Tag Archives: fuel
Better Biofuels Coming Along, But Slowly
Advanced biofuels aren’t where U.S. lawmakers expected them to be, but that failure is in the rear-view mirror. The question now is about the road ahead, and the pro-renewables group E2 is forecasting steady growth – but whether that growth will come fast enough to meet the growing requirements of the U.S. renewable fuel standard seems doubtful. Ineos Florida plant during construction (image via Ineos Bio) That would mean the regulators at the Environmental Protection Agency would be called on to “modify the program and adjust to market realities” – and that’s a familiar story. Not that there haven’t been some signs of life from the industry. In March, Bloomberg New Energy Finance reported that the cost of enzymes, pretreatment and fermentation for cellulosic ethanol had fallen “significantly,” putting the fuel “on course to be cost-competitive with corn-based ethanol by 2016.” Continue reading
Biomass Sector Faces Sustainability Criteria
Biomass electricity will produce over 70% greenhouse gas savings compared to fossil fuel alternatives, under changes made by the government to ensure the sustainability of wood-fuel used to create energy. From April 2015, the biomass industry – which is worth over £1bn in new investment and supports over 3,000 jobs – will be required to demonstrate their fuel is sustainable or lose financial support. Greg Barker, minister of state for energy and climate change, said: “The coalition is committed to delivering clean, affordable and secure energy for consumers. This includes an important role for biomass power as part of the UK’s energy mix. “The new criteria will provide the necessary investor certainty and, crucially, ensure that the biomass is delivered in a transparent and sustainable way.” The new criteria for sustainable forest management are based on a range of issues such as: sustainable harvesting rates; biodiversity protection and land use rights for indigenous populations. The REA has welcomed the government’s new sustainability criteria for biomass power and CHP. The criteria will ensure that only projects with strong ecological protections and high carbon savings can be supported under the Renewables Obligation (RO) and count towards renewable energy targets. However, the REA is urging government not to withdraw support for the construction of new biomass power plants under the forthcoming Contracts for Difference (CfD) regime. REA chief executive Dr Nina Skorupska said: “These sustainability criteria ensure that the UK can reap the benefits of biomass, safe in the knowledge that it is making a real dent in our carbon emissions and that ecologically sensitive land is being protected. Biomass is a great way to bridge the looming capacity gap because it has all the same benefits as fossil fuels – such as reliability and flexibility of supply – but without the carbon impacts.” The REA is pleased that government is taking steps to ensure environmental best practice in the use of biomass for heat and power. However, this is incongruous with the government’s moves to restrict the construction of biomass power plants in the RO, and not support them at all under the forthcoming CfD regime. New biomass plants will only be supported under these schemes if they produce heat as well as power (combined heat and power, CHP). Dr Nina Skorupska said: “Biomass power can help bridge the energy gap because it is affordable, helps to meet base load power needs and is relatively quick to build. It can also help economic recovery by creating jobs in construction and the ongoing operation of the plants. “CHP is an excellent use of the resource but it is not feasible in sites where there is no user for the heat load. The government will have serious regrets down the line if it excludes the construction of dedicated biomass power plants from the new regime.” The REA rejects the arguments used by green campaigners who claim that biomass power is ‘dirtier than coal’ . Their research is based on worst case scenarios involving the burning of whole trees and unsustainable forest management. In reality, the biomass industry uses primarily thinnings and residues, as it cannot afford to compete with other industries for high quality virgin wood. Sustainable forest management, including high levels of replanting, is in fact key to the foresters’ bottom line as it safeguards their ability to do business in the future. Dr Nina Skorupska said: “It is absolutely right that biomass should only be supported if it can be proven to be good for the environment. These criteria enable industry to do exactly that. They are challenging, but not unattainable. Generators are actually incentivised to over-achieve on greenhouse gas savings in order to minimise the risk of non-compliance. “I invite the NGOs who have concerns about biomass to work with us to iron out the details of implementing these standards. If we get it right, which I’m sure we will, the UK will be reinforcing the highest standards of sustainable forestry for trade partners around the world. That is a worthy goal to aim for.” Industry already reports on greenhouse gas (GHG) savings and land use under the RO, and the minimum standards will become mandatory in April 2015. These minimum standards will tighten significantly over the period up to 2030, while the methodology used to calculate GHG savings will be unchanged for plants which accredit in the near term. This design does well to join together goals of ensuring that the industry is continuously improving, while also providing forward visibility to industry to enable investment. Continue reading
Oil Industry To EPA: Lower 2014 Biofuel Mandate
August 19, 2013 The American Fuel and Petrochemical Manufacturers (AFPM) and the American Petroleum Institute (API) have petitioned the EPA to lower the 18.15 billion 2014 renewable fuel mandate to about 14.8 billion gallons. The oil industry groups say the partial waver is needed to avoid “severe economic harm that will result from exceeding the 10 percent ethanol blendwall.” Projected to occur in 2014, the 10 percent blend wall refers to the difficulty in incorporating ethanol into the fuel supply at volumes exceeding those achieved by the sale of nearly all gasoline as E10. Most gasoline sold in the US today is E10. Beyond 10 percent, the ethanol renders the blended fuel “incompatible with today’s engines, vehicles and the multi-billion dollar infrastructure” in the US, the AFPM and API say. In issuing the final 2013 Renewable Fuel Standard earlier this month, the EPA said it received comments from a number of stakeholders concerning the blend wall and said it will propose to use flexibilities in the RFS statute to reduce both the advanced biofuel and total renewable volumes in the 2014 renewable fuel volume requirement proposal. Not good enough, say the oil industry groups. Waiving the 2014 volumes is the only way to “avert the potentially disastrous implications of the blendwall,” according to AFPM and API. If the EPA does not act, the inability to blend the mandated amount of ethanol “could cause severe economic harm,” AFPM President Charles T. Drevna says. AFPM cites analysis conducted by NERA Economic Consulting that says unless the RFS volumes required by statute are waived, NERA predicts a $270 billion decline in GDP in 2014, which will grow to $770 billion in 2015. Meanwhile the Biotechnology Industry Organization (BIO) has applauded the EPA’s biofuels ruling and said it provides advanced biofuel developers and investors with confidence that if they can produce advanced and cellulosic biofuels, they will have market access. Efforts to repeal the program are “motivated solely by the oil refining industry’s desire to block competition and consumer choice at the pump,” said Brent Erickson, executive vice president of BIO’s Industrial & Environmental Section. Continue reading
