenewable, 45 percent of which is used for heating purposes, St. George said. He said the utility has been involved in many past and recent initiatives to advance the use of biomass as a fuel within the province, including organizing and leading a trade mission to Sweden and Denmark, both of which have fairly advanced biomass energy industries, for evaluation purposes. "Afterward, we organized a session and talked about what we saw and learned, and that helped us decide where we wanted to focus our efforts," St. George said. 
 
 There is lots of interest in biomass as a fuel, and it's growing continually, St. George continued, in large part because of its reliability. "There are many attributes that make an energy source functional and one of them is capacity, or the ability to deliver energy when you need to," he said. "With our hydro system, if we need to generate more power, it's nearly an instantaneous process. The problem with wind and solar is that when you get energy is really governed by when they are available. Biomass is much more like hydro-it has a firm capacity-and as a utility, that is what we like." 
 
 Manitoba Hydro currently runs the Power Smart Bioenergy Optimization Program, which provides financial incentives to customers who are interested in converting their raw forms of biomass-typically biomass already available at the site-to produce energy, displacing some or all of the energy purchased from Manitoba Hydro. "The business case for us behind this is that with our capacity links to the U.S., we can then put this energy into the U.S. market where it offers better value," St. George said. On the other end, the customer avoids the cost of purchasing fuels while addressing what was formerly a waste management issue. 
 
 He admitted the program has seen a few barriers, however. Initial capital costs for projects are significant and it's often difficult to obtain funding. Another barrier is that the technologies are not common. To address that issue, Manitoba Hydro has five demonstration projects underway with customers, to showcase new biomass technologies to others who are interested in doing similar things. They include replacing heavy fuel oil with pyrolysis oil at a pulp and paper mill to fuel a boiler and steam turbine combined-heat-and-power (CHP) system; installing a microgasifier at a tree nursery to gasify wood waste into heat and power for the facilities; converting wood waste to heat recovered by an Organic Rankine Cycle CHP system; conversion of wood and crop wastes into biochar for community-scale heat and power; and the conversion of livestock manure to fuel using anaerobic digestion. 
 
 St. George said that while the biogas demonstration project will be the smallest in terms of power produced, there is currently a moratorium on hog barn expansions in Manitoba, which was primarily driven by waste issues. "So one of the opportunities the industry has is to put in this kind of technology so they can expand," he said. 
 
 Next year, Manitoba will implement a CO2 emissions tax, which St. George described as the most prohibitive in North America. "When it hits next year, what we want to do is help customers avoid converting from coal over to electricity for heating requirements. Instead, we want to see if we can insert a new fuel source-biomass-as a substitute for coal." 
 
 There is great potential to use biomass as part of the energy supply in Manitoba, St. George concluded. "It's available here, grown locally, and it would help keep dollars at home. Success really depends a lot on what happens with policy and in the commodity markets."

St. George told attendees of Biomass '10: Renewable Power, Fuels, and Chemicals about Manitoba Hydro's biomass projects. PHOTO: PAUL GRONHOVD, PHOTOGRAPHER, EERC 

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Biomass '10: Manitoba Hydro seizes biomass opportunities

Expansions scheduled for Waste Management's landfill-gas-to-energy project near Richmond, Mich., will make it one of the top energy-producing landfill gas facilities in North America. 
 
 The Pine Tree Acres landfill gas project currently produces 5 megawatts (MW) of power and has been operated by Landfill Energy Solutions for more than 10 years, according to Wes Muir, WM spokesman. WM will now design, build and operate a $15 million facility that will add nearly 13 MW of energy, which will be sold to Consumers Energy Co. "Concurrent to our expansion LES is also expanding its facility to produce another 3 MW of energy," Muir said. When completed, the facilities will produce more than 21 MW.
 
 WM has 273 landfills, 119 of which host landfill gas-to-energy facilities. Together they provide the equivalent of more than 470 MW of energy, enough to power approximately 400,000 homes and replace nearly 2 million tons of coal per year. In 2007, the company announced its plans to expand its energy-from-landfill-gas operations by more than 60 facilities by 2013, Muir said. "For those landfills that produce enough gas to host such a facility, we are developing other technologies to utilize this gas," he said. The technology used at the new Pine Tree facility will be the same the company has used for the past 20 years, but with modifications including reciprocating engines similar to the ones in a car, Muir said.
 
 The gas is created naturally through the decomposition of waste in landfills and is a readily available renewable energy source. It can be collected and used directly as medium Btu gas for industrial use or sold to gas-to-energy plants to fuel engine- or turbine-driven generators of electricity, according to WM. For the company, landfill gas has lived up to its promise of being a reliable and economical form of energy.
 
 "Landfill gas to energy is important for WM because we want to take advantage of the landfill gas we produce at our landfills and ensure that we utilize this gas to the greatest extent possible," Muir said. 
 
 The company says its landfill gas-to-energy program is a vital part of North America's drive to develop alternative energy sources and promote environmental sustainability.

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WM expands Michigan landfill gas project

Posted September 3, 2010, at 11:15 a.m.
 
 Energy Secretary Steven Chu and Agriculture Secretary Tom Vilsack announced research awards under a joint DOE-USDA program aimed at improving and accelerating genetic breeding programs to create plants better suited for bioenergy production. The $8.9 million investment is part of the Obama Administration's broader effort to diversify the nation's energy portfolio and to accelerate the development of new energy technologies designed to decrease the nation's dependence on foreign oil. 
 
 "Cost-effective, sustainable biofuels are crucial to building a clean energy economy," said Secretary Chu. "By harnessing the power of science and technology, this joint effort between DOE and USDA will help accelerate research in the critical area of plant feedstocks, spurring the creation of the domestic bio-industry while creating jobs and reducing our dependence on foreign oil."
 
 "Developing a domestic source of renewable energy will create jobs and wealth in rural America, combat global warming, replace our dependence on foreign oil, and build a stronger foundation for the 21st century economy," Secretary Vilsack said. "This scientific investment will lay the foundation for a source of fuel made from renewable sources."
 
 The research grants will be awarded under a joint DOE-USDA program focused on fundamental investigations of biomass genomics, with the aim of harnessing lignocellulosic materials--i.e., nonfood plant fiber--for biofuels production. Emphasis is on perennials, including trees and other nonfood plants that can be used as dedicated biofuel crops. Since such crops tend to require less intensive production practices and can grow on somewhat poorer quality land than food crops, they will be a critical element in a strategy of sustainable biofuels production that avoids competition with crops grown for food. Combining DOE's leadership in genome-scale technologies with USDA's long experience in crop improvement will help accelerate development of such specialized crops and improve their effectiveness as feedstocks for biofuels production.
 
 The research will make use of the most advanced technologies and techniques of today's genomics-based systems biology. 
 
 New projects to be funded this year aim at enhancing productivity, yield, nutrient and water utilization, and sustainability of plant feedstocks. Research focuses on better understanding of basic plant processes that control cell wall composition, plant architecture, cell size and division, wood formation, nutrient uptake, carbon allocation and on the impact of temperature and water availability.
 
 DOE's Office of Science will provide $6.9 million in funding for seven projects, while USDA's National Institute of Food and Agriculture will award $2 million to fund two projects. Initial funding will support research projects for up to three years. 
 
 DOE-funded projects include:
 
 •	USDA-ARS Western Regional Research Center, Albany, Calif., $949,348
 •	University of California, Berkeley, Calif., $793,413
 •	University of Delaware, Newark, Del., $868,794
 •	University of Georgia, Athens, Ga., $1,340,000
 •	University of Illinois, Champaign, Ill., $1,165,900
 •	University of Missouri, Columbia, Mo, $1,106,656
 •	Institute for Advanced Learning and Research, Danville, Va., $734,759
 
 USDA-funded projects include:
 
 •	University of Illinois, Champaign, Ill, $1,000,000
 •	Texas A&M University, College Station, Texas, $1,000,000
 
 For more information on the individual projects and the joint DOE-USDA Plant Feedstocks Genomics for Bioenergy research program, visit: 
 <a href="http://">http://genomicscience.energy.gov/research/DOEUSDA/index.shtml</a>. 
 
 SOURCE: U.S. DOE

USDA, DOE partnership to better bioenergy 

Through an extension of the U.S. EPA's AgSTAR program, the EPA and USDA will provide up to $3.9 million over the next five years to help farmers capture methane emissions from their livestock operations and use them to produce energy.
 
 The collaboration will expand technical assistance efforts, improve technical standards and guidance for the construction and evaluation of biogas recovery systems, and expand outreach to livestock producers, assisting them with pre-feasibility studies. 
 
 Many livestock feeding operations generate a continuous supply of biogas that can be recovered and used for multiple purposes. AgSTAR estimates that more than 8,000 dairy and hog farms in the U.S. are good candidates for feasible projects, yet there are only about 150 anaerobic digestion systems currently operating, according to the EPA. That's less than 2 percent of total potential. If all 8,000 farms implemented biogas systems, methane emissions would be reduced by more than 34 million metric tons of carbon dioxide equivalent each year, according to the USDA. Those projects could also generate more than 1,500 megawatts of renewable energy.
 
 "The capture and use of biogas allows us to protect and conserve natural resources, reduce greenhouse gas emissions and produce renewable energy and green products," according to an EPA spokesperson. "It expands opportunities for rural economic development and allows livestock producers to diversify their revenue sources. Finally, it builds interest and farm-based opportunities for the next generation of farmers."
 
 In the initial phase of the AgSTAR project in the 1990s, the EPA contributed minimal direct funding to anaerobic digester projects to demonstrate farm-based digester technologies, according to the EPA. Under the current agreement, however, the agency is not planning to directly allocate money to biogas projects. Instead, funding will be used to expand the technical assistance, outreach and education efforts of the AgSTAR program. 
 
 After the five-year agreement is up, the EPA and USDA will reevaluate the state of the market, as well as trends, to determine how the program can continue to have the most impact in encouraging biogas recovery systems at animal feeding operations.

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EPA, USDA invest in energy from farm biogas

New York-based Fortistar LLC will add 18 new landfill-gas-to-energy projects to its portfolio, bringing the total to about 60 plants in operation all over the country. The company secured $105 million in financing for the projects, which represent a 20 percent boost to its methane power plant arsenal. 
 
 All the landfill gas plants built, owned and operated by Fortistar produce electricity, which is sold to utilities or municipalities, according to Fortistar managing director Jon Maurer. The company does not own any of the landfills where the plants are installed. Most of the projects use reciprocating engines, burning the methane that emits naturally from the landfills. 
 
 The process is green because methane produces 21 times the amount of greenhouse gases as a similar amount of carbon dioxide, according to the company, and the process is renewable because it is the product of the decomposition of garbage in landfills. The U.S. EPA requires the methane to be collected, so projects are built adjacent to the landfills. "We then use that gas as fuel," Maurer said. 
 
 The 18 new projects will add another 60 megawatts (MW) to Fortistar's existing capacity of more than 230 MW, according to Maurer. The Fortistar Methane Group owns about 12 percent of the developed landfill gas-to-energy projects in the U.S., according to the company. The group's capabilities include: landfill and digester gas collection systems; electrical generation systems; rapid project development; environmental compliance; renewable energy credits; construction management; and project finance, according to Fortistar.
 
 Besides the Methane Group, Fortistar has a Biomass Group that specializes in wood waste biomass; and the Cogeneration Group, which maximizes output per unit of fuel used, according to the company.
 
 "I think in this day and age, renewable energy has an attraction in this country and around the world," Maurer said.

Fortistar developing 18 new landfill GTE projects

New Hampshire-based Clean Power Development LLC is teaming up with Gestamp Biomass, a division of Spain-based Gestamp Renewables, to develop a number of woody biomass combined-heat-and-power (CHP) projects in the Northeast U.S. 
 
 The first project will be a 29-megawatt (MW) plant in Berlin, N.H., that is expected to be operational in late 2012. The plant will cost an estimated $100 million and is a project Clean Power has been working on since 2008. The plant was originally going to generate 45 MW of power, but was downsized after an independent study found there is not enough woody biomass that falls within the company's parameters to support that output in a 30-mile radius of the site. Feedstock will be logging residue and low-grade wood, according to Bill Gabler, Clean Power project manager. "We will be working with a major New Hampshire-based procurement company that may well establish contracts, but will also be able to procure on the market," he said. 
 
 The goal of the partnership is to develop 180 MW in the Northeast, which could result in six to eight plants. "With over 80 percent of the region's thermal energy coming from oil and a majority of its electric production coming from natural gas, the Northeast region provides a significant and growing market for thermal and electric renewables," Gabler said. The output of the plants will depend on the available resources around their locations and the next one is slated for Winchester, N.H., he added. Permitting on that facility should begin this fall. 
 
 All facilities will be CHP plants with a goal of minimum efficiency of 60 percent. No power purchase agreements are in place yet and the destination for the power will be determined on a case-by-case basis, depending on the market dynamics at the time the power is marketed, Gabler said. 
 
 The agreement covers joint activities in Maine, New Hampshire, Vermont, Massachusetts, Rhode Island, Connecticut, New York and Pennsylvania. Under the agreement, Clean Power will identify and provide due diligence related to existing operational biomass facilities for possible acquisition by Gestamp and will manage a portfolio of selected new biomass energy projects throughout the region, according to Clean Power. Gestamp Biomass will support development, provide project equity and arrange the balance of plant financing for the projects.

Gestamp, Clean Power team up in the Northeast

Walker, left, and Charlie Niebling, general manager of New England Wood Pellet, talk to tour participants about the wood pellet industry and the challenges they face. 

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Wachusett Community College has saved $300,000 in annual fuel costs since installing a biomass-fired district heating system in 2002.

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A truck dumps a load of wood chips at the New England Wood Pellet plant in Jaffrey, N.H.

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Woody biomass has been a controversial topic in the Northeast U.S., but speakers and attendees at the Northeast Biomass Conference & Expo demonstrated unwavering confidence in the future success of the industry.

Cheers to Biomass in Boston

A team of researchers at the University of Southampton in England is looking for the most cost-effective, low-energy methods for carbon enrichment in algae cultivation. The two most probable sources are pure carbon dioxide from industrial processes such as fermentation, and flue gas from emitters such as power stations, according to Charles Banks, professor of environmental biotechnology at the university. "Next to light, carbon is probably the most limiting factor in restricted algae productivity," he says. "Our part is really to say, ‘well, we accept that light is limiting, let's make sure no other factors are limiting within this system.' And carbon is the first on the list." 
 
 The university's project is part of the Carbon Trust's Algae Biofuels Challenge, a two-phase initiative with the first phase, fundamental research and development, focusing on five key areas: isolating strains; maximizing solar conversion efficiency; achieving high oil yield and high productivity; sustaining cultivation in open ponds; and optimizing engineering strategies. These areas were identified as the largest barriers to algal biofuels production by a team of algae experts with decades of research under their belts. Twelve separate project teams are each assigned to one of the five areas, collaborating toward a main goal. Phase one will be followed by phase two, a scale-up of the breakthroughs established in the first phase.
 
 "The project's overall aim is commercialization by 2020," says David Penfold, technology commercialization manager for the Carbon Trust. "These 12 projects actually build up to that aim so it's basically looking at the different attributes needed to get to that end point."
 
 
 The Team
 
 The Carbon Trust has dubbed its 12 teams from 11 U.K. institutions the "dream team." Unveiled in 2008 and granted £8 million ($12.6 million) for the three years dedicated to phase one, the dream team includes more than 70 algae scientists who together will find a winning formula for the production of 70 billion liters (18.5 billion gallons) of algae biofuel by 2030. 
 
 "Ultimately what we're looking at is getting an 80 percent carbon reduction," Penfold says. "In the duration of the project, we're looking to get a productivity of about 20,000 liters of oil per hectare (2.47 acres) per year."
 
 More than 80 applications were reviewed before the 12 projects were chosen for participation in the Algae Biofuels Challenge and on average each team was awarded about £500,000 for their phase one research. "Our focus on phase one has been to develop technologies to reduce the cost of production," explains Ben Graziano, a project leader with Carbon Trust. Graziano emphasizes the collaboration aspect of the challenge and the fact that, while different teams may be assigned to the same key focus area, they'll have different strategies for going about their research. "Although we have these distinct projects, in fact what we've created is a program where the sum is greater than each of the individual parts." Through the contracts of the program, the Carbon Trust has licenses to the individual intellectual properties of the teams' projects, allowing their research to be passed among the teams, each one building from the work of the one before. "This is quite a novel technique and what it allowed us to do in effect was bring on board a large number of universities," Graziano says. Currently, the most expertise in algal biofuel technologies is at universities, as development is in such early stages, he adds. 
 
 After the three-year fundamental research and development phase is over, the Carbon Trust plans to build a large pilot facility to demonstrate the findings of the dream team, further refining techniques found optimal by the researchers. "With this particular technology area, it's vitally important that you not only do the research in a lab, but that you demonstrate that you can translate the technologies you've developed to outdoors and demonstrate them on a very, very large scale," Graziano says. No site has been determined for the pilot facility, but one thing is certain: the U.K. is not ideal for such a project, as open ponds for cultivating algae would need temperatures of at least 30 degrees Celsius (86 degrees Fahrenheit). "We're looking at growing them in sea water, so it'd be close to coastal regions and where that sort of water would be available," Penfold says. 
 
 The Carbon Trust has access to facilities for algae cultivation in southern Spain, Graziano says, and is working with partners there to build ponds to test the strains the dream team finds. "We believe what we need is some relatively small ponds in a near-optimal location," he says. In those ponds, the researchers will use CO2 from canisters, but building a pond next to an industrial emitter is ideal, he adds. "As we scale up in phase two and we look to build a pilot-scale facility of up to 10 hectares (24 acres) in scale, we will be looking to site the facility next to a source of carbon dioxide," Graziano explains. 
 
 The Carbon Trust has experimented with both concentrated sources of carbon and flue gas, and while Graziano says the yield is better with a concentrated source, there are high costs associated with fractioning off the carbon in flue gas. "So that has to be weighed against all the other factors to determine the most economically viable route," he says. 
 
 
 Carbon Source
 
 In general, flue gas is the best carbon source, according to Banks because it couples algae cultivation with carbon capture, although the source will depend on the amount of carbon dioxide in the gas stream. Power stations could be required to capture their carbon dioxide emissions in the near future, likely mandating concentration of the CO2 in flue gas and resulting in a pure carbon source, which would be ideal for algae cultivation. "We've got to watch what happens in terms of the legislative drivers," Banks says. "I think power companies will be a source of CO2."
 
 Banks and fellow University of Southampton researchers saw a correlation between the Algae Biofuels Challenge and their own extensive work with algae in wastewater treatment plants. "It was quite an attractive project for us to become involved in, particularly the opportunity to work with the other groups on this exciting science," he says.
 
 A team at the Plymouth Marine Laboratory is working on key area No. 3, collecting natural algae samples from a diverse array of marine zones and using technology platforms developed at the lab to isolate high-oil strains. "In terms of cell isolation, we've got colleagues who have been working on this for about 20 years," says Daniel White, PML marine natural products chemist and project manager. 
 
 White's team is experimenting with static cultures and using gas exchange to provide a carbon dioxide source for the small amount of algae it is growing for its work. The team submitted an application to be a part of the dream team because PML already had extensive experience in algae research. "As an organization, we're interested in marine sources of renewable energy," White says. "We've also got a policy to take an interest or develop marine-based low-carbon technologies so the program that Carbon Trust presented basically fulfilled some of those criteria for us and we thought we had the inherent expertise and skills to add to that."
 
 The Carbon Trust does not anticipate using genetically modified algae strains in the Algae Biofuels Challenge, Graziano says, as natural strains are more than capable of getting the job done. "What we should be doing is looking to nature and isolating strains from nature that have been evolving for millions of years and understanding those strains and trying to improve those strains using classical breeding techniques." He adds that he thinks it's important to bring a "reality check" to current algae research, as algal biofuel technology is so new and at least 10 years away from commercialization. 
 
 "It's a very important technology area," Graziano emphasizes. "It will be vital to the future low-carbon economy that we're trying to create. We do have to start now and we believe that the best way to conduct this research is through a highly structured and well-coordinated program of research and development, which is hopefully, through the Algae Biofuels Challenge, what we've been able to create." 
 
 
 Lisa Gibson is a Biomass Magazine associate editor. Reach her at <a href="mailto:lgibson@bbiinternational.com">lgibson@bbiinternational.com</a> or (701) 738-4952.

The U.K.'s Carbon Trust has assembled a 'dream team' to collaborate on algae research and knock down the barriers blocking a commercial algal biofuel industry.

An Algal Dream Team

Between 1978 and 1996, the Aquatic Species Program at the U.S. DOE's National Renewable Energy Laboratory in Colorado expanded the biofuel portfolio beyond ethanol through its research on freshwater plants, wetland emergents and, of course, algae. That work eventually focused on biodiesel from microalgae, but the entire program was terminated due to low petroleum prices and the projected high costs of algal biofuel production. 
 
 But with increases in oil prices, piqued interest in greenhouse gas mitigation and aggressive energy security goals have come a renewed interest in algal biofuel research, and thus the restart of the program, or something similar to it. 
 
 
 A Redesign
 
 The new program is not the Aquatic Species Program, but an unnamed extension of the program formerly known as the ASP. It still focuses on algal biofuel, but takes a biological approach, according to Philip Pienkos, principal research supervisor for NREL.
 
 Following the 2005 release of the Oak Ridge National Laboratory's "Biomass as Feedstock for a Bioenergy and Bioproducts Industry: The Technical Feasibility of a Billion-Ton Annual Supply," commonly called the Billion-Ton Study, NREL reevaluated the potential and uses of terrestrial biomass. The Billion-Ton Study found that an estimated 1.3 billion tons of biomass feedstock could be available countrywide including agricultural residues, forest resources, herbaceous energy crops and woody energy crops. "That really set an upper limit on terrestrial biomass," Pienkos says. "What we didn't anticipate four years ago was the fact that there would be competing uses for that biomass." Especially with the desire to mitigate carbon emissions and an increased portfolio of biofuels, 1 billion tons of terrestrial biomass won't get us far. 
 
 "No matter how you slice it, if 1 billion tons of biomass per year is all we can produce, we cannot achieve energy security or complete energy independence based on terrestrial biomass," he says. "So it was that recognition in 2005 that led to the conclusion that everything's changed since the close of the ASP." In addition, NREL realized that there had been changes in basic biotechnology tools in the previous 10 years, in engineering practices and national drivers other than simply economics, he says. "All those things crystallized and led to the conclusion that NREL had to get back into the algae game." 
 
 Pienkos and his colleagues spent 2006 trying to understand what the landscape in the algae world looked like and began to reach out to the appropriate partners and funding agencies. "The high-quality feedstocks for biodiesel are less and less available and so there was a ready market for algal lipids as feedstock for biofuels," Pienkos explains. "There was also a need to evaluate the whole carbon dioxide mitigation issue, which is more complex for algae than it is for biofuels with terrestrial crops." From that research, NREL formed the Biofuels Strategic Initiative in 2006, aimed at defining the potential of algae for biofuels production and positioning NREL in algae-derived biofuel research. The initiative also strove to develop partnerships with academia, national labs and the biomass industry, which it succeeded in doing as evidenced by the new algae research collaboration. The first project, a partnership with Chevron to identify and develop algae strains for economic biofuel production started in 2007. "That was really our first focus with the strategic initiative, to reach out to the oil industry because we felt the promise of algal biofuels would be more interesting to them than ethanol," Pienkos says.
 
 The main difference between the new program and the ASP is the funding mechanism, as ASP was funded by the DOE. The research is now being funded by a collaboration of partners and agencies including Chevron, the DOE, the U.S. EPA, the Colorado Center for Biorefining and Biofuels, the Air Force Office of Scientific Research, the International Energy Agency and NREL. 
 
 
 Bioprospecting
 
 As part of the new collaboration, NREL researchers have begun work in bioprospecting, isolating novel strains best suited for biofuel production. "We feel that the overall strain starting point hasn't been necessarily explored to the extent that it needs to," Pienkos says. "As we learn more about what we expect a production strain to do, that makes us smarter and smarter in our strategies to isolate new strains from environmental samples." 
 
 The focus hovers around biology for a number of reasons, including the fact that most of the researchers in the collaboration are biologists, basic biology is a crucial element in evaluating the production of algal strains, and it provides the program with the most bang for its buck, Pienkos emphasizes. In addition, the program has tried to leverage only fairly small funding opportunities as the infrastructure for an algal biofuel industry is nonexistent. "We're hampered in moving too far beyond basic biology by our lack of large-scale cultivation abilities and so doing relevant cultivation work; doing extraction, harvesting and conversion to fuel is greatly diminished by the lack of infrastructure here," he laments. 
 
 If funding opportunities or a partner for infrastructure expansion were to present itself, Pienkos and the collaboration would consider working on the construction of that infrastructure, but the program has not had success in finding the necessary money thus far. "But we're pretty ambitious," he says. "If the opportunity arises, we'll jump on it." Ultimately, though, the researchers see a need to prioritize. "We are aware of the fact that you can't do everything and it's better to specialize, especially in an area of limited support." 
 
 So for now, the team is focusing on research of the laboratory algal strain Chlorella vulgaris. Pienkos says the strain has better production potential than the commonly used chlamydomonas reinhardtii. It also grows well, produces significant fatty acids, and has a large-scale cultivation history for use in dietary supplements. "We feel this is an excellent strain to work with and so we've put together a number of small projects funded by a number of different agencies, including internal funding from NREL, to try to build a comprehensive program with Chlorella," Pienkos says. 
 
 Chlorella vulgaris is a freshwater strain, however, which is fine when conducting research in Colorado, but working with saltwater strains is preferable when considering large-scale deployment. "So Chlorella won't necessarily fit the bill for that," Pienkos explains. Chlorella presents other challenges, too, including small cells with tough cell walls, making it difficult to harvest, break and extract. "That's a disadvantage certainly for making progress, but it's an advantage assuming that we're successful in some of our efforts because if we can do it with Chlorella, we can probably do it with other strains as well," Pienkos explains, adding that the new algae program's charter is to accelerate commercialization through translational research. 
 
 Eventually, the program will facilitate development of a national algae test bed Pienkos describes as a reasonably scaled production facility with all of the necessary unit operations. With DOE support, NREL has established such pilot test centers for terrestrial biomass in the past and has extensive experience in both thermochemical and biochemical conversion of lignocellulosic material. "We have a dream of building something like that for algae," Pienkos says. 
 
 
 Capitalizing on Carbon
 
 In the meantime, NREL's new algae research collaboration is focusing on a plethora of projects, some using industrial flue gas as a carbon source for algae cultivation. "We have a number of things in our pipeline that involve that," Pienkos says. "It removes some of the uncertainty that you might have if you can use real flue gas or CO2 from other emitters rather than bottled CO2." 
 
 A partnership project with the National Research Council Canada's Institute for Marine Biosciences in Halifax, Nova Scotia, is another one of those flue gas projects. The NRC team is working now on the first phase of the research, collecting water samples from areas in Nova Scotia, Alberta, southern Ontario and the Northern U.S. and hoping to come up with algae isolates that can tolerate all the pollutants in the flue gas, while producing large amounts of lipids. Without that tolerance, flue gas will need to be fractioned and cleaned, an expensive process, in order to separate the carbon dioxide from the mix of sulfur dioxide, nitrogen dioxide, carbon monoxide, nitric oxide and other pollutants that can impede algae growth. 
 
 "Many of the strains that produce copious amounts of lipids are not very robust and wouldn't tolerate gassing with an industrial flue gas," says Stephen O'Leary, leading research officer with the NRC's algae biofuels program. "So we have to do some amount of searching to find a strain that has those favorable lipid-producing capabilities and yet maintains a robustness such that we can grow it under cultivation conditions where we're introducing an unpurified flue gas." The team hopes to begin construction on a demonstration facility in about 18 months and O'Leary does not expect the strain search to push back that timeline. A number of baseline strains have already been found that would tolerate the gas while producing oil and biomass. "What we're looking for with our environmental screening program are better strains, sort of your champion strains," he says. 
 
 Not only do those champion strains need to be flue gas tolerant with high oil production, but also native to the demonstration site, which has not yet been determined. "The reason we're collecting in specific areas is that our goal is to have a portfolio of algae species native to areas where you would consider deploying these technologies, such as industrial areas like southern Ontario and the Alberta oil sands," O'Leary says. The demonstration could be set up at power stations, cement factories, or even breweries. "Our target site is with a coal-fired power generating station," he adds. "That's our major focus."
 
 The team is in negotiations with several possible industrial partners, but O'Leary says it's hard to find one willing to make major in-kind or financial contributions to support and maintain operations, even though most candidates show interest in such a system. "There is a disconnect between interest and implementation," he says, adding that it would require a pile of internal approvals on the plant's part. "We're finding that that can be a long and involved process." He does expect, though, that financial incentives for carbon mitigation soon will push that barrier out of the way. "I don't think that will be an insurmountable hurdle and it's not likely to push back our 18-month timeline," O'Leary says. 
 
 Once the demonstration is set up, ideally it will operate for two or three years, but definitely more than one, allowing enough time for research. "We need time to make a scientific evaluation of how well things are working," O'Leary explains. "Because there are not many people working on cultivation on that scale at this time, there are going to be a lot of technical challenges that need to be worked out. It's very unlikely that everything would operate just as we'd hoped it would." 
 
 After the demo comes phase three, but O'Leary doesn't yet know what that will bring. "We fully anticipate that we will go beyond the demonstration phase, but until we get that going and have an idea of what the results look like and what the interest is for uptake by industry at that time, we can't make concrete plans beyond that yet, other than the aim of going from demonstration technologies to something that will be taken up commercially and deployed at an industrial level," he says. 
 
 "Our interest is two-fold: It's in remediating CO2, or recycling carbon dioxide from industrial emitters, and then converting that carbon dioxide into biomass for sustainable fuel production," O'Leary says. "It really is a project where we want to turn industrial CO2 into a commercially valuable commodity, in this case energy products."
 
 One of the legacies of the ASP is the algae strain isolation work it did and the library of species with high-lipid production it established, O'Leary says. Organizations researching biofuel production still refer to that library as a starting point. "In a way, what we're doing now sort of harkens back to the original Aquatic Species Program," O'Leary says. ‘We're going back out into the environment and to new locations to identify another envelope full of new algae isolates that show the same sort of potential that NREL was looking for in the ASP." 
 
 
 Lisa Gibson is a Biomass Magazine associate editor. Reach her at <a href="mailto:lgibson@bbiinternational.com">lgibson@bbiinternational.com</a> or (701) 738-4952.

NREL has established a program similar to its Aquatic Species Program that specializes in algae research. PHOTO: NREL

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NREL researchers have begun bioprospecting, searching for optimal algae strains. PHOTO: NREL

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Ten years after NREL's Aquatic Species Program was shut down, a similar initiative began and now is thriving in its algae research, which includes the evaluation of CO2 recycling.

A New Start

The hype surrounding biochar as a climate change mitigation tool, soil amendment or power source is mesmerizing with promises of miraculous results. Too much talk and not much action, however, has raised doubts about its potential. 
 
 Market development has been inching along for years, but with no price on carbon there are no incentives for regions with decent-quality soil to use biochar as a soil amendment or for carbon sequestration. In addition, the capital costs of building production facilities are high and often unattainable.
 
 However, new research is confirming biochar's climate mitigation potential and discovering additional applications. A recently published research paper authored by some of the world's leading soil scientists shows that biochar has the potential to mitigate up to one-tenth of current greenhouse gas (GHG) emissions. The study takes into account the utilization of biomass resources untapped today and does not propose converting any additional acreage into cropland.
 
 Study co-author James Amonette says he hopes the paper, "Sustainable Biochar to Mitigate Global Climate Change," will influence members of the scientific community and policy makers to accept biochar as a valid climate change mitigation technique. He doesn't view biochar is the final or only solution, but believes it is one of several key players.
 
 
 Building a Solid Case
 
 Amonette, a soil scientist at the U.S. DOE's Pacific Northwest National Laboratory, says for the past several years he has wanted to produce a solid biochar study and finally got started in 2009 after discussions with study co-author Dominic Woolf of Swansea University in Wales. "We are extremely concerned about climate change and ways to mitigate it, and independently arrived at the conclusion that nobody has done a real thorough study on biochar," he says. 
 
 Amonette and fellow researchers calculated that when taking into consideration all biomass resources presently available, biochar has the potential to sequester 1 to 2 gigatons of carbon per year. "We really need about 15 gigatons per year carbon equivalent, so it's not the panacea," he says. "At the same time, it's a significant player, and the goal of this paper is to make a solid case for biochar that the scientific community can understand and accept because a lot of people are really turned off by the hype." 
 
 The most difficult component of the study, according to Amonette, was determining the availability of a sustainable supply of biomass. "We relied heavily on some work done earlier," he says. "Basically, we had to sort out how much biomass is already being used for various purposes, how much is being left and how much we can take off the soil/land without causing soil erosion." 
 
 In rice paddies, Amonette says, it was relatively simple to determine soil impacts because the land is flat so there's no concern about erosion. "You can pretty much take all the residue from a rice paddy and convert it to biochar at some point," he says. "You may want to use the rice straw for animal bedding, but rice husks could be used at any time because there is no good use for them."
 
 Wheat and corn are grown on land that slopes, and removing too much residue can cause major soil erosion problems. "You have to leave a certain amount on the surface or you'll be exacerbating that part of the problem," Amonette points out. "So we had to, depending on the crop, look at soil fertility classifications around the world-there are seven different classes of soil that we used-and a major component of that is how steep are the slopes and how rocky is the soil. We looked at those things to determine how much residue could be taken off."
 
 Following their sustainable biomass assessment, the researchers compared the tradeoffs of using the available material as a soil additive such as biochar as opposed to using it to generate bioenergy. Initially, they found that, on average, biochar is 20 percent more effective than bioenergy at mitigating climate change, Amonette says. "We then did a second analysis that proved, depending on the fertility of the soil to which the biochar was applied and on the power source or type of fossil energy being offset, in some instances, bioenergy was a better climate mitigation option."
 
 What is the better use for the biomass varies greatly from one scenario to the next. "Instead of competing though, they can work together," Amonette says. "Bioenergy is still a very good way to go, but it's not going to solve the problem by itself. It has the same limitations that biochar does."
 
 
 Carbon Prices and Soil 
 
 From Amonette's perspective, the bioenergy route will continue to be chosen over climate mitigation because there is still no value for carbon. "Looking at the Midwest, it has fertile soils but uses a lot of coal, so that would be where you want to produce bioenergy," he says. "Biochar doesn't make sense there, because if you add it to the soil you won't get a response. In the Southeast or the tropics where you've got these poor soils, it's a whole different matter and biochar makes a lot of sense."
 
 Biochar probably won't be used for climate mitigation until it becomes economical to do so, Amonette says. "That's when carbon storage becomes valuable," he adds.
 
 Johannes Lehmann, associate professor of soil fertility management and soil biogeochemistry at Cornell University, echoes Amonette's views on carbon pricing prompting the use of biochar to combat climate change. "We don't really know what the value of biochar is right now," he says. "We're just beginning to be able to put together accurate data on that-carbon prices that would make this economically feasible."
 
 Lehmann, who contributed to Amonette's research paper, says that production efforts are currently focused on producing bioenergy from pyrolysis where biochar is simply a byproduct, but most have not yet been successful. This situation is common in bioenergy production, he says. "For example, methane generation is fairly successful in Europe, especially in Germany, where you have guaranteed feed-in rates. In the U.S. it's not very successful. Situations like that may change as energy prices change, and maybe there will be a carbon price at some point and then everything will change. At the moment, however, it seems in many countries, including the U.S., making ends meet by just producing bioenergy is difficult." 
 
 As far as using biochar as a soil improver, Lehmann says that depends on the location and the crop being produced, which is no different than when considering the use of nitrogen fertilizer. "You put different amounts of it on different crops, in different soils and at different times of the year," he says. "You really can't say what the value of nitrogen is across the world, and you can't say what the value of biochar is across the world. Biochar has shown tremendous yield increases in some situations with some crops and soils, but for others the soils are good enough and the biochar doesn't improve it."
 
 At the moment, the perception is that biochar can miraculously enhance soil quality and magically improve crop growth, but that is not always the case, Lehmann says. "It is more effective than compost," he says. "It has a greater surface area, has a greater ability to hold onto nutrients to make them available to the plants, and it is also one to two magnitudes more stable than compost."
 
 Those characteristics alone make it more attractive than compost, he adds, if the objective is to improve the soil and enhance its nutrient holding capacity. "You need to know what you're managing your soils for."
 
 That is the purpose of a research project conducted by the USDA-Agricultural Research Service in Prosser, Wash.,-to further enhance the value of biochar by sequestering nutrients from dairy manure lagoons. Hal Collins, soil scientist/microbiologist and project leader, says the concept was successfully proved, but the one hurdle he has encountered is finding someone to provide a system to produce mass amounts of biochar. 
 
 
 Adding More Value 
 
 Using waste material from a nearby dairy with an anaerobic digester, Collins and his team were originally taking the liquid waste material from lagoons and applying it to soils as a nutrient source, as well as applying the fiber material as compost. The problem with using the liquid dairy manure is mainly the cost of transporting it to the field. "It's such a huge cost to move liquid from one location to the other, so if you can concentrate nutrients much like the fertilizer industry does, you're moving much less bulk," Collins says.
 
 In the past, Collins has worked on applying biochar to soils, and discovered its cost to be high as well. "Entrepreneurs want about $200 per ton of biochar, and our studies don't show much of an improvement in soil until about 10 tons of biochar is applied on an acre, so that's about $2,000 an acre," Collins says. "Our thought was we have this source of material, and also a problem with the high amount of nutrients in a small location like a dairy. We could take this material, pelletize it, pyrolyze it and obtain energy from that, and then put the biochar back into the lagoon with a filtering system in order to sequester the nutrients." 
 
 About 40 grams of biochar per liter of effluent was added to the 378-liter test lagoon and was then left for 15 days. Test results demonstrated the removal of 68 percent of the phosphorous and 14 percent of the nitrogen from the effluent. Mineralization experiments showed that 85 pounds of phosphorous per acre would be available to crops after the addition of 5 tons of enriched biochar per acre.
 
 According to Collins, dairies in Washington could produce 230,000 tons of nutrient-enriched biochar a year from manure, reducing leaching and runoff. He envisions the entire process occurring at a dairy or hog farm, where they would also be able to generate their own power via the pyrolysis process. 
 
 So what's next? Collins is still trying to find a pyrolysis unit that is able to make enough material to allow widespread field application. "We have had no luck," he says. "There are a lot of promises to build these units, but I haven't seen any. I don't fault them for not getting up and running, though, as it is all about money and the investors just aren't there."
 
 Collins says he built his own pyrolysis unit to make biochar, but what he really wants to do test is the quality of the biochar that the future industry will produce, rather than biochar produced under highly controlled conditions. "I understand there should be some companies in Oregon bringing units on line fairly soon, some of whom I've been speaking with," he says. One of those belongs to Halfway, Ore.-based Biochar Products Inc., which is working with Advanced Biorefinery Inc. in Canada to bring a mobile, 1-ton per day fast pyrolysis unit on line. Owner Eric Twombly says the machine has already been demonstrated in the forest, and after fixing a few engineering problems, a multi-stop demo trip in California is planned for next spring. 
 
 Twombly says a lot of people have claimed that they are able to build a biochar plant, but few have-partially because of a lack of capital, but also because many systems just aren't viable. "As much noise as there is about it, the problem is that it isn't as simple as it seems," he says. "It's easy to take a couple barrels with wood in it and make biochar out of it. Almost all slow pyrolysis systems require a batch process. When that batch process gets bigger, it needs a longer residence time. Once you scale it up, you can't produce very much, and that's the real limit." 
 
 Although researchers are currently willing to pay $1,000 to $2,000 per ton for biochar, in the long term it will probably be worth about $100 per ton, Twombly says. "If you're making 2 or 3 tons a day, that doesn't pay the bills, especially for biochar-only machines that don't belong to a farmer or those that aren't integrated with some other project where there's a need to get rid of waste."
 
 
 Looking Ahead 
 
 While the price of carbon, the absolute impact of using biochar as a climate mitigation tool, and the production, transportation and storage economics of biochar remain uncertain, Lehmann says there will be tradeoffs that will even out. "When applying it to soil, even if only 1 teragram (1 million metric tons) or 50 teragrams of carbon is offset globally with biochar, we will have improved soil quality and happy farmers," he says. "It still withdraws some carbon from the atmosphere, and that is a good way to go because it is a no lose." 
 
 Twenty-five years from now, the idea of what is sustainable may change, Amonette adds. "The global crisis may have deepened, and we could be looking at total disaster verses a small disaster, in which case there may have to be some tradeoffs that people make." 
 
 
 Anna Austin is a Biomass Magazine associate editor. Reach her <a href="mailto:aaustin@bbiinternational.com">aaustin@bbiinternational.com</a> or (701) 738-4968.

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A research project conducted by the USDA-Agricultural Research Service in Prosser, Wash., aims to enhance the value of biochar by sequestering nutrients from diary manure lagoons. PHOTO: USDA-ARS 

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Beyond  the  Hype

2010 also has been a year of uncertainty for the future of patenting carbon credit trading. The U.S. Supreme Court's docket included a case that placed the patenting of business methods, such as methods for providing financial services, squarely in the cross hairs. It was expected that the decision in Bilski v. Kappos (or Bilski, for short) would likely effect carbon credit trading patents and patent applications as well, although no one knew exactly how the Supreme Court would react. Strong arguments were made on both sides of the issue, but the justices' comments during oral argument suggested an intense skepticism of the patent eligibility of business methods.
 
 Regardless of what the Supreme Court did, someone was going to be disappointed. Bilski bore the immediate brunt of the decision, as the Supreme Court unanimously rejected Bilski's method for hedging risk in commodity trading. Beyond this, and in particular on the issue of the patenting of business methods, the Supreme Court found itself split. While business method patent holders were thankful that the Supreme Court did not opt for the certainty of holding all business methods patent-ineligible, no consensus has formed as to where the new lines might be drawn. Still, some helpful guidance may be gleaned from Bilski for parties looking to patent carbon credit trading methods.
 
 	
 The Gathering Storm
 
 Patent eligibility was the issue in Bilski. If a claimed invention is patent-eligible, the applicant must still show that the invention is patentable (useful, novel, nonobvious, and fully and particularly described). Patent eligibility is thus a gate through which the applicant must pass, not the finish line.
 
 Historically, patent eligibility has been defined by what is excluded from eligibility, rather than by what is included. Patents may extend to "anything under the sun that is made by man." Still, patent eligibility is not without its limits. In particular, there are three major exceptions to patent eligibility: laws of nature, physical phenomenon and abstract ideas.
 
 For a long time, the courts acted as if there was a fourth exception: methods of doing business. Then in the late 1990s, the courts did an apparent about-face, and a surge in business method patents followed. These patents might be for a method of insuring or hedging risk, or trading securities or commodities, or even for a method of trading pollution credits under a cap-and-trade type scheme. This surge continued until 2008, when a series of court decisions signaled a retreat from the previous open attitude towards the patent-eligibility of business method patents.
 
 The decisions attempted to provide certainty as to patent eligibility in a technology-neutral fashion. In particular, it was held that a method is not patent-eligible where it is not tied to a particular machine or apparatus, or does not transform a particular article into a different state or thing. Moreover, it was established that the "machine or transformation" test would henceforth be the one and only test for determining patent eligibility.
 
 While no one expected the Supreme Court to deliver a quick response to the machine or transformation test when Bilski was argued in November 2009, it would not be until the last day of the Court's term in late June that Bilski would again be in the news.
 
 
 The Storm Breaks
 
 On a certain level, the Supreme Court's reaction in Bilski is a study in consensus and certainty. All of the justices thought Bilski's claims were not patent-eligible. None of the justices thought that the machine or transformation test should be the "one and only" test. Beyond this, the nine justices appeared bitterly divided into two camps.
 
 In the end, four justices were able to convince one of the remaining justices to join just enough of their decision to claim to represent the majority of the Court. This turned out to be a good thing for business method patentees. If the group headed by retiring Justice John Paul Stevens had prevailed instead, the Court would not only have rejected Bilski's patent, but also pronounced all business method patents patent-ineligible. Thus, much of the story of Bilski is the majority opinion that might have been, rather than the majority opinion that was.
 
 In the end, the majority signaled that the analysis of patent eligibility would remain technology-neutral and focused on the three exceptions. Moreover, while disagreeing with the lower court that the machine or transformation test was the one and only test, the majority did agree that it was a good test and an important clue. Furthermore, in striking down Bilski's claims, the majority warned that if a process or method claim attempted to preempt all uses of a method, then it would be patent ineligible, as would a claim that merely attempted to limit such a method claim to a particular field of use.
 
 Under these conditions, business method patents lived to fight another day.
 
 
 A Bright, New Day?
 
 So, where does Bilski leave the patenting of carbon credit trading? Less certain than if Justice Stevens had prevailed, such that carbon credit trading methods would have been ineligible for patenting. 
 
 Bilski does not suggest a move to the unrestricted patenting of business method patents, however. The machine or transformation test still may be used to weed out patent-eligible methods from patent-ineligible methods. Consequently, a failure to tie in a machine to a method of trading carbon credits will likely end in a court or the U.S. Patent and Trademark Office determining that the claims are patent-ineligible. In fact, the Patent Office has already issued guidance to its examiners to continue to use the machine or transformation test as part of a "totality of the circumstances" approach, and evidenced skepticism that a method which fails the machine or transformation test could ever be patent-eligible.
 
 Bilski may best be viewed as a field with two fuzzy boundaries and an open area in between. On the one hand, if the applicant can express his or her invention in connection with a particularized machine, such as a computer, there is probably a good likelihood of success in obtaining a patent and/or withstanding a challenge to the patent. On the other hand, expressing the invention in a way that would preempt all uses of a method, or all uses within a particular field of endeavor, probably will result in no patent being granted or a successful challenge.
 
 However, the area in-between presents a range of opportunities for applicants who have applications on file, or who have not yet filed. Such applicants may opt for a strategy that combines claims drafted to meet the machine or transformation test with others that test the boundaries of what the Patent Office will consider to be preempting all uses or uses within a defined field. Such a strategy will likely need to consider how the machine is tied to the remainder of the method, however, for in suggesting that certain steps of the method must be performed on a single computer, for example, the patentee may unnecessarily limit the invention in this day and age of distributed computing and cloud networks.
 
 At the end of the day, Bilski may not have provided the certainty some wanted the Supreme Court to bring to the issue of patent eligibility. Considering the alternative, however, a little uncertainty might just be a good thing for those patenting carbon credit trading methods.
 
 
 Paul Craane is a partner at Marshall, Gerstein & Borun LLP. Reach him at <a href="mailto:pcraane@marshallip.com">pcraane@marshallip.com</a> or (312) 474-6623.

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2010 has been a year of uncertainty for the future of carbon credit trading. Optimism that the administration would push for an energy bill with a comprehensive national market-based compliance program has faded, while the sale of the first voluntary trading program in the U.S. for all six greenhouse gases, suggests a sagging commitment to a voluntary carbon trading market.

Patenting Carbon Credit Trading: Dodging Certainty

Posted Friday, September 3, 2010 at 11:00 a.m. 
 
 A groundbreaking ceremony held Aug. 31 in Edmonton, Alberta, was the culmination of many words-painting a picture of possibilities, visions and ideas for a waste-to-biofuels project, said Vincent Chornet, president and CEO of Enerkem Inc. "This morning, we put our words in action," he said. 
 
 Enerkem is starting construction with its partners, the City of Edmonton and the Government of Alberta. The $80 million project will produce 10 MMgy of cellulosic ethanol from municipal solid waste (MSW). That's enough ethanol to fuel more than 400,000 vehicles yearly with E5, Chornet said. "This plant is the genesis of a world transformation where our non-recyclable garbage will power the vehicles we drive and reduce carbon emissions," he added. 
 
 The project is the result of many years of planning and will have a positive effect on the environment, said Ed Stelmach, premier of Alberta. It will help Canada reach long-term emission reduction targets. "This is truly an investment in our environment, our economy, and most importantly, our future," he said. 
 
 The plant, which is expected to be completed in 2011, will be built, owned and operated by a wholly-owned subsidiary of Enerkem, Enerkem Alberta Biofuels LP. Edmonton has signed a 25-year agreement to convert 100,000 metric tons of the city's MSW yearly, all of which cannot be recycled or composted. The project was awarded $23 million in funding from the Government of Alberta and the City of Edmonton. 
 
 The facility will reduce Alberta's CO2 emissions by 6 million metric tons over the next 25 years by replacing a portion of petroleum fuels and avoiding methane emissions that happen during waste decomposition in landfills, the company said. Besides biofuels production, the facility will also include an advanced research facility and a municipal waste processing and transfer facility. The research facility will focus on developing and demonstrating technologies to convert biomass into biofuels and biochemicals. 
 
 Enerkem, which is headquartered in Montreal, operates a pilot facility in Sherbrooke, Quebec, and a 1.3 MMgy wood-waste plant in Westbury, Quebec. The company also hopes to build in the U.S. and has proposed a 20 MMgy waste-to-ethanol plant in Pontotoc, Miss. 
 
 SOURCE: ETHANOL PRODUCER MAGAZINE

Groundbreaking held for waste-to-fuel facility

Posted September 7, 2010, at 3:02 p.m.
 
 The USDA has announced an availability of $3 million in funding under the Rural Energy for America Program (REAP) to conduct feasibility studies for renewable energy systems for agriculture producers and rural small businesses. 
 
 The REAP/feasibility grant program provides grants for energy audits and renewable energy development assistance and funds to agricultural producers and rural small businesses to conduct feasibility studies for renewable energy systems. Eligible applicants include farmers, ranchers and rural small businesses who gain 50 percent or more of their gross income from the agricultural operations.
 
 Eligible feasibility study projects include those that will produce renewable energy from biomass, wind, solar, geothermal, hydro power and hydrogen-based sources. The energy produced may be heat, electricity or fuel. The grants are awarded on a competitive basis, may cover up to 25 percent of total eligible project costs, and are limited to $50,000. 
 
 For all projects, the system must be located in a rural area, must be technically feasible and must also be owned by the applicant.
 The application deadline is Oct. 5, 2010. To apply for funding for the REAP grant program, contact your state office for USDA Rural Development.

USDA seeks applicants for bioenergy feasibility study grants

Posted September 7, 2010 at 4:48 p.m.
 
 Over the past couple of years the biodiesel industry has trended toward utilizing fewer virgin oils, largely due to economic factors such as dependence on more expensive refined materials and reliance on low-value waste oils such as used cooking oil. Interest in securing and processing even lower-valued materials, such as trap grease and sewer grease, is also on the rise. BBI International's <a href="http://se.biomassconference.com">Southeast Biomass Conference & Trade Show,</a>Nov. 2-4 in Atlanta, will feature a panel on this very topic, titled, "Biodiesel from Waste and Low-Value Feedstocks." 
 
 Christina Borgese, president of PreProcess Inc., a company that focuses on scaling up alternative energy systems from bench- to commercial-scale, will present on converting problematic feedstock such as sewer sludge into process-ready feedstock for biodiesel production. Borgese, who comes from last year's World Economic Forum winner BioFuelBox, said much discussion in the arena of low-value feedstock centers on conversion technology rather than feedstock pretreatment, economic separation and overall cost reduction associated with an undesirable feedstock. "We focus on a heated, intensified, layered approach," she said of PreProcess' separation technique. Borgese will cover the engineering and economics of grease separation, including what has been done in the past, what is on the table at present, and what the future may hold. 
 
 Frank Yeboah, an assistant professor with North Carolina Agriculture and Technical University, will discuss his three-year biodiesel project with the U.S. Department of Defense. "We look to develop a simple computer model" that speaks to the economic viability of producing biodiesel from waste materials generated on military bases, such as used cooking oil from canteens, he said. The computer model will also generate information on how much petroleum the military can displace from such activities, in addition to the environmental (i.e., greenhouse gas emissions reductions, etc.) and energy security benefits offered. Yeboah is in year two of the three-year DOD project and anticipates having the very latest data from the project to share with the audience in Atlanta. 
 
 Ming Chai, a Ph.D. student at the University of Cincinnati, is also speaking on the biodiesel panel. Chai will discuss his collaboration with Bluegrass Biodiesel out of Falmouth, Ky., and plans to delve into the particulars of kinematics and acid-catalyzed esterification of free fatty acids. Chai will focus on issues associated with biodiesel conversion of used cooking oil and animal fat feedstock, in addition to trap grease, and will relay to the audience insights from his research. 
 
 Brandon Spence, CEO of the Winnsboro, S.C.-based Midlands Biofuels, a 300,000 gallon per year community-scale biodiesel plant, will round out the biodiesel panel in Atlanta by discussing plant operations using waste vegetable oil, and the new Southern Fried Fuels initiative that Midlands Biofuels recently kicked off. The initiative offers individuals a place to dispose of their used fryer grease instead of dumping it down the drain or throwing it away where it goes to landfills. Midlands Biofuels will pick up the used oil from the drop-off center at the city of Columbia's Public Works Facility, and haul the material to its Winnsboro-based methyl ester plant for conversion to quality biodiesel. 
 
 Ron Kotrba, editor of Biodiesel Magazine and BBI's new monthly publication, Biorefining, will moderate the panel. 
 
 To register for the Southeast Biomass Conference & Trade Show in Atlanta Nov. 2-4, click <a href="http://se.biomassconference.com">here.</a>

Biomass conference panel explores biodiesel from waste and low-value feedstocks

Posted September 8, 2010 at 9:40 a.m. CST
 
 A Colorado State University professor is developing an anaerobic digester that uses less water than conventional systems, making it ideal and economically feasible for use at feedlots and dairies in the western states. 
 	
 Sybil Sharvelle, assistant professor of engineering, said her process is separated into stages, beginning with water trickling over the solids and converting the organic material into liquid organic acids. Then the acids are converted to methane in a separate high-rate digestion reactor. Sharvelle has experimented mainly with animal waste, but said the process is appropriate for any waste with solids content of more than 40 percent. "Aside from manure, we are also testing the reactor for conversion of the organic fraction of municipal solid waste to methane," she said. The amount of water saved varies depending on the quality of the feedstock, she added.
 	
 "This technology is very beneficial in the arid West where water is a precious resource and also has a high dollar value," Sharvelle said. "Agricultural producers in the West work hard to conserve water because they are often limited by water rights or have a financial benefit to do so." The water required for conventional AD technology generally renders it economically unfeasible, she added. "The lower water requirement for the system we are developing will enable agricultural producers in arid climates to generate revenue through installation of the technology."
 	
 Sharvelle and graduate student Luke Loetscher are collaborating with Fort Collins, Colo.-based Stewart Environmental Consultants Inc. and the university's Agricultural Experiment Stations to evaluate the feasibility of anaerobic digestion at Colorado feeding operations, according to the university. The system is currently operating on a laboratory scale, but construction of a pilot plant is underway at a Colorado feedlot. The pilot will operate over the next year, followed by construction of large operations in the second year and full commercialization in three years, according to Sharvelle.
 	
 Stewart Energy, a wholly owned subsidiary of Stewart Environmental Consultants Inc., is working to commercialize the process and has an exclusive option to license it from the Colorado State University Research Foundation.

Professor develops water-saving AD process

Posted September 9, 2010, at 8:50 a.m. CST
 
 Washington, D.C. - U.S. Department of Energy Secretary Steven Chu announced today the investment of up to $16.5 million for two major research and development (R&D) initiatives that will support the expansion of renewable transportation fuels production. The first initiative will invest up to $12 million over three years for four projects to advance technologies for the thermochemical conversion of biomass into advanced biofuels that are compatible with existing fueling infrastructure. The second initiative provides up to $4.5 million for three projects that support research focused on designing landscapes that produce bioenergy feedstock while protecting air, soil, water, and wildlife resources and enhancing ecosystem services. These biomass R&D initiatives continue to strengthen the Department's efforts to accelerate development and deployment of sustainable, renewable biofuels in order to significantly reduce U.S. dependence on foreign oil. 
 
 "Developing cost-effective renewable transportation fuels is a key component of DOE's strategy to reduce green house gas emissions and move the Nation toward energy independence," said Secretary Chu. "These innovative projects will help America develop a clean, sustainable transportation sector while spurring the creation of jobs in the domestic bio-industry."
 
 Advanced Biofuels Technology Development – up to $12 million 
 
 These investments are for further R&D of thermochemical conversion catalysts and processes that will produce gasoline, diesel and/or jet fuel from biomass. Each selectee will utilize a thermochemical process known as pyrolysis, which breaks down biomass using heat in the absence of oxygen to produce a bio-oil. This bio-oil has shown potential to be refined and used in current infrastructure and vehicles.
 
 
 The projects selected for funding are:
 
 •	W. R. Grace & Company (MD) – New Technology for Processing Bio-oils to Produce Gasoline, Diesel and Jet Fuels – up to $3.3 million. This project will evaluate a specialized catalytic reactor designed to resist corrosion and extend catalyst life. These reactors have not yet been evaluated for use with renewable feedstocks such as pyrolysis oils. W.R Grace & Company will demonstrate the use of a single catalyst charge and reactor apparatus for more than 1000 operating hours to evaluate and improve the performance and lifetimes of pyrolysis catalysts and reactors.
 
 •	Pacific Northwest National Laboratory (WA) - Catalytic Deoxygenation of Pyrolysis Oils – up to $3.1 million. This project will collaborate with Albemarle Corporation and UOP LLC, a Honeywell Company in a three-year project to develop better processes to upgrade pyrolysis oil to hydrocarbon fuels. The goal of the project is to produce hydrocarbon fuels from bio-oil that are interchangeable with gasoline, diesel or jet fuels produced from petroleum. This project will develop an integrated and stable catalytic deoxygenation process for converting bio-oil to drop-in fuels. The project will also investigate catalyst and process parameters that lead to increased process performance over time to enable extended operations in future commercial-scale refineries.
 
 •	Gas Technology Institute (IL) – Long-Term Processing in the Production of Gasoline and Diesel from Biomass – up to $2.4 million. This project will demonstrate long-term processing and catalyst stability in an automated, integrated pilot plant that converts biomass directly to gasoline and diesel fuel. This advanced biofuel will contain less than 1% oxygen and can be blended with typical gasoline or diesel at 30% by weight or upgraded in typical refinery unit operations. Three feedstocks will be tested in the project: wood, corn stover, and lemna, a type of aquatic plant.
 
 •	Battelle Memorial Institute (OH) - Upgrading of Biomass Fast Pyrolysis Oil – up to $3.2 million. This project will develop catalysts and an integrated process tailored to upgrade pyrolysis bio-oil, demonstrate system operation for more than 1,000 hours using a single catalyst charge, and produce a final product that can be blended to 30 percent by weight with petroleum fuels or that is compatible with existing petroleum refining operations. Battelle will also test a novel commercialization model for the technology, by embedding it in small-scale, factory-built systems deployed widely where biomass is available at low cost. These systems would be built at significantly lower cost relative to large, fixed biorefineries.
 
 Sustainable Bioenergy Feedstock Production – up to $4.5 million
 
 These projects will take important steps to help design, model, and implement sustainable biomass production systems across different regions of the country, looking at a variety of feedstocks and critical factors like soil erosion and water quality. With sustainable production and processing, the nation's vast agricultural and forest biomass resources have the potential to provide a source of liquid transportation fuels, as well as biopower and bioproducts. 
 
 The projects selected for funding are:
 
 •	North Carolina State University – North Carolina State University will receive up to $2,092,892 for its project with sites in Mississippi, Alabama, and North Carolina that will evaluate the impacts on hydrology, water quality, wildlife, plant diversity, soil productivity, carbon budgeting, economics, and safety of biomass feedstock cultivation. N.C .State and partners will investigate biomass production options compatible with forest management with a focus on pine and switchgrass intercropping. The total cost-shared project value is $4,807,390.
 
 •	Purdue University - Purdue University will receive up to $1,592,385 for its project that will conduct a sustainability assessment of multiple species of energy crops including miscanthus, switchgrass, and hybrid poplar, and examine the impacts of removing of crop residues within two watersheds representative of conditions in the Upper Midwest. The project will gauge sustainability in relation to soil erosion, biomass yield, and aquatic biodiversity impacts and develop methods to optimize watershed landscapes to improve water quality and associated ecosystem services. The total cost-shared project value is $1,991,177.
 
 •	University of Minnesota – The University of Minnesota will receive up to $790,943 for its project that will analyze the Mississippi River watershed using a set of models to help stakeholders make informed decisions about what bioenergy feedstocks to use, where to produce or collect them, and what environmental impacts they will have in terms of climate change or other environmental shifts. The goal of this work is to estimate the biophysical and economic impacts of different placements of feedstock production operations on the landscape in order to maximize net benefits returned to farmers, biorefineries, and the public. The total cost-shared project value is $999,473.
 
 SOURCE: U.S. DOE

DOE awards $16.5 million for biomass initiatives

Posted September 9, 2010, at 2:40 p.m. CST
 
 Over the next year, researchers at the University of North Dakota's Energy & Environmental Research Center (EERC) will test multiple types of high-moisture feedstocks during a demonstration of the partnership between its gasifier and a Cummins Power Generation Inc. generator.
 	
 The design and operation of EERC's proprietary gasification system allow for feedstock with higher moisture content than traditional systems, according to Nikhil Patel, EERC research scientist. In the process, the moisture in the biomass is used to improve the hydrogen content of the resulting syngas, he added. Feedstocks used in the demonstration will include municipal solid waste, wet wood, turkey litter and other opportunistic biomass fuels that are underutilized, according Bruce Folkedahl, EERC senior research manager. "High-moisture biomass is a typically-found fuel," Patel said.
 	
 Cummins, based in Minneapolis, Minn., is a worldwide leader in internal combustion engines and stationary power generation, and thus is an ideal partner for this research. "The partnership is beneficial to both entities and will advance the state of the art in both distributed gasification and syngas use in internal combustion engine power generation," Folkedahl said. The Cummins generator normally runs on natural gas, but has been fitted for syngas by EERC researchers. 
 	
 The demonstration of the technologies together will produce between 20 and 40 kilowatts (kW) of electricity, which will be used to power an electric heater. "The ultimate goal of the project is to implement commercial projects," Patel said. Scale-up of the system will be based on the particular use of the technology and will vary from the current size up to 500 kW or larger. "Some applications may only require 50 kilowatts while others may need more depending on the end use of the electricity and the amount of biomass available for fuel," Folkedahl said.
 	
 The EERC hopes the outcome of the project will lead to further development and the demonstration of engine performance when using syngas. It will produce data for environmental permitting and provide strategies to achieve emission levels that meet current and future environmental regulations, which will be critical for successful commercialization of combined heat and power technologies.

EERC, Cummins partner for waste-to-energy 

Posted September 9, 2010 at 3:42 p.m.
 
 A Whitefish, Mont.-based company is working to further develop a greenhouse-based algae growth/anaerobic biodigester system that transforms algae and wood waste into methane for heat and power production, as well as an organic fertilizer. 
 
 Algae Aqua-Culture Technology was formed about two years ago, according to CEO Michael Smith, with initial research focusing on growing algae in geothermal water. After discovering the amount of geothermal water available was not sufficient for the size of the project, it was moved to Columbia Falls, Mont., to Stoltze Lumber Company mill. "They had a boiler problem-very old boilers that they needed to replace-and we had this algae project, so we thought we could help them by capturing their waste heat and CO2 as they upgrade their boiler system and pipe it into our system to supply the heat and energy needed for these algae ponds," Smith said. "We thought we could generate enough electricity to power our facility and the mill at the same time, and as we began looking at the outputs we realized that the anaerobically digested algae and biomass coming out of the system was producing a very high quality organic fertilizer. Because we're controlling the inputs-we're not using sewage, landfill waste or anything-we can get the material certified as organic. One thing that people involved in algae and bioenergy are doing is focusing on its ability to fix nitrogen." 
 
 Currently, the fertilizer is worth about 10 times more than the electricity produced, Smith said. "That's because the price of electricity is still relatively cheap up here. It's scheduled to go up, but it's fairly low right now." 
 
 Dubbed "Green Power House," the complete system consists of multiple components. "The reason it's a green house to begin with is because it takes warmth year-round to grow algae so we needed a covering for it," Smith explained. "Our photobioreactors in which the algae are grown are basically flat, horizontal pond systems that are covered with a plastic material so we can enclose that CO2 that comes in from the outside. We take the waste CO2 and heat from the existing boiler stack from the mill-they generate steam for the kilns to dry the timber-and send them to the algae as feedstock."
 
 The other main component of the system is an anaerobic bioreactor/digester, which is a specially- designed two-stage digester that Smith describes as a pipeline. "We separate the bacteria using precise temperature controls, during the asthmogenic and methanogenic phases of the bioreactors, and we use computers to control those temperatures," he said.
 
 After hydrolysis begins, the algae are pumped into the first stage of the bioreactor, where it is held at about 70 degrees Fahrenheit. "It's more of a fermentation stage," Smith said. "Once that stage is done-it takes five days-we start raising the heat up to the temperature of the methanogenic phase, and drop that down into another tank. The nice thing about the way this system works is that it uses computing-a lot of parallelism and pipelining in order to get better throughput."
 
 After other various stages, methane is pulled off and sent through a microturbine to generate electricity to operate the process, some of which is sent back to the mill. The CO2 released from the microturbine is sent back to the algae tanks as feedstock to grow more algae, demonstrating a closed-loop system. Though right now the power produced is just enough the fully power the Algae Aqua-Culture Technology facility and process, and also a little extra for the mill, Smith said in following stages that amount will increase. "This is the first stage, and we have up to two acres we can grow in. This covers about 1/8 of an acre so as this project proves out to be successful, we'll expand," he said.
 
 While the idea right now is to use these systems on-site at small and medium scales, Smith said it could be economical on a large scale. "We've had discussions with coal-fired power plants and oil refineries and have concluded that it could very well work," he said. "There's certainly a lot of excess heat and CO2, it's just a matter of balancing the amount of each available, as well as nutrients, so that we can keep the process running continuously. "
 
 Now armed with a $350,000 grant awarded by the Montana Department of Environmental Quality, Smith said his company has enough capital to complete one Green Power House. In order to make the technology fly economically, however, between three and five units must be built. Financing has been the biggest challenge, he added, as everything until now has been financed out-of-pocket. 
 
 Following capital costs, Smith said the most difficult part in developing the system hasn't been advancing the technology, rather it has been integrating the many components of the system. "We're not genetically modifying algae or doing rocket science, as the science behind these technologies has been around for 100 years," he said. "The idea is for each one of these components to be autonomous and controlled by an autonomous agent, and matching inputs to outputs isn't trivial." 
 
 Smith, who has an extensive background in software engineering, helped design the character physics for the football video game Madden NFL, in which each character required hundreds of inputs to demonstrate that it is doing something humanistic. "If we can do that in a gaming technology, there's no reason we can't come up with processes and controllers that can regulate the amount of CO2 and heat that are available through the diurnal cycle. All of those parameters should be very easily controlled."

Company develops algae/wood-to-methane system

Posted September 10, 2010, at 10:07 a.m.
 
 The U.S. Department of Veterans Affairs (VA) is planning to install a biomass combined-heat-and-power (CHP) system at Veteran Affairs Medical Hospital in Canandaigua, N.Y., and has selected Lockheed Martin and Whiting Turner as winner of the $15 million contract. 
 
 The fully-automated system will run on locally-sourced woody biomass, including wood chips and bark salvaged from local lumber yards and logging operations. Lockheed Martin spokesman said the boilers to be installed will use an estimated 15,000 tons of wood chips annually.
 
 Lockheed Martin will build, install and test the equipment as well as train hospital employees to maintain the biomass system. Whiting Turner will provide onsite construction leadership and work with the VA to integrate the biomass system.
 
 Lockheed Martin has a biomass CHP facility in Owego, N.Y., that opened in 2008. By switching from fuel oil to wood chips, the project has reduced the plant's heating and cooling bills by half and reduced its carbon footprint by 25 percent. The Canandaigua biomass system will be the same configuration as the system in Owego.
 
 The project is being funded through the American Recovery and Reinvestment Act of 2009. 
 
 Smith said this will mark the company's second project after its Owego facility. Construction on the Canandaigua plant will begin this month and will take about three years to complete, according to Smith.

Veteran affairs medical center plans biomass CHP system

Posted September 13, 2010, at 8:56 a.m.
 
 The U.S. Department of Treasury's Section 1603 grant program has been a popular funding mechanism for biomass project developers, but it's also caused a lot of confusion.
 
 Gregory Jenner, an attorney with Stoel Rives LLP, will clear up that confusion during his presentation, Planning for Section 1603 in 2010 and Beyond, at the Southeast Biomass Conference & Trade show that will be held Nov. 2-4 in Atlanta. 
 
 "There are a lot of deals that are getting done based on 1603," Jenner said. "It really has been a game changer. In fact, I think it has kept the renewable energy industry alive for these past two years."
 
 The U.S. Department of Treasury's Section 1603 grant program was offered to renewable energy project developers in lieu of the Investment Tax Credit. The program gives developers the ability to offset project costs through a 30 percent (depending on the type of energy project) grant, and is expected to provide about $3 billion for the development of renewable energy projects around the country.
 
 "Actually this came about as a result of the Stimulus Bill and it basically is cash in lieu of tax credits," Jenner said. "So for the first time, you don't have to go through all of the various structuring in order bring investors in to take advantage of the tax credits, this is just cash on the line."
 
 The problem is that the program sunsets at the end of this year and in order for projects to qualify they must have begun construction before the end of 2010. It's the "beginning construction" requirement that is causing all the confusion.
 
 "Nobody has ever dealt with this beginning construction requirement before," Jenner said. "You either have to place your facility in service by the end of 2010 or you have to begin construction by then." 
 
 Jenner points out that there are two ways to meet the beginning construction requirement and benefit from the program. "One of them requires that you pay or incur more than 5 percent of the total project costs," he said. "When you think pay or incur, most laymen or nontax people think, ‘Oh well, if I just pay it that's enough,' but it isn't. Pay or incur has a very specific meaning in the tax world and it's gotten a lot of people in trouble when they think the rule goes one way and it goes another." 
 
 The Treasury Department has also deemed that physical activity that occurs before the end of the year can meet the beginning construction test but the activity must be continuous. That means that a developer can't go out on New Year's Eve and start digging around and then cease activity for a year, he said. "On the other hand, it doesn't have to be the developer itself that begins construction," he added. "Beginning construction can be met by work off-site, and so there are different ways that you can meet that requirement as well." 
 
 Developers should also take a closer look at any contracts they've entered into to build renewable energy facilities. "Quite frankly, if they have contracts in place they may very well not be up to snuff," Jenner said. "There are certain requirements that have to be met for the contract itself to qualify. And if they don't meet that requirement they could be in trouble."
 
 Jenner will be joined on the panel by Hamang Patel, an attorney with Michael Best & Friedrich. His presentation, Biomass New Market Tax Credit Financing, will focus on how biomass project developers can take advantage of the new market tax credit program, which directs money to businesses located in low-income census districts.
 
 The panel will be moderated by John Eustermann, a partner with Stoel Rives LLP.
 
 For more information on the Southeast Biomass Conference & Trade Show, visit the website at http://<a href="http://">se.biomassconference.com</a>.

Biomass conference will address project finance options

A 30-megawatt biomass power plant proposed for County Antrim in Northern Ireland is much closer to fruition, having gained approval from Northern Ireland Environment Minister Edwin Poots. The &pound;100 million pounds ($158 million) plant will run on 220,000 metric tons (242,500 tons) per year of poultry litter, along with 40,000 metric tons of meat and bone meal (MBM), according to developer Rose Energy Ltd. The electricity it produces, enough to power 25,000 homes, will be sold to the national grid, according to Osvaldo Mauro-Hun, Rose Energy chief executive. &ldquo;The decision by the Northern Ireland environment minister to approve the plans represents a major step forward for the country&rsquo;s capacity to produce renewable energy,&rdquo; he said. &ldquo;Rose Energy will generate a third of the nonwind portion of Northern Ireland&rsquo;s renewable energy obligations and allow it to utilize valuable biomass fuel sources locally, thereby contributing to a more secure energy future for the region.&rdquo; The location, about 20 miles from Northern Ireland&rsquo;s capital city of Belfast, was chosen from a pool of 38 possibilities, partially because of its close proximity to the MBM source, situated next to the plant site, Mauro-Hun said. MBM is currently exported from Northern Ireland for use as a green fuel in biomass plants and cement kilns, but Rose Energy&rsquo;s plant will allow it to be used locally instead. The poultry litter feedstock, composed of wood shavings and poultry droppings, will come from farmers who supply Moy Park Ltd., which sells its own label and customer-branded chicken products to leading retail food service customers across Europe. Other reasons for selecting the site include its close proximity to a water source, and its ability to strengthen the electricity infrastructure in an area that is currently deficient.
The poultry industry is Northern Ireland&rsquo;s second largest and accounts for about 7,000 jobs, Mauro-Hun said. This biomass power project will help protect those jobs and will also defer thousands of tons of poultry litter destined for landfill spread, according to the company. The construction industry in the region will also benefit from the project, which will ensure about &pound;15 million worth of civil works packages and about &pound;10 million of mechanical and electrical money through locally based companies, he said. Between June 2008 and August 2010, the Northern Ireland Planning Authorities carried out a detailed and extensive review of Rose Energy&rsquo;s proposal, coming to the conclusion that it should be given the go ahead, Mauro-Hun said. &ldquo;In doing so, the planning authorities also recognized the robustness of the proposal and have shown that they are fully confident that all aspects of the proposal&mdash;technology, location, fuel availability, health, traffic&mdash;have been properly addressed by Rose Energy,&rdquo; he added. The company has applied for government funding, but does not yet know if it will receive any. The remaining portion of the expenses will be privately funded by the consortium, he said. Rose Energy did not release a construction commencement date, but said it is committed to beginning the construction phase as soon as possible and expects it to last about 2&frac12; years.

A 30-megawatt biomass power plant proposed for County Antrim in Northern Ireland is much closer to fruition, having gained approval from Northern Ireland Environment Minister Edwin Poots. 

Northern Ireland poultry litter biomass plant approved

Posted September 14, 2010, at 10:46 a.m. CST
 
 The University of Montana in Missoula could reduce its carbon footprint by 20 percent with a new biomass combined-heat-and-power (CHP) plant, pending approval in November from the board of regents. 
 	
 The $13 million plant would run on about 60 to 70 tons of forest slash per day, depending on the moisture content of the feedstock, and produce 700 kilowatts (kW) of energy for the campus, according to Hugh Jesse, director of facilities at the university, although supply agreements are still in early discussions. "It's intended to take over 60 percent of our existing load of steam on campus," Jesse said. The facility will use a Nexterra Systems Corp. gasification system with a back pressure turbine and will be an addition to an existing natural gas heating plant on the campus. The existing plant will remain operational during peak hours. 
 	
 The school's annual carbon footprint is about 45,000 tons, according to Sustainability Coordinator Cherie Peacock, and the biomass CHP facility will more than fulfill the Climate Action Plan goal of 10 percent carbon reduction by 2015. The plan also strives for carbon neutrality by 2020. 
 
 Feasibility studies are underway, including those to determine availability of feedstock. The school has applied for a U.S. Forest Service grant and other funding opportunities through its performance contractor, Jesse said.
 	
 Besides the carbon reduction, the plant will also represent monetary savings for the school. "The cost of the fuel is less than the natural gas and the project has to pay for itself," Jesse said. "This has to be net zero or better to go forward." If the project is approved, construction will begin in the summer of 2011, he added.
 
 The facility could also serve as a learning opportunity and be incorporated into the university's curriculum. "That is one of the factors we're trying to work on," Jesse said.

UM considers biomass CHP

Posted September 14, 2010, at 4:28 p.m. CST
 
 The proposed conversion of an Ontario coal-fired power plant to biomass has achieved a critical next step in project implementation-the province has directed the Ontario Power Authority to begin negotiations to purchase power generated at the plant.
 
 The 211-megawatt (MW) Atikokan Generation Station, which is about 200 kilometers (125 miles) northwest of Thunder Bay, Ontario, will be the first power station that Ontario Power Generation will convert to biomass. The company owns three other coal-fired power plants in Canada, and has previously announced plans to evaluate repowering all of them with biomass by the end of 2014.
 
 OPG Spokesman Ted Gruetzner said that although the order from the province to the OPA to buy the biomass power is one important pillar to the project, capital costs and availability of fuel are still being evaluated. 
 
 The Atikokan plant will require about 90,000 metric tons (99,000 tons) of wood pellets per year; less than 1 percent of the total allowable annual forest harvest in Ontario. OPG began a call for potential feedstock suppliers in mid-March. "We had some interest in that, but we're still working through that process in terms of coming out with the supply contracts," Gruetzner said.
 
 OPG's proposed biomass conversions are in accordance with Ontario's commitment to eliminate all coal-fired power generation in the province by the end of 2014, as part of the province's Green Energy Act of 2009. The act also features North America's most comprehensive renewable energy feed-in tariff, which offers guaranteed and attractive prices to developers of biomass, biogas, wind, water and solar power projects. The rate for biomass is 13.8 cents per kilowatt for plants under 10 MW and 13 cents for larger facilities.
 
 According to the Ontario Ministry of Energy and Infrastructure, in 2009, generation by Ontario's coal plants was at its lowest level in 45 years, down more than 70 percent from 2003.
 
 Provincial Parliament Member Bill Mauro said the power purchase agreement marks the end of six years of efforts to keep the Atikokan generating station running, as closure of the plant would have been devastating to businesses and homeowners in Atikokan, a town of about 3,400 people. Aside from saving jobs at the plant, OPG estimates that about 200 construction jobs will be created during the conversion. 
 
 Gruetzner said there is no date set to begin the project, but since the plant must stop burning coal by 2014 it expects to begin work in 2012 or 2013.

Ontario biomass conversion plans progress

Posted September 16, 2010, at 9:37 a.m. CST
 
 A <a href="http://www.cibo.org/pubs/boilermact_jobsstudy.pdf">study</a> commissioned by the Council of Industrial Boiler Owners found that implementation of the U.S. EPA's proposed Boiler MACT rule as is would result in substantial job loss, as well as reduced U.S. gross domestic product. 
 	
 The rule would strictly limit emissions of five hazardous air pollutants (HAPS)-mercury, hydrogen chloride, particulate matter, carbon monoxide and dioxin/furans-for industrial, commercial and institutional incinerators, boilers and process heaters, including those using biomass. Under the proposed rule, sources emitting 10 MMBtu per hour and greater will be required to comply with numerical emission limits for those pollutants. In addition, many biomass boilers formerly categorized as multifuel boilers would fall under the incinerators category and would be subject to the emissions limits. 
 	
 The new CIBO study, The Economic Impact of Proposed EPA Boiler/Process Heater MACT Rule on Industrial, Commercial, and Institutional Boiler and Process Heater Operators, found that for every $1 billion spent on MACT upgrade and compliance costs, 16,000 jobs will be put at risk and the GDP could be reduced by as much as $1.2 billion. Much of that pain would be suffered in supplier networks, it adds. Biomass Power Association president and CEO Bob Cleaves has been warning of the monetary expense and job loss dangers of the proposed rule since its release in June, saying it would require costly retrofits at almost 100 percent of existing biomass power plants. "The Biomass Power Association has repeatedly emphasized that the EPA's proposed MACT ruling will cause the loss of thousands of jobs across America in an already troubled economy," Cleaves said. "The Council of Industrial Boiler Owners is buttressing our views with its report on the potential effect of the MACT rule on jobs. We ask again that the EPA review its proposed ruling on biomass boiler emissions to consider what is at stake environmentally and economically for Americans." 
 	
 Cleaves has charged that the limits are unachievable and would devastate the biomass industry. According to the CIBO study, biomass won't be the only industry hit. "The Council of Industrial Boiler Operators believes its members may be subject to significant economic hardship should the proposed EPA rules regulating boiler emissions be adopted," it reads. "Potential consequences include the shuttering of domestic manufacturing capacity-and the associated jobs losses-for those CIBO members that find the capital costs associated with compliance via plant retrofitting make it economically unfeasible to continue operations."
 	
 The study was conducted by economic forecasting firm IHS Global Insight and quantifies the economic impact of compliance to the proposed standards by all impacted sources. Upgrade costs alone for all the proposed standards would cost the country more than 337,000 jobs, the study forecast, and $5.7 billion in taxes. 
 	
 "The study released today (Sept. 15) by CIBO is but further evidence that excessive regulation would result in lost jobs-and those jobs won't come back," said American Forest & Paper Association CEO Donna Harman, adding that AF&PA commissioned its own study released in August that also showed significant job loss forecasts. "The CIBO study, much like the jobs impact study AF&PA released, shows disturbing job losses that can still be avoided as the rule is being considered by EPA." The comment period on the proposed MACT rule ended Sept. 14 and the rule should be finalized by Dec. 16 of this year. 
 	
 "Policymakers are rightly saying that we need to preserve and create more American manufacturing jobs today," Harman said. "This proposed Boiler MACT rule overshoots the mark and would result in Americans being put out of work. EPA has a choice-they can regulate in a way that protects both jobs and the environment, or they can regulate in a way that sacrifices jobs."

Study: Proposed Boiler MACT means significant job loss

Posted September 16, 2010, at 9:42 a.m. CST
 
 Lincolnway Energy LLC, a 55 MMgy ethanol plant in Nevada, Iowa, will receive a $1.9 million repowering grant from the USDA. The money will be used to purchase biomass, which will be burned in an existing boiler to offset the plant's use of coal. "I think we'll be able to substantially reduce our coal usage," said Rick Brehm, the plant's president and CEO. 
 
 Secretary of Agriculture Tom Vilsack announced Sept. 9 that Lincolnway was selected for the Repowering Assistance Program. Authorized under the 2008 Farm Bill, it allows the USDA to make payments to eligible biorefineries for the use of biomass as a replacement fuel source for fossil fuels. Biorefineries that use biomass to provide process heat or power and were operating when the bill was enacted on June 18, 2008, are eligible to apply. 
 
 Receiving grant approval is the culmination of 18 months of work, Brehm said. "We felt that the ethanol industry is a green industry and if there is a way that we could be more green and more renewable we wanted to attempt to move that direction," he said. 
 
 A feasibility study that concluded last summer identified tree trimmings as the best feedstock for the boiler. The tree trimmings would be gathered from local communities. "We're in close proximity to the city of Des Moines, and every year there are tons and tons of tree branches of trees that are taken down," he said. 
 
 However, a lot of things have happened in the biomass industry in the last 18 months. Lincolnway is now in the process of re-evaluating types of feedstocks and potential suppliers. "We want to make sure conditions have not changed dramatically from when we did the study," he said. 
 
 Other possible feedstocks include ag residues, such as corn stover or soybean stalks. The company is also evaluating using other wood-based materials, such as old wooden pallets that are no longer able to be reconstructed. 
 
 The company is now working out a timeline for the project. The goal, Brehm said, is to have storage, conveyance and ejection equipment installed in the next year to a year and a half. The grant of $1.9 million will be paid in installments for the cost of biomass, with the majority of the equipment costs left up to Lincolnway. "We would anticipate that our cost would be somewhere about $2 million invested," he said. 
 
 SOURCE: ETHANOL PRODUCER MAGAZINE

Ethanol plant embarks on biomass project

Posted Sept. 17, 2010, at 8:25 a.m. CST
 
 Knowledge is gained from experience, so when embarking on a new biomass power project, such knowledge is often sought from seasoned industry experts. While sound advice may seem relatively easy to attain-especially when paid for-in some instances the advice dispenser may not have hands-on experience or first-hand accounts of biomass power projects. 
 
 At the Southeast Biomass Conference & Expo in Atlanta Nov. 2-4, attendees will have the opportunity to listen to and engage with individuals who can divulge details of real-life biomass power projects during the panel discussion Making It Work: Lessons Learned in the Trenches. 
 
 Abener Engineering Business Development Director Christopher Hutson will explain how to create value and save money through the development of biomass and energy projects, discussing various examples of real biomass, cogeneration, combined heat and power (CHP) and biofuel projects that Abener has completed or is presently working on. "Details of how Abener was able to save cost, improve schedule or improve quality through various task will be discussed," Hutson said. Examples will include site selection, feedstocks, modularization of equipment, scope definition and other related improvements. 
 
 "Attendees should find the information useful in the planning and development of projects in biomass, cogeneration, CHP and biofuels," Hutson added. "They will see the usefulness of proper planning techniques and options through various projects, that can help to save time and cost in the development of their projects." 
 
 Terry Walmsley, vice president of environmental and public affairs for Fibrowatt LLC, will provide a look at a unique source of biomass power-poultry litter-and will explain how this form of biomass represents not only a dependable fuel source in the Southeast but also offers environmental and sustainability benefits for the fuel supplier. 
 
 Fibrowatt built the first poultry-litter fueled power plant in the U.S. in Benson, Minn. The plant was opened in 2007, and Fibrowatt is now working on projects in other states. "With greater scrutiny being placed on sustainability and the environmental implications of biomass power, I'll also provide an overview on how poultry litter and Fibrowatt's technology can address the challenges inherent with traditional biomass power in the U.S.," Walmsley said.
 
 BIOFerm Energy Systems President and CEO Nadeem Afghan will outline the challenges and opportunities in developing anaerobic digestion (AD) projects. "My presentation will discuss all of the pieces of the puzzle that need to come together to successfully develop an AD project," he said. "Many factors must be considered, including feedstock source, site selection, digestate handling and utility interconnection."
 
 Attendees will find Afghan's presentation especially helpful if they are dealing with waste management issues in a municipality, on a university campus or at a composting facility and are looking for a solution to divert their organics away from the landfill, he added.
 
 Also joining the panel will be Johnny Legget, senior project manager for Hunt, Guillot & Associates, who will discuss lessons learned from two biomass power facilities engineered by HGA that are currently in operation-a sugarcane bagasse-fueled power plant for Rio Grande Valley Sugar Growers Association in Harlingen, Texas, and a woody biomass-fueled CHP plant for Smurfit-Stone in Hodge, La.
 
 David Benson of Stoel Rives LLP will moderate the panel. 
 
 To register for the Southeast Biomass Conference & Trade Show, visit <a href="http://se.biomassconference.com">http://se.biomassconference.com</a>.

Conference panel to explore lessons learned in biopower

Posted September 17, 2010, at 9:18 a.m. CST
 
 BBI International, a leader in globally recognized bioenergy events and trade magazines, has launched a new magazine and international conference. Biorefining magazine and the aligned International Biorefining Conference & Trade Show will provide a new communications avenue for the emergent global industry of advanced biofuel and biobased chemical production.
 
 "With this dedicated biorefining publication and corresponding event, we're producing highly focused, vertically integrated editorial content and conference programming," says Ron Kotrba, editor of Biorefining. "Starting in October, Biomass Magazine will be rebranded as Biomass Power & Thermal to illustrate the three-year-old publication's exclusive editorial focus on the biobased electricity and heat generation sectors. At the same time, the editors of Biorefining will focus on advanced biofuels and biobased chemicals. This strategy will allow us to serve our readers even more effectively."
 
 Biorefining provides in-depth coverage of advanced biomass refining-technology scale-up, project finance, policy and markets-with a core focus on the industrial, refining and agribusiness alliances defining the industry. The publication is tailored for industry professionals engaged in producing, developing and deploying advanced biofuels and biobased chemicals. Monthly, the magazine will reach more than 5,000 readers including producers, future producers and developers of advanced biofuels and biobased chemicals; investors; owners and managers of existing industrial facilities; petroleum refining executives; agricultural processing leaders; waste management executives; government and military officials; municipal decision makers; researchers and other professionals in the biorefining sector. The inaugural issue will be mailed to 15,000 industry professionals. The contents of that issue, along with daily industry news coverage, can now be viewed online at <a href="http://www.biorefiningmagazine.com">www.biorefiningmagazine.com</a>. 
 
 "We're at the forefront of the next generation of biorefining, and our readers, advertisers, attendees, and exhibitors are excited about the direction we're taking to better serve them," says Joe Bryan, CEO of BBI International. "They face unique challenges and opportunities with biobased chemicals and advanced biofuels, and we're glad to play a role as a vital information and market intelligence conduit for key stakeholders in this industry."
 
 The International Biorefining Conference & Trade Show will be held November 16-18, 2010, at the Omni William Penn Hotel in Pittsburgh, Penn. It will feature more than 50 speakers within more than a dozen panels. More information can be found online at <a href="http://www.biorefiningconference.com">www.biorefiningconference.com</a>.
 
 About BBI International
 BBI International produces globally recognized bioenergy events and trade magazines. In addition to the International Biorefining Conference & Trade Show, BBI owns and operates the International Biomass Conference & Expo and its allied regional events, as well as the largest, longest-running ethanol conference in the world-the International Fuel Ethanol Workshop & Expo (FEW). The company publishes Biorefining magazine, Biomass Power & Thermal magazine, Ethanol Producer Magazine, and Biodiesel Magazine, as well as a number of ancillary products including maps, directories, e-newsletters and other web-based industry resources.

BBI International launches Biorefining magazine and conference

Posted September 17, 2010, at 11:30 a.m. CST
 
 When USDA placed a hold on the Biomass Crop Assistance Program in February until the final rules were established, it was anticipated that the program would be back by the end of the summer. As fall rolls around, the final rules are still not out and it's unclear when that will happen. 
 
 Meanwhile, the program freeze has left those who were depending on collection, harvest, storage and transport (CHST) payments, which were being distributed before the program was halted, in sticky financial situations, and others unsure how to budget for 2011 or what crops to plant.
 
 BCAP is part of the 2008 Farm Bill and was designed to support the establishment and production of eligible crops for conversion to bioenergy in selected areas, and to assist agricultural and forest landowners and operators in supplying eligible material to biomass conversion facilities.
 
 CHST payments, the first of two different types of financial assistance BCAP will offer, provides matching payments to eligible biomass material suppliers in the amount of $1 per $1 paid per ton delivered to qualified biomass conversion facility-a facility that will use the material to produce power, heat, biobased products, advanced biofuels or any combination-up to $45 per dry ton for a time limit of two years after the first payment is made.
 
 According to a USDA report released in August, CHST payments dispensed to date total just less than $243 million. The USDA has estimated BCAP spending to total about $2.6 billion, including $2.1 billion for CHST matching payments over the next four years.
 
 USDA Farm Service Agency Communications Chief Kent Politsch said that the rules are moving through the approval process, but because there are so many branches of government that have to sign off on them, exactly when they will be ready for release is unpredictable. "It could happen in 10 days or a month or more," he said. "Some agencies take longer to review it than others."
 
 Steve Flick board president of Centerview, Mo-based Show Me Energy Cooperative, the first farmer-owned co-op in the U.S. to apply and qualify for BCAP CHST payments, said that the lack of payments, mainly in the last three months, has negatively impacted the co-op. "There are two things that have impacted us tremendously in Missouri," said Flick. "The shutting off of BCAP, and also extremely wet weather-since spring, we've received twice the normal rainfall in western Missouri and there are switchgrass fields under water." 
 
 Show Me is comprised of over 600 midwestern farmer-owners.
 
 Flick pointed out that while biomass crops such as switchgrass and miscanthus thrive in wet weather, farmers can't get into the fields to bale the biomass energy crops. "We don't mind getting rained on, but it's just getting the time to bale, and biomass has to be dry enough to do that," he said.
 
 The lack of BCAP rules has also impacted farmers from a crop selection standpoint, Flick pointed out. "Farmers need to make some decisions as to what they're going to do with some of their marginal land and sign up for the program within the next month or two. If they don't, they lose a planting cycle. Typically, native grasses can be planted throughout the winter and spring up to July, but after that you have to wait another year. Nobody wants to move until they find out what those rules are." 
 
 From Flick's perspective part of Show Me's success stems from getting things rolling before the economic crisis. "There is an underlying current of farmers in the U.S. that want to do this [grow energy crops], and the only thing holding them back is capital. We feel lucky to have launched in 2007, because in today's capital-constrained market, I don't think if we could be doing what we are doing." 
 
 Aside from negatives associated with the BCAP freeze, Flick remains very confident in BCAP's success; in particular, competence of Farm Service Agency Administrator Jonathan Coppess. "He is going to do a good job-he's got the vision and aptitude to make it work," he said. "He's the right man to do that job, and it's not easy."
 
 Coppess was appointed to serve as administrator of the FSA in July 2009, having previously served as the deputy administrator for farm programs at the agency.
 
 "They know they need to roll it [BCAP rules] out, and they're doing an awful good job of trying to go through 24,000 comments, which is a tremendous undertaking," Flick said. "I really think their contention is to make absolutely sure we don't have any more debacles like we did last time."
 
 The proposed BCAP rules contained several loopholes and oversights that prompted the program freeze. One example is the CHST qualification of certain materials that the pulp and particleboard/fiberboard manufacturers utilize such as bark, sawdust and shavings, which began drastically inflating costs for materials for that industry.
 
 The final rule aims to fix that problem and others. Until then, it's a waiting game. "We're very anxious because we feel that this is a good program for farmers," Flick said. " It's our destiny as a country to reduce our dependence on foreign oil, and I don't care if it's liquid fuel or power, BCAP is the way to get started," Flick said.

Biomass industry anxious for BCAP to resume

Posted September 20, 2010, at 11:37 a.m. CST
 
 If drafted renewable portfolio standard (RPS) regulations pass in Massachusetts, biomass power plants will be required to achieve between 40 and 70 percent efficiency and 50 percent greenhouse gas (GHG) reduction relative to life-cycle emissions from a combined-cycle natural gas facility using the most efficient technology. Not only would those standards be nearly impossible to meet without substantial investments, but it would thwart development of new plants, costing hundreds of jobs in an already struggling economy. 
 	
 The Massachusetts Department of Energy Resources released <a href="http://www.mass.gov/?pageID=eoeeaterminal&L=4&L0=Home&L1=Energy%2c+Utilities+%26+Clean+Technologies&L2=Renewable+Energy&L3=Biomass&sid=Eoeea&b=terminalcontent&f=doer_renewables_biomass_policy-reg-process&csid=Eoeea">draft regulations </a> for RPS qualification Sept. 17, drawing from the results of the Manomet Center for Conservation Sciences' Biomass Sustainability and Carbon Policy Study, along with public input. 
 
 The study results showed a debt-then-dividend model in which woody biomass power initially emits more carbon per unit of energy than fossil fuels and makes it up over time. But it has been controversial in numerous aspects, perhaps most notably its evaluation of whole tree feedstock, which no biomass power plants utilize. It does take slash and forest residue into account, but only alongside whole logs. That greatly affects the carbon footprint, according to Bob Cleaves, president and CEO of the Biomass Power Association. "So essentially, the patient has been given a prescription for an ailment that doesn't exist," Cleaves said in a media call Sept. 20. The regulations will determine which projects will receive renewable energy certificates, therefore determining economic feasibility. 
 	
 The draft regulations also include an encompassing definition of biomass, further limiting all biomass harvests to just 15 percent of the weight of all forest products. That greatly increases forest fire hazards as well as takes away a key market for forest owners, according to Kent Lage, executive director of the Massachusetts Wood Producers Association, who also participated in the call. The limitation should be based on a site-specific evaluation, not a one-size-fits-all standard, he added. "We've got some major concerns about that."
 	
 Pioneer Renewable Energy is developing a $250 million, 46-megawatt biomass power plant in Greenfield, Mass., that would pay more in local property taxes than the top 10 taxpayers combined, according to Principal Matt Wolfe. He argued the rules will most certainly stop development in all of New England, specifically the efficiency standard. "In our opinion, it's completely arbitrary and not scientific," he said. 
 	
 Richard Rosen, of American Ag Energy, said he has proposed projects that would allow greenhouses to use heat from biomass power plants, but the proposed regulations would stomp them out. "We have four projects under development now in New England and none of them will be built under these rules," he said.
 	
 Wayne Lehman of Laborers Local Union 596 echoed the same sentiment, focusing on job loss. "Our guys need jobs," he said. "We have no jobs right now. I have guys who are having trouble putting food on their families' tables." When jobs in the biomass sector have arisen recently, they have been shot down just as quickly, he added. 
 	
 The proposed rule also mandates cutting plans, fuel certificates, tonnage reports and forester certifications. In addition, Forest Impact Assessments must be conducted by the DOER every five years. Generation units using eligible woody biomass fuel or manufactured biomass fuel would also have to produce a quarterly report addressing biomass input heat content, useful thermal energy, merchantable bioproducts, renewable generation and overall efficiency. A comment period on the proposed rules is open until Oct. 21 and final rules should be released by the end of the year.
 	
 No state has proposed, let alone implemented such strict efficiency standards and Cleaves maintains they are unachievable and would "chill" any project in the commonwealth of Massachusetts, where biomass currently makes up 50 percent of the renewable portfolio. He said the rules attempt to increase efficiency of a project that doesn't exist-one that uses whole trees. "We are confident that no new facilities will be based in New England under these rules," he said.

Massachusetts proposed RPS stymies biomass

Posted September 20, 2010, at 1:43 p.m. CST
 
 If a University of Nevada, Reno, research project works as planned, municipal wastewater treatment facilities could turn their sludge into power for their own operations.
 
 Researchers are demonstrating their sludge-drying equipment at the Truckee Meadows Water Reclamation Facility and ultimately hope to gasify the dry sludge product to power the plant. The system currently takes 20 pounds of sludge per hour and produces about 3 pounds of dried powder, but would need to be about 100 hundreds times that size to be commercially attractive to the industry, according to Chuck Coronella, principle investigator for the project and associate professor of chemical engineering at the school. 
 	
 The sludge, about 75 to 80 percent water, is fed into a fluidized bed of sand and salts operating at about 165 degrees Fahrenheit, Coronella explained. As the sludge falls into the bed, it is heated to cause quick fragmentation. As it dries and fragments, the individual pieces become small and light and after some time, the particles of dried sludge are so light they are entrained with the fluidized air and carried out of the bed, he continued. The particles are then captured and stored for future use. "The principle advantage of this process is that it does not require high temperature heat," Coronella said. "Our demonstration works with heat provided by water at 220 degrees Fahrenheit. Thus this is well-suited for a cogen configuration, with heat capture used for drying sludge. No external fuel will be required."
 	
 After drying, the sludge is a low-moisture biomass fuel with a Btu value similar to that of dried wood, roughly 9,000 Btu per pound, according to Coronella. Researchers haven't yet gasified the dried sludge product, but several configurations will be evaluated. Estimates show that the full-scale system could potentially generate 25,000 kilowatt-hours (kWh) per day, according to the university. Approximately 700,000 metric tons (771,000 tons) of dried sludge are produced annually in California municipalities, which would sustainably generate as many as 10 million kWh per day. 
 	
 The collaboration with Truckee Meadows has been useful and the managers there are supportive, Coronella said. "They are enthusiastic about seeing the technology succeed. We have discussed with the TMWRF management about the possibility of doing a much larger demonstration on site, but we have not yet reached any conclusions." 
 	
 The demonstration-scale project is a collaboration with the cities of Reno and Sparks, operators of the wastewater treatment plant. The project is funded through the California Energy Innovations Small Grant Program, the California Energy Commission and the U.S. DOE, according to the university. The demonstration phase of the project was also chosen for funding by the university's Tech Transfer Office under a DOE grant to support transferring technologies from the lab to practical application.

U of Nevada tests sludge-to-power process

Posted September 22, 2010, at 3:30 p.m. CST
 
 A bill (AB 222) that would have expedited the introduction of new conversion technologies to produce green power and advanced biofuels from solid waste materials in California is officially dead, due to lack of key support needed from five democrats on the Senate Environmental Quality Committee.
 
 Bioenergy Producers Association Chairman Jim Stewart said the dismissal of AB 222 was a major blow to a key element in California's Bioenergy Action Plan, which the bill was consistent with. "The five democrats on the Senate Environmental Quality Committee ignored and literally swept aside more than 100 statewide endorsements of AB 222, including those of the California Energy Commission, the Air Resources Board and CalRecycle, the former Integrated Waste Management Board," Stewart said. 
 
 AB 222 passed the California Assembly with flying colors on June 1, 2009, by a vote of 54-13, after it was approved by a unanimous bipartisan vote of 11-0 in the Assembly Utilities and Commerce Committee. In July of last year, it was approved in the Senate Utilities, Energy and Communications Committee, and since then was awaiting action in the Senate Committee on Environmental Quality, which eventually stripped key components from the bill, prompting withdrawal of the legislation. 
 
 Overall, AB 222 would have corrected scientifically inaccurate definitions and antiquated provisions in the Integrated Waste Management Act of 1989, and enabled and expedited the in-state production of green electricity and advanced biofuels from biomass through a wide range of emerging technologies, including nonincineration processes such as gasification, fermentation and pyrolysis. The bill would have also removed current statutory restrictions that require thermal conversion projects to have zero emissions, a standard required of no other energy generation technology or manufacturing process in the state. Finally, it would have allowed the biogenic portion of the post-recycled municiple solid waste (MSW)-the organic-derived materials when waste has been sorted for recycling- to qualify under the state's renewable portfolio standard (RPS). 
 
 "Earlier this year, Colorado raised their RPS mandate to 30%," Stewart pointed out, "Subsequently, they passed additional legislation that qualifies all MSW, without reservation, as a feedstock for the production of electricity. California did just the opposite-the SCEQ stripped the bill of that component even though it was limited to biogenic materials, and also stripped out the provision that if a jurisdiction makes its waste resources available as feedstocks for use in the production of biofuels and electricity, it would count as landfill reduction, rather than waste disposal, as it does currently." 
 
 California has a recycling mandate of 50 percent, a law that was passed in 1989. "Currently, if a city or a county were to make its waste available to these bioenergy companies, it would not count toward that mandate, and if they were to enter into long-term contracts for use of their waste streams, it might one day place them at the risk of being fined for not meeting the mandate, if the state ever were to increase its recycling mandate," Stewart said. "Two things that are necessary for biobased producers to finance their projects are RPS and landfill reduction credits." 
 
 Conversion technologies can recover five times as much energy from MSW as landfill gas with fewer emissions, Stewart said. "However, electricity from landfill gas receives RPS credit in California, whereas if you gasify the MSW to produce electricity before it enters the landfill, it does not. Further, under California statute, if you place green waste or biosolids in a landfill for use as alternate daily cover, it qualifies as landfill reduction, but if you use the same wastes as feedstocks for the production of renewable energy, it does not." 
 
 If AB 222 had survived in any form that would have represented a workable step forward for the production of alternate biofuels and electricity from solid waste in the state, its passage by the full senate and signature by the governor appeared certain, according to Stewart. "After the Committee gutted the bill, and then published further amendments that would have made it even more difficult to permit these plants in California than it already is, the state's three leading regulatory agencies and other stakeholders made a dedicated effort to work with the committee's staff to craft acceptable compromise language, but to no avail. We had no alternative but to withdraw our own legislation." 
 
 "For six years democrats on California's environmental committees have yielded to environmental interests and blocked legislative initiatives to make renewable energy production from organic wastes possible in California. During the time, 240 million tons of post-recycled waste, and its value for energy recovery, have been placed in the state's landfills " Stewart noted.
 
 Stewart said with the loss of AB 222, it could take five to six years to permit and construct a conversion technology facility in California-if a permit could be obtained at all. "Its failure to pass will incentivize biobased technology providers to take their projects elsewhere," Stewart added. "They can't afford to place their limited capital resources at that kind of risk."

California bioenergy bill killed

Posted September 22, 2010, at 4:01 p.m. CST
 
 The Biomass Thermal Energy Council will be hosting a series of free educational webinars focused on biomass thermal energy, heating and cogeneration/combined heat and power (CHP).
 
 BTEC Program Associate Joseph Seymour said anyone interested in using biomass for thermal generation will find these webinars useful, regardless of fuel or technology. 
 
 The first in the series, The Opportunity of Biomass Energy: Renewable Heating and CHP, will be held Sept. 28 at 3 p.m. EDT. The webinar will provide an overview of the biomass thermal industry, including market background, woody and nonwoody feedstocks, supply chains, economic impacts, available technologies, and potential challenges and opportunities.
 
 Featured presenters include Charlie Niebling, general manager of New England Wood Pellet, T.J. Morice, vice president of operations and marketing at Marth Wood Supply and Kyle Gibeault, deputy director of BTEC.
 
 The Webinars are being funded with a U.S. Forest Service Wood Education and Resource Center grant that was awarded to BTEC in June to advance education and outreach on biomass thermal energy. 
 
 Advance registration for the Webinar is required. To sign up, visit <a href="https://www2.gotomeeting.com/register/805300683">https://www2.gotomeeting.com/register/805300683</a>. 
 
 SOURCE: BTEC

BTEC to host biomass heating, CHP webinars

Posted September 23, 2010, at 10:17 a.m. CST
 
 After more than a year of negotiations and attached to a laundry list of stipulations and conditions, Laidlaw Berlin Biopower LLC's Berlin, N.H., project application has received unanimous approval from the nine-member New Hampshire Site Evaluation Committee.
 	
 The 70-megawatt (MW) power plant, to be located in Berlin at a Fraser pulp mill closed in 2006, will run on more than 700,000 tons of woody biomass annually including wood chips, limbs and bark. Laidlaw is working on a power purchase agreement (PPA) to supply electricity to the local grid, according to Louis Bravakis, vice president of development for the company. The plant will also supply waste heat to a nearby operating Fraser paper mill. 
 	
 "This is huge," Bravakis said of the approval. "This permit encompasses all approvals we need to construct and operate this plant. It's a monster of a permit." The statewide permit is required for all plants larger than 30 MW and represents a turning point in development. Under its stipulations, Laidlaw will be required to give supply preference to local loggers, comply with the city noise ordinance, build a recreational walk, all-terrain vehicle (ATV) and snowmobile trail for the city, along with numerous other conditions including those dealing with supply and sustainability, Bravakis said. "There a number of them that we worked out over a couple years," he said. 
 	
 Berlin Mayor Paul Grenier has supported the project since its inception, even before he took the position just over a year ago, Bravakis said. "I think what the mayor is saying now is that we have this certificate, the process is thoroughly vetted," he said. Grenier asked the small local opposition group to "bury the hatchet," Bravakis said, in light of the economic and job growth it will bring to the city. 
 	
 With the SEC approval out of the way, Laidlaw is hoping to have its PPA stamped out in the next 30 to 45 days, with the 18- to 24-month construction period-made easier by existing infrastructure at the former pulp mill-beginning before the end of the year. 
 	
 "Having this permit allows us to move forward with this project," Bravakis said.

NH power project gets SEC approval

Posted September 23, 2010, at 4:50 p.m. CST
 
 A bipartisan stand-alone bill proposing a national renewable energy standard (RES) would mandate sellers of electricity to retail customers to obtain 15 percent of their energy from renewable resources by 2012.
 
 Introduced by Sen. Jeff Bingaman, D-N.M., Sen. Sam Brownback, R-Kan., and several others, the Renewable Electricity Promotion Act of 2010 would require electric utilities to produce at least 11 percent of their power from biomass, wind, solar and other renewable sources of energy. The remaining 4 percent could be achieved through energy efficiency improvements. 
 
 Utilities selling less than 4 million megawatt hours per year would be exempt from the requirements.
 
 The 43-page bill is nearly identical to the RES proposed in the bipartisan American Clean Energy Leadership Act, apart from a few date changes and scoring/technical corrections. 
 
 Slated targets in the bill are 3 percent in 2012-2013, 6 percent in 2014-2016, 9 percent in 2017-18, 12 percent in 2019-2020, and 15 percent from 2021-2039. 
 
 According to Bingaman's office, the current sponsors are working to secure 60 co-sponsors so that the bill can be brought up for consideration before Congress adjourns later this year.
 
 Currently, 29 U.S. states have an RES program. Certain states such as New Mexico that have a higher RES than the bill proposes would not be affected, but states that have no RES or a lower one would have to comply with the 15 percent RES.
 
 Though many renewable energy groups and advocates maintain that 15 percent renewable energy by 2012 isn't an aggressive enough goal, (see <a href="http://www.biomassmagazine.com/article.jsp?article_id=4069&q=notaggressiveenough">http://www.biomassmagazine.com/article.jsp?article_id=4069&q=notaggressiveenough</a>) many still welcome the new stand-alone bill. 
 
 Marchant Wenthworth, deputy legislative director of the Union of Concerned scientists, said that while the proposed RES is not perfect, the U.S. cannot afford to wait any longer to create a national clean energy policy. "[If passed]it would keep us in the clean energy race and begin to address the need to reduce carbon emissions from the power sector," he said.
 
 Sean Garren, clean energy advocate for Environment America, said that while the standard is weaker than America can and should achieve, the Senate must pass the bill quickly to deliver to the entire country the benefits that states with standards are already enjoying.
 
 Biomass Power Association President Bob Cleaves emphasized the bill's job generating capabilities. "The RES would help create clean energy jobs in every state in the union, including in the Southeast, where there is enormous potential for biomass industry growth," he said.
 
 A study released by Navigant Consulting Inc. earlier this year found that a 25 percent by 2025 national RES, which is what the majority of the renewable energy industry is pushing for, would result in 274,000 more renewable energy jobs over no national RES policy. This additional employment is equivalent to 2.36 million additional job years by 2025, according to the study.

Senators reveal stand-alone RES bill

Posted September 24, 2010, at 11:21 a.m. CST
 
 Torrefaction is the hot topic and reoccurring theme for the biomass densification panel at the Southeast Biomass Conference & Trade Show Nov. 2-4 in Atlanta, with three of four speakers focusing on it in their presentations.
 	
 Densification Strategies to Increase the Viability of Biomass as a Power Feedstock will explore densification, transportation and pretreatments among other pertinent topics to the biomass arena in the Southeast U.S. As most biomass harvesters and developers know, densification can alleviate issues related to high transportation costs and low energy density.
 	
 In his presentation titled Torrefaction: Producing a Coal Replacement for Electric Generation and Industrial Heat and Power, Joseph James, president of South Carolina-based Agri-Tech Producers LLC, will discuss how the torrefaction of wood and plant biomass creates a renewable solid fuel with increased energy and physical density. Untreated wood has a Btu value of about 4,500, James cited, while torrefied wood can range from 10,000 to 12,000 Btu. 
 	
 "The Southeast has an abundance of woody biomass and the potential to grow meaningful amounts of plant biomass," he said. "Although there is growing interest in torrefied fuels in the U.S., the EU market for renewables is mature and growing, so the Southeast is well-positioned to export torrefied fuels to the EU." James said he expects his audience to get excited about the new and growing markets for torrefied fuels and to learn how they might prepare for that market. 
 	
 A presentation by fellow panelist Thomas McGowan, president and founder of engineering consulting firm TMTS Associates Inc., will address sizing, drying, torrefaction and densification of engineered biomass fuels, including information about the equipment used in each step, along with associated costs. Like James, McGowan will expound on the export potential of torrefied biomass. "Engineered fuels have potential for export to Europe and for fueling U.S. utility power plants, and will allow easier coburning or 100 percent biomass firing of existing equipment," he said. 
 	
 Panelist Sudhagar Mani, assistant professor at the University of Georgia, will discuss his own research during his presentation, Integrating Torrefaction Pretreatment with Gasification of Forest Biomass. He will focus on a study about the impact of biomass torrefaction on syngas yield and tar compositions during gasification and will include information about his conclusion that torrefied biomass demonstrates superior fuel quality and generates tar free or low-tar syngas. 
 	
 The panel focus will switch from from torrefaction to briquettes during a presentation by Ravi Malhotra, chief technical officer for Colorado-based Clean Coal Briquette Inc. Malhotra will speak about his company's biomass briquette, composed of two-thirds woody biomass and a proprietary binder consisting of unutilized coal such as fines, trails and ash. The briquettes can be used at coal-fired power stations and would count toward renewable portfolio standards, help reduce carbon emissions and require no new permitting, as long as the plant is permitted to burn both coal and biomass. 
 
 This educational panel promises to delve into Southeast-specific densification opportunities, as well as spur interest in emerging markets. To register for the Southeast Biomass Conference & Trade Show, visit <a href="http://se.biomassconference.com">http://se.biomassconference.com</a>.

Densification conference panel has torrefaction emphasis

Posted September 28, 2010,at 12:01 p.m. CST Forty-one U.S. Senators sent a letter to the U.S. EPA Sept. 28 regarding its proposed so-called Industrial Boiler Maximum Achievable Control Technology (MACT) rule. The Senators, who represent 27 states, requested the EPA to consider jobs and the economy before passing the rule, which would require biomass boilers to meet unreachable emissions standards. "Biomass power provides nearly half of the nation's renewable energy. It is extremely encouraging that so many U.S. Senators, under the leadership of Sen. [Mary] Landrieu [D-La.] and Sen. [Susan] Collins, [R-Maine] are voicing their concerns about the danger of passing the proposed MACT rule, both to the renewable energy industry and the wider economy," said Bob Cleaves, President and CEO of the Biomass Power Association. "This rule could put thousands of Americans who work at biomass facilities out of jobs, and could possibly threaten the entire industry's existence. We hope the EPA will reconsider its proposed rule." In the letter, the Senators point to "the significant economic impacts of the proposed rule," particularly for small business. They also express concern over the future of the biomass industry if the rule is passed, stating, "While we support efforts to address serious health threats from air emissions, we also believe that regulations can be crafted in a balanced way that sustains both the environment and jobs." The Senators recommend that the EPA "use a method to set emissions standards that are based on what real-world best performing units actually can achieve." Biomass power is a $1 billion renewable energy industry with 80 facilities in 20 states and provides over 14,000 jobs nationwide. Biomass utilizes wood waste materials- paper and furniture industry byproducts and forest floor debris, for example-as fuel for clean energy. Power plants are predominately located in rural communities, creating thousands of jobs and producing millions in revenue for small towns. Biomass power is a clean and abundant source of electricity that will allow states to pursue even more aggressive goals for increasing their use of renewable energy in the future. SOURCE: BIOMASS POWER ASSOCIATION


Forty-one U.S. Senators sent a letter to the U.S. EPA Sept. 28 regarding its proposed so-called Industrial Boiler Maximum Achievable Control Technology (MACT) rule. 

Senators express concern over boiler MACT final rule

Posted September 28, 2010, at 3:17 p.m. CST The Gainesville Renewable Energy Center signed a long-term biomass supply contract last week with Wood Resource Recovery, a local wood waste recycler, to supply almost half of the biomass fuel needed for its proposed 100-megawatt biomass plant. All of the fuel supplied by Wood Resource Recovery will come from clean, urban wood waste, which includes biomass materials such as tree trimmings from right-of-way clearings as well as clean, woody debris from land clearing contractors and tree surgeons. Urban wood waste, which does not include construction and demolition debris or any other treated wood, is an advantageous biomass fuel for GREC as it is significantly drier than other biomass materials and will therefore increase the efficiency of the facility. "In the absence of GREC, much of this material would be burned in the open with no emissions controls, end up in landfills or possibly be dumped surreptitiously in the woods, where it would decay, releasing greenhouse gases. We are excited to help provide a waste disposal solution for these materials while at the same time using them to generate renewable, baseload power for 70,000 homes in the Gainesville region," said Josh Levine, Project Manager for the GREC project. American Renewables will build, own and operate the GREC facility and will sell all electricity and environmental attributes generated from the facility to Gainesville Regional Utilities, the municipally owned utility that serves the Gainesville community, under a 30-year power purchase agreement. Wood Resource Recovery has been supplying clean biomass fuel to plants throughout Florida and the Southeast since 1986. The urban wood waste will be processed at WRR's existing Gainesville wood yard and at other off-site locations and delivered to the GREC site, adjacent to GRU's Deerhaven power plant. "This contract clearly demonstrates the readily available supply of fuel for the new plant," said Richard Schroeder, president and founder of Gainesville-based BioResource Management, whose company is assisting GREC in securing fuel contracts. "We look forward to completing our permitting activities and beginning construction by the end of this year, allowing the community to benefit from nearly $200 million in federal tax credits that are available if the facility can move forward without delay," Levine added. It is anticipated that the GREC facility will be operational in late 2013. In addition to the clean, urban wood waste supplied by WRR, the biomass plant will be fueled by biomass material sourced from the local area, such as logging residues and thinning material harvested in compliance with the facility's strict guidelines for forest sustainability and protection. By producing energy from local sources, GREC will create local jobs, keep energy dollars in the area's economy, and reduce reliance on imported coal. SOURCE: GAINSEVILLE RENEWABLE ENERGY CENTER4107

The Gainesville Renewable Energy Center signed a long-term biomass supply contract last week with Wood Resource Recovery, a local wood waste recycler, to supply almost half of the biomass fuel needed for its proposed 100-megawatt biomass plant. 

Gainesville project signs fuel supply agreement

Posted Sept. 29, 2010, at 8:14 a.m. CST
 
 A century old pulp and paper mill in Madison, Maine, is poised to significantly benefit from a proposed biomass thermal plant to be collocated at the mill site.
 
 The plant will be constructed, owned and operated by Recast Energy, formerly part of a biomass combined-heat-and-power system and wood chip supply firm known as Intrinergy LLC. The facility will generate about 90,000 pounds of steam per hour. The paper mill will utilize the steam to power its operations, in turn reducing the amount of fuel oil it burns by 50 percent each year.
 
 Recast Energy Vice President Brandon Ogilvie said that the mill currently burns about 9 million gallons of fuel oil per year to generate its steam. 
 
 Displacing that oil will help decouple the mill's risk exposure to the volatility of oil prices, and reduce the need for four oil tanker trucks every day of the year, according to Ogilvie.
 
 Maine has seen several paper mill closures in the past few years primarily because of high oil prices, including Wausau Paper's Otis Mill in Jay, and Katahdin Paper Co. in Millinocket.
 
 "Sometimes [oil prices] are high and sometimes they are low, so a significant benefit is not being exposed to that," Ogilvie said, adding that the plant will also reduce its carbon dioxide emissions by 40,000 to 50,000 tons per year. 
 
 Fuel from the plant will consist largely of bark and sawdust leftover from the paper mill's operations, materials that previously had to be transported off of the site by truck. About two-thirds of the 100,000 to 150,000 green tons of biomass the plant will require will be leftover mill residue; the remainder will come from a third party. Ogilvie admitted that the additional biomass will require some trucks, but the operation will still see much less traffic with the reduced fuel oil trucks and eliminated material export trucks. 
 
 In January, the project received a $357,000 grant from Efficiency Maine. The company estimates the total project to will cost about $25 million.
 Ogilvie said upon being granted approval, the company plans to begin the biomass thermal project first quarter of 2011. He estimated construction to last about one year. "Without power generation, these projects take a lot less time," he pointed out. "Electric turbines tend to be the driver of the construction schedule."
 
 Ogilvie said Recast Energy has a similar project with a food and beverage company that is in earlier stages, and has two woody biomass thermal projects in operation at a paper company in Mississippi and a U.S. textile company in the Dominican Republic.

Biomass thermal plant to aid Maine paper mill

Posted September 29, 2010, at 5:06 p.m. CST
 
 Pinnacle Pellet is building a 400,000 metric ton pellet plant near Burns Lake, British Columbia, its sixth location in the province, which will bring its total capacity to 1.1 million metric tons. 
 
 "We're well into our civil work and we've got mechanical components showing up every day, as is typical with our build-out schedules," said Leroy Reitsma, chief operating officer at Pinnacle Pellet. "We do a lot of preplanning and everything comes preassembled or modular, so from the time that we commence civil work to when the plant is running is usually only about 120 days." 
 
 Aptly named, Pinnacle Pellet resides at top of Canada's wood pellet manufacturing industry, producing more than 50 percent of the country's wood pellets, the majority of which are shipped overseas.
 
 Founded in 1989 by brothers Jim and Rob Swan, today Pinnacle has four other major shareholders, three of whom are actively involved in management of the company, including Reitsma. He and many of the other 160 people working at the company's five strategically-located pellet mills have experience in the lumber industry, he said. 
 
 Reitsma said the company expects the new plant to be up and running by the end of the December. The maximum capacity for the facility will be 400,000 metric tons; actual initial production will run around 320,000 metric tons. "All of our other facilities' production numbers total up to about 800,000 [metric] tons, with the Burns Lake facility that will increase to about 1.1 million [metric] tons, and those are real production numbers," Reitsma said.
 
 Pinnacle's plants are located within close proximity to Canadian sawmills. "We've always tried to locate adjacent to industry-leading sawmills to form symbiotic relationships," Reitsma said. "We support their business and provide them with high value for their residuals, and when a plant is associated with a strong sawmill it gets a consistent, reliable supply of residuals. The two operations strengthen and balance each other, and usually mutually ensure success."
 
 Pinnacle's plants utilize a mix of sawmill residuals, and non-merchantable softwood timber, including pine beetle damaged wood. "That's been key with these projects-we've had an overall focus of trying to become an integral part of the overall value chain, a role in which we are the default for whatever can't be put to use as logs to make lumber or used to produce pulp, and so we're the catch-all at the end of the equation," Reitsma said.
 
 The woody biomass is trucked to Pinnacle's plants, and from there the pellets are transported via rail to several British Columbia port facilities including Fibreco Terminal, the Kinder Morgan Terminal in north Vancouver and the Ridley Terminal in Prince Rupert. "Right now we're at a scale where we charter our own product to overseas customers," he said. 
 
 Pinnacle's current customer base consists of about 90 percent long-term large-scale utility overseas contracts overseas, according to Reitsma. "A major focus of our marketing plan is to serve large utilities as a coal displacement," he said. About 80 to 85 percent of Pinnacle's pellets are shipped to the U.K. and continental Europe, 8 percent used for domestic residential heating, and the remainder shipped to Asia. 
 
 Competition for woody biomass in Canada is at a reasonable level, from Reitsma's perspective. "There's a decent balance of supply and demand in the province right now, but that mainly depends on what is happening in the pulp and paper industry," he said. "When the price of pulp escalates and sawmills are not running at full capacity, pellet mills tend to get choked out. Who ends up with the feedstock is totally end-market driven."

Pinnacle Pellet to build sixth plant

Cliffs Natural Resources Inc. subsidiary Renewafuel LLC has completed construction of its first full-scale biomass cube production plant in Marquette, Mich., and is in the midst of starting up the facility. Plans for the $19 million plant, which is located in the Telkite Technology Park at Sawyer Airport near Marquette, were announced in June 2008. Total construction time was about 10 months, according to Chairman Bill Brake. When fully operational, the plant will employ 25 people. Biomass cubes may seem like an odd fit for Cliffs, which is more commonly known for being the largest producer of iron ore pellets in North America and a significant producer of metallurgical coal. But Brake said the company is uniquely suited to enter that market. &ldquo;It&rsquo;s right up our wheelhouse because we have the skill sets to collect, blend, aggregate, test and understand fuel,&rdquo; he said. &ldquo;It&rsquo;s surprisingly analogous to what we do in the taconite mining business. While people may not think that biomass and iron ore pellets have much in common, we&rsquo;ve found that they do.&rdquo; Renewafuel has been producing its biomass cubes for more than five years at a pilot plant in Battle Creek, Mich. The 1&frac14;x1&frac14;x2 inch cubes are a composite of wood and agricultural feedstocks, which the company sources from local loggers and farmers. &ldquo;Depending on the furnace and the customer&rsquo;s specific needs, the cubes may be blended with different biomass components and a couple of proprietary additives,&rdquo; Brake said. The cubes are primarily used as a cofiring option for large-scale coal-fired utilities, requiring little or no modifications to a facility. Brake said the fuel, which has about the same energy content as coal, is a good fit for developers working to permit new power facilities or expanding the capacity of existing facilities that are required to comply with stricter emissions regulations, or universities looking to decrease their carbon footprint. Several months ago, Renewafuel announced a memorandum of understanding with FirstEnergy Corp. to supply First Energy&rsquo;s R.E. Burger plant in Shadyside, Ohio, with fuel, but since then both parties have agreed to pursue other opportunities because the distance between the two plants (from upper Michigan to the Ohio River) proved to be uneconomical, Brake said. &ldquo;Our rule of thumb is 150 miles to deliver, and 75 to source feedstock,&rdquo; Brake said. &ldquo;Our model is very much regional&mdash;from the collection to the processing and delivery of biomass.&rdquo; Brake said the company has been performing test burns for many utilities, adding that it is essential to understand how certain biomass cube blends perform in a specific power system. &ldquo;What works best in a suspension-type pulverized coal boiler is not necessarily at all the same fuel that would work well in a traditional stoker bed,&rdquo; he said. Once the Marquette facility is in full production, the plant will use the cubes as fuel to heat its dryer instead of the natural gas it is currently using.
In the future, Renewafuel plans to build more plants, according to Brake. &ldquo;We think this [biomass fuel] will become a megatrend not only in society, but legislatively as well.&rdquo;

Renewafuel\'s 1Â¼x1Â¼x2 inch cubes are a composite of wood and agricultural feedstocks that the company sources from local loggers and farmers. 

2010/10/128648011085.jpg

Cliffs Natural Resources Inc. subsidiary Renewafuel LLC has completed construction of its first full-scale biomass cube production plant in Marquette, Mich., and is in the midst of starting up the facility.

Renewafuel finishes biomass cube plant

Posted October 1, 2010, at 9:13 a.m. CST Join biomass peers at BBI International's Southeast Biomass Conference &amp; Trade Show, Nov. 2-4 at the Hyatt Regency in Atlanta. One of the featured panels at the event is Technological Pathways to Renewable Hydrocarbons. The phrase "renewable hydrocarbons" has been hot in renewable energy circles, mainly because it implies drop-in biofuels that are almost molecularly identical to the fossil-based fuels they intend to replace compared to alcohol- or ester-based biofuels, thereby minimizing any infrastructure integration issues. Philip Steele, professor at Mississippi State University, will give a presentation on refinery options to produce renewable hydrocarbons from hydroprocessed bio-oil. "Fast pyrolysis is becoming an important thermal route to convert biomass to liquid fuels," Steele said, qualifying the statement with, "however, raw bio-oils have a number of negative properties such as high acidity, high water content, lower heating value and variable viscosity over time. These characteristics have hampered their commercialization for production of transportation fuels, as well as being problematic in fluidized catalytic cracking coprocessing in standard refinery units." Steele went on to say that the negative bio-oil properties largely result from the high proportions of oxygenated compounds present in them, and that all of these undesirable properties can be improved by hydroprocessing of the raw bio-oil. He conducted a study in which they pyrolyzed pine wood in an auger reactor at 450 degrees Celsius. The bio-oil was upgraded by a single-stage mild HP in a batch autoclave, he said. "Numerous catalysts were tested until we successfully obtained the upgraded bio-oil with low acidity, good miscibility with hydrocarbons, and high volatility," he said. After hydroprocessing, the refined bio-oil underwent phase separation, which resulted in an aqueous phase, some gases and a light oil phase. The upgraded bio-oil was subsequently characterized by several analytical methods, including elemental analysis. The oil was then further distilled into four fractions by boiling point range and compared with petroleum diesel, gasoline and jet fuels by simulated distillation technique. Steele will discuss his findings at the conference. Another panelist will be Jeff Sherman, executive vice president and chief business development officer with GRT Inc. Sherman's speech will detail the BTF Process, which stands for biomass to fuels. While piloted at the scale of 10 barrels (420 gallons) a day, he said GRT is commercializing the BTF Process, which converts most biomass feedstock into pure hydrocarbon fuel for use directly as high-octane gasoline or bio jet fuel blend stock. "Although there is sufficient nonfood biomass available in the U.S. to supply approximately one-third of the U.S. gasoline market, there are no cost-effective technologies available to covert biomass to gasoline," he said, explaining that his company's gas-to-liquids technology converts biogas directly to liquid fuels without the need to remove the carbon dioxide. "The process is a bromine-based methane conversion process that converts the biogas from each ton of biomass into more than 50 gallons of hydrocarbon fuel," Sherman said. "In the process, bromine functions essentially as a catalyst to activate methane thereby facilitating its conversion to gasoline molecules." He said the bromine is captured for continuous reuse in the process, and the exothermic reactions produce valuable waste heat that can be captured and reused elsewhere, contributing to the very low overall carbon footprint of the process. Auburn University Professor of Energy &amp; Fiber Crops, David Bransby, will give a review of the current drop-in replacement cellulosic biofuel technologies. Bransby will discuss both biological and thermochemical routes to renewable hydrocarbons, and what technologies work at which scales. The presentation will provide a detailed review of these technologies, plus commercialization headway, and suitability of the technologies to different feedstock and environments. "The objective will not be to choose a winner, but rather, to identify strengths and challenges related to each," he said. The moderator will be Robert Diltz with the Air Force Research Laboratory. To register for BBI International's Southeast Biomass Conference &amp; Trade Show, produced jointly by Biomass Power &amp; Thermal and Biorefining magazines, <a href="http://se.biomassconference.com/ema/DisplayPage.aspx?pageId=About">click here</a>.

Join biomass peers at BBI International's Southeast Biomass Conference & Trade Show, Nov. 2-4 at the Hyatt Regency in Atlanta. 


Southeast biomass conference to feature renewable hydrocarbons panel

The rocky road leading to the biodiesel tax credit extension continues to take new turns. For months, the extension was included in H.R. 4213, or the Unemployment Extension Act of 2010, but the version signed by the president in July failed to include the extension. Now, the hope for the tax credit again rests with Congress, and proposed legislation offers the newest path for the struggling biodiesel industry. 
 
 U.S. House ways and means committee chairman Sander Levin, D-Mich., introduced a draft of legislation July 26 titled, the Domestic Manufacturing and Energy Jobs Act of 2010. Aimed at making investments in domestic manufacturing of clean energy technologies while providing long-term support for renewable energy, the legislation includes a provision to extend the biodiesel tax credit "if that extension has not been enacted by the time this legislation is considered." The proposal would also reinstate for 2011 the per-gallon tax credits for both biodiesel and renewable diesel. 
 
 "As the world moves toward renewable energy and a greener economy, it is necessary to accelerate a new era of American manufacturing and innovation," Levin said about his legislation. The bill, if enacted, would cost $1.108 billion over 10 years, according to the draft. "We must not let this opportunity pass us by. I will continue to work with my colleagues in the House and Senate, as well as the administration, to enact legislation," Levin added. 
 
 Levin's proposal is only one route for the extension, however. Sen. Chuck Grassley, R-Iowa, has tried multiple times to pass biodiesel legislation. His latest attempt, an amendment to the Small Business Bill in June, is currently under debate in the Senate. "This noncontroversial, nonpartisan provision for clean, green energy is being held hostage," Grassley said. "I'm trying, once again, to put Americans back to work in this clean, renewable fuel industry." Along with Grassley, Sen. Blanche Lincoln, D-Ark., has also submitted a biodiesel tax extension amendment to the Small Business Bill. The legislation remains stalled in the Senate, however, as Sen. Mitch McConnell, R-Kty., and Sen. Harry Reid, D-Nev., struggle to agree on the number of amendments the Senate will vote on with the bill. But, both sides did agree to include the biodiesel amendment proposed by Lincoln in the bill. 
 
 Although the biodiesel tax extension has received support from both the house and senate, the political positioning and jockeying by certain key members pushing for large bills continues to stand in the way. Reid, who stated the country's need to reduce dependence on foreign oil when he introduced his energy legislation, failed to include any provisions for a biodiesel tax extension. 
 
 The National Biodiesel Board tried to convince Reid on the importance of the biodiesel extension holding a place in the energy bill. Before Reid introduced the first version of an energy bill, NBB vice president of federal affairs, Manning Feraci, wrote a letter to Reid outlining the need for the extension. "The most reliable, immediate way to achieve this worthwhile objective is to include a retroactive, multiple year extension of the biodiesel tax incentive in the upcoming energy bill," Feraci wrote. The lapse of the tax incentive and uncertainty by the federal government to commit to advanced biofuels like biodiesel undermines the nation's ability to displace petroleum diesel fuel, he added. "Accordingly, the NBB respectfully asks that this common sense proposal ultimately be included in forthcoming energy legislation."
 
 Immediately following the reinstatement of the biodiesel tax incentive, the industry will experience a significant resurgence, according to Michael Frohlich, federal director of communications for the NBB. "Demand will increase, idle plants will begin to operate again, and there will be a dramatic expansion in the overall production of biodiesel," Frohlich added. "Like any business, the biodiesel industry needs certainty."

The path to a biodiesel tax credit extension

The wait for canola oil as a U.S. EPA-approved biofuel pathway is over. Five months after releasing the final rule for the revised renewable fuel standard (RFS2), the EPA released a Notice of Data Availability, stating that the canola oil biodiesel pathway creates a 50 percent reduction in greenhouse gas emissions compared to the diesel fuel baseline. Using the same RFS2 lifecycle analysis modeling for other biofuels already approved, the EPA also compared canola oil conversion efficiencies to biodiesel produced from soybean oil. Not surprisingly, the final analysis shows one pound of canola produces 0.40 pounds of oil compared to soybean's 0.18 pounds of oil. 
 
 EPA also created a Delayed RINs provision. "This proposed provision…would apply only to those producers who use canola oil, grain sorghum, pulpwood or palm oil to produce renewable fuel, only for renewable fuel produced in 2010," EPA said. Noting a current annual capacity of canola-based biodiesel production of 226 million gallons, spread between Archer Daniels Midland Co., Imperium Renewables Inc., Western Dubuque Biodiesel LLC, Inland Empire Oilseeds and Sun Power Biodiesel, EPA indicated the amount of canola-based biodiesel produced in 2009 was roughly 35 million gallons, down from 96 million gallons in 2008.

 
 Even with the possibility of generating delayed RINs in 2010, Dale Thorenson, assistant director for the U.S. Canola Association, said he believes no producers will opt to create delayed RINs for canola biodiesel. "Producers large and small have had to stop production due to lack of demand since biodiesel buyers are unwilling to take the risk that canola might not qualify," Thorenson said. "There may be increased use of canola," he also added, "because some biodiesel plants that are regionally located far from soybean supplies (West Coast) will increase production from canola oil to meet the RFS2 mandates." 
 
 Regardless of 2010 canola-based biodiesel production amounts, EPA estimates that by 2022, there will be 200 million gallons of biodiesel coming from canola per year. To create this projection, the EPA used a number of factors including historical volumes, potential feedstock availability and competitive uses, potential increases in both crop acreage and yields. By 2022, EPA projects 0.9 million acres of canola will be harvested, but with increased canola-based biodiesel production, harvest totals will equal 1.2 million acres. In 2008, canola crop yield equaled 1,461 pounds of seed per acre, and in 2022, the projections used for the 200 million gallon estimate show a crop yield equal to 1,681 pounds per acre. 
 Higher yield improvements, which could show a greater reduction of land use impacts and improve projected GHG performance, were given to EPA by industry members but not used. Thorenson said he believes EPA used fairly conservative yield trends and oil content data in the lifecycle analysis. 
 
 Barring any changes coming from a 30-day comment period, canola is the first of several fuel pathways not included in the original RFS2 decision. Other pathways, particularly palm oil and pulpwood, which the EPA said were not being analyzed before the RFS2 came out, should be completed before the end of 2010. Currently, the only way a feedstock such as palm oil or jatropha can qualify for RFS2, is through the grandfathering provision. While the EPA would not speculate on the analysis of new pathways, palm oil modeling is expected to come out mid-November.

While the canola pathway has been approved by EPA, other feedstocks, palm and jatropha oils, have not yet been approved.

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EPA approves canola biodiesel pathway

Clean fuel retailer Propel Fuels added four new senior executive employees in July, selected for their expertise, experience and innovation in the areas of finance, construction, retail operations and technology, and will be an integral component of the company's vast expansion plans. The new team members include Chief Financial Officer Andy Wynne, who previously served as CFO and executive vice president of Tulley's Coffee Corp.; Vice President of Operations Jim Iacoponi, who was previously employed as vice president of strategy and planning for Arco and BP ampm convenience stores; Vice President of Construction and Development Jim Cannon, who previously served as vice president of design, construction, and facilities at Jack-In-The-Box; and Director of Technology Development Michael Sarwari, who has 15 years of experience in information technology operations. 
 
 After several months of failed funding requests, Claypool, Ind.-based LD Biodiesel and Soybean Processing Plant has filed suit against the USDA. Louis Dreyfus Agricultural Industries LLC, owner of the 80 MMgy Claypool plant, filed in the District Court of Columbia, and claims that the USDA is unconstitutionally denying the Claypool facility funding due to the plant's percentage of foreign ownership. LDAI, located in Maryland, but owned by Geneva-based parent company Louis Dreyfus, states in their case that the USDA did not follow normal protocol before implementing a rule that requires biofuel companies to be a minimum of 51 percent American owned to be eligible for funding. The rule appears in a May 6, 2010, Notice of Contract Proposal for payments to eligible advanced biofuel producers form. 
 
 An advanced biodiesel project developed by researchers at Idaho National Laboratory has been selected by R&D Magazine to receive a 2010 R&D 100 award. The annual competition, which recognizes outstanding technology developments with promising commercial potential, has been held by R&D Magazine since 1962. INL was recognized for its Supercritical Solid Catalyst process, which converts waste feedstocks with up to 100 percent free fatty acid content into ASTM-quality biodiesel. It's a continuous process during which the oil or fat feedstock is mixed with alcohol and nontoxic supercritical fluid solvents. In a single fluid phase, the resulting mixture is then passed over a solid catalyst to transform the free fatty acids into methyl esters. 

 
 An employee of Innovation Fuels Inc.'s Newark, N.J., biodiesel plant was injured in July from an explosion of toxic chemicals when 100 to 200 gallons of sulfuric acid leaked from a 400-gallon drum inside the plant's containment area. The employee survived with third-degree burns to 18 percent of his body. He was connecting hoses to a tanker truck filled with methanol when the sulfuric acid container behind him leaked and subsequently burst. Local firefighters evacuated a six-block radius upon responding to the incident, which occurred July 15. The extent of the damage to the plant was being assessed a few days after the accident. 
 
 Rothsay Biodiesel, the Guleph, Ontario-based producer and division of Maple Leaf Foods Inc., in 2009 fueled its truck fleets with biodiesel made from animal fats and waste oils from restaurants. One hundred and thirty seven trucks are fueled with Rothsay-produced biodiesel, and in 2009 the fleets traveled a combined 3.3 million miles, using more than 600,000 gallons blended at an average of 9.2 percent biodiesel. During that time there were no mechanical problems or mileage decreases. In 2001, Rothsay began to run B5 and higher blends at its Montreal biodiesel production facility. Today, roughly five B100 trucks operate out of the Montreal plant. In 2009, Rothsay expanded its overall biodiesel usage by incorporating biodiesel blends from B5 to B20 at its Dundas and Moorefield, Ontario, rendering plants. Rothsay is expanding its biodiesel use at other Maple Leaf Foods plants in Ontario. 
 
 The used cooking oil supply for Ames, Iowa-based Renewable Energy Group Inc. just got bigger. REG has agreed to purchase yellow grease from Restaurant Technologies Inc. With more than 16,000 used cooking oil collection systems spread throughout the U.S., along with 36 collection depots, REG now has access to RTI's national distribution chain of used cooking oil. With new access to the cooking oil collection depots, REG vice president of supply chain management Dave Elsenbast said the company now has the potential "to replace more than a half million barrels of imported crude oil" with biodiesel. Along with the RTI cooking oil contract, REG has also acquired Tellurian Biodiesel Inc., a California biodiesel company and marketer, and American BDF LLC, a joint-venture owned by Golden State Service Industries, a wholly-owned subsidiary of Golden State Foods. 
 
 On July 1, Earl Fisher Biofuels, a 275,000 gallon plant in Chester, Mont., delivered its first shipment of biodiesel to Burlington Northern Santa Fe at the Havre Depot. The study calls for Montana State University-Northern Bio-Energy Center to conduct laboratory testing of the biodiesel performance in one switch train running on regular diesel, which will act as a control, and the other will run on a B20 blend, mostly made from canola and camelina oil in order to test performance in extreme cold weather conditions come winter. Over the next year, Earl Fisher Biofuels will supply BNSF with 24,000 gallons of biodiesel-roughly 2,000 gallons per month-for the duration of the study, according to Earl. 
 
 UK-based biodiesel chemical supplier Trinity Research launched an "Ask a Chemist" service aimed at providing visitors to its new Web site the opportunity to pose a question to an experienced laboratory chemist. For a nominal fee of $13, the chemists will answer any question related to the petrochemical, pharmaceutical and biodiesel industries. Trinity Research supplies a wide variety of biodiesel-related products and services within the UK market, including methanol, potassium and sodium hydroxide, while providing a free glycerol disposal service. The company also supplies a range of biodiesel equipment, winter additives and BioPura filtration media. 
 
 As construction of Dynamic Fuels Inc.'s 75 MMgy biorefinery in Geismar, La., nears completion, the joint venture's technology provider, Syntroleum Corp., has reported a second quarter loss. The good news for Syntroleum, however, is that in comparison to losses recorded in 2009, the 2010 second quarter loss is much less. Syntroleum, which constructed the plant, reported 2009 net income losses of roughly $3.8 million, but this year, only $1.02 million, according to filings with the Securities and Exchange Commission. The reason for the second-quarter loss this year, according to SEC statements, is from increased staffing needed to complete construction. 
 
 On July 29, the New York City Council unanimously voted to pass air quality legislation that will ensure all heating oil used within the city contains biodiesel. The legislation, which was expected to be signed into law within two weeks, will require the use of a B2 blend of heating oil starting in October 2012. A B2 mandate will require the blending of 20 million gallons of B100 into the 1 billion gallon heating oil market in NYC. &#61500;

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Discover what activities are taking place in the biodiesel sector around the world.

Global Biodiesel Production and Market Report

Imagine sitting behind the wheel of a 10,000-horsepower Jetcar racing toward 400 miles per hour in just seconds. It's what Bill Braack and his partner Scott Hammack have been doing for years. "It's definitely an extreme way to make a living," Braack, owner and driver of the Smoke-N-Thunder Jetcar, told Biodiesel Magazine. This amazing car doesn't race other cars though-it makes a name for itself competing against planes in air shows around the country as the original ground entertainment at these popular patriotic events. 

 
 Marketed under the name, "Smoke-N-Thunder Jet Shows," Hammack created this exhilarating lifestyle in 1979. Hammack was racing powerful dragsters in the National Hot Rod Association circuit before the Vietnam War, but was drafted by the Army and left the sport of racing behind while he served his country. Braack says Hammack was in the Hawk missile unit, which meant hovering around and protecting Air Force bases, and he spent a lot of time watching powerful F4 jets in action. "When he came back to the states after the war, the normal vehicles Scott was racing before the war were no longer competitive," Braack says. In 1979, Hammack designed and built the Jetcar. 
 
 Hammack drove the car from 1980 to 2005, when he sold it to Braack. "He's still on the team and maintains the car," Braack says of Hammack, who is in his early 70s. Hammack's wife just recently passed away so he was unavailable to participate in this article, quite understandably. Braack says, however, that Hammack remains chief engineer of the vehicle-and all of its uniqueness. 
 
 The basic design of the car and chassis remains the same as it was back in 1980, but it's not on the same engine and components are updated regularly. The Jetcar features a Westinghouse J34-48 engine, originally used in the North American Buckeye T-2A aircraft. It pushes 10,000 horsepower and 6,000 pounds of thrust with the afterburner. The chassis is forged of 4130 chrome-moly with a 240-inch wheelbase. The front and rear wheels are 15-inch diameter; the rear wheels are 10 inches wide while those in the front are 5 inches wide. The sleek aerodynamic body is made of aluminum and magnesium. The Jetcar weighs 2,300 pounds and is 26 feet long. Two 20-gallon fuel cells are outfitted on the car, and each performance utilizes about 40 gallons of fuel. 
 
 The Jetcar's role at air shows is pretty astounding. "We're the only component at these shows where there's a winner and loser," Braack says. About an hour before his performance, the announcer plugs the ground show, "Don't miss the Jetcar race!" Braack says sometimes he races jet airplanes but most times he races thermal piston aircraft. Once the Jetcar makes its appearance, blowing 20-foot flames out the afterburner, the jet engine roaring, the crowd goes wild, Braack says. Suddenly, a plane appears, diving at and taunting the Jetcar. The challenge has been made. The airplane gets into position and heads toward the rear of the Jetcar from behind, approaching 200 miles per hour. Once the plane passes the Jetcar, the race is on. "I'm accelerating to 400 mph, so I catch up to the plane in just a couple of seconds," Braack says. "The crowd is going wild and then I'm way out front." Afterwards, attendees are invited back to the Kenworth Nascar hauler, the tractor trailer that transports the Jetcar around the country. 
 
 Braack is no stranger to military service either&#8213;he was a flight engineer in the Air Force Reserve. In 2002, the Smoke-N-Thunder Jetcar team signed its first contract with the AFR and began a seven-year partnership using the extreme car as a recruiting tool. "They used the car as a tool, a backdrop, it is a very effective screener," Braack says. "It helped pull in those who are attracted to engines, the mechanically-minded people." With the change in administration, he says, significant cuts were made to the recruiting budget and the AFR contract was not renewed. Even so, Braack still donates space on his car to the USO. "The bulk of my team is military," he says. 
 
 Since the cancellation of the AFR contract, Braack has gravitated toward the biodiesel industry as a new potential partner in this new era for the Jetcar. He says he attended the National Biodiesel Conference & Expo back in 2007 in San Antonio, Texas, and became very interested in the fuel. Under contract with the AFR at the time, he says "there were limitations at first" regarding his ability to get involved with biodiesel. "The military didn't want to appear as if they were endorsing biodiesel," he says. Since then, however, virtually all military branches have come to test and support biodiesel and bio jet fuels in various capacities. 
 
 "Bill approached us, the community of biodiesel producers in the Northwest, with the opportunity to be a fuel sponsor for the Jetcar," says Zachary Shelton with General Biodiesel, a plant in Seattle. "We want to be Bill's B20 fuel supplier." Air shows last two to three days, so with multiple performances a day, the car uses about 450 gallons of B20 each show. 

 Shelton, like everyone who experiences the power of the Jetcar, says the car is phenomenal and its sheer force is "hard to comprehend." While a tentative yet comprehensive fuel sponsorship with General Biodiesel has already gone into play, negotiations are still underway. While Braack says he most certainly values regional sponsorships such as that of General Biodiesel, his ultimate goal is to land agreements with national biodiesel players. After all, a show in Florida featuring a fuel supplier located in the great Northwest might not make a lot of sense, Braack says.
 
 Chris LaPlante with Propel Fuels, a biodiesel retailer in the Northwest whose supplier is General Biodiesel, says it's amazing that the Jetcar can achieve 400 mph and still keep the wheels on the ground. Braack says the car's engineering allows this. The engine is set on a two degree downward angle, which, as the car accelerates, creates down force. The nose is louvered and helps bleed out air over the top as to not get light on the front end. The narrow body of the car, and Bill's weight in the driver's seat, also help. The right-or wrong-winds and moisture levels do, however, require Braack to lower racing speed on occasion. 
 
 Even though the AFR contract is expired, most shows are still performed at Air Force bases. The local wing commander has the authority to bring biodiesel on base, so biodiesel marketers should reach out to that one individual to strike a fuel supply arrangement. When performing at bases that carry biodiesel, Braack also fills his Kenworth hauler on B20 for driving to the next show. 
 
 "The biggest value I see for the industry is that people still see biodiesel as a fuel for tractors," Braack says. "People question it, so when they see a car like mine running on B20, we're educating them that biodiesel is not just for farmers anymore." 
 
 Some of the larger air shows can attract nearly a million people over a three-day weekend, which equates to a lot of exposure. "The car-the idea of the car-is an exciting vehicle for the industry, no pun intended," Shelton tells Biodiesel Magazine. "There's still skepticism whether biodiesel can work, but it doesn't just work, it's a high-performance fuel." LaPlante says, "High cetane, lubricity-those are just words. But when you have a jet engine running on B20 roaring in your ears, it takes it to another level." 
 
 Ron Kotrba is editor of Biodiesel Magazine. Reach him at (701) 738-4942 or rkotrba@bbiinternational.com.

Featuring the General Biodiesel logo, the Jetcar can operate the afterburner independently of the engine, which driver and owner Bill Braack does to get the crowd engaged. PHOTO: Bernardo Malfitano, AirShowFan.com

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At a recent air show in the Pacific Northwest, the Jetcar, bearing a General Biodiesel logo and burning B20 from the Seattle-based biodiesel producer, raced and beat the Geico-sponsored prop-plane. PHOTO: ALLEN BALL

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A 10,000-horsepower Jetcar running on B20 going 400 miles per hour beating airplanes in races all over the country is a fantastic tool to promote the high-performance nature of biodiesel.

Biodiesel-Powered Jetcar

For generations, global fuel and energy supply has been playing a critical role for almost everyone. Wars have been fought over energy and some of the world's largest corporations have prospered by producing, generating and supplying energy and fuel. Only recently have people and governments everywhere started to take a different perspective on supply and use of energy. Topics like global warming, greenhouse gas and carbon emissions, as well as concerns about global energy reserves and their safe retrieval, are becoming more important. The recent oil spill in the Gulf of Mexico reminds us all that our dependence on oil and energy can lead to massive catastrophes.
 
 Regardless of the fuel we use in our cars, one fact remains: diesel fuel powers our economies. Essentially all the food we consume is produced on farms using diesel-powered farm equipment. All goods we purchase such as clothing, furniture or toys come to us by diesel-powered vessels, trains or trucks. The roads we drive on, the buildings we live and work in are built using diesel construction equipment. Fuel oil similar to diesel fuel is used to provide heat for homes, buildings and industry around the world. 
 
 This is where the value of biodiesel comes in. It is the only available biodegradable drop-in replacement for petroleum diesel in the foreseeable future. With this you may ask yourself, why wouldn't we all use biodiesel? There are several reasons why biodiesel hasn't yet been widely adopted. First, there isn't enough to replace all our diesel needs. This has lead to the "is it really worth it, it's only a drop in the bucket" mindset. Biodiesel is forced to compete with petroleum diesel as a commodity. Feedstock cost is responsible for about 80 percent of biodiesel cost, while crude oil production cost is less than 30 percent of petroleum diesel cost. Last but not least, an established, well-capitalized and investor-driven petroleum industry is defending its interests and the status quo. 
 

 What does all this mean for global biodiesel production? The answer is quite simple. At this point in time, biodiesel requires support and political commitment. European governments imposed blending mandates and tax advantages related to biodiesel blending. The U.S. instituted a $1 per gallon blenders credit as a production incentive, which has been allowed to expire. A blending mandate (RFS2) became effective only recently. Its impact on the dire U.S. biodiesel industry remains to be seen since there is an "easy out" for obligated oil-companies. Canada is more effectively supporting its biodiesel industry by an over-time declining production incentive combined with an increasing blending mandate. In South America, biodiesel has a promising future. For many years now Brazil has worked on reducing its dependence on fossil oil. People and government are behind this goal. Many countries in Africa have made strong commitments to various biofuels including biodiesel, to secure energy supply for their economies. China's growing economy drives an incredible growth in energy demand. Although the Chinese government hasn't yet made final decisions on how to support biodiesel in particular, it will play a critical role next to many other renewable energy sources. Other Asian governments have already implemented blending mandates and are rapidly expanding their renewable energy infrastructure. India is considering a 20 percent biodiesel mandate to curb greenhouse gas emissions.
 
 From a biodiesel technology and production perspective, one fact has become clear: only the flexible, multifeedstock-capable, highly efficient biodiesel plants producing top quality fuel, while not competing for food, have a chance to be competitive and stay in business. Biodiesel quality standards such as ASTM D6751 or EN14214 are becoming more and more stringent. Quality deficiencies and off-spec biodiesel are detrimental to the entire industry as they negatively impact the public acceptance of the fuel. In Europe and the U.S., many producers were forced to go out of business because their plants were not able to accommodate different and lower cost feedstock such as used cooking oil or animal fats while still meeting quality and yield requirements. Commodities like fuel offer very narrow margins. Only plants with a biodiesel yield close to 100 percent have a chance to be successful.
 
 We are facing finite fossil energy resources-ultimately we have to sustainably produce and grow the energy and the food we need. Biodiesel is one piece to the puzzle. Biogas, biomass, wind, solar, water and others are also needed.
 
 
 Klaus Ruhmer has business development responsibility for BDI-BioEnergy International AG and Enbasys (BioGas) in Canada and the U.S. Reach him at <a href="mailto:Klaus.Ruhmer@bdi-bioenergy.com">Klaus.Ruhmer@bdi-bioenergy.com</a>.

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Global Biodiesel Production: A Different Perspective

New Mexico joined a group of states mandating biodiesel use as of July 1. All government vehicles are required to run on B5 or higher, and except for an insufficient supply or excessive prices compared to diesel fuel, the biodiesel mandate will remain in effect, extending to consumers in 2012. Rio Valley Biofuels, a biodiesel plant in Anthony, N.M., already supplies the South Central Solid Waste Authority with a 7,500-gallon tanker of B20 every month.

September 2010

Business Briefs

Business Briefs

Business Briefs

Columns

Event Tackles Controversial Topics

Biomass Power: A Power to be Defended

EERC's Biomass '10 Workshop Discusses Breakthrough Technologies

Playtime is Over: Why September Means Biomass Advocacy or the Consequences of Inaction

Global Biodiesel Production: A Different Perspective

Biodiesel Interest High in Boston

Featured

Cheers to Biomass in Boston

An Algal Dream Team

A New Start

Beyond the Hype

Global Biodiesel Production and Market Report

Biodiesel-Powered Jetcar

Contributions

Patenting Carbon Credit Trading: Dodging Certainty

September 2010.css-7jxktu{position:absolute;bottom:0px;left:0px;right:0px;height:3px;border-radius:3px;background-color:var(--chakra-colors-brandBlack);}

Business Briefs

Business Briefs

Business Briefs

Columns

Event Tackles Controversial Topics

Biomass Power: A Power to be Defended

EERC's Biomass '10 Workshop Discusses Breakthrough Technologies

Playtime is Over: Why September Means Biomass Advocacy or the Consequences of Inaction

Global Biodiesel Production: A Different Perspective

Biodiesel Interest High in Boston

Featured

Cheers to Biomass in Boston

An Algal Dream Team

A New Start

Beyond the Hype

Global Biodiesel Production and Market Report

Biodiesel-Powered Jetcar

Contributions

Patenting Carbon Credit Trading: Dodging Certainty

September 2010