U.S. Senate Bill Addresses Mid-Level Ethanol Blending

U.S. Sens. Susan Collins (R-Maine) and Benjamin L. Cardin (D-Md.) have introduced a bill that would prevent blends of ethanol higher than 10% from being sold in the marketplace without certification from the U.S. Environmental Protection Agency (EPA).

The bill, S. 1666, requires ethanol blends higher than E-10 be certified by the EPA to ensure their compliance with the Clean Air Act. It also calls for EPA’s Science Advisory Board to study the compatibility of mid-level ethanol blends with current engines.

The bill comes as U.S. ethanol producer Growth Energy and others filed a petition in March to allow gasoline blended with 15% ethanol, or E-15. EPA officials have yet to issue a verdict on the petition.

“…Many are concerned that this new fuel blend [of E-15] has not been sufficiently tested,” particularly as E-10 has been seen to have a corrosive effect on small engines, according to a release from Collin’s office.

Introduced on Sept. 14, the bill has been referred to the Senate Environment and Public Works Committee.

“As we pursue strategies to lessen our dependence on foreign oil, we must also take action to ensure that ethanol fuel blends are safe and efficient for small engines,” Collins said.

“Ethanol simply burns differently than gasoline. I fully support the development of biofuels to help cure the U.S. of its dependence on foreign oil, but we need to make such a transition in a way that helps, not hurts, commercial and recreational equipment, as well as the environment,” Cardin added. – Joanna Franco

NREL Team Tests Higher Ethanol Fuel Mix

In a news feature posted on its Web site, representatives with the National Renewable Energy Laboratory (NREL) discussed ongoing research to determine the effect higher ethanol blends will have on conventional cars and small engines. Ethanol also is widely used as a 10% blend in standard gasoline (E10) to reduce carbon monoxide emissions and smog, but increasing ethanol from the current 10% blend to a proposed blend of E15 or even E20, brings up a whole host of questions and issues. Excerpts from the article follow:

“…E20 is currently not allowed for use in conventional automobiles under the [U.S] Environmental Protection Agency’s (EPA) Clean Air Act. This is where research from NREL and Oak Ridge National Laboratory (ORNL) will play a pivotal role in understanding how blends like E15 and E20 affect vehicles currently in the market. The research is examining whether using higher ethanol blends will have an adverse impact on tailpipe emissions, exhaust temperatures, catalytic converters and engine performance and durability.

“While NREL and ORNL will be studying mid-level ethanol blends for some time, data from initial tests on small engines and cars was released in October 2008 and updated in February 2009 [click for more information]. Follow-up reports addressing other vehicle effects will be issued over the coming year. Generally, the tests have shown no big surprises or short-term effects when using greater blends of ethanol in existing cars…

“The automobiles used in NREL’s test were meant to represent a cross section of cars currently in use. The 16 vehicles ranged from model years 1999 through 2007 with odometers reading from 10,000 to 100,000 miles.

“All vehicles in the test experienced some loss in fuel economy, which is expected because ethanol has a lower energy density than gasoline. At the E20 blend level, the average reduction in miles per gallon was 7.7% when compared to gasoline only…

“Study results so far have shown that as ethanol increased, tailpipe emissions stayed largely the same. There was no significant change in nitrogen oxides or non-methane organic gas emissions. Carbon monoxide emissions declined for all of the ethanol blends. There were increases in ethanol and acetaldehyde emissions, but these were balanced with reductions in other hydrocarbon air-toxic emissions…

“The focus for all of this testing is to help policymakers like the EPA evaluate and understand the impact that new ethanol mixes will have on the existing cars that Americans drive every day…

“This research is co-led and co-funded by U.S. Department of Energy’s Biomass Program and the Energy Efficiency and Renewable Energy Vehicle Technologies Program with technical support from NREL and ORNL. The team is working closely with representatives from the EPA, U.S. auto manufacturers, engine companies, oil companies and Battelle Memorial Institute to develop and conduct a robust test program.” – Louise Poirier

Two Biofuel Companies Receive Nasdaq Notices

On Sept. 18, Biofuel Energy Corp. (Nasdaq: BIOF) representatives announced they received a Nasdaq Staff Deficiency Letter on Sept. 15, indicating the company has failed to comply with the minimum bid price requirement for continued listing set forth in Listing Rule 5450(a)(1), which requires that listed securities maintain a minimum bid price of US$1 per share. The Listing Rules also provide a grace period of 180 calendar days during which, should the closing price of the company’s stock reach $1 or higher for 10 or more consecutive trading days, the company will once again be in compliance with the rule. According to the notice, the 180-day grace period will expire March 15, 2010.

Representatives with Pacific Ethanol Inc. (Nasdaq: PEIX) also announced Sept. 18 that they too received a letter Sept. 15, from Nasdaq, which notified the company it is not in compliance with the $1 minimum bid price requirement for continued listing on The Nasdaq Global Market set forth in Nasdaq Listing Rule 5450(a)(1). Pacific Ethanol has been provided an initial period of 180 calendar days, or until March 14, 2010, in which to regain compliance. – Louise Poirier

U.S. Tax Breaks Subsidize Foreign Oil Production More Than Renewables

According to research released by the Environmental Law Institute (ELI) in partnership with the Woodrow Wilson International Center for Scholars on Sept. 18, the largest U.S. subsidies to fossil fuels are attributed to tax breaks that aid foreign oil production. The press release stated:

“The study, which reviewed fossil fuel and energy subsidies for fiscal years 2002-2008, reveals that the lion’s share of energy subsidies supported energy sources that emit high levels of greenhouse gases.

“The research demonstrates that the federal government provided substantially larger subsidies to fossil fuels than to renewables. Fossil fuels benefited from approximately [US]$72 billion over the seven-year period, while subsidies for renewable fuels totaled only $29 billion. More than half the subsidies for renewables – $16.8 billion – are attributable to corn-based ethanol, the climate effects of which are hotly disputed. Of the fossil fuel subsidies, $70.2 billion went to traditional sources, such as coal and oil, and $2.3 billion went to carbon capture and storage, which is designed to reduce greenhouse gas [GHG] emissions from coal-fired power plants. Thus, energy subsidies highly favored energy sources that emit high levels of [GHGs] over sources that would decrease our climate footprint.

“The U.S. energy market is shaped by a number of national and state policies that encourage the use of traditional energy sources. These policies range from royalty relief to the provision of tax incentives, direct payments and other forms of support to the non-renewable energy industry. ‘The combination of subsidies – or perverse incentives – to develop fossil fuel energy sources, and a lack of sufficient incentives to develop renewable energy and promote energy efficiency, distorts energy policy in ways that have helped cause, and continue to exacerbate, our climate change problem,’ notes ELI Senior Attorney John Pendergrass. ‘With climate change and energy legislation pending on Capitol Hill, our research suggests that more attention needs to be given to the existing perverse incentives for dirty fuels in the U.S. Tax Code.’”

The complete study is available online. – Louise Poirier

Sugarcane Zoning Proposed in Brazil

Brazilian President Luiz Inacio Lula da Silva announced a legislative proposal Sept. 17, The Agro-ecological Zoning of Sugarcane, which represents an important step to ensure the disciplined and organized expansion of sugarcane harvesting and its products, while addressing unsubstantiated claims against the industry, as reported by a Brazilian Sugarcane Industry Association (UNICA) press release. According to UNICA, the zoning proposal will prove useful to enhance the sustainability of sugarcane expansion, by going beyond land use restrictions defined in some export markets.

Though UNICA has always supported the concept of zoning and often called upon the government to move zoning forward, it also believes various aspects of the proposal demand a more-in-depth analysis, so key provisions that were not adequately discussed with stakeholders prior to the announcement can be improved. UNICA representatives did not have an opportunity to review the full proposal prior to the Sept. 17 announcement.

Based on limited contacts with government agencies that followed or were involved in developing the proposal, UNICA representatives have already identified specific points that raise concerns and may need to be addressed prior to final approval by Brazil’s congress. One such concern involves the challenges in defining the concept of food security in the proposal, since sugarcane is a crop that produces both food and energy. The proposed approach could lead to restrictions in growing sugarcane that would have the reverse effect in terms of food security, by restricting the production of additional sugar.

With about 1% of its arable land, Brazil has met more than 50% of the country’s gasoline needs, a highly efficient use of resources and a demonstration of the great potential for the sustainable production of sugarcane biofuels. It is important to note that with the portion of sugarcane dedicated to sugar production, Brazil supplies 60% of the world’s open sugar market after meeting its own domestic needs.

Some concerns about the detailed provisions of this legislative proposal remain, but one clear measure will be prohibiting the deforestation of areas such as the Amazon and the Pantanal. UNICA representatives stated that they will make additional public statements wherever necessary after fully analyzing the proposal. – Louise Poirier

U.S. EPA’s Proposed GHG Rulemaking Includes Incentives for Use of Alternative Fuels

The U.S. Environmental Protection Agency (EPA) and National Highway Traffic Safety Administration (NHTSA), on behalf of the Dept. of Transportation, issued a joint notice of proposed rulemaking (NPRM) to establish a National Program consisting of new standards for light-duty vehicles that will reduce greenhouse gas (GHG) emissions and improve fuel economy. These standards apply to passenger cars (PC), light-duty trucks (LDT), and medium-duty passenger vehicles, covering model years (MY) 2012 through 2016, and represent a harmonized and consistent National Program. Under the National Program, automobile manufacturers would be able to build a single light-duty national fleet that satisfies all requirements under both programs while ensuring consumers still have a full-range of vehicle choices.

The proposed National Program would result in about 950 million metric tons of total carbon dioxide equivalent (CO2-eq) emissions reductions and about 1.8 billion barrels of oil savings during the lifetime of vehicles sold in MY 2012 through 2016. In total, the combined EPA and NHTSA 2012-2016 standards would reduce GHG emissions from the U.S. light-duty fleet by about 21% by 2030 over the level that would occur in the absence of the National Program. These proposals also provide important energy security benefits, as light-duty vehicles are about 95 % dependent on oil-based fuels. The benefits of the proposed National Program would total about US$250 billion at a 3% discount rate, or $195 billion at a 7% discount rate.

In achieving these targets, the EPA (GHG standard) and NHTSA (CAFE standard) have provided various program flexibilities such as flex-fuel vehicle (FFV) credits, credit carry-back and carry-forward, credit transfer and trading, Over-Compliance, Advanced Technologies, Air Conditioning, Temporary Lead Time Allowance and Off-Cycle technologies.

Thus for FFV and dedicated alternative fuel vehicles, the Energy Policy and Conservation Act (EPCA) authorizes an incentive under the CAFE program for each of MY through 2019 for each category of automobile (except an electric automobile). The EPA proposes to calculate CO2 emissions from dedicated alternative fuel vehicles for MY 2012 – 2015 by measuring the CO2 emissions over the test procedure and multiplying the results by the 0.15 conversion factor.

As with the CAFE program, the EPA proposes to base credits on the assumption that the vehicles would operate 50% of the time on the alternative fuel and 50% of the time on conventional fuel, resulting in CO2 emissions that are based on an arithmetic average of alternative fuel and conventional fuel CO2 emissions. The measured CO2 emissions on the alternative fuel would be multiplied by a 0.15 volumetric conversion factor, which is included in the CAFE calculation as provided by EPCA.

To determine the maximum allowable credit for a manufacturer, the increase in a manufacturer’s average fuel economy attributable to dual fueled automobiles is subtracted from the average fuel economy when the automobiles are operated only on gasoline or diesel fuel.

The 0.15 factor is used for E85 and B20 (20% biodiesel and 80% diesel) FFVs. EPCA also establishes this approach, including the 0.15 factor, for gaseous-fueled FFVs such as a vehicle able to operate on gasoline and compressed natural gas.

For 2016 and later model years, the EPA proposes to treat FFVs similarly to conventional fueled vehicles in that FFV emissions would be based on actual CO2 emission. The manufacturer would also be required to demonstrate the amount of the alternative fuel that is actually being used in the vehicles. The 0.15 conversion factor would no longer be included in the CO2 emissions calculation. The EPA is seeking input on the possibility of such a requirement.

A detailed analysis of this NPRM was done by the International Fuel Quality Center’s Alternative Fuels Service. For more information, see the AFS Web site. – Kuntal Vora

Bio Jet Fuel Agreement Announced

Representatives with BioJet Corp. (formerly JatrophaBioJet) and E85 LLC jointly announced Sept. 21 that they have executed a Bio-SPK forward contract for the sale by BioJet and the purchase by E85 of 4 million barrels of aviation bio jet fuel. Bio-SPK is now the proper aviation industry term for bio jet fuel, and the fuel delivered under this contract will meet American Society for Testing and Materials (ASTM) International specifications. Other than quantity, the terms of the contract were undisclosed.

Both companies expect demand for aviation biofuels to exceed 280 million barrels annually. This fuel is now properly referred to as Synthetic Paraffinic Kerosene (Bio-SPK). Bio-SPK is being certified for commercial use by ASTM, which estimates that certification will be complete by the end of 2010.

BioJet, along with its partner South Pole Carbon Asset Management (Zurich), also utilizes its carbon resources to provide the solution to the large related carbon offset opportunity, believed to be in excess of 660 million metric tons of carbon dioxide per year from worldwide aviation. – Louise Poirier

Massachusetts Biofuels Mandate Delayed

Massachusetts Gov. Deval Patrick’s administration is delaying full implementation of a biofuels mandate for diesel and heating oil amid a raging debate about what type of fuels should be allowed, the Boston Herald recently reported.

The state’s Clean Energy Biofuels Act of 2008 called for firms to include 2% biofuels in diesel fuel and heating oil by July 1, 2010. However, the governor’s office of energy and environmental affairs quietly changed those plans last month, saying firms could voluntarily use biofuels next July and count them as “credits” toward future mandates starting in 2011, the article said.

The administration said it is awaiting word from the U.S. Environmental Protection Agency about what type of biofuels, including “virgin oils” from soy and other vegetables specifically grown for use as fuels, will meet new anti-carbon-pollution standards, the article continued. – Louise Poirier

Choren Teams-up on Biomass Gasification Scheme

Germany-based biomass-gasification developer Choren is teaming up with German Pellets on a scheme to cultivate woody biomass for a pelleting plant.

Initial plans call for cultivation of about 1,000 hectares of woody crops, according to Choren.

“In this collaboration, Choren Biomass GmbH will be responsible for the production of woody crops and logistics. German Pellets makes a long-term commitment to purchase up to 10,000 tons of dry wood matter annually at fixed terms, thus providing the necessary reliable basis for planning.

“A first step will involve the short-rotation coppicing of up to 1,000 hectares of energy wood together with partners in agriculture. To keep transportation costs low, cultivation sites in a radius of approximately 50 kilometers around the German Pellets plant will be given preference.”

Choren Biomass GmbH currently cultivates 140 hectares of short-rotation coppice. In 2009, about 100 hectares were newly planted in the German states of Saxony, Brandenburg and Mecklenburg-Western Pomerania as part of the European Union-funded “Optfuel” biofuel project.

“Activities to date have been aimed at creating demonstration plots in different regions, to gain experience in the supply of feedstock to industrial-scale plants for the production of synthetic biofuels (BTL, biomass-to-liquids),” according to Choren.

The two companies see woody crop development as “key to achieving the European Union’s target for renewable energies to cover 20% of final energy consumption by 2020,” according to Choren.

Choren’s first commercial plant for BTL production worldwide is starting up in Freiberg. The production of synthesis gas is scheduled to start this autumn. Fuel production with an annual capacity of 15,000 ton of BTL is scheduled to begin in early 2010.

“Provided the necessary industrial policy legislation is put in place, the Choren Group is planning to build a large industrial-scale BTL production plant in Schwedt in the state of Brandenburg. The feedstock for this plant, around 1 million tons of dry wood matter annually, will be sourced from recycled and forest wood, and increasingly from woody crops,” according to Choren. – Jack Peckham

Kinder Morgan Begins Biodiesel Shipments on Oregon Pipeline

Representatives with Kinder Morgan Energy Partners L.P. announced Sept. 22 that they have started commercial transportation of blended 2 vol% biodiesel (B2) through the company’s 115-mile Oregon pipeline that runs from Portland to Eugene. The company recently completed a successful test batch by moving B2 through the pipeline. Upon receipt of B2 at its Portland and Eugene facilities, extensive tests were performed on the biodiesel blend to ensure the samples met specifications. Kinder Morgan’s Oregon line is one of only a few pipelines in the United States able to regularly transport blended biodiesel, as this pipeline does not transport jet fuel, thereby eliminating the potential for contamination of jet fuel with residual biodiesel from the pipeline.

The first commercial batch of about 100,000 barrels of B2 was created using a newly installed blending system to inject B99 into ultra-low sulfur diesel at the company’s Willbridge terminal in Portland. Other area terminals are expected to be able to deliver B2 to the Kinder Morgan pipeline.

Plantation Pipe Line Co. (operated by Kinder Morgan), became the first pipeline in the country to transport biodiesel for commercial purposes in June. – Louise Poirier

U.K.’s First Cellulosic Ethanol Plant Completes First Year of Operation

TMO Renewables Ltd., a developer of a new process for converting biomass into fuel ethanol, announced Sept. 22 that it successfully completed the first year of operation of its process demonstration unit (PDU), the first cellulosic ethanol demonstration plant in the United Kingdom.

TMO’s second-generation process uses common bacteria, developed from a strain found in compost heaps, to produce ethanol from cellulosic biomass. The PDU has proved the company’s pre-treatment and fermentation technology to be commercially viable beyond the laboratory, as a fully integrated stage within a continuous ethanol production process. Since its completion in summer 2008, TMO’s plant at Dunsfold Park, near Guildford in Surrey, has been running successfully for 24 hours a day, seven days a week to process a wide range of cellulosic feedstocks on an industrial scale. These feedstocks include grasses, wheat straw, newspaper, municipal waste and distillers’ grains.

TMO has been operating the plant with the aim of refining the company’s patented cellulosic ethanol process and tailoring the process to feedstock samples provided by its development partners, including major U.S. biofuel companies. With the PDU now running reliably and consistently for more than a year, TMO will be using the data and experience gained to ramp up its commercial activities, especially in its key initial market, the United States. In particular, the PDU has shown that TMO’s process is ideal for retro-fit to existing corn ethanol plants, typically improving their yields by up to 15%, as well as being suited for new-build ethanol applications. – Louise Poirier

Brazilian Study Measures Pollutant Gases from Ethanol-Powered Vehicles

A study from Brazil’s environment ministry found that cars powered by sugarcane ethanol emit just as many harmful pollutants as gasoline, the Agence France-Presse reported Sept. 17.

The study measured and graded the impact of three pollutant gases on Brazil’s population: carbon monoxide, hydrocarbons and nitrogen oxide.

However, the study did not include carbon dioxide (CO2) emissions, as CO2 emissions resulting from burning ethanol are offset by cultivating sugarcane.

“We want to make sure that customers are aware of pollutant emissions” when buying a car, AFP quoted Environment Minister Carlos Minc as saying.

In addition to grading the pollutant gases, the study’s authors also examined the emissions levels of 250 flex-fuel vehicles, or cars running on 85% ethanol.

They found that although all the cars met Brazil’s standards for maximum emissions levels in 2008, eight ethanol-powered vehicles, including several flex-fuel vehicles, were among those getting the poorest grades. – Joanna Franco

Heat Industry Approves Use of Biodiesel in Heating Oil; Outlines 2010 Bio Targets

At the national oilheat industry policy summit, oilheat leadership including the National Oil Heat Research Alliance, the New England Fuel Institute and the Petroleum Marketers Association of America approved a statement formally embracing cleaner burning fuels, like Bioheat, as well as endorsing an ultra-low sulfur standard and solar technology, according to a National Biodiesel Board press release published Sept. 21. The resolution calls for changes to heating oil, including that by July 2010, all heating oil will be mixed with a bio-component to ensure at least 2% of the fuel is renewable, with goals to increase levels during time.

Biodiesel, which is already ultra-low sulfur, can be blended with regular No. 2 heating oil or low sulfur heating oil. Blends of biodiesel and heating oil are called Bioheat, which offers a way to reduce emissions and move to a cleaner burning home heating option.

The Bioheat market, at a 5% blend, has the potential to increase demand for biodiesel by 450 million gallons annually. Nationally recognized institutions such as the Brookhaven National Laboratory, the U.S. Dept. of Energy’s National Renewable Energy Laboratory, the Massachusetts Oil Heat Council, Abbott & Mills Oil Co., NOCO, the New York State Energy Research and Development Authority,) and NORA have thoroughly tested Bioheat.

Results have demonstrated blending home heating fuel with biodiesel, Bioheat fuel, is seamless and transparent to the heating oil network and works in home and commercial heating systems with no adverse operational characteristics. – Louise Poirier

Alaska Senator Mulling Over Amendment Limiting EPA’s GHG Regulating Authority

U.S. Sen. Lisa Murkowski (R-Alaska) is reportedly considering adding an amendment to the fiscal year 2010 U.S. Department of the Interior budget bill that would mandate that the U.S. Environmental Protection Agency (EPA) only regulate greenhouse gas (GHG) emissions coming from mobile sources.

The amendment also calls for the EPA not to regulate GHG emissions from stationary sources, according to a report from Environment & Energy Daily.

The U.S. Supreme Court in April 2007 ruled in Massachusetts v. EPA that the EPA must regulate GHG emissions (see World Refining & Fuels Today 04/03/07).

The EPA’s regulating scope would include both mobile sources – GHG emissions from motor vehicles, for instance – as well as stationary sources, such as large manufacturing plants. But EPA officials must first establish and finalize an “endangerment finding” on GHG emissions before the agency can start regulating GHG emissions (see WRFT 04/20/09).

The EPA staff has been working on creating that endangerment finding throughout this year.

Indeed, because the Supreme Court is mandating the EPA conduct this process, Murkowski’s amendment is calling for “a one-year timeout on money that would be spent on regulation of non-mobile sources,” the report quoted Murkowski’s spokesman Robert Dillon as saying.

Dillon added that the moratorium would buy time – a year – for U.S. Congress to come up with a legislative answer to regulating GHG emissions.

The decision to vote on the amendment has yet to be made, according to the report. – Joanna Franco

Soy Chemical Demand to Grow Through 2013

A new study released by Cleveland-based industry research firm The Freedonia Group, Inc. titled “Soy Chemicals to 2013” states that U.S. soy chemical demand will grow 7.8% annually through 2013, driven by the continued penetration of biodiesel and by the adoption of alternatives to traditional, petrochemical-based materials in manufacturing. Soy oil derivatives such as methyl soyate, polyols, soy-based foamed plastics, waxes and fatty acids hold particularly good prospects.

As long as soy chemicals perform as well as or better than their petrochemical counterparts, and crude oil/petrochemical prices remain relatively high, market penetration will likely expand, according to Freedonia’s press release. In particular, soybean oil derivatives (e.g., methyl soyate and polyols) and a variety of small volume products will have good opportunities.

The study analyzes the US$1.9 billion U.S. soy chemical industry and presents historical demand data for the years 1998, 2003 and 2008, with forecasts for 2013 and 2018 by product (e.g., methyl soyate, epoxidized products, soy waxes, soy fatty acids, polyols, vitamin E, isoflavones, lecithin, refined industrial soy oil) and market (e.g., biodiesel, foods and beverages, plastics, printing inks and toner). The study also considers market environment factors, details industry structure, evaluates company market share and profiles 32 industry players, including Archer-Daniels-Midland, Ag Processing and Cargill. – Louise Poirier

Spot Ethanol Prices

Nebraska Ethanol Plant Goes to Auction

Renewable fuel project developer Altra’s half-completed ethanol plant in Carleton, Neb., is up for auction, Cleantech Group reported last week.

Minnesota-based asset recovery firm Maas Cos. said it plans to auction the company’s unfinished plant, expected to have the capacity to produce 110 million gallons per year when completed, the article stated. Bids for the entire facility and its 268 acres of land need to be submitted before Oct. 13 at 5 p.m., after which time the facility is expected to be sold in piecemeal to potential buyers at the site and live via the Internet on Oct. 28.

According to Cleantech, the company’s subsidiary Altra Nebraska, which filed for bankruptcy in August, started construction in 2006 on the facility, expected to be one of the state’s largest ethanol production plants. But work stopped in November 2007 because the company could not obtain required financing. The plant’s sale is reportedly expected to help meet about half of its estimated US$100 million in debt. – Louise Poirier

Nominations Called for Bioenergy Leadership, Innovation Awards

Bioenergy Engineering 2009, a conference focusing on all aspects of engineering for the bioenergy industry, recently announced that nominations are being accepted for two awards: Bioenergy Company of the Year and Bioenergy Pioneer. The awards will be presented during the conference, to be held Oct. 11-14, at the Hyatt Regency, Bellevue, Wa.

Bioenergy Company of the Year will be awarded to a company that produces biofuels in a manner that is environmentally and energy-sustainable, technically efficient and economically profitable.

Bioenergy Pioneer awards will be given to four individuals, each from a different sector (academic institution, private enterprise, federal laboratory or agency, public service) representing bioenergy engineering. The individuals should each have demonstrated extraordinary contribution to research, design, administration or advocacy for the promotion of bioenergy in the society.

Nomination forms can be found online. – Louise Poirier

Ethanol Equities

Ethanol & Biodiesel News tracks equity values of publicly traded ethanol companies in two ways.

This weekly table will cover the large cap ethanol names: Archer Daniels Midland (ADM), The Andersons (ANDE) and Bunge (BG), which are active in wider agricultural markets beyond ethanol.

The graphic under the “Equities” tab on the home page of Ethanol &Biodiesel News covers pure ethanol players such as Biofuel Energy (BIOF), BlueFire Ethanol (BFRE), Green Plains Renewable Energy (GPRE), Verenium (VRN) and Pacific Ethanol (PEIX).

For an international perspective we’ve added Cosan (CZZ), which is a large player in Brazil and trades on the New York Stock Exchange, and Gushan (GU), the Chinese biodiesel giant, which is also on NYSE.

Tanzania-based Company Goes into Biodiesel Production

On Sept. 21, The East African reported that Dar es Salaam, Tanzania-based company Mafuta Sasa Ltd. is producing biodiesel from waste vegetable oil and is the “first and only certified biodiesel producer in Tanzania,”

According to the article, the company collects waste vegetable oil from 60 hotels in the Dar es Salaam to produce 10,000 liters (L) of biodiesel per week. The company is aiming to increase its production to 15,000 L per week once it can get enough waste vegetable oil to process.

“To reduce the amount of waste products and to protect the environment, Mafuta is planning to start producing premium soaps and glycerin as a by-product from the heated oil,” the article continued. Mafuta is also aiming to collect waste vegetable oil from Zanzibar, Arusha, the United States as well as the United Kingdom to increase their production. Other companies that were engaged in biodiesel production stopped because of the financial crisis and only a few jatropha-based projects still remain in the region, the article stated.

The full article is available online. – Louise Poirier

New Research Center for Low-Carbon Finance to be Established

The Chicago Climate Exchange (CCX) announced Sept. 16 that it signed an agreement with the People’s Bank of China Research Institute of Finance and the China National Petroleum Corp. Assets Management (CNPC-AM) to establish a new center that will conduct research on financing of low-carbon initiatives, including large-scale demonstrations of market-based methods for addressing environmental challenges in China and improving energy efficiency. The new center will be called the China-U.S. Low Carbon Finance and Development Research Center, according to the press release.

“This initiative is further evidence that China and the United States can work together, using financial innovation, to help address greenhouse gas emissions, and lead in the global effort to confront climate change,” said CCX chairman and founder, Richard L. Sandor.

In September 2008, CCX, CNPC and the City of Tianjin opened the Tianjin Climate Exchange (TCX), a joint venture and China’s first exchange established to design and market environmental products. TCX will serve as the exchange platform for the new center. – Louise Poirier

Algae-fueled Car Completes 3,750 Mile Cross-country Tour

Sapphire Energy, a provider of algae-based renewable fuel, recently joined with the team behind the Sundance award-winning film FUEL, to complete the first cross-country car tour fueled by a blend of algae-based gasoline in an unmodified engine. The “Algaeus” completed its 10-day, 3,750-mile U.S. tour that started in San Francisco and arrived into New York City on Sept. 18. Sapphire Energy provided the fuel, containing a mixture of hydrocarbons refined directly from algae-based Green Crude and extracted through Sapphire’s proprietary process. The vehicle is based on a 2008 Toyota Prius that has been given an added battery pack, a plug and an advanced energy management system. The Algaeus got an average of 147 miles per gallon (mpg) city in PHEV (plug-in electric hybrid) mode and 52 mpg highway in hybrid mode on the cross country tour.

Sponsored by the Veggie Van Organization, the cross-country trip celebrates the nationwide premiere of FUEL, the movie that opened in theatres last week aiming to inspire green energy solution thinking, such as the Algaeus

After New York, the Algaeus travels on a college educational tour with an interactive classroom retrofit “Green Energy Bus,” the Veggie Van Organization and the FUEL team. – Louise Poirier