Archive for August, 2009

If you’ve never attended a Platts conference before, I’d like to draw your attention to its fourth annual Cellulosic Ethanol and Second Generation Biofuels Conference, being held Oct. 22-23 in Chicago.

Part of the McGraw Hill Companies, Platts is an information provider about the energy industry, and publishes price assessments in the physical energy markets. Platts also knows how to put on a top-notch conference. The information I’ve taken away from these meetings has been invaluable because the speakers are in the “thick of it” and really know that of which they speak!

If you are interested in producing feedstocks for cellulosic ethanol in the future, you might want to invest in this conference. One of the sessions will address the availability, cost and logistical challenges of biomass feedstocks, and it boasts some heavy industry hitters, including Bill Lee, CEO, Front Line BioEnergy; Doug Berven, v.p., POET; Spencer Swayze, mgr., business development, Ceres, Inc.; Bob Matousek, mgr., development and research engineering, AGCO Corp.; and Jim Lane, Biofuels Digest.

For more information, visit

http://www.platts.com/ConferenceDetail.aspx?xmlpath=2009/pc937/index.xml

AgMRC Renewable Energy Newsletter

And here’s a good resource for corn-based ethanol producers, the AgMRC Renewable Energy Newsletter. Visit www.agmrc.org for more information. In this month’s issue, Don Hofstrand, co-director, Agricultural Marketing Resource Center, addresses the issue over greenhouse gas emissions (GHG) of corn ethanol production.

Interestingly, he points out that crop production accounts for half of the total emissions from ethanol production. One-half of these emissions are in the form of nitrous oxide, which is produced naturally in soils through nitrification and de-nitrification. Ethanol biorefineries account for the other half of emissions, and natural gas used to run these plants contributes about two-thirds of these emissions. However, the distillers grain co-product provides a 29% greenhouse gas emission credit.

Hofstrand also notes that the net emissions from corn ethanol production are 42 units of emissions per unit of energy produced, compared to 92 units for gasoline. This represents a 54% reduction in GHG emissions compared to gas.

Producers can now begin the process of applying for Collection, Harvest, Storage and Transportation (CHST) assistance if they are interested in delivering eligible biomass material to designated biomass conversion facilities. The USDA’s Biomass Crop Assistance Program (BCAP) will provide financial assistance to producers or other entities that deliver these eligible materials.

BCAP publishes a list of eligible and ineligible materials at www.fsa.usda.gov. Crop residues, such as corn stover, corn cobs, rice hulls, wheat straw and sugarcane bagasse, are eligible after the commodity crop is harvested from the plant.

Other eligible ag resources include feed grains and other agricultural commodities. However, considered ineligible are any crops eligible to receive payments, including loans, under List 8-LP par. 126 or 7-CN (Title I of the Food, Conservation, and Energy Act of 2008), or an amendment made by that title, but not limited to grains, kernels, oilseeds and other commodities, such as corn, wheat, grain sorghum, barley, oats, cotton, rice and soybeans. BCAP also lists ineligible oilseed plants, pulse crops and other products.

Herbaceous resources, such as forbs, legumes, grasses, vines and mosses are eligible.

It’s a good idea to keep posted on the BCAP. The easiest way to do this is to visit the www.fsa.usda.gov Website, click on Energy Programs in the Browse by Subject box and sign up for e-mail updates. I did this and was informed this week of recent changes, including the addition of:

BCAP Agreement

BCAP-1 Form

BCAP Purchase List

BCAP Attachment Instructions

BCAP Attachment 2

BCAP Eligible Materials List

If you have a designated biomass conversion facility in your area, this program sounds like a good market for your ag residues.