[Biodiesel In Utah] Fw: Biodiesel Bulletin - June 30, 2006

Wed Jul 5 14:42:26 EDT 2006

National Biodiesel BoardI am going to start forwarding these along..  Andre

----- Original Message ----- 
From: National Biodiesel Board 
To: andre at utahbiodiesel.org 
Sent: Friday, June 30, 2006 5:41 PM
Subject: Biodiesel Bulletin - June 30, 2006

           In This Issue June 30, 2006   

              a.. EMA Adoption of B20 Test Spec Could be Gateway
              b.. Federal Legislative Efforts Could Yield Significant Advancements
              c.. Biodiesel Fares Well in New York's Completed Legislative Session
              d.. More States Make Strong Commitment to Biodiesel
              e.. NBB Meeting Brings Quality Policy Changes, Support from Govt. Leaders

              a.. Peter Cremer First BQ-9000 Certified Marketer; AGP Joins Other Accredited Producers 
              b.. Petroleum Companies Show Support for Biodiesel Growth
              c.. More Pumps, Terminals and Plants Open
              d.. Even Flow: Pearl Jam Pumping Biodiesel

       EMA Adoption of B20 Test Spec Could be Gateway   

            The National Biodiesel Board (NBB) in June welcomed a decision by the Engine Manufacturers Association (EMA) that could lead to higher blend acceptance by engine and automakers. EMA approved test specifications for a standard biodiesel blend. The specifications for biodiesel blends of up to 20 percent by volume (B20) ensure that engine manufacturers will have fuel with consistent properties for engine testing and evaluation. 

            The EMA's specifications require that the pure biodiesel (B100) meets the ASTM International standard D6751 or the European EN14214 standard prior to blending. 

            "EMA's testing specification for B20 and lower blends is not meant to replace the blended fuel standards currently making their way through ASTM," said Steve Howell, NBB Technical Director and Chair of the ASTM Biodiesel Task Force. "However, some engine manufacturers and users may choose to use it that way while ASTM is going through the ballot process." Both EMA and NBB support the development and timely approval of ASTM standards for blends of B20 and lower. 

            "Although slightly different values or methods may come from ASTM, as data is collected, and after voting, it is clear that control of quality at the B100 level is the key to trouble free biodiesel blend use," Howell said. 
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           Federal Legislative Efforts Could Yield Significant Advancements   

            Yesterday, the Senate Appropriations Committee approved its version of Energy and Water Appropriations legislation that includes $1.5 million for critical testing of biodiesel in future advanced diesel engines. If the Energy and Water Appropriations bill passes Congress with the funding recommendations in tact, it will increase the likelihood of major U.S. automakers' approval of the use of biodiesel blends in 2007 engines and beyond. 

            Sen. Jim Talent (R-MO) took the lead in working to get funding included for the Biodiesel Engine Testing Program, which Congress authorized in the Energy Policy Act of 2005, as a result of his leadership as well. "Missourians want to buy American fuel - grown by our farmers - and research is a key factor in making biofuels more accessible," said Sen. Talent, co-chair of the Senate Biofuels Caucus. "For years our farmers have been feeding the nation - now they are in a position to fuel the nation." 

            Auto and engine makers are stepping up to meet the challenges presented by regulatory standards, which take effect in model years 2007 (on-road) and 2010 (off-road). If passed, research areas will likely include engine durability studies; B20 testing in post-2007 engines; and funding for research and outreach on biodiesel quality, emissions, compatibility with advanced engines and emission control systems. 

            In the House last week, Congressmen Kenny Hulshof (R-MO) and Earl Pomeroy (D-ND) introduced the Renewable Fuels and Energy Independence Promotion Act. It would make permanent the federal biodiesel excise tax credit, which was extended in last year's Energy Bill. It also would make permanent a small agri-biodiesel producer credit. 
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           Biodiesel Fares Well in New York's Completed Legislative Session   

            New York lawmakers can breathe easier now that the state's legislative session is over - in more ways than one. Legislators, with Governor Pataki's signature, have enacted several laws favorable to biodiesel. 

            Bioheat residential users will get a tax credit for using the home heating oil and biodiesel blend. In addition, significant transportation fuel legislation on biodiesel also passed in New York this year. In conjunction with Pataki's 2006 budget proposal, the following are already enacted, or already underway. 

            The renewable fuels-specific proposals are intended to make renewable fuels more available to the public. They are also geared to make ethanol, biodiesel, and other alternative fuels more competitively priced. Passed this year include: 

              a.. A biofuel production tax credit, allowing New York companies producing renewable fuels to receive a tax credit on each gallon produced, after first 40,000 gallons 

              b.. Elimination or reduction of motor fuel taxes on alternative fuels such as B20 

              c.. Cost sharing grants awarded by New York State Energy Research and Development Authority to encourage more biodiesel and E85 pumps; the Governor's directive of opening B20 and E85 pumps at New York's 27 rest stops is now underway

              d.. An Alternative Fuel ReFueling Tax Credit is provided under the corporation tax, corporate franchise tax and the personal income tax in an amount equal to 50 percent of the cost of the purchase of "alternative fuel vehicle (AFV) refueling property," including biodiesel in any blend. 
            The Clean Energy R&D Tax Incentive was the Governor's proposal, and includes a provision which would allow qualifying "clean energy" companies to operate in New York State virtually free of taxation; businesses could include those primarily engaged in research, development, or manufacturing of energy efficiency or renewable energy technologies or products. 
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           More States Make Strong Commitment to Biodiesel   

            Other states besides New York have had good biodiesel news in the last month. Louisiana Gov. Kathleen Blanco recently signed legislation that establishes a minimum biodiesel requirement for diesel fuel sold in the state. Once annualized production volume in Louisiana reaches 10 million gallons, two percent of the total diesel sold by volume in the state must be biodiesel. There are currently no plants operating in the state. 

            This law requires the biodiesel to be produced from domestically grown feedstock. Blenders and retailers must meet this 2 percent requirement within six months of the production volume being met. Retailers are not required to sell biodiesel, and it is not required to be sold in ozone non-attainment areas. 

            Across the Gulf in Florida, Gov. Jeb Bush signed the Florida Energy Act to diversify fuel supply, conserve resources and promote energy independence. The Act provides for sales tax exemptions and investment tax credits for costs associated with renewable energy technologies, which includes biodiesel. The provision defines "costs" as equipment, machinery, capital costs, operation and maintenance costs, and research and development. A grant program has also been established for research and development projects associated with renewable energy technologies. 
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           NBB Meeting Brings Quality Policy Changes, Support from Govt. Leaders   

             At the June National Biodiesel Board (NBB) meeting in Washington, D.C., board members passed significant fuel quality control measures. They decided to proactively encourage the involvement of governmental entities to investigate and/or enforce fuel quality standards for biodiesel. 

            Identified agencies who can investigate and enforce fuel quality are the Internal Revenue Service (IRS); Environmental Protection Agency (EPA); U.S. Dept. of Agriculture Commodity Credit Corporation (USDA CCC); and state weights and measures divisions. 

            "Use of any fuel that does not meet its quality specifications could cause performance problems or equipment damage, and this includes biodiesel," said Joe Jobe, NBB CEO. "NBB believes strongly that rigorous adherence to the biodiesel standard is of utmost importance. In order to protect consumers, to maintain the integrity of the nation's fuel supply, and to protect the reputation of biodiesel as a high quality, high performance fuel, this step is a must." 

            Other highlights of the meetings included visits from U.S. Representatives Kenny Hulshof (R-MO) and Earl Pomeroy (D-ND) and Senator Mark Dayton (D-MN), as well as Lisa Epifani, Special Assistant to the President for Economic Policy on the National Economic Council, on the President's agenda for renewable fuels. 
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           Peter Cremer is First BQ-9000 Certified Marketer; AGP Joins Other Accredited Producers   

             Two companies have increased their quality control measures through the BQ-9000 program. Peter Cremer North America has become the first Certified Marketer under the industry-standard quality program. Peter Cremer, based in Ohio, was already an Accredited Producer under the voluntary program. Ag Processing, Inc. (AGP), based in Omaha, Nebraska, is the newest Accredited Producer. 

            The National Biodiesel Accreditation Program is a cooperative and voluntary fuel quality program adopted by both the National Biodiesel Board and the Canadian Renewable Fuels Association. BQ-9000 includes procedures for fuel production, storage, handling and management aimed at ensuring fuel quality throughout the distribution system. The program creates a comprehensive quality system to help assure biodiesel is consistently produced in accordance with ASTM specifications and maintains its quality all the way to the customer's fuel tank. 

            "By becoming the first BQ-9000 Certified Marketer, Peter Cremer is demonstrating that ensuring biodiesel quality doesn't stop when the biodiesel leaves the production plant," said Leland Tong, chairman of the National Biodiesel Accreditation Commission. "End-users and fleet managers rely upon their fuel distributors not only to source fuel meeting the ASTM specification, but to properly handle and distribute the blended fuels as well." 

            Peter Cremer was the first BQ-9000 Accredited Producer. Since then, West Central, Johann Haltermann, Arkansas Operations Eastman Chemical Company, Imperial Western Products and SoyMor Biodiesel have followed. 
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           Petroleum Companies Show Support for Biodiesel Growth   

            BP and Chevron will fund research and/or production of biodiesel. BP announced funding an Energy Biosciences Institute at $500 million, and Chevron announced investment in a Texas biodiesel production facility, and opened a biofuels business unit recently. 

            A BP statement said the company's aim is to harness emerging biosciences for the production of new and cleaner energy, principally fuels for road transport. The company plans to establish a dedicated biosciences energy research laboratory attached to a major university in the US or UK. 

            Lord Browne, Chief Executive, said the new institute would focus on developing new biofuel components and improving the efficiency and flexibility of those currently blended with transport fuels. 

            Chevron's announcement of its new biofuels unit took place at the groundbreaking of the Galveston Bay Biodiesel plant. Chevron says its charge is to pursue commercial opportunities related to the production and distribution of ethanol and biodiesel in the United States. 

            Houston-based Galveston Bay Biodiesel is constructing a biodiesel production and distribution facility scheduled for completion by the end of 2006. The company expects to have initial production of 20 million gallons per year, and will produce biodiesel from soybeans and other renewable feedstocks. 
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           More Pumps, Terminals and Plants Open   

             As Las Vegas opens 16 B5 pumps, diesel drivers throughout the nation also will be less likely to gamble on finding biodiesel fuel. This is because in addition to Sinclair Oil Corporation's launch of the pumps throughout the city on June 21, other pumps, terminals and plants are opening across the U.S: 

              a.. Today in an "Energy Independence Day" announcement, Indiana celebrates a unique opening: a biodiesel blender pump, along with a biofuels island, in Noblesville. The blender pump allows consumers to specify what percentage of soy biodiesel they choose to mix into their petroleum distillate-5, 10 or 20 percent. 

              b.. Bill Smith Ford of Southern Pines, N.C. opened on June 1 an all-alternative fuels station, named "America's Fuels." It includes B20 biodiesel. 

              c.. As Bioheat becomes a home heating choice for many, a Bioheat terminal is now open in The Bronx, which blends 20% biodiesel (B20) and low sulfur heating fuel. Schildwachter & Sons, Inc. kicked this off June 21. 

              d.. Magellan Midstream Partners, L.P., an Iowa pipeline and terminal company, recently announced its plans to add biodiesel storage and blending capabilities to its Mason City petroleum terminal. 

              e.. Maryland Biodiesel's plant in Berlin, Md., just held its Grand Opening last week. The first biodiesel plant in Maryland, it is set to produce 500,00 gallons annually. 

              f.. Willie Nelson and Pacific Biodiesel on July 3 will celebrate the opening of Pacific Biodiesel Texas, a 2 million gallon-a-year plant in Carl's Corner, Texas. 
            Las Vegas-based Haycock Petroleum will supply the Las Vegas Sinclair locations with its five percent biodiesel blend. The biodiesel in the B5 is supplied to Haycock by Biodiesel of Las Vegas, a National Biodiesel Board member. 
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           Even Flow: Pearl Jam Pumping Biodiesel   

             Biodiesel is powering the multi-platinum band Pearl Jam, currently performing in sold out venues nationwide. The band hired the company RoadShow Services for its seven trucks, which use biodiesel. Pearl Jam's five buses also use the fuel. 

            RoadShow company official Sean O'Rourke said that Jack Johnson; Melissa Etheridge and Crosby, Stills, Nash & Young, as well as the Farm Aid festival have also fueled their trucks with biodiesel. 

            The drivers took a detour to Jefferson City, Mo., this week to fuel up with biodiesel at Jefferson City Oil. 

            Please click here for more information on the tour. 
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           Upcoming Events   

              a.. Biodiesel: Powered by Canola/Fueling our Future
              Canola Council of Canada and the Alberta Canola Producers Commission
              July 17-18
              Calgary, AB, CA
              www.canola-council.org 

              b.. Environmental Trading Congress 2006
              July 24-25
              New York, NY
              www.frallc.com 

              c.. Practical Short Course on Biodiesel and Industrial Applications of Vegetable Oils
              Food Protein Research and Development Center
              August 20-23
              Texas A&M University, College Station
              www.tamu.edu/food-protein/fatsoils/scbiodiesel.htm 

              d.. 2nd Biodiesel Congress
              F.O. Licht and IBC do Brasil
              August 22-24
              Sao Paulo, Brazil
              www.Agra-Net.com 

              e.. Great American Trucking Show (GATS)
              August 24-26
              Dallas, TX
              www.gatsonline.com 

              f.. SoyaTech
              Sept. 18-20, 2006
              St. Louis
              www.soyasummit.com 

              g.. Great Wall Renewable Energy Forum 
              ACORE-American Council on Renewable Energy 
              October 24, 2006 
              Beijing Int.'l Conference Center 
              Beijing, China 
              www.gwref.org 
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           Contact Us   

                  Amber Thurlo Pearson, Communications Specialist
                  apearson at biodiesel.org Bev Thessen, Information Coordinator
                  bthessen at biodiesel.org 

            This bulletin is also available in PDF format online at
            http://www.biodiesel.org/news/bulletin/ 
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      2003 National Biodiesel Board - www.biodiesel.org 

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