Tag Archives: biofuel legislation

Canada Probes the Frontiers of Biofuel

October 04, 2010   Karl
canadian flag

Canada pushes the Biofuel Frontiers

Four enterprising Canadian firms have joined the race to replace fossil fuels with affordable and planet-friendly second-generation bio alternatives.

Toronto, Canada Despite decades of work, most next-generation biofuels — made from materials that do not compete with food production — are still at the reaserch and development stage. But a few Canadian operations are among the dozen or so that are either commercial or very near to it — and each has the potential to change how the world fuels up its vehicles.
Enerkem: Speeding to Market
Since its emergence from a small research laboratory in Sherbrooke University in 1999, Quebec-based Enerkem has continued to pursue aggressive growth, and it is now completing a large commercial facility to turn Edmonton’s municpal garbage into some 36 million litres of bioethanol a year. The plant, scheduled to begin operating from mid-2011 onwards, is set to become the world’s first commercial operation to turn municipal solid waste (about 100,000 tonnes annually) into ethanol for fuelling vehicles.

Read More

Malaysia considers cutting diesel subsidy to boost biofuels

October 04, 2010   Karl
Malaysia biofuel

Cutting diesel subsidy to boost biofuel

Malaysia said Monday it would consider cutting a diesel subsidy next year in a bid to make its biofuel industry more attractive after production of the alternative fuel virtually ground to a halt.

Malaysia has aims to become a global leader in biodiesel, but the once-vaunted industry has come to a standstill since March, when the government delayed a move to require oil companies to sell it alongside conventional fuels.

The plan was originally due to take effect in 2007 but will not now come into force until June 2011.

Malaysia Palm Oil Board (MPOB) figures show that the production of biodiesel, a mixture of diesel and five percent processed palm oil, dropped 99 percent from 12,640 tonnes in March to just 137 tonnes in July.

Plantations and Commodities Minister Bernard Dompok said the government was looking at cutting the subsidy for diesel, which currently costs 1.75 ringgit (0.58 dollars) per litre, to encourage the use of the biofuel.

“Because of the subsidy on diesel, it has somewhat distorted the price for biodiesel to be utilised,” Dompok told reporters at the sidelines of a palm oil conference.

“There is an element of increase in the pump price (of diesel) and this is what the government is looking at I think by 2011.”

He said the new rule on biofuel sales was on track for June next year, with the government providing funds to several oil firms, including Malaysia’s Petronas, to set up biofuel blending facilities.

The fall of oil prices from mid-2008 highs, when biofuels were a significantly cheaper alternative, has led many to stick to conventional fuel, raising questions over the future of biodiesel.

The rising price of Malaysia’s palm oil means the cost of manufacturing biofuels is high, and industry leaders are concerned they cannot cover their costs without government subsidy.

Malaysia has approved 56 licences for biodiesel output, which would create a production capacity of 6.8 million tonnes, but most plants have not been set up.

Malaysia aims to produce 17.8 million tonnes of palm oil this year with the country’s second largest palm oil firm, IOI, bullish that prices would hit the 3,000 ringgit per tonne benchmark “soon” due to tight supply.

“There are rains every day and we have a labour shortage (on the plantations),” IOI executive chairman Lee Shing Cheng said, adding that he believes the government is working to resolve the labour shortage.

Palm oil was trading between 2,650 to 2,700 ringgit per tonne on Monday.

Malaysia is the world’s second-largest exporter of palm oil after Indonesia, and the two countries account for 85 percent of global production.

Source mysinchew.com

Read More

Growth of biofuel industry hurt by GMO regulations

October 02, 2010   Karl
Regulations

Growth of biofuel industry hurt by GMO regulations

CORVALLIS, Ore. – Faster development of the promising field of cellulosic biofuels – the renewable energy produced from grasses and trees – is being significantly hampered by a “deep and thorny regulatory thicket” that makes almost impossible the use of advanced gene modification methods, researchers say.

In a new study published today in the journal BioScience, scientists argue that major regulatory reforms and possibly new laws are needed to allow cellulosic bioenergy to reach its true potential as a form of renewable energy, and in some cases help reduce greenhouse gas emissions that cause global warming.

“It’s extraordinary that gene modification technology, which has been adapted more rapidly than any other technology in the history of agriculture, and had some profound environmental and economic benefits, has been regulated virtually out of existence for perennial cellulosic biofuels crops,” said Steve Strauss, a distinguished professor of forest biotechnology at Oregon State University, and lead author of the paper.

In the report, the authors noted that exotic plant species pose a serious risk of spread and ecosystem impacts, but face much less stringent regulation or obstacles than genetically engineered crops, which are carefully designed to solve problems, not cause them.

A genetically modified plant in which one or a few genes have been changed is treated as more of a risk than an invasive species that has thousands of new genes, and as a result is often resistant to multiple pests and has novel adaptive traits such as drought and heat tolerance, they said.

Read More

Congress passes algae biofuel tax credit legislation

September 30, 2010   Karl
biofuel tax credit legislation

Congress passes algae biofuel tax credit legislation

The US House of Representatives has passed a new law this week seeking to give algae-based biofuels parity with cellulosic biofuels in federal tax credit programs.

The Algae-based Renewable Fuel Promotion Act (HR 4168) means algae biofuel projects could access a $1.01 per gallon production tax credit and 50% bonus depreciation for biofuel plant property.

The bill sponsored by New Mexico Congressman Harry Teague amended Internal Revenue Codes to expand the cellulosic biofuel definition.

Along with the Democrat Rep. Teague, there was bipartisan support for the legislation, including backing from Mary Bono Mack (R-CA), Dave Reichert (R-WA) and Brian Bilbray (R-CA).

Mary Rosenthal, Executive Director of the Algal Biomass Organization trade group, said: “Today, the House sent an unmistakable message of bipartisan support to the hundreds of companies, scientists, entrepreneurs and government agencies working to accelerate the development of algae-based fuels, which will create jobs, decrease emissions and reduce our nation’s dependence on imported fossil fuels.”

“The passage of this bill is a huge first step towards our goal of creating parity for algae-based biofuels within the tax code and among various other government programs,” added Ms Rosenthal.

Read More

  • Navigation


  • BioFuel Tweets!