B&C® Biobased and Sustainable Chemicals Blog

Secretary of Energy Ernest Moniz has announced the selection of 19 individuals to serve on the Secretary of Energy Advisory Board (SEAB). The press release on the announcement is available online. The SEAB will meet at least four times a year and will be broken into four subcommittees to focus on science, energy, nuclear security, and environmental stewardship. The group may also serve to provide advice to Secretary Moniz on an ad hoc basis to address specific issues. The 19 members of the SEAB...

EPA was scheduled to post a video on its YouTube channel providing an overview of the Agency's plans to regulate GHG emissions from existing power plants. Under President Obama's Climate Action Plan (CAP) announced on June 25, 2013, EPA is directed to propose emissions guidelines for existing power plants by June 1, 2014. EPA's YouTube page is available online. U.S. House Energy and Commerce Subcommittee on Energy and Power Chair Ed Whitfield (R-KY) has announced that he will hold a...

Despite the August Congressional Recess, much regulatory and legislative action continues in Washington, D.C. on the federal Renewable Fuel Standard (RFS). Earlier this month, the leading trade groups representing the oil and gas industry, the American Petroleum Institute (API) and American Fuel & Petrochemical Manufacturers (AFPM), petitioned EPA to lower the 2014 RFS renewable volume obligations (RVO) to below 10 percent of total U.S. gasoline supply. Under the RFS, EPA is directed to set...

On August 26, 2013, the U.S. Court of Appeals for the District of Columbia Circuit granted a petition by several industry groups, including the American Forest & Paper Association and the National Alliance of Forest Owners, for an extension to file an appeal to the court's recent decision to vacate the U.S. Environmental Protection Agency's (EPA) rule temporarily exempting biogenic sources of greenhouse gas (GHG) emissions from new GHG permitting requirements. For more information on...

This week, it is reported that shareholders of leading U.S. cellulosic biofuels company, KiOR, sued the company, its Chief Executive Officer, and Chief Financial Officer, alleging that they reported misleading information on production projections, which artificially inflated the stock price paid. Last year, the company completed construction of its biorefinery in Columbus, Mississippi, which has the capacity to produce up to 13 million gallons per year of cellulosic biofuels made from woody...

On August 15, 2013, USDA announced funding under its Renewable Energy for America Program (REAP) for 631 energy efficiency and renewable energy projects throughout the country. About $400,000 will go to 13 projects designed to install blender pumps in gas stations, which will allow for the greater distribution of higher blends of ethanol, including E85 fuel. The ethanol industry has been calling for greater federal help on blender pumps to allow for greater distribution of E85, which can help...

The U.S. Department of Agriculture (USDA) has announced that it will, for the first time, use its Feedstock Flexibility Program to help restore U.S. sugar prices at or above specific levels. Under the program, U.S. sugar producers may sell their sugar to USDA, which then plans to sell it to biofuels producers. Under the 2008 Farm Bill, USDA is required to keep U.S. sugar at prices at or above certain levels. This year's prices have been low.

In a letter from Senators Amy Klobuchar (D-MN) and Chuck Grassley (R-IA) to Attorney General Eric Holder and Federal Trade Commission (FTC) Chair Edith Ramirez, the Senators have requested that the U.S. Department of Justice and the FTC investigate the efforts of the oil companies to block market access of renewable fuels in violation of the Sherman Act and the Gasohol Competition Act of 1980, which prohibits discrimination or unreasonable limits against the sale of gasoline or other synthetic...

Last week, a professor from Purdue University, Wallace Tyner, published an article concluding that EPA should reduce the overall and advanced RVOs under the RFS in years 2014-2016 to make the policy "workable." As we have reported, earlier this month, EPA released its final rule setting the 2013 RFS, in which the Agency included language indicating that it will likely reduce the overall and advanced RVOs for 2014 in that upcoming rulemaking. Tyner's article, which can be found...

As we have reported, EPA has released its final rule setting the RVOs for the federal RFS (more information is available online). The final rule was officially published, and therefore became effective, on August 15, 2013. A copy of the final rule, as published in the Federal Register, is available online.

While in Brazil last week, U.S. Secretary of Energy Ernest Moniz stressed the importance of biofuels as part of President Obama's Climate Action Plan to reduce greenhouse gas emissions. To this end, Secretary Moniz called for greater partnership between the U.S. and Brazil on biofuels. Significantly, it was reported that Secretary Moniz stated that the U.S. Environmental Protection Agency (EPA) has the authority and ability, and will continue to consider imports when EPA sets the annual...

Renewable chemicals are emerging at a fast pace, paving the way for new, innovative, and sustainable biobased products. The renewable chemicals’ market is estimated to reach $83.4 billion by 2018 in applications ranging from transportation and agriculture to textiles and cosmetics. In addition to all the elements great companies need to succeed -- a great product, a great brand, inspiring leadership, and vision -- biobased product companies need to understand how the U.S. Environmental...

On August 8, 2013, the Fifth District Court of Appeals denied a petition from the California Air Resources Board (CARB) for a rehearing of the case in which the court found on July 15, 2013, that CARB had improperly approved California's Low Carbon Fuel Standard (LCFS) in violation of administrative procedures (more information is available online). The July 15 decision stands and while CARB may continue to implement the LCFS, it must hold a new 45-day public comment period to receive input...

Beta Renewables, a joint venture between chemical company Gruppo Mossi & Ghisolfi and investment company TPG, announced that it had begun commercial production at its cellulosic ethanol plant in Crescentino, Italy, at a price competitive with corn ethanol and gasoline. Novozymes, the leading producer of enzymes used for biofuels production, has invested in Beta Renewables. Beta Renewables expects to export the technology to develop about 20 new plants by 2017. 

This week, Brazilian biotechnology company GranBio and Solvay Group company Rhodia announced they have signed an agreement to partner to produce bio n-butanol, used to manufacture renewable chemicals and biobased products, including paint. Under the agreement, the companies intend to build the first biomass-based n-butanol plant in Brazil, with operations planned to come online in 2015. The press release is available online.

The American Petroleum Institute (API) this week launched its second ad in selected markets against the federal RFS. The ad is being aired in California, Colorado, Illinois, Kentucky, Michigan, Ohio, and Washington, D.C. It comes just after EPA issued its final 2013 RFS rule (more information is available online), and as the House Energy & Commerce Committee leadership is working on potential modifications to the RFS (more information is available online). The ad continues the message of the...

New U.S. Environmental Protection Agency (EPA) Administrator Gina McCarthy is working hard this month to carry out the President's Climate Action Plan, which is available online. The plan is designed to "cut the carbon pollution that causes climate change and affects public health." This week, Administrator McCarthy participated in a town hall event at the University of Colorado at Boulder to discuss the plan and EPA's work on new emissions rules for new and existing power...

On August 12, 2013, the U.S. Department of Agriculture (USDA) released its "World Agricultural Supply and Demand Estimates" report in which it projects the U.S. will produce a record 13.76 billion bushels of corn in 2013. The report is available online. Representatives from ethanol trade groups Growth Energy and the Renewable Fuels Association (RFA) praised the news and argued that it showed the federal Renewable Fuel Standard (RFS) was not contributing to higher food prices and that...

Biofuels trade associations, including the Brazilian Sugarcane Industry Association (UNICA), Renewable Fuels Association (RFA), and Advanced Biofuels Association (ABFA) announced last week that they will be leading a trip with 15 companies to Brazil September 30-October 2, 2013, to help foster opportunities for U.S. biofuels. The trip is part of the U.S. Chamber of Commerce's Export Green Initiative. Companies that wish to participate may apply by August 30, 2013. Up to two representatives...

On July 31 and August 1, 2013, the U.S. Department of Energy (DOE) held its sixth annual "Biomass 2013: How the Advanced Bioindustry is Reshaping American Energy." Over two days, attendees heard from Senators, Representatives, Obama Administration officials, and representatives of industry on the current and future progress of the biofuels, renewable chemicals, and biobased products industries. The Biomass 2013 website, including detailed information on the conference and its program...