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April 2002 Biobased Fuels, Power and Products Newsletter
 
Contents:
Feature Article: Learn About Biomass in Your State
Biobased Fuels, Power, and Products State Profiles
Growing a Cleaner, Stronger Economy in America


On the Hill
Grassroots
Market Place
Events
Solicitations
R&D Awards
 

Feature Article

Learn About Biomass in Your State
Biobased Fuels, Power, and Products State Profiles
Growing a Cleaner, Stronger Economy in America

The Department of Energy's National Biomass Coordination Office recently released a first-of-its-kind publication, Biobased Fuels, Power, and Products State Profiles. The draft publication consists of 50 state fact sheets providing information on R&D activities, the role of biomass technologies and resources, and biomass contacts on the state level.

Biobased Fuels, Power, and Products State Profiles is part of the federal effort to develop biobased alternatives and opportunities. Biomass has huge potential as a renewable source for clean fuels, power, and products in the United States. Currently, biomass sources only account for 3% of our nation's total energy consumption. Given the vast biomass resources in the U.S., the potential exists to increase this percentage dramatically.

For the last century, Americans have relied primarily on fossil fuels such as coal and petroleum for the production of power, fuel, and many industrial products (such as plastics and chemicals). However, Americans are increasingly concerned over the nation's dependence on foreign oil and the effects of fossil fuel use on the environment. Consider these facts:

  • Currently, petroleum, natural gas, and coal provide more than 99 percent of U.S. energy for transportation, 76% for heating, cooling, lighting, and powering our buildings, and 89% related to our industries. 1
  • Electricity generation in the U.S. is 68% fossil-fueled. 2
  • 80 million tons of petroleum per year are used to make plastics in the U.S. 3
  • The U.S. imports 11 barrels of oil from foreign sources for every 10 produced domestically. 4

Biobased alternatives provide a solution for reducing our dependence on foreign oil. Virtually every product that is made from imported petroleum can also be made from biomass. Corn- and soybean-based fuels such ethanol and biodiesel can supplement or replace gasoline and petroleum-based diesel. Agricultural and wood wastes as well as other biomass feedstocks can be used to generate electric power and heat through small modular biopower systems, biomass gasification, direct combustion, or co-firing. Corn, soybeans, and other crops can be used to produce industrial products such as chemicals and plastics.

In addition to providing environmental and national security benefits, biobased industries support the growth of local and state economies. Increased utilization of biomass feedstocks for power, fuels, and products adds value to farms and turns "waste" materials into commodities. The production, handling, and processing of biomass feedstocks provides jobs and economic development for rural America. The development of biobased industries, dependent on domestically produced feedstocks, stimulates local economies and increases the competitiveness of America's farms.

Biobased Fuels, Power, and Products State Profiles is a unique publication because it provides state-level information on biobased industries, including sales, employment, and capacity data. Data was collected from state and federal data resources as well as through research on over 1,400 facilities involved in the biopower, biofuels, or biobased products industries. The fact sheets reveal the important role of biomass technologies at the local level. For example:

  • In total, companies owning biobased facilities employ over 100,000 people in the U.S. and sell goods valued at over $50 billion.
  • There are 1,075 biopower facilities in the U.S. with a total capacity of approximately 12,600 MW. 5
  • Florida leads the country in biopower with over 1,000 MW of capacity at 61 facilities.
  • Minnesota, Nebraska, and Illinois are some of the leading biofuels-producing states.
  • Connecticut and Delaware are home to the largest bioproducts companies in the U.S.

Highlighting the exciting developments and opportunities for biobased alternatives in each state, Biobased Fuels, Power, and Products State Profiles is now available to the public at www.bioproducts-bioenergy.gov. The report also provides data on biomass resources in each state in addition to data on existing biobased industries. As the fact sheets reveal, the U.S. has abundant biomass feedstocks to fuel its emerging biobased industries. For example:

  • In 2000, the U.S. produced about 10 billion bushels of corn, 2 billion bushels of wheat, 3 billion bushels of soybeans and 10 million tons of rice. Agricultural residues from these crops as well as the crops themselves can be used to produce power, fuels, and products. Top corn producing states include Iowa, Illinois, and Nebraska. Top soybean producers include Illinois, Iowa, and Minnesota.
  • Waste streams from the approximately 8 billion head of poultry and 160 million livestock in the U.S. can be put to productive use as biomass feedstocks. Georgia, Arkansas, and Alabama are the top three poultry producing states, each with over 1 billion broilers, layers, and turkeys. Iowa takes the lead for hogs and pigs with over 15 million head. Texas is the U.S. leader for cattle with nearly 14 million head. 6
  • The U.S. has approximately 700 million acres of forestland. Forest thinnings and underbrush can be extracted and used as biomass feedstocks, which also can reduce the level of fire risk.

Information on federally supported biomass-related RD&D is also provided. Currently there are over 500 federally supported RD&D projects with over 400 organizations partnering on these projects. Biomass contact information for the State Energy Office, Department of Energy Regional Office, and National Biomass Coordination Office is provided. Soon the option to view individual project details, including project abstracts and contact information, will be available on the Web-based version of the report. Increased partnership with the federal government in biomass R&D will increase the role that biomass plays in state economies.

Biobased Fuels, Power, and Products State Profiles pulls together hard-to-find information about biomass activities on the state level. Check out the fact sheets to learn more about the opportunities and activities for biomass in your state at: http://www.bioproducts-bioenergy.gov


Biomass Spotlight: Kentucky

 

Kentucky's large forest product industry generates waste and mill residue that can be used as biomass resources. The state's important agriculture industry also generates a range of crops and crop residue ideal for the purpose.

Some rural electric cooperatives are encouraging the development and use of biomass by offering incentives such as a green pricing program. The Green Power Switch program allows utility customers to voluntarily pay more for energy generated from renewable sources.

In addition, a number of research projects are underway in the state. For instance, the United States Department of Energy is collaborating with Calla Energy Partners, LLC and the Gas Technology Institute to research advanced gasification technologies designed to gasify biomass-based fuels for co-firing with fossil fuels. A demonstration project will be used to reduce steam and electricity for a new 500-acre industrial park.

For more information, access Biobased Fuels, Power, and Products State Profiles at: http://www.bioproducts-bioenergy.gov


On the Hill

 
Congress is considering a number of bills that affect the use of biomass resources to produce energy and biobased products. For more information, visit http://thomas.loc.gov/
Bill # Sponsor
Summary Last Action
S. 517 Sen. Jeff Bingaman
(Democrat - NM)
T: (202) 224-5521
The National Laboratories Partnership Improvement Act of 2001 is a bill to authorize funding the Department of Energy to enhance its mission areas through technology transfer and partnerships for fiscal years 2002 through 2006, and for other purposes. 3/15/02
Pending before the Senate
H.R. 3946 Rep. F. James Sensenbrenner
(Republican - WI)
T: (202) 225-5101
The Fuel Price Stability Act of 2002 amends the Clean Air Act by permitting the sale, in certain states, of gasoline from other regions. 3/12/02
Pending Before the House Energy & Commerce Committee
S. 1979 Sen. Max Baucus
(Democrat - MT)
T: (202) 224-2651
The Energy Tax Incentives Act of 2002 provides energy tax incentives, including a small ethanol producer tax credit. 3/01/02
Pending before the Senate
S. 1960 Sen. Tom Harkin
(Democrat - IA)
T: (202) 224-3254
The Biobased Energy Incentive Act of 2002 amends the Biomass Research and Development Act of 2000 to encourage production of biobased energy products, and for other purposes. 2/15/02
Pending before the Senate Agriculture Committee
H.R. 3708 Rep. John R. Thune
(Democrat - FL)
T: (202) 224-2801
Bioenergy Investment and Opportunity Act of 2002 - Directs the Secretary of Agriculture to continue the program to promote industrial consumption of eligible agricultural commodities (including animal fats, oils, and by-products) for bioenergy production through FY 2011. 2/14/02
Pending before the Senate
S. 1731 Sen. Tom Harkin
(Democrat - IA)
T: (202) 224-3254
The Farm Aid Bill strengthens the safety net for agricultural producers, to enhance resource conservation and rural development, to provide for farm credit, agricultural research, nutrition, and related programs, to ensure consumers abundant food and fiber, and for other purposes. 2/13/02
Pending in Conference Committee

Grassroots

 

Efforts to Commercialize E Diesel Shift into High Gear
Efforts to move ethanol-blended diesel fuel (E diesel) closer to commercialization got a big boost in late February 2002 with the announcement of a major research partnership. The partners working together include John Deere, the Renewable Fuels Association, the Iowa Corn Promotion Board, and corn farmers from five other states. The two-year project will evaluate engine durability, emissions, compatibility with engine parts and component parts, safety and actual field testing for E diesel in three John Deere engine families used in off-road equipment. To find out more, please read the full article at:http://www.farmprogress.com

California Farmers Eye Sugar Cane for Ethanol
Since 1997, about a dozen local farmers in California have been working to introduce sugar cane on farmland about 200 miles southeast of Los Angeles. Now, with an expected spike in demand for ethanol in California due to a ban on MTBE, the newly formed Imperial Valley Sugar Cane Growers Association believes a window of opportunity exists to grow sugar cane for ethanol production. One proposal currently being reviewed involves converting a sugar mill into a plant that can refine sugar and ethanol year-round. Cane waste products would be burned as fuel in a companion electricity plant, and other residual materials could be made into building materials and cardboard. To read the full article, please go to: http://www.bbiethanol.com

Turning Crops into Candles, Highway Markers, and More
Dozens of research projects at Iowa State University involve developing new uses for Iowa crops. In one project, researchers are developing an improved soywax which can be used to replace petroleum-based paraffin in candles. In another project, researchers are developing a biodegradable soy-based plastic to make raised, reflective road markers for Midwest highways. In addition, researchers continue to improve a soy protein-based glue, which has been used as an adhesive to make boards out of corn stover, straw, switchgrass fiber, and other wood alternatives. To read the full article, please go to: http://www.farmprogress.com

Mattress Maker Selects NatureWorks
In an exciting step forward in the commercialization of corn-based products, Sealy mattress and bedding company has launched an entire new line of products that use NatureWorks, a Cargill Dow product made from corn-based polylactic acid. Sealy notes that NatureWorks natural-based fibers are hypoallergenic, comfortable, and provide greater environmental benefits than petroleum-based polyester fibers. The first sales of the new products were made on the cable-shopping channel QVC. To read the full article, please go to: http://www.farmprogress.com


Market Place

 

Data Sources:
OxyFuel News: Ethanol
(U.S. Avg: Terminal); MTBE (Houston, TX: spot); Gasoline (Gulf Coast: spot, regular grade)
USDA-National Agricultural Statistics Service, "Agricultural Prices," "Grain Stocks"


Grain Prices Mar 2001
Mar 2002 % Change
Corn Prices
($/bushel)
1.91 1.92 0.01%
Soybean Prices ($/bushel) 4.29 4.59 0.07%
Fuel Supply Feb 2001
Feb 2002 % Change
Motor Gasoline Production ('000 b/d) 7906 8049 1.81%
Motor Gasoline Imports
('000 b/d)
611 725 18.66%
Motor Gasoline Stock
(Mil b/d)
150.28 158.78 5.66%
Refinery Utilization Rate 91.6 87.8 -4.15%
Fuel Production Feb 2001
Feb 2002 % Change
Ethanol Production
(Mil b/d)
116 114 -1.72%
MTBE Production
(Mil b/d)
188 178 -5.32%

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



Events
April
3-5, 2002
Athens, GA
The Second International Symposium on Biotechnology in Textiles
http://www.fcs.uga.edu/tmi/sisbit
April
7-11, 2002
Orlando, FL
ACS National Meeting
http://www.acs.org
April
7-11, 2002
Wageningen, The Netherlands
The First International Congress on Plant Metabolomics
http://www.metabolomics.nl
April
10-11, 2002
Kassel, Germany
4th International Wood and Natural Fibre Composites Symposium
http://www.kutech-kassel.de
April
11, 2002
Oklahoma City, OK
2002 Wind Power and Bioenergy: Oklahoma Crops of the 21st Century
http://www.conferencepros.com
April
11, 2002
Multiple Locations, USA
National AFV Day Odyssey
http://www.nationalafvodyssey.org
April
11, 2002
Bronx, NY
National Alternative Fuels Day and Environmental Summit
http://www.ccities.doe.gov/national_af_day.html
April
11-13, 2002
Hilton Head, SC
ILMA 2002 Mid-Year Meeting
http://www.ilma.org/index.php
April
11-13, 2002
Alberquerque, NM
SMALLWOOD 2002: Community & Economic Development Opportunities in Small Tree Utilization
http://www.forestprod.org/confsmallwood02.html
April
14-15, 2002
Dearborn, MI
Structural Plastics 2002
http://www.plasticparts.org
April
14-17, 2002
Los Angeles, CA
ASC (Adhesive and Sealant Council) 2002 International Conference and Exposition
http://www.ascouncil.org/meetings
April
14-17, 2002
Barcelona, Spain
2002 World Oleochemical Conference
http://www.aocs.org/meetings/oleochem
April
15-20, 2002
Hannover, Germany
Energy 2002 (part of the Hannover Fair)
http://www.hfusa.com/hannoverfair
April
16-18, 2002
New Orleans, LA
Plastics Encounter
http://www.plasticsencounter.com
April
21-24, 2002
Ede, the Netherlands
Biohydrogen 2002
http://www.ftns.wau.nl
April
23-24, 2002
Seville, Spain
F.O. Lichts World Biofuels 2002
http://www.fo-licht.com
April
24-26, 2002
Floriade, The Netherlands
3rd International Congress & Trade Show Green-Tech 2002
5th European Symposium Industrial Crops and Products
http://www.europoint-bv.com
April
25-26, 2002
Philadelphia, PA
5th E-Chemmerce US Conference/Expo
http://www.cwacts.com
April
25-26, 2002
Philadelphia, PA
BioCat2002 Conference and Exhibition
http://www.catalystgrp.com
April
25-27, 2002
Chicago, IL
Car Care World Expo
http://www.carcarecentral.com
April
26, 2002
Alberta, Canada
AltEnergy 2002
http://www.altenergy2001.org
April 28-
May 1, 2002
Gatlinburg, Tennessee
24th Symposium on Biotechnology for Fuels and Chemicals
http://www.ct.ornl.gov/symposium
April 28-
May 1, 2002
Toronto, Canada
FMI (Fleet Management Institute) 2002
http://www.nafa.org
April 30-
May 1, 2002
Starkville, MS
Mississippi Alternate Fuels Conference
http://www.ext.msstate.edu
May
5-9, 2002
San Francisco, CA
SPE-ANTEC 2002
http://www.4spe.org
May
6-7, 2002
Miami, FL
Power Crops for the Americas
http://www.fo-licht.com
May
6-8, 2002
Columbus, OH
2002 International Symposium Composting and Compost Utilization
http://www.composting2002.org
May
6-8, 2002
Philadelphia, PA
North America Waste to Energy Conference
http://www.swana.org
May
6-8, 2002
Washington, DC
Animal Residuals 2002
http://www.wef.org
May
6-8, 2002
Reno, NV
Spring Fuels and Lubricants Conference and Exhibition
http://www.sae.org

Solicitations
Title: Rural Business Opportunity Grant Program
Description: Primary objective of program is to provide technical assistance for business development and economic development planning to rural areas.
Government Agency: U.S. Department of Agriculture, Rural Business-Cooperative Service
Schedule: Applications due June 30, 2002
URL: http://www.access.gpo.gov
*Note: For more information, contact your Rural Development State Office. See 2/25/2002 Federal Register notice for contact info.
Title: Chemicals Industry of the Future Solicitation
Description: Seeking proposals for new or improved process technologies that are applicable to the chemical industry as well as the biobased products and biofuel industries. Areas of interest include Fischer-Tropsch technologies or other new chemistries, which may, in the future, use biomass as the carbon source.
Government Agency: Department of Energy, Industrial Technologies Program
Schedule: Proposals due April 24, 2002
URL: http://e-center.doe.gov
Title: Renewable Energy Development on Tribal Lands
Description: Applications are solicited, from federally recognized Tribes or Alaskan Native Corporations, for the purpose of feasibility studies and the installation of renewable energy facilities on Tribal land.
Government Agency: Department of Energy
Schedule: Proposals due May 6, 2002
URL: http://e-center.doe.gov
Title: Partnerships for Innovation
Description: Seeking proposals from degree-granting institutions of higher learning for innovative research projects that stimulate the transformation of knowledge created by the national research and education enterprise into innovations that create new wealth, build strong local, regional and national economies and improve the national well-being.
Government Agency: National Science Foundation
Schedule: Proposals due May 7, 2002
URL: http://www.nsf.gov
Title: Forest Products Industry of the Future
Description: Funding for cost-shared research and development of technologies that will reduce energy consumption, enhance economic competitiveness, and reduce environmental impacts of the forest products industry.
Government Agency: Department of Energy
Schedule: Proposals due April 15, 2002
URL: http://www.oit.doe.gov
Title: NICE3 Pre-Proposal
Description: This solicitation will fund projects that will provide significant energy savings on a national level. Industries considered must fall within the Industrial Technologies Program's focus industries, such as agriculture and forest products.
Government Agency: Department of Energy's Industrial Technologies Program
Schedule: Competitive solicitation opens early April 1, 2002
Proposals due June 30, 2002
URL: http://www.oit.doe.gov


R&D Awards

Title:

Energy Savings Performance Contract
Description: Funding to develop, finance and implement projects that guarantee energy-related cost savings at federal facilities by using biomass and alternative methane fuels.
Recipients: Constellation Energy Source, DTE Biomass Energy Inc, Energy Systems Group, Systems Engineering and Management Corporation, Trigen Development Corporation.
Award Total: $200,000,000
Sponsoring Office: Department of Energy's Federal Energy Management Program
URL: http://www.energy.gov
 

1The Biobased Products and Bioenergy Vision, Draft 7/18/01 (available at http://www.bioproducts-bioenergy.gov)

2 ibid

3 Biotechnology Industry Organization, http://www.bio.org

4 The Biobased Products and Bioenergy Vision, Draft 7/18/01 (available at http://www.bioproducts-bioenergy.gov)

5 Renewable Electric Plant Information System (REPiS), Department of Energy, National Renewable Energy Laboratory 11/28/01, http://www.eren.doe.gov/repis/

6 Year 2000 data.

National Biomass Initiative
U.S. Department of Energy, 1000 Independence Avenue, SW, Mail-Code EE-1, Washington DC 20585
Office: 202-586-4541 | Fax: 202-586-1640 |
Biomass@bcs-hq.com
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