B&C® Biobased and Sustainable Chemicals Blog

On February 21, 2017, USDA announced in the Federal Register that the comment period for the Designation of Product Categories for Federal Procurement proposed rule had been extended.  The proposed rule aims to amend the Guidelines for Designating Biobased Products for Federal Procurement to add 12 product categories composed of intermediate ingredient and feedstock materials and to propose a minimum biobased content for each category.  In addition to the product categories and...

On February 17, 2017, the U.S. Department of Agriculture (USDA) announced it is accepting applications for the Biorefinery, Renewable Chemical, and Biobased Product Manufacturing Assistance Program.  The Program provides guaranteed loans for projects developing, constructing, or retrofitting commercial scale biorefineries and biobased product manufacturing facilities.  The developments must use eligible technology, including new commercial scale processing and manufacturing...

On February 13, 2017, seven democratic Senators sent a letter to White House Counsel Don McGahn requesting details on Carl Icahn’s role in the Trump Administration and the extent of his influence over the Renewable Fuel Standard (RFS) program.  On December 21, 2016, it was announced that Mr. Icahn would serve the Trump Administration as a special advisor for overhauling federal regulations.  The Senators’ letter highlights concerns over Icahn’s public statements...

The BIO World Congress on Industrial Biotechnology brings together business leaders, investors, and policy makers in biofuels, biobased products, and renewable chemicals.  The event taking place July 23-26, 2017, at the Palais des congrès de Montréal, features two new tracks on Flavors, Fragrances and Food Ingredients; and Agricultural Crop Technologies and Biomass Supply.  Registration is now open....

On February 7, 2017, the Renewable Fuels Association, Growth Energy, and the U.S. Grains Council sent a joint letter to President Donald Trump to request the Administration’s assistance in addressing China’s recent implementation of protectionist trade barriers, which are shutting out U.S. exports of ethanol and distillers dried grains.  The letter states that China’s actions have significantly injured U.S. ethanol producers and farmers, and undermined the substantial...

On February 9, 2017, Illinois State Senators Andy Manar and Chapin Rose introduced legislation aimed at growing Illinois’ biobased economy by providing incentives under the Renewable Chemical Production Tax Credit Program Act.  The program would provide credit against taxes for eligible Illinois businesses that produce renewable chemicals within the state using biomass feedstock and other renewable sources.  The legislation defines a renewable chemical as a building block with a...

On February 4, 2017, the Canadian Department of the Environment and the Department of Health published in the Canada Gazette the draft screening assessment of the commercially relevant fungus, Trichoderma reesei, stating that the organism is nontoxic and does not require regulatory action under Section 77 of the Canadian Environmental Protection Act (CEPA). Following a screening assessment, Trichoderma reesei , which is used to convert biomass to biofuels and sugars and to produce food and...

On January 17, 2017, Neste, a member of the Biobased and Renewable Products Advocacy Group (BRAG®), announced the rebranding of its “Neste Renewable Diesel” to “Neste MY Renewable Diesel,” and the updating of other names within the renewable products family to “Neste MY” brand names.  Neste MY Renewable Diesel is a low-carbon drop-in renewable fuel that does not require vehicle modifications, and can be refueled into any blending ratio due to its...

On January 25, 2017, the Urban Air Initiative (UAI), along with the Energy Future Coalition and the states of Kansas and Nebraska, filed a request for correction of information petitioning EPA to correct its models on motor vehicle fuel emissions that limit the use of higher blends of ethanol.  In the petition, UAI claims that EPA continues to publish inaccurate data regarding ethanol emissions that originated with its fuel effects study and vehicular emissions computer...

On January 24, 2017, the Consumer Specialty Products Association (CSPA) sent a letter to President Donald Trump to express its commitment to working with Trump and his administration and to outline its top priorities, including the continuation of EPA’s Safer Choice Program.  In the letter, CSPA states that companies have made significant financial and employee investments to develop products that qualify for the Safer Choice logo and to market the products as Safer Choice...

On January 31, 2017, two bills were introduced in the U.S. Congress that propose to reform the Renewable Fuel Standard (RFS) and the national biofuels mandate.  The first bill would require the National Academy of Sciences (NAS) to assess the performance, safety, and environmental impact of mid-level ethanol, and the implications of the use of mid-level ethanol blends compared to gasoline blends containing ten percent or less ethanol.  The second bill would reduce the U.S....

On January 27, 2017, AkzoNobel, a member of the Biobased and Renewable Products Advocacy Group (BRAG®), signed a framework joint development agreement with Itaconix, a specialty chemicals company and U.S. subsidiary of Revolymer, to explore opportunities for biobased polymer production.  According to the agreement, Itaconix will provide proprietary polymerization technology to turn itaconic acid from fermented sugars into polymers and AkzoNobel will carry out the development and...

On January 11, 2017, the Government of Ontario released a discussion paper titled “Developing a Modern Renewable Fuel Standard For Gasoline in Ontario,” which provides context for the new RFS requirements.  The discussion paper explains that Ontario aims to keep the following considerations in mind when designing the RFS policy: ?   Ensure a level playing field for fuels, regardless of technology or origin;   ?   Set ambitious but achievable goals;     ?...

On January 19, 2017, the U.S. Air Force Research Laboratory issued a $55 million funding opportunity announcement (FOA) to establish additional Integrated Biofuel Production Enterprise (IBPE) capabilities to increase the domestic production capacity of advanced biofuels.  The U.S. Air Force anticipates granting one award of up to $55 million in funding with the recipients required to share at least 50 percent of the total project cost.  The project will include the design, construction...

On January 18, 2017, Christopher Grundler, the Director of the Office of Transportation and Air Quality for the U.S. Environmental Protection Agency (EPA), signed a notice inviting comment on its analysis of the upstream greenhouse gas (GHG) emissions from the production of sugar beets for use as biofuel feedstock.  The notice describes the analysis performed, which considers the extraction of non-cellulosic beet sugar for conversion to biofuel and the use of the remaining beet pulp...

The Advanced Bioeconomy Leadership Conference 2017 (ABLC 2017) will be held March 1 – 3, 2017, at the Mayflower Hotel in Washington, D.C.  ABLC is the gathering point for top leaders in the Advanced Bioeconomy — bringing together the entire spectrum of advanced fuels, chemicals, and materials CEOs and senior executives, business developers, R&D leaders, strategic partners, financiers, equity analysts, policymakers, and industry suppliers.  Richard E. Engler, Ph.D.,...

On January 17, 2017, Neste, a member of BRAG, announced a research and development cooperation with Bioenergy La Tuque to study the potential of using forest residues as a raw material in biofuel production in La Tuque, Canada.  The cooperation will expand Neste’s raw material selection, which currently consists of ten raw materials for renewable product production, and will increase the use of waste and residues.  The project will assess the biomass availability at a...

On January 13, 2017, the U.S. Department of Energy (DOE) released the 2017 U.S. Energy and Employment Report (USEER), which aims to aid in providing a more complete definition and quantification of energy employment across the economy.  The report presents direct employment data for jobs associated with traditional energy companies, with the production of renewable energy, and with energy efficiency, and an analysis of a supplemental survey sent to 30,000 energy sector employers. ...

On January 26, 2017, EPA published a final rule delaying the effective date of 30 EPA regulations, including the RFS Program:  Standards for 2017 and Biomass-Based Diesel Volume for 2018 final rule.  The rulemaking follows the Presidential directive to postpone for sixty days the effective dates of all regulations that had been published in the Federal Register but had not yet taken effect to give the President’s appointees or designees the opportunity for further review...

EPA released RIN generation data for December 2016, reporting that more than 1.8 billion RINs were generated during the month.  More than 16.8 million D3 cellulosic biofuel RINs were generated in December, bringing the total for 2016 to 178 million, including 3.8 million D3 RINs for ethanol, 66.8 million for renewable liquefied natural gas, and 107.5 million for renewable compressed natural gas.  Of the 178 million RINs, nearly 160 million were generated by domestic producers,...

On January 17, 2017, the U.S. Environmental Protection Agency (EPA) wrote to the American Petrochemical and Fuel Manufacturers (AFPM) denying its petition for partial supplemental waiver of the 2016 cellulosic biofuel standard under the Renewable Fuel Standard (RFS).  The letter was sent in response to AFPM’s December 28, 2016, petition for a supplemental waiver on the basis of an inadequate domestic supply of cellulosic biofuel, as reported in the Biobased and Renewable Products...

Lynn L. Bergeson, Managing Partner of Bergeson & Campbell, P.C. (B&C®), and Charles M. Auer, Senior Regulatory and Policy Advisor with B&C, have published “An Analysis of TSCA Reform Provisions Pertinent to Industrial Biotechnology Stakeholders,” in Industrial Biotechnology. This article discusses how the “New [Toxic Substances Control Act (TSCA)] fundamentally changes the U.S. Environmental Protection Agency's (EPA) approach to evaluating and managing...

On January 16, 2017, AkzoNobel announced the launch of Imagine Chemistry, which provides start-up firms, students, research groups, and career scientists an opportunity to collaborate with AkzoNobel experts to solve real-life chemistry-related challenges.  Imagine Chemistry will focus on addressing issues within five topic areas: ?   Revolutionizing plastics recycling;   ?   Wastewater-free chemical sites;   ?   Cellulose-based alternatives to synthetics;...

On January 12, 2017, USDA released a report on the lifecycle greenhouse gas (GHG) balance of corn ethanol, titled “A Life-Cycle Analysis of the Greenhouse Gas Emissions of Corn-Based Ethanol.”  The study reviewed industry and farm sector performance over the past decade and found that in the United States corn-based ethanol generates 43 percent less GHG emissions than gasoline.  Compared to previous studies, the lifecycle GHG benefits were greater due to improvements in...

On January 13, 2017, the DOE Bioenergy Technologies Office (BETO), together with the U.S. Department of Agriculture (USDA) National Institute of Food and Agriculture (NIFA), announced the intent to issue a request for applications (RFA) titled “Fiscal Year 17 Biomass Research and Development Initiative (BRDI).”  Projects funded through BRDI must address one of the foll owing topic areas:   ?   Feedstocks development :  Research, development, and demonstration...

On January 10, 2017, the U.S. Energy Information Administration (EIA) released the Short-Term Energy Outlook (STEO) report, which includes forecasts for 2018.  The report outlines expectations for regular gasoline to average a retail price of $2.38 for 2017, with prices for the first quarter of 2017 to average $2.31.  The finalized RFS volumes that were announced on November 23, 2016, resulted in EIA forecasting that ethanol consumption will average about 940,000 barrels per day (b/d)...

The biofuels industry is likely to face increasingly challenging times during the tenures of the new 115 th Congress — which began on January 3 — and the Trump Administration, scheduled to begin this Friday, January 20.   Throughout his campaign for President, Trump repeatedly pledged his support for biofuels and the federal Renewable Fuel Standard (RFS). Indeed, it is this support that helped Trump win in key Midwestern battleground states, including Iowa. Despite this,...

The New York State Clean Heating Fuel Tax Credit has been extended through 2020.  The personal income tax credit, which was initially authorized in 2006, is provided to eligible taxpayers for biodiesel purchases used for residential space and water heating.  For each percent of biodiesel blended with conventional home heating oil, a tax credit of $0.01/gallon is available up to a maximum of $0.20/gallon.  A partial credit will be calculated for buildings with a shared...

On January 6, 2017, the U.S. Department of Energy (DOE) and USDA announced a $22.7 million funding opportunity to support integrated biorefinery (IBR) optimization, with DOE providing up to $19.8 million and USDA’s National Institute of Food and Agriculture (NIFA) providing up to $2.9 million .  To date, there are only a limited number of pioneer-scale commercial IBRs in the early stages of start-up and production, due to the technical and non-technical challenges associated with...

On December 28, 2016, the American Fuel & Petrochemical Manufacturers (AFPM) submitted a petition requesting that EPA waive the cellulosic biofuel volumetric requirements for the 2016 compliance year citing an inadequate domestic supply of the fuel.  Based on the amount of cellulosic fuel produced through November, AFPM estimated that between 173.8 and 190 million gallons will be produced in 2016, which is approximately 40 to 60 million gallons below the 230 million gallon target set...

On January 4, 2017, EPA issued a notice of intent to revoke Genscape’s ability to verify Renewable Identification Numbers (RIN) as a third party auditor under the Renewable Fuel Standard (RFS) Quality Assurance Program (QAP).  According to the notice, Genscape failed to meet all elements of its Quality Assurance Plan and verified approximately 68 million fraudulently-generated RINs.  To replace invalid RINs, Genscape is required to retire RINs within 60 days.  Obligated...

On January 4, 2017, the White House announced the release of the 2017 Update to the Coordinated Framework for the Regulation of Biotechnology. The 2017 Update provides a comprehensive summary of the roles and responsibilities of the U.S. Environmental Protection Agency (EPA), the U.S. Food and Drug Administration (FDA), and the U.S. Department of Agriculture (USDA) with respect to regulating biotechnology products. Together with the National Strategy for Modernizing the Regulatory System for...

On December 22, 2016, the California Department of Toxic Substances Control (DTSC) announced that the public comment period for the draft Alternatives Analysis (AA) Guide for the Safer Consumer Products (SCP) program has been extended to February 3, 2017. The guide, which was released on December 19, 2016, aims to help relevant stakeholders navigate all phases of the SCP AA process and provide useful approaches, methods, resources, tools and examples of how to fulfill SCP's...

On December 29, 2016, the U.S. Department of Agriculture (USDA) Commodity Credit Corporation (CCC) published in the Federal Register a notice of available funds regarding the Biofuel Production Incentive (BPI) for companies refining biofuel from certain domestically grown feedstocks. The notice aims to improve transparency and simplify the process of administering CCC funds to support the Farm-to-Fleet program by identifying a specific BPI payment rate. The Farm Service Agency (FSA), which...

On December 28, 2016, the Department of Energy (DOE) announced that six projects had been selected for a funding opportunity of up to $12.9 million titled “Project Definition for Pilot- and Demonstration-Scale Manufacturing of Biofuels, Bioproducts, and Biopower.”  The projects, which revolve around technology development plans for the manufacture of advanced or cellulosic biofuels, bioproducts, refinery-compatible intermediates, and biopower in a pilot- or demonstration-scale...

Last week, the U.S. Environmental Protection Agency (EPA) published two announcements in the Federal Register regarding an extension of the comment period for the proposed Renewables Enhancement and Growth Support (REGS) rule and the proposed denial of petitions for the rulemaking to change the Renewable Fuel Standard (RFS) Point of Obligation.   On December 9, 2016, ten biodiesel and agricultural industry stakeholders, including the Renewable Fuels Association, Growth Energy, American...

By Lynn L. Bergeson and Carla N. Hutton On January 4, 2017, the White House announced the release of the 2017 Update to the Coordinated Framework for the Regulation of Biotechnology (2017 Update).  The Update to the Coordinated Framework provides a comprehensive summary of the roles and responsibilities of the U.S. Environmental Protection Agency (EPA), the U.S. Food and Drug Administration (FDA), and the U.S. Department of Agriculture (USDA) with respect to regulating biotechnology...

Lynn L. Bergeson was quoted in the December 28, 2016, Bloomberg BNA Daily Environment Report story “Biobased Chemical, Fuel Makers Seek Parity For Their Products Under Trump” (subscription required): Biobased chemical and fuel manufacturers want their products to be treated equally with their fossil fuel-based counterparts under the incoming administration’s policies. […]  Lynn Bergeson, managing partner of the Washington D.C.-based Bergeson...

On December 15, 2016,  Fuels America sent a letter to President-elect Donald Trump on behalf of the nation's renewable fuels sector encouraging Trump’s continued commitment to the Renewable Fuel Standard (RFS) Program.  Fuels America stated that the RFS Program has promoted the growth of the American biofuels industry and has helped to correct the imbalance that exists in the global oil market by ensuring competition among fuel producers, in addition to stimulating economic...

On December 15, 2016,  the U.S. Department of Energy (DOE) issued a funding opportunity announcement (FOA) of up to $8 million dollars, subject to appropriations, for innovative technologies that assist in the advancement of algae bioenergy and bioproducts.  The FOA consists of two topic areas, including strain improvement for the development of enhanced algal strains, and algae cultivation biology improvement for the development of increased areal productivity and biofuel yield....

On December 5, 2016, Nagpur Municipal Corporation (NMC) launched the Aapli bus service, India’s first green bus service, in Nagpur, which includes five buses that will run on ethanol biofuel.  Nitin Gadkari, the Union Minister for Road Transport and Highways, aims for Nagpur to be the first city to have all of its buses powered by biofuel through the addition of new green buses and the conversion of existing diesel-run buses.  During the launch event...

On December 5, 2016, China's National Energy Administration (NEA) published a five-year plan that aims to increase ethanol production to four million tons by 2020 despite the government maintaining strict control over the use of food grains.  The target remains unchanged from the previous five-year plan that ended in 2015.  NEA intends to increase the share of non-fossil fuel consumption from 12 percent to 15 percent by 2020, in part through the vigorous development of...

As previously reported in the BRAG Biobased and Renewable Products Update of October 21, 2016, EPA announced that it has opened nominations for the 2017 Presidential Green Chemistry Challenge Awards (PGCCA).  EPA’s strong support for the adoption of green chemistry has helped strengthen the development and commercialization of green chemistry products, leading to significant environmental benefits alongside economic benefits.  Previous PGCCA winners annually eliminate...

On December 6, 2016, EPA held a hearing on its proposed Renewables Enhancement and Growth Support rule.  The proposed rule would update the regulatory structure to allow biofuel producers to process and convert biomass at different facilities, update fuel regulations to allow for more high-ethanol fuel blends in flex fuel vehicles, and permit cellulosic biofuels to be produced from new feedstock sources.  Testimony provided by Growth Energy and the Renewable Fuels Association (RFA)...

On December 12, 2016, the U.S. Environmental Protection Agency (EPA) published a final rule, Renewable Fuel Standard Program:  Standards for 2017 and Biomass-Based Diesel Volume for 2018, in the Federal Register.  This final rule sets the annual percentage standards for cellulosic biofuel, biomass-based diesel, advanced biofuel, and total renewable fuel for motor vehicle gasoline and diesel produced or imported in 2017, as reported in the Biobased and Renewable Products Advocacy...

On November 29, 2016, the United Kingdom (UK) Department of Transportation published proposed legislative changes to the Renewable Transport Fuel Obligation (RTFO), which is open for consultation until January 22, 2017.  Among the proposed changes is an increase in the blending mandates to 9.75 percent by volume for 2020.  The three main proposals outlined detail increasing the supply of waste derived fuels, encouraging the production of advanced renewable fuels, and setting a maximum...

On November 30, 2016, Neste, a member of the Biobased and Renewable Products Advocacy Group (BRAG®), released a statement in response to the publication of the European Commission’s (EC) proposal on the revised Renewable Energy Directive (Directive) for 2021 to 2030.  The aim of the Directive is to raise renewable energy usage in Europe to 27 percent by 2030.  In the revised Directive, the EC introduced a mandate requiring fuel suppliers to include a minimum...

On November 29, 2016, Green Biologics, Inc. (Green Biologics) announced that its high purity biobased n-butanol and acetone received certification under the U.S. Department of Agriculture’s (USDA) BioPreferred® program.  Both products, which are produced through the fermentation of sugars from renewable feedstocks, were certified as 100 percent biobased.  In the early stages of its first commercial production facility, Green Biologics aims to produce commercial n-butanol and...

On December 6, 2016, EPA announced its funding of $1.3 million in investments to 13 Small Business Innovation Research (SBIR) projects.  All 13 projects are focused on producing innovative and creative solutions to the country’s current environmental issues.  Each company will receive a SBIR Phase I contract for up to $100,000 to develop their green technology.  Companies that successfully complete Phase I can apply for a Phase II contract of up to $300,000 to commercialize...

On December 1, 2016, the Government Accountability Office (GAO) testified at a hearing before the U.S. Senate Subcommittee on Regulatory Affairs and Federal Management, Committee on Homeland Security and Governmental Affairs regarding the feasibility of the Renewable Fuel Standard (RFS) program .  GAO stated that the goals of the program, to reduce greenhouse gas (GHG) emissions and expand the nation’s renewable fuels sector, were unlikely to be met as envisioned due to the limited...