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The EU’s Misallocation Of Biomass
Monday, 09 September 2013 The EU’s Renewable Energy Directive (RED) is hindering the development of materials use and consequently the entire creation of a bio-based European economy, according to Michael Carus, managing director of Germany’s Nova Institute. As a consequence, companies like DSM and BASF are choosing to make investments in other countries such as the USA and Brazil, as well as Asia. “The EU’s bioenergy and biofuel policy, as embodied in the ambitious objectives fixed by RED, leads to the systematic allocation of biomass to energy to the disadvantage of material use,” Carus told Il Bioeconomista . “RED has triggered the development of national action plans and support systems for bioenergy and biofuels and this in turn has driven up biomass prices and agricultural leases, making it far more difficult for other sectors to get their hands on biomass and distorting prices. “The ‘misallocation of biomass’ is the right phrase here, since this is blocking higher value material uses like chemicals and plastics from coming to fruition. RED-linked developments on the ground will have a considerable impact on the future availability of biomass for the materials industry.” Bioenergy and biofuels are expected to make up roughly 60% of the overall EU’s RED quota and about 90% of the transport quota by 2020. “We urgently need a new political framework for the most efficient and sustainable utilisation of biomass,” Carus said. “This means especially a level playing field between material and energy use. Five years ago this was a worldwide problem – today it is mainly a problem for Europe. In America and Asia the political framework for bio-based chemicals and plastics is now much more favorable than in Europe. Accordingly, most of the new investments are going to the US, Canada, Brazil, Thailand, Malaysia and China.” Continue reading
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Drought Plagues 50 Million Acres Of Corn
Drought plagues 50 million acres of corn Angela Bowman, Staff Writer September 6, 2013 The Drought Monitor map released on Sept. 5, 2013. More hot and dry late-summer weather left the Corn Belt short on rain and deep in drought. The latest Drought Monitor report from the National Drought Mitigation Center showed drought intensifying in the Corn Belt and persisting in the West. “After such an ideal start to the growing season, the past two months have been much drier than usual, with temperatures slowly increasing,” said David Miskus, this week’s U.S. Drought Monitor author, in narrative accompanying the map. In the heart of America’s breadbasket, the drought leaves crops parched and farmers praying for rain. Last month, Iowa saw its seventh-driest August in 141 years of reporting, following its ninth-driest July. Nearly one-third of the state is in severe or worse drought, up from 22 percent reported last week. Yet, this pales in comparison to other states deep in drought, including Nebraska (66 percent in severe to exceptional drought), Kansas (39 percent in severe to exceptional drought) and Texas (64 percent in severe to exceptional drought). More than half of the nation’s corn and 42 percent of soybeans are now growing in drought conditions. “Given that U.S. producers planted an estimated 97.4 million acres of corn and 77.2 million acres of soybeans in 2013, current drought figures suggest that more than 50 million acres (nearly 80,000 square miles) of corn and some 32 million acres (more than 50,000 square miles) of soybeans are presently being affected by drought,” said Brad Rippey, meteorologist in the U.S. Department of Agriculture’s Office of the Chief Economist. “According to USDA, nearly one-sixth of the U.S. corn (16 percent) and soybeans (15 percent) were rated in very poor to poor condition on September 1. A year ago, near the height of the Drought of 2012, very poor to poor ratings stood at 52 percent of the corn and 37 percent of the soybeans.” While the Corn Belt dried out, part of the Southwest and West benefitted from the monsoon moisture. Ninety-seven percent of California remains in moderate or worse drought, marking the first time this number has fallen below 98 percent in nearly six months. Click here to see the full map. Continue reading