Bioamss Initiative Newsletter

Feature Article May 2006
Advisory Committee Holds Central Region Roadmap Workshop for Bioenergy and Biobased Products in the United States

BCS, Incorporated

On April 11-12, 2006, the Biomass Initiative's Biomass Research and Development Technical Advisory Committee held a Central Region (see Exhibit 1) workshop, at Argonne National Laboratory, to update the Roadmap for Biomass Technologies in the U.S. The Roadmap details the research and development (R&D) pathways necessary to advance the role of biopower, biofuels, and biobased products in the U.S. economy, as set forth in the goals established in the Vision for Bioenergy and Bioproducts in the U.S. The Energy Policy Act of 2005 required that both documents, which were developed in 2002, be updated. The Committee recently updated its Vision update, and with this first regional workshop, began the process of updating the Roadmap.

The workshop was comprised of 27 invited experts from universities, industry, national laboratories, and government with expertise in biomass feedstocks, processing and conversion, distribution networks and markets, and policy. The workshop focused on national issues and those unique to the central United States. The workshop was chaired by Committee member, Dr. Thomas Binder of Archer Daniels Midland.

Using the structure of the original 2002 Roadmap, participants mapped current R&D and non-R&D needs into four categories: Feedstock Production, Processing and Conversion, Product Uses and Distribution, and Public Policy Measures to Promote Biomass Development.

The following provides highlights of the workshop discussion.

Feedstocks Production

Decentralization

  • Identify methods to widely distribute small-scale harvesting, pre-treatment, and handling operations.
  • Identify biocatalysts for small-scale processing and conversion.
Ecosystem Services
  • Identify sustainable crop and soil practices, including full residue use.
  • Identify diverse energy crops' effects on soil quality.
  • Encourage crop diversity.
Crop Yield
  • Identify a goal for percentage of increased crop yield (e.g. up to 25 percent photosynthesis efficiency increase)
  • Increase positive crop traits:
    • Cellulosic and lignin density
    • Btu value
  • Integrate plant breeding research for bioenergy.
  • Implement multi-season (at least 10-year), multi-location field trials to obtain accurate crop yield data.
Farm Profitability
  • Reduce harvesting costs with increased crop densification and one-pass systems.
  • Identify high-value products with Life-Cycle Analysis (LCA) studies.
Feedstock Diversity
  • Identify adaptable, commercially-viable crop varieties.
  • Identify end-use market, financing for wide range of crops.
Processing and Conversion

Analysis of Processes Found in Nature

  • Analyze effective biological processes, such as in ruminants, which process cellulosic biomass.
  • Improve processes to replicate effective biological processes synthetically.
  • Combine Federal research efforts to maximize knowledge exchange and effective, targeted funding.
Increased Yield
  • Identify thermochemical processes to minimize tar and char in clean-up.
  • Identify cost-effective conversion of black liquor to syngas.
  • Identify more cost-effective and robust biocatalysts.
Oils, Sugars, and Protein Platforms
  • Demonstrate conversion of biomass carbon and oil byproducts to platform chemicals for replacement of petrochemicals.
  • Identify commercially viable replacement of petrochemicals.
New Approaches to Separations
  • Identify syngas fermentation process improvement pathways.
  • Identify catalyst separation process improvement pathways.
  • Identify enzymatic mobilization process improvement pathways.
Product Uses and Distribution

On-Farm Processes

  • Identify methods for growers' pre-processing, biomass heating or electric generation, or early-stage biochemical conversion.
  • Identify barriers to, and solutions for, chemical process safety and economies of scale.
Increase Product Uses and Demand
  • Improve methods to use fatty acids and gaseous fuels from biomass processes.
  • Identify industry, supply, and policy partnerships to maximize new product markets. Identify opportunities in procurement requirements.
Transportation and Distribution Systems
  • Develop a multi-modal transport study involving rail, pipelines, waterways, and highways.
  • Initiate studies of quick, cheap densification methods, and biomass pipeline feasibility.
Certification and Specifications
  • Initiate work with organizations such as ASTM or AOCS to establish performance specifications for biofuels and biobased products based on biomass industry input.
  • Identify performance specifications for entire supply and production chain.
  • Identify performance specifications to ensure biobased fuels and products meet standards necessary for public acceptance and future international trade.
Public Policy Measures to Promote Biomass Development

Education and Training

  • Develop training programs for workers at all levels in biomass industry; specifically transportation, processing, and distribution.
Public Outreach
  • Develop activities to promote biomass benefits to the general public, consumers, industry, academics, and policy makers.
  • Develop an association for the biomass industry that represents all interests, activities, and organizations.
Reducing Investor Uncertainty
  • Identify Federal agency areas for strategic biomass funding in a white paper or study funded by those Federal agencies.
  • Collaborate among agencies on the level of the Manhattan Project to support all R&D efforts.
Incentives and Long Term Policies
  • Identify barriers and targeted incentives through supply chain analysis.
  • Develop petroleum displacement credits.
Environment
  • Identify public benefit metrics of biomass crops, processing, and end-products through Life-Cycle Analysis (LCA).
  • Develop coalitions with environmental groups to create larger biomass support base and influence.
West and East Regional Roadmap Workshops

Two additional Roadmaps workshops are planned. A workshop for the Western Region is planned for August 2006 and the Eastern Region in the fall of 2006. An updated Roadmap will be available in early 2007.


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State Spotlight: Louisiana
Louisiana   In 2001, the State of Louisiana consumed roughly 3,390 trillion Btu of energy. The majority of energy consumed came from petroleum and natural gas accounting for 44 percent and 39 percent, respectively, of the total energy consumed in the state. Coal accounted for 7 percent with nuclear accounting for 5 percent and biomass 4 percent. Hydroelectric and other energy sources each accounted for less than one half of one percent.1

Energy Profile Approximately 11,834,427 annual dry tons of biomass is available in of Louisiana for energy production. Of this, urban wood wastes, include yard trimmings, wood packaging, and other miscellaneous household and commercial wood wastes, have the potential to supply 753,870 dry tons per year. Forest residues, consisting of logging residues, salvable dead wood, and small pole trees and saplings, have the potential to provide up to 1,641,800 annual dry tons in Louisiana. Up to 380,557 dry tons per year of agricultural residues are potentially available in the state, including materials such as corn stover and wheat straw. Finally, mill residues, consisting of bark and other residues from pulping mills, could provide up to 3,245,000 dry tons of biomass each year in Louisiana. There is an estimated 5,813,200 dry tons of dedicated energy crops in Louisiana. Currently, dedicated energy crops are not produced in the United States, but could be if crops could be sold at a price ensuring producers a profit at least as high as could be earned using the land for alternative uses such as producing traditional agricultural crops.2

Biomass Potential by Source In Louisiana, the larger quantity biomass resources consist mainly of sugarcane bagasse, filter press cake, bagasse ash, rice hulls, cotton gin trash and waste charcoal.3

The Louisiana Council of Renewables oversees all renewable energy projects in the state including biomass. Currently there is no information regarding active biomass projects within the state of Louisiana.

Total Biomass Potential At this time, the State of Louisiana is offering only two financial incentives, aimed at home owners, to encourage the use of renewable energy sources. Louisiana offers a property tax abatement and a low interest loan program to help home owners make energy efficient improvements.4

1Energy Information Administration. Table 7: Energy Consumption Estimates by Source, 1960-2001, Louisiana. http://www.eia.doe.gov/emeu/states/sep_use/total/use_tot_la.html (5/9/06).
2Biomass Feedstock Availability in the United States: 1999 State Level Analysis. Oak Ridge National Laboratory. Updated January 2000. http://bioenergy.ornl.gov/resourcedata/index.html (5/9/06). *Note: $50/dry ton cost data was used in this article.
3Renewables Council of Louisiana, http://www.renewla.com/biomass_in_louisiana.html (5/9/06).
4DSIRE: Incentives by state: Louisiana. http://www.dsireusa.org/library/includes/map2.cfm?State=LA&CurrentPageId=1 (5/9/06).

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On the Hill

Bill # Sponsor Description Last Action
H.R. 5027 Rep Jindal, Bobby [LA-1] Landfill Gas Act of 2006: To amend the Internal Revenue Code of 1986 to provide a tax credit proportional to the number of million British thermal units of natural gas produced by a high Btu biomass fuel production facility. 3/28/2006: Referred to House Committee on Ways and Means.
S. 2571 Sen Conrad, Kent [ND] Breaking Our Long-Term Dependence (BOLD) Energy Act of 2006: A bill to promote energy production and conservation. This act would amend both the Energy Policy Act of 2005 and the Clean Air Act to increase the volume of available renewable fuels produced over the next 20 years. 4/6/2006: Read twice and referred to the Committee on Finance.
S. 2614 Sen Thune, John [SD] Alternative Energy Refueling System Act of 2006: A bill to amend the Solid Waste Disposal Act to establish a program to provide reimbursement for the installation of alternative energy refueling systems for a suite of alternative fuels including E85. 4/7/2006: Read twice and referred to the Committee on Finance.
H.R. 5124 Rep Ryan, Paul [WI-1] Fuel Blend Reduction Act of 2006: To amend the Clean Air Act, provide for a Federal Fuels List, and study the effects of alternate fuels on air quality, and energy supply, distribution, and use. 4/19/2006: Referred to the Subcommittee on Energy and Air Quality.

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Grassroots


Indiana: BioTown Sourcebook Now Available to Public

The Midwest state's Department of Agriculture has released its Bioenergy Sourcebook, analyzing energy use and consumption in BioTown, USA, otherwise known as Reynolds, Indiana. Begun in September 2005, the BioTown project is a pioneering study and experiment in providing entirely biorenewable energy for a small community.

http://www.thehj.com/main.asp?SectionID=9&SubSectionID=32&ArticleID=13980&TM=64927.65

Passage by Iowa House Sends Most Aggressive Renewable Fuels Bill in Country to Governor for Signature

Iowa House Bill HF 2754, calling for energy tax credits, a renewable fuels standard, and various economic measures to increase consumer use of renewable energy, has been passed by the state legislature. Access to biodiesel and E85 is a major target of the bill. Next, it will go to Governor Tom Vilsack for consideration.

http://www.iowarfa.org/news.php

DuPont Bets Big On Biotechnology

DuPont Chief Executive Charles Holliday Jr. is pushing for public recognition of the possibilities for biobased products. These include carpet fiber, nail polish, hair dye, and bioglues, all built completely from organic materials. DuPont hopes its future business will evolve with clean energy production and petroleum-substitute products that are better than the original.

http://www.iht.com/articles/2006/02/28/business/dupont.php

Enterprise Rent-a-Car Adds Biodiesel Cars to PDX Fleet

Portland, Oregon travelers have an additional option for local transportation. The local Enterprise franchise has purchased five Jeep Liberty model vehicles, which run on biodiesel, for its rental business. Four fuel stations in the Portland area offer B20 blend biodiesel. As the biggest car rental company in the U.S., Enterprise purchases over 600,000 vehicles annually.

http://www.katu.com/entertainment/story.asp?ID=84942p

Ohio State Center to Help Curb "Addiction to Oil", Develop Bioproducts

The Ohio State University's Ohio BioProducts Innovation Center (OBIC), begun as part of the state's Third Frontier Project, is working to develop new technologies for petroleum replacement in plastics, paints, lubricants, and solvents. OBIC combines programs at the University to maximize opportunities, and is established to work with industry on crop breeding, chemical conversion, and other biomass technology areas.

http://www.ntxe-news.com/artman/publish/article_32934.shtml


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Marketplace


The Grain Prices graph shows the cost of soybeans, the main biodiesel feedstock, and corn, the main ethanol feedstock. The tables show actual grain prices, indicators which may affect gasoline prices, and the production of ethanol. Fuel prices come from OPIS Ethanol and Biodiesel Report. Ethanol and RBOB Unl New York spot prices and SME Biodiesel Rack, Chicago, March 2006.
Fuel Grain Prices
Fuel Prices
Grain Prices April 2005 April 2006 % Change
Corn 2.00 2.11
5%
Soybean 6.03 5.39 -11%
Fuel Supply April 2005 April 2006 % Change
Percent Refinery Utilization 91.7 87.2 -4.87%
Production by Product - Finished Motor Gasoline (Million Barrels) 8,787.3 8,256.5 -6.04%
Stocks - Finished Motor Gasoline (Million Barrels) 139.1 116.9 -15.96%
Imports - Total Motor Gasoline (Million Barrels) 1,076.8 1,093.3 1.35%
Oxygenate Production February 2005 February 2006 % Change
Ethanol Production
(Million Barrels)
245 302 18.87%
MTBE Production
(Million Barrels)
118 90 -31.11%

Data Sources:
U.S. DOE-Energy Information Administration, "Weekly Petroleum Status Report", "Monthly Oxygenate Report"
USDA-National Agricultural Statistics Service, "Agricultural Prices," "Grain Stocks"

U.S. Historic Imports of Motor Gasoline U.S. Historic Finished Motor Gasline Production U.S. Historic Percent Refinery Utilization U.S. Historic Stocks of Finished Motor Gasoline

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R&D Awards

Title: Woody Biomass Projects Receive $4.2 Million in USDA Grants
Description: The U.S. Department of Agriculture (USDA) awarded $4.2 million to 18 small enterprises that will use the money to develop innovative products and renewable energy from woody biomass from national forests. Although many of the recipients are forest products companies, funds were also awarded to the Cawaco Resource Conservation & Development Council, Inc., which is planning a project to co-fire biomass with coal in the Gadsden Steam Plant in Alabama; Big Valley Power, a biomass power plant in Redding, California; the Montana Community Development Corporation, which has been experimenting with using wood waste from logging operations to fuel a boiler at a paper mill; Nevada's Lake Tahoe Unified School District, which plans to fuel a cogeneration system with biomass fuel; Mt. Taylor Machine, a New Mexico company that makes fuel for pellet stoves; and the town of Red River, New Mexico, which plans to ship wood chips from forest thinning to a biomass power plant. According to the USDA, the grant program improves forest health and reduces the risk of wildfires by removing built-up fuel hazards.
Recipients: Multiple
Award Total: $4.2 Million
Sponsoring Office: USDA
URL: http://www.usda.gov/wps/portal/

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Solicitations
Title: Continuing Solicitation for the Office of Science
Description: Seeking grant applications for support of basic energy science fundamental research in the natural sciences and engineering leading to new and improved energy technologies and to understanding and mitigating the environmental impacts of energy technologies.
Government Agency: Department of Energy's Office of Science
Schedule: Applications may be submitted at any time.
URL: http://www.science.doe.gov/grants/FAPN05-01.html

Title: Energy Innovations Small Grant (EISG) Program
Description: The EISG provides funding to small businesses, small non-profits, individuals and academic institutions for establishing the feasibility of new energy concepts. Qualifying entities outside of California are eligible. Projects must develop innovative and original energy concepts that address a clear market need, provide benefit for California electricity ratepayers and target one or more areas of interest: industrial/agriculture/water end-use efficiency; building end-use efficiency; advanced generation; renewable generation; energy-related environmental research; strategic energy research.
Government Agency: California Energy Commission
Schedule: EISG has up to 4 cycles of grants a year
URL: http://www.energy.ca.gov/research/innovations/index.html

Title: Energy Performance Contracting in State-Owned Facilities
Description: Funded by a System Benefits Charge (SBC) on electric transmission, this program offers energy efficiency, research and development, low-income and environmental disclosure funding and education to assist electric consumers as the regulated electricity market moves to more open competition.
Government Agency: New York State Energy Research and Development Authority
Schedule: Grant programs, funding amounts, and funding cycles vary
URL:http://www.nyserda.org/Funding/funding.asp?i=2

Title: National Research Initiative
Description: The U.S. Department of Agriculture requests applications for the National Research Initiative Competitive Grants Program (NRI). NRI supports research, extension, and education projects that address key problems of national, regional, and multi-state importance in sustaining all components of agriculture. 29 program areas identified including Biobased Products and Bioenergy Production; Water and Watersheds; and Rural Development.
Government Agency: USDA
Schedule: Due dates range from November 30, 2005 go October 31, 2006.
URL: http://www.grants.gov

Title: Biorefinery Construction Solicitation
Description: This Funding Opportunity Announcement (FOA) is being issued under authorization of the Energy Policy Act (EPAct) of 2005, Section 932. Amendments to the Internal Revenue Code of 1986 within Title XIII, Energy Policy Tax Incentives cited in EPAct and sections 1345 and 1346 (renewable fuel and biodiesel credits) of EPAct provide additional impetus and credit enhancements for potential applicants to respond to this announcement. Approximately $53,000,000 is expected to be available in FY07 for new awards under this FOA. Additional funding is expected to be available in FY08 and FY09. In total, approximately $160,000,000 over three years is expected to be available for new awards under this FOA.
Government Agency: DOE
Schedule: Applications due by September 10, 2006
URL:https://e-center.doe.gov


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Events

May 16-18, 2006
Richmond, Virginia

Smallwood 2006
Organizer: Forest Products Society
Contact: N/A
Email: conferences@forestprod.org
Tel: 608-231-1361, ext. 208
Website: www.forestprod.org

May 17, 2006
London, United Kingdom

UK Energy Security of Supply Conference
Organizer: Energy Insight
Contact: Sandra Dane
Email: info@energyinsight.co.uk
Tel: +44 (0)20 7353 8688
Website: http://www.energyinsight.co.uk/

May 17-18, 2006
Chicago, Illinois

Ethanol Finance and Investment
Organizer: Platts
Contact: Ron Berg
Email: ron_berg@platts.com
Tel: 781-860-6118
Website: http://www.platts.com/Events/PC625/

May 17-19, 2006
Barcelona, Spain

Energy Distribution Europe
Organizer: Synergy
Contact: Elisabeth Brusse
Email: info@synergy-events.com
Tel: +31 (0)346 590 901
Website: http://www.distribution-europe.com/

May 22-23, 2006
New York, New York

Renewable Project Finance
Organizer: Infocast, Inc.
Contact: Jim Naphas
Email: mail@infocastinc.com
Tel: 818.888.4444
Website: http://www.epobioworkshop2006.net/

May 22-24, 2006
Wageningen, The Netherlands

EPOBIO - First International Workshop 'Products from Plants: the Biorefinery Future'
Organizer: All-Energy
Contact: Mrs. Judith Mitchell
Email: workshop@epobio.net
Tel: +44 (0) 1904 328752
Website: http://www.epobioworkshop2006.net/

May 24-28, 2006
Aberdeen, Scotland

All-Energy 2006
Organizer: All-Energy
Contact: Judith Patten
Email: info@afvi.org
Tel: +44 20 8241 1912
Website: http://www.all-energy.co.uk

May 29-31, 2006
Beijing, China

REAsia 2006
Organizer: Grace Fair International Limited
Contact: Ms. Nicole Song
Email: nicole@gracefair.com
Tel: N/A
Website: http://www.gracefair.com/reasia_home.htm

May 29-June 2, 2006
Jönköping, Sweden

World Bioenergy 2006
Organizer: Svenska Bioenergiföreningen SVEBIO
Contact: N/A
Email: info@svebio.se
Tel: +46 8 441 70 80
Website: http://www.svebio.se

May 30-June 1, 2006
Budapest, Hungary

Eastern Biofuels Conference & Expo II
Organizer: Biofuels Conferences
Contact: Wendy Vincent
Email: wendy@biofuelsconferences.com
Tel: +01 605 338 6829
Website: http://www.easternbiofuels.com/


Click here for additional bio-related events.

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The Biomass Initiative, formed as part of the Biomass R&D Act of 2000, is a multi-agency effort to coordinate and accelerate all Federal biobased products, biofuels, and bioenergy research and development. The Biomass Initiative distributes an online monthly newsletter to inform government institutions and the public, including private companies, about the Biomass Initiative and biomass-related activities. The newsletter’s contents include a feature article highlighting important biomass-related stories of the month, as well as grassroots information and a state spotlight recognizing important local activities. In addition, the newsletter includes biomass-related information on recent legislation, R&D awards, solicitations, and market trends.

If you have any questions or comments about the Biomass Initiative Newsletter, please contact mmanella@bcs-hq.com.