Biopact - A bioprospecting expedition to Iceland's famed hot springs has yielded new strains of bacteria with potential of producing biohydrogen (H2) and ethanol (EtOH) fuels from biomass and waste materials containing carbohydrates. The report about the discovery of the new thermophilic microbes appeared online as an open access article in Energy & Fuels, a bi-monthly journal. This is yet another illustration of how investigating life in extreme environments may yield applications in the emerging bioeconomy.

In the study, Perttu E. P. Koskinen and colleagues point out that ethanol and hydrogen are two leading eco-friendly candidates for supplementing world supplies of oil, coal, and other conventional fuels. Research suggests that there would be advantages in producing those fuels by fermentation with bacteria capable of withstanding higher temperatures than microbes now in use.

Knowing that thermophilic, or heat-loving, bacteria inhabit Iceland's hot springs, the scientists bioprospected scalding-hot geothermal springs in different parts of the country for new ethanol and hydrogen-producing bacteria. After screening samples, including those from springs that approached the boiling point of water, the scientists enriched promising microorganisms that can produce the compounds from glucose or cellulose at high temperatures. The enrichments included those with unusually high yields of hydrogen or ethanol from carbohydrates.

Hydrogen- and EtOH-producing enrichment cultures were obtained from various hot spring samples over a temperature range of 50–78 °C. The temperature dependencies for the most promising enrichments were determined with a temperature-gradient incubator. One of the enrichments (33HL) produced 2.10 mol of H2/mol of glucose at 59 °C. Another enrichment (9HG), dominated by bacteria closely affiliated with Thermoanaerobacter thermohydrosulfuricus, produced 0.68 mol of H2/mol of glucose, and 1.21 mol of EtOH/mol of glucose at 78 °C.Hydrogen and EtOH production by 9HG was characterized further in a continuous-flow bioreactor at 74 °C. The highest H2 and EtOH yields of 9HG were obtained at pH 6.8 ± 0.3. Lactate production decreased the H2 and EtOH yields in the continuous-flow bioreactor, and the yields were lower than those obtained in the batch fermentations.

In conclusion, the thorough batch screening of Icelandic hot spring samples indicated promising enrichments for H2 or H2 plus EtOH production from carbohydrate materials.

In July, the Iowa Legislature awarded the Tallgrass Prairie Center $330,000 to conduct research on the feasibility of utilizing prairie hay for electrical generation. The study will look at ways to integrate conservation and restoration of grasslands with bioenergy production.

Michele Suhrer and Cassy Bohnet who are working on the project, say they will plant four different mixtures of prairie species on 100 acres of land rented from the Black Hawk County Conservation Board. The research will determine which mixtures produce the most energy efficient and sustainable prairie hay. Suhrer says the prairie hay can be grown on marginal land, possibly saving Conservation Reserve Program (CRP) land from being turned back into row crop production.

Dave Williams, project manager at the Center, says that by planting a diverse mix of tall perennial prairie grasses around row crops, soil erosion, runoff of pesticides and fertilizers can be reduced. Wildlife habitats can be restored or improved along with delivering other environmental benefits.

Last year, the bioenergy community was given a boost by the results of a study in Science on polycultures of multiple grass, wildflower and prairie species. The researchers, led by David Tilman, found that such plantations of mixed native energy crops can be carbon-negative, restore biodiversity, can grow on degraded land, and provide substantially more biomass for biofuels than the most promising monocultures. A bioeconomy based on mixed prairie grasses can restore the beauty of a lost landscape and helps soak up the vast amounts of carbon dioxide emitted into the atmosphere since the Industrial Revolution.

Known as the 'Tilman study' on 'low-input high-diversity grassland bioenergy systems', the findings showed that the polycultures yielded not less than 238 per cent more useable biomass than a single crop of switchgrass (long seen as the leading energy crop in the U.S.). Biofuels derived from the colorful fields resulted in 51 per cent more energy per acre compared to corn, the most widely used biofuel crop. Inputs of energy, fertilizer and herbicides were much lower as well. And because the perennial species store atmospheric carbon deep in their roots, they become part of a carbon-negative energy system.

The Tallgrass Prairie Center's bioenergy project will draw on the results of this study to see whether they can be replicated.The various mixtures of perennial prairie species to be test planted by the Tallgrass Prairie Center will take about three years to mature, after which they are ready for harvesting. Then two years will be devoted to research optimal harvesting techniques, and to interpret agronomic data.

According to Suhrer and Bohnet, most farmers already have the basic haying equipment to harvest the biomass, so that will be the least problematic area of study. Comparing and analysing productivity of different grass mixtures and their combustion characteristics will require more intensive work.

Cedar Falls Utilities will test burn the prairie hay to analyse its suitability as a biomass feedstock for the production of green electricity.

The Tallgrass Prairie Center is a strong advocate of progressive, ecological approaches utilizing native vegetation to provide environmental, economic and aesthetic benefits for the public good. The center is in the vanguard of roadside vegetation management, native Source Identified seed development, and prairie advocacy.

The center primarily serves the Upper Midwest Tallgrass Prairie Region, but is a model for similar efforts nationally and internationally.

The TPC aims to develop research, techniques, education and Source Identified seed for restoration and preservation of prairie vegetation in rights-of-way and other lands. The center was stablished at the University of Northern Iowa in 1999 as the Native Roadside Vegetation Center.

The center has some major programs running: the Prairie Institute, the Integrated Roadside Vegetation Management Program and the Iowa Ecotype Project.

What if farmers decide against crop rotations and plant corn on the same fields, year after year? Or, what if farmers begin growing biomass crops such as switchgrass for the production of ethanol from plant fiber?

Will soil lose fertility? Will erosion increase? Will the amount of energy needed to produce biofuels go up or down? Will farm income increase or decrease? Will the bioeconomy be sustainable?

Robert Anex, an Iowa State associate professor of agricultural and biosystems engineering and associate director of Iowa State's Office of Biorenewables Programs, is working to answer those and other questions about the transition to an agriculture that produces biomass as well as food and fiber.

One answer is that American agriculture is likely to change.

"It may well be that the development of biomass-based crops production systems can have as profound an impact on agriculture and its environmental footprint as it does on energy security and the global climate," Anex and co-authors Andrew Heggenstaller and Matt Liebman of Iowa State's agronomy department and Lee Lynd and Mark Laser of Dartmouth College wrote in a recent paper. "Whether this is a positive impact or a negative impact will depend largely on how biomass feedstocks are produced and converted, and the extent to which these two activities are integrated."

Their paper, "Potential for Enhanced Nutrient Cycling through Coupling of Agricultural and Bioenergy Systems," was recently published online by Crop Science, the official publication of the Crop Science Society of America.

The paper reports that as much as 78 percent of the nitrogen fertilizer needed for crops could be recovered from an integrated biological and thermochemical process that converts switchgrass to ethanol. The study says such nutrient recovery and recycling could significantly improve the sustainability of biomass production and the amount of energy required to produce ethanol from plant fiber.

The researchers say the nutrient recovery could happen this way: Plant fiber would be converted to liquid fuels by pre-treatments and fermentation. The co-products of fermentation would be dried and heated to turn the solids into gases. The gasification would leave plant nutrients in the resulting ash and ammonia. The nutrients in both streams could be recovered and returned to the fields that produced the biomass.

And that potential for nutrient recycling means there's potential for a new kind of agriculture feeding a sustainable bioeconomy.

"By creating a large, new domestic demand for agricultural products, the advent of commercial-scale conversion of biomass into ethanol and other industrial chemicals is likely to have a strong influence on the design of agricultural systems," the researchers wrote. "The possibility of recycling nutrients from the biorefinery to the agricultural system that produces the feedstock may allow substantial improvements in both sustainability and production efficiency."

But, sustaining biomass production is a complex system that depends on many variables such as soil type and slope, soil organic matter and the amount of biomass actually harvested.

To help farmers begin to understand how collecting biomass from their fields may affect soil fertility, erosion, energy needs, labor and the bottom line, Anex and a team of Iowa State researchers have added bioeconomy elements to I-FARM, a Web tool that helps farmers simulate and plan various changes to their operations.

I-FARM is free and can be found at http://i-farmtools.org. Its focus is on the upper Midwest, but weather and soils data from 28 states are accessible from its database.

In one simulation, the I-FARM research team (Anex, Ed van Ouwerkerk, an Iowa State research associate in agricultural and biosystems engineering; Tom Richard, an associate professor of agricultural and biological engineering at Penn State University; Amritpal Kang, an Iowa State graduate student; and Brian Gelder, an Iowa State postdoctoral research associate) studied the effects of harvesting corn stalks and leaves on three farms in northwest Iowa's Palo Alto County. One grain farm harvested no stover, one harvested 1,809 dry tons of stover a year and the other harvested 3,077 dry tons a year.

The simulations found the farm that harvested the most stover also needed the most fertilizer, had the most erosion and barely returned sustainable levels of organic matter to the soil. That farm also recorded the highest net farm income before taxes.

Anex's study of the sustainability of the bioeconomy is being supported, in part, by grants from the U.S. Department of Agriculture, the U.S. Department of Energy and the National Science Foundation.

The studies are helping researchers answer some questions about the sustainability of agriculture in a bioeconomy, Anex said. But there are still lots of questions about how everything in a new agricultural system would fit together.

"Despite the promise of alternative crops and cropping systems as well as the nutrient recovery and recycling concepts examined here, there are still many questions that remain about their practical implementation," Anex and the other researchers wrote in their paper. "The issues that have been addressed here and the questions that have been raised are only a small subset of those that must be addressed if we are to usher in a new and beneficial agricultural revolution."

Copyright 1995-2007. High Plains Publishers, Inc.

The Government emphasise use of non-edible oils such as Jatropha curcas, Pongmia pinnata oils, etc. for production of bio-diesel and use of forest & non-forest wastelands for plantation of non-edible oil seed bearing plants.

The Ministry of New & Renewable Energy has sponsored Reasearch and Development projects on bio-fuels to some leading R&D Institutions. Process parameters for production of bio-diesel from JatroPha curcas (Ratanjot) and Pongamia pinnata (Karanja) have been optimized; field trials on diesel car have been carried out with different levels of blend of bio-diesel produced from Jatropha and Pongamia with diesel.

The vehicle response has been found to be comparable with diesel vehicles. A 200 liter capacity per batch bio-diesel reactor has been designed, fabricated and developed. The MNRE has prepared a Draft National Policy on Bio-fuels, which is under consideration of Govt. of India.

The Ministry of Rural Development (MoRD) has provided financial support to nine States in 2005-06 for raising of about 18 crore seedlings of Jatropha and Pongamia and to 18 States in 2006-07 for raising of another about 18 crore seedlings of these plants. The proposal of the MoRD for establishment of the National Mission on Bio-diesel and launch of its demonstration phase (Phase-I) is under consideration of Government of India.

Department of Bio-Technology has initiated a Micro-mission programme on production and demonstration of superior quality planting material of Jatropha based on oil content of 30-35% and seed yield of 3-5 tonnes per hectare. They have raised 22.48 lakh plants under nursery at different places and have initiated R&D projects for improvement of oil quality and seed yield and identification of superior varieties.

The Ministry of Agriculture through National Oil Seeds and Vegetable Oils Development (NOVOD) Board is promoting Jatropha and Pongamia under the Scheme of Integrated Development of Tree borne oil seeds. The NOVOD Board has undertaken model plantation of Jatropha in about 10,000 hectare area and Karanja in about 1400 hectare area for producing parent material for undertaking large scale plantation. NOVOD Board have identified elite planting material of Jatropha and pongamia under their R&D programme and have preserved the germ plasm. Besides, NOVOD Board has sanctioned model plantation of Jatropha in 1445 hectare and Karanja in 55 hectare during 2007-08.

Indian Council of Agricultural Research (ICAR), under All India Coordinated Research Project (AICRP) on agro-forestry, have initiated efforts in respect of Jatropha for collection of germ plasm, evaluation trials for growth, seed yield and oil content, hybridization, reproductive biology, agri-silvicultural trials, molecular characterization, biochemical activities and farmers training. ICAR has identified a Jatropha variety for commercial cultivation.

Presently, the activities initiated on research & development for development of superior quality planting materials and bio-diesel production technologies, testing of diesel engines using bio-diesel and their demonstration have been initiated.

This information was given by the Minister of State in the Ministry of New and Renewable Sources, Sh Vilas Muttemwar. in a written reply to a question in the Rajya Sabha today.

Copyright: Press Information Bureau

Biofuel, which can be produced from plants, is considered a means to reducing greenhouse gas emissions as an alternative to fossil fuels.

Speaking on behalf of Agriculture Minister Gerry Ritz, MP Jay Hill says the Peace region is the largest producer of grains and oilseeds in B.C.

He says $1.2 million of the investment will include research on crops including ethanol feedstock for biofuel production, hard white spring wheat, shorter season flax, barley and pea varieties.

The rest of the money will be used by the B.C. Grain Producers' Association to develop a business plan to construct a biodiesel production facility.

Copyright © 2007 The Canadian Press

A few years ago, the idea that corn prices would suddenly jump higher after steadily declining for about 50 years would have been met with disbelief and laughter. Today, no one is laughing. Instead, many people are concerned that the increasing demand for corn grain as a raw material for ethanol will significantly increase the price of food for both people and animals, and even cause some people to go hungry.

What is sometimes forgotten in this "food vs. fuel" debate is that ethanol and other biofuels can be made from many other materials besides corn grain and food crops. Making biofuels from cellulosic matter (grasses, straw, hay, woody plants and trees, stems and stalks, as well as some urban wastes) will help eliminate the food vs. biofuel debate. We can and will have food and fuel.

The federal government and private industry have pledged more than $1 billion to support research and development to make producing biofuels from cellulose more efficient and economical. Cellulose helps Michigan

As crude oil prices surge to new highs, it becomes easier for cellulosic biofuels to compete economically with petroleum fuels. Cellulosic raw materials already are much less expensive than petroleum.

Through plant breeding and genetic research, as well as studies to better understand plant metabolism and other mechanisms, the cost of cellulosic raw materials will continue to fall. At the same time, this research also will allow these raw materials to be produced in an environmentally sound manner that protects soil and water quality and reduces greenhouse gas emissions.

Research on processes to convert cellulosic biomass into fuels will further reduce fuel costs, as will the practical experience that we'll gain at the large-scale cellulosic ethanol plants now being built.

As we learn how to make ethanol from grasses and other cellulosic materials more efficiently and on a commercial scale, we'll also learn how to use the protein and calories in these plants as feed for animals. More than 80 percent of U.S. agricultural land is used to grow animal feed, not human food. Being able to produce both biofuel and animal feed from a crop that's not currently used for human food or animal feed also will help lower corn and other feed grain prices because animal producers will have more options for their livestock.

A recent study by a group of engineers and animal scientists from Michigan State University and Dartmouth College (including myself) shows that integrating production of animal feed protein with the production of ethanol allows cellulosic ethanol to be made for about 50 cents per gallon.

In the future, it's reasonable to expect that fuels derived from imported oil will be replaced by biofuels made from cellulosic materials. These cellulosic biofuels will be less expensive, better for the environment and much better for U.S. national security than petroleum fuels. We don't have to choose between food and fuel. We will have food and fuel, and both of them will be more plentiful and less expensive than what we have now.

Bruce Dale is professor of chemical engineering and materials science, and associate director of the Office of Biobased Technologies at Michigan State University. He is also editor-in-chief of the journal Biofuels, Bioproducts & Biorefining. E-mail comments toletters@detnews.com.

© Copyright 2007 The Detroit News

This industrial sweet potato doesn't look, or taste, much like the Southern classic, but can produce twice the starch content of corn, the leading source of ethanol. More starch means more sugars that can be fermented into biofuel.

"These are not your grandmother's sweet potatoes," says Craig Yencho, an N.C. State associate professor of Horticultural Science, who is leading a project to develop alternative uses for the vegetable. "The industrial sweet potato is edible, but not palatable."

While the table version is orange inside and becomes sweet during baking as enzymes break down starch into sugar, the industrial sweet potato typically has a purple or white skin and white inside with a much higher starch content that limits its sweet taste.

North Carolina produces about 40 percent of the U.S. sweet potato crop. The industrial sweet potato could help diversify the state's farm income.

The biggest challenge is lowering production costs to take advantage of that higher starch content. Sweet potatoes traditionally are planted by hand using transplants.

"But if we could plant them the same way you plant an Irish potato – by planting cut 'seed' pieces and mechanically planting them into the ground, we could cut planting costs in half," Yencho said.

"The ethanol production from sweet potatoes then becomes much more cost effective and feasible. Not only would these sweet potatoes be a much more viable ethanol source than corn, but because they are industrial sweet potatoes, we wouldn't be taking away from a food source," said Yencho, who is currently in China helping the world's No. 1 producer of sweet potatoes tap the crop's biofuel potential.

While the best of conventional breeding techniques have been used to develop N.C. State's industrial sweet potato, Yencho is also teaming with colleague Bryon Sosinski on an unconventional approach to further boost sugar – and thus ethanol – yield. By using bacteria from deep-sea thermal vents they are creating an industrial sweet potato that practically processes itself into ethanol.

"Our ultimate goal is to develop a self-processing sweet potato," says Dr. Yencho, noting that the special genes could reduce the cost of enzymes that are used by biofuel processors to break down the starch in corn to sugars which are then converted into alcohol by fermentation. Sosinski hopes to move into greenhouse trials next year.

Ultimately, N.C. State scientists believe the industrial sweet potato can compete with corn – now much cheaper to produce – as a viable alternative source of ethanol. Corn is by far the leading source of ethanol, but corn- based biofuel has come under increasing attack by poverty-fighting and other groups who argue, among other things, that diversion of corn crops for biofuels aggravates world-hunger problems. At the same time, Congress and state legislative leaders concerned about dependence on imported oil are pushing for increased use of biofuels.

"There isn't one magical crop that will solve our energy problems, but the industrial sweet potato can play an important role, especially in the southeastern U.S. where the crop is grown," says Dr. Yencho.

Moreover, he adds, research into the sweet potato can further enhance its value as a nutritional food staple while simultaneously finding new ways the crop can help replace petroleum as source for industrial products ranging from plastics to natural colorants and high-value specialty chemicals. And in their zeal to mine the tuber's variability, Yencho and his team of N.C. State researchers have created a hybrid intended for neither food nor fuel – the non-bearing "Sweet Caroline" variety developed strictly for ornamental use.

© 2007 Noria Corporation

CHICAGO - The global spotlight has turned from corn and wheat to soybeans, with prices expected to test an all-time high next year fueled by the volatile mix of a weak dollar, demand from China and a growing thirst for alternative fuels.

An ethanol boom has buoyed corn and global drought problems have lifted wheat prices. But soybeans lost acres to those crops last year, just ahead of a boom in demand for soy's use as a biofuel, livestock feed and food ingredient.

In particular, China's voracious appetite for soybeans to feed its meat and food industries - accounting for more than half of all U.S. soy export sales this season - has shown no sign of slowing, analysts say. Many traders feel the sky is the limit for that demand as China faces production and irrigation problems.

Throw in biofuels demand - specifically, biodiesel made from soyoil - and the soy market has a second wild card of possibly unlimited demand. Another factor is the sinking dollar, which is making dollar-based soybeans cheaper for export.

"To a greater extent than we've seen in a long time, macroeconomic factors are playing a significant role in commodity prices," said Bill Lapp, president of Advanced Economic Solutions and consultant to food industries.

Many analysts see CBOT soybeans rising to $12 a bushel by early next year, with the potential to test the all-time high of $12.90 posted in June 1973.

On Wednesday, spot-month January (SF8: Quote, Profile, Research) closed 5-3/4 cents higher at $10.96-3/4 per bushel.

It is likely that CBOT soyoil will test its record top of 51 cents a lb notched 33 years ago, especially if crude oil - a market that soyoil mirrors given the expanding biodiesel industry - continues its rally. CBOT January soyoil (BOF8: Quote, Profile, Research) ended 0.17 cent lower at 46.58 cents a lb on Wednesday.

But that mix of bullishness has also fed price volatility as traders ask how many soybeans will be used for food, versus how many for production of biodiesel. They also wonder where all these crops will be grown, and how high a price it will take to ration demand.

"No one really knows where the price of soybeans is going to go because there are so many different variables that are involved," said Steve Freed, analyst at ADM Investor Services. "If you're a consumer or a speculator, you're long beans. And the objective is a lot higher than we are now."

But analysts also said another factor in the grain markets - Wall Street hedge funds and other "hot money" speculators - will continue to create volatility that could fly in the face of fundamentals.

As of Nov. 20, such funds held 46 percent of the long positions in CBOT soybeans and 41 percent of soyoil.

Food + Fuels + Fears = Inflation

This month CBOT soybeans jumped above $11 a bushel, a level not seen since the 1970s, a time of historic inflation.

In the United States, the Consumer Price Index for food is up almost 6 percent for the first nine months of 2007.

"Food inflation is real .... it's at a 25-year record," said Lapp of Advanced Economic Solutions, referring to the CPI. Soaring U.S. crop prices have driven up world prices since the United States is the leading global grains exporter. And even higher prices could be on the cards.

"It just looks like we're going to draw down the entire surplus in soybean stocks in one crop year," said Anne Frick, oilseed analyst with Prudential Securities. "We're looking at some real constraints even to try and maintain bare minimum pipeline stocks for a second consecutive year in 2008/09."

Analysts will key on China's continuing appetite for soy, South American weather as the just-planted soy crop matures in early 2008, and the battle for acres. USDA will release U.S. farmer seeding intentions at the end of March.

"The problem is that we have limited acreage and a fight for acreage. It's not just between beans and corn, it's really between oilseeds and grains worldwide," Frick said.

(Editing by Matthew Lewis)

© Reuters2007

LONDON - Acta says a transport system fuelled by hydrogen is a decade closer after striking a deal with an Asian firm, described by the UK chemicals company as one of the world's largest corporations and which analysts say is a carmaker.

If the development project goes well then large numbers of cars could drive on hydrogen in "10 plus" years, as opposed to 20-30 years, Acta's chief operating officer said on Wednesday.

Acta is different from rivals in that it believes that ammonia will be used to create hydrogen in cars which would cut carbon dioxide emissions and remove the need for bulky hydrogen storing-tanks in the vehicles. Acta makes chemical catalysts that help create hydrogen from ammonia and ethanol in vehicles.

The filling stations of the future will be pouring out ammonia, not gasoline, Acta hopes. Although without another chemical to suppress the smell, you will need a mask.

Acta points out millions of farmers already handle ammonia, spraying it as fertilizer, and there are ammonia filling stations across the United States.

Even people working within the industry say large numbers of hydrogen-powered cars are at least 30 years away. The main problem is supplying hydrogen to the cars, which requires an overhaul of filling stations and infrastructure as well as the work that still needs doing on the engines.

"Most car companies see ethanol as a sticking plaster for carbon emissions while truly green motoring solutions are found," said Acta's Chief Operating Officer Toby Woolrych by phone on Wednesday. Ethanol is a biofuel which comes from crops such as corn and whose increased use has pushed up food prices.

Although Acta's catalysts work with ethanol, ammonia is its big hope.

"Ethanol has a very important place as a percentage addition to gasoline, but it isn't a long term solution," Woolrych said.

Acta said it will get 600,000 euros ($883,700) from its contract with the Asian firm for the first four months, and expects this rate of payment over the subsequent 12 months if the project goes well.

Woolrych hopes its partner -- with whom it has worked for nearly 2 years - will showcase the technology in 2008.

"If this unblocks the hydrogen supply problem we expect them to push this hard and fast," he said.

(Editing by Louise Ireland)

© Reuters2007

The United Nations Development Program's (UNDP) report was officially presented in Brasília with president Luiz Inacio Lula da Silva being the host. Not coincidentally, Brazil is the leader in the use of sustainable biofuels. Lula is known for his vision which says biofuels can boost both poverty alleviation in the developing world on a massive scale, as well as providing energy security and independence from catastrophic high oil prices.

With the Human Development Report, the UNDP joins a large series of energy, climate and development experts in demanding a removal of the trade barriers imposed by the US and the EU on efficient biofuels from the South, such as Brazilian sugarcane ethanol. Organisations and institutions supporting the same call include: the UN's FAO (Food and Agriculture Organisation), the UNIDO (UN Industrial Development Organisation), the GBEP (Global Bioenergy Partnership), the OECD, the WorldWatch Institute, the International Energy Agency (IEA) and many others.

In an analysis of potential climate change mitigation options, which include bioenergy and biofuels, the authors make a case for a 'Biopact' of sorts - the win-win situation in which countries from the South utilize their comparative advantages to make carbon reducing fuels to supply the less efficient North.

International trade could play a much larger role in the expanding markets for alternative fuels. Brazil is more efficient than either the European Union or the United States in producing ethanol, Moreover, sugar-based ethanol is more efficient in cutting carbon emissions. The problem is that imports of Brazilian ethanol are restricted by high import tariffs. Removing these tariffs would generate gains not just for Brazil, but for climate change mitigation. - UNDP, Human Development Report 2007/2008

The suggestion was made based on the knowledge that such biofuels from South emit far less carbon dioxide than biofuels made in the North. The case of sugarcane ethanol is given as an example: it emits 70 to 80 percent less greenhouse gases than fossil fuels, while ethanol made from corn offers only a 10 to 20 percent reduction. Moreover, ethanol from the (sub)tropics, which can be made from a vast range of highly efficient crops, has a much stronger energy balance. For cane ethanol this is up to 8 to 1, for corn ethanol barely 1 to 1 (some scientists have even found it to be negative). Finally, unlike biofuels made from crops like corn or rapeseed, these fuels have had no impact on food prices. Brazilian ethanol production is at all time highs, whereas sugar prices have declined.

Scientists have found the technical potential for sustainable biofuels in the South to be very large. Researchers from the International Energy Agency's Bioenergy Task 40 have found that, by 2050, Africa and Latin America alone could produce more than 500 Exajoules of exportable bioenergy, after meeting all food, fiber, fodder and forest products needs of growing populations.

The United States and the European Union have imposed barriers on Brazil's ethanol, which almost doubles the price to consumers in those countries, according to Brazilian producers.Brazilian President Luiz Inacio Lula da Silva said in a document attached to the report that the use of ethanol in transportation reduces carbon gas emission by approximately 25.8 million tons per year in his country.

"Our aim is to increase the supply of biodiesel by 5 percent in Brazil up to the year 2013," said the president.

The report highlighted the fact that Brazil holds the fifth lowest emissions rate per capita among the 70 countries with the highest human development indices. In 2004 its carbon footrpint was was 1.8 ton per inhabitant, 60 percent lower than the world's average of 4.5 tons and more than 10 times lower than the average American, Australian or Canadian.

Efficient biofuels have played an important role in this achievement.

For the first time in the history of the Human Development Index, Brazil ranks amongst the countries with a "high development" status. Its economic growth however has a low carbon profile, making the country an example for others to follow.

New Jersey's garbage, landfill gases and other waste could one day generate enough electricity to power a million homes, according to a report released by the state Board of Public Utilities.

That waste and other "biomass" - which includes corn, paper, grass clippings and used cooking grease, among others - could even be used to generate 300 million gallons of fuel for transportation every a year. That's roughly 5 percent of New Jersey's needs, the report said.

With the right technology and state incentives, this could all happen by 2020, according to the report.

The conversion to bioenergy would not only put New Jersey's waste to good use, it would reduce the dependence on foreign oil. That would in turn reduce the emission of carbon dioxide from fossil fuels, the prime suspect in global warming.

"For the first time, we have an extremely detailed understanding of our bioenergy capabilities," said Margaret Brennan, who directed the biomass study for the Rutgers New Jersey Agricultural Experiment Station. "This gives us something to strive for. Before, we didn't know what the potential was."

Most of the waste generated in the state is municipal waste, and most of that is concentrated in northeastern and central Jersey, the report said.

"Conversion of solid waste to clean energy could become the major source of renewable energy," the report noted.

Reaching that potential requires implementing the technologies, collection systems and infrastructure over the next 13 years, Brennan said.

"That really requires a significant investment and commitment to do it," she said, declining to put a dollar amount on the cost. "The state would need to provide some sort of economic incentives for the biomass companies to locate here and to encourage the refinement of the technologies."

One encouraging finding was that many of the biomass-processing plants could be about the size of a warehouse and could be located on landfills, reducing potential siting problems, Brennan said.

BPU Chief of Staff Lance Miller said he was optimistic the new technologies could be developed in a timely fashion: "As we approach $100-a-barrel oil, the cost-effectiveness of these technologies becomes much better," he said.

He said that although the state already converts solid waste to energy through incineration and through the collection of methane gas in landfills, a lot of energy now goes to waste.

"If we were to extract the potential before it goes into a landfill, it would be a good thing to do," he said.

The BPU is working with the Department of Agriculture to use marginal farmland to grow so-called energy crops like corn to convert to biofuels, Miller said.

Robert Ceberio, executive director of the New Jersey Meadowlands Commission, said his agency was already beginning to see a move toward bioenergy and was looking at ways to encourage companies to pursue it.

"For example, we're seeing companies that have an interest in the collection part of restaurant grease and oils for the purpose of biomass refinement," he said. "I think we're right at the edge of this becoming more and more popular. The technology is coming a long way."

The 2020 timeline to implement the study's findings is in keeping with the target date for Governor Corzine's efforts to reduce greenhouse-gas emissions by 20 percent. The state's Global Warming Response Act, which became law this summer, also calls for an 80 percent cut in greenhouse gases by 2050. Those are the nation's most aggressive targets for cutting heat-trapping emissions.

To meet those goals, state officials have been working on a New Jersey Energy Master Plan, with a draft of the expected next month.

According to Miller, the BPU had been focusing its efforts on assessing and developing New Jersey's wind and solar energy potential, and the biomass study looked at another potential weapon in that arsenal.

The biomass report also includes a "biomass calculator," an interactive online database that examines various waste materials and where they are generated so that biomass processing can be located as close to the waste stream as possible.

New Jersey is said to be the first state to create such a calculator.

Copyright © 2007 North Jersey Media Group Inc

A Portuguese oil company, Galp Energia, plans to announce November 27, 2007 that it is building a 6,500-barrel-a-day plant to make diesel fuel from vegetable oils using a method akin to refining oil.

The method, developed by UOP, a subsidiary of Honeywell, and Eni, the Italian energy company, adds hydrogen to oils derived from food crops to create a substitute that the companies describe as superior to ordinary diesel fuel.

The long-term goal is to modify the process to use oil from algae or from jatropha, a hardy shrub from Central America whose oil has long been burned in lamps and used to make soap.

Using algae, jatropha or oilseed crops like canola as a source of diesel would reduce carbon dioxide buildup in the atmosphere from diesel engines by 50 percent to 70 percent, according to Jennifer Holmgren, director for renewable energy and chemicals at UOP. The company argues that its method produces a fuel superior to the standard biodiesel already being made in places like the American Midwest.

Ms. Holmgren said that with funding from the Defense Advanced Research Projects Agency, a Pentagon agency, UOP was pursuing a modification that would produce jet fuel from the same feedstock. With airlines under pressure to reduce their output of global warming gases, the fuel could find a ready market.

At 6,500 barrels a day, the Portuguese plant is tiny by petroleum standards but large by the standards of renewable fuels. To be located in Sines, a port south of Lisbon, it will be the second such unit; Eni is building one in Livorno, Italy.

The Galp unit will help meet a renewable fuel quota set by the Portuguese government. The cost of producing diesel with its technique will be higher than the cost of producing standard diesel, said Ms. Holmgren, who would not be more specific. She said the new diesel would be competitive when produced on a larger scale.
Copyright 2007 The New York Times Company

The news comes as India's new President Pratibha Devisingh Patil stressed the country's need to boost energy security through renewables so as to ensure a continued economic growth rate of 10%. She said India today generates 11,000MW of renewable electricity, the bulk coming from wind power. Around 3.9 million family type biogas plants have been set up in rural areas, and a National Policy on Biofuels is under consideration. During the 11th plan, renewable power capacity addition will be to the tune of 14,000MW and will cover 10,000 villages.

The US Department of Energy wants to contribute to these ambitions by helping India making the switch to bioenergy, biofuels and bioproducts. EERE runs a biomass programme that works with industry, academia and their national laboratory partners for research in biomass feedstocks and conversion technologies.

EERE is now in preliminary discussions with India's Department of Planning, Ministry of New and Renewable Energy (MNRE) and the Department of agriculture for planning initiatives to make India counted among the emerging 'bioeconomies'.

By biomass economy, we mean an industry that produces renewable biofuels, bioproducts and biopower, enhances energy security, reduces [...] dependence on oil, provides environmental benefits including reduced greenhouse gas emissions, and creates economic opportunities across the nation. - Mark Ginsberg, EERE Board of Directors

EERE has been involved with Indian institutions and bodies since a few years and has funded projects to the tune of US $6-7 million through the Asia Pacific Partnership (APP).

It has been assessing wind, thermal and geo-thermal projects for the Maharashtra government and for MNRE. The department has been conducting the assessment through satellite mapping and on-site resources

Ginsberg added that the concept of zero-energy buildings, which does not consume any power should be looked upon by all developing countries. His views were echoed by BM Singh, executive director of India's Oil & Natural Gas Corporation who stressed that sustainable development will occur without compromising on the environment.

The conference, organised by the Centre for Environment Education (CEE), had speakers including Micheal Atchia, former director the UNEP, PN Roy Chowdhury, principal secretary of the Forests and Environment Department (government of Gujarat), and Rajendra Shende, head of the UNEP's OzonAction Programme.

ST. PAUL - Minnesota sits at an energy crossroad. Ethanol and wind-power pioneers gave Minnesota a good start. But visions of a better future bubble up in scientists’ and political leaders’ heads - energy plantations, using every bit of a plant for power and new ways of harnessing the wind.

Minnesotans are ready for a new energy future, one that uses much more homegrown resources than today’s oil-dependent economy.“We have reached a turning point,” Gov. Tim Pawlenty said in an interview. “The public’s awareness of this, the public’s appetite for this, the public’s demand for this is strong and increasing. And the markets are responding in astounding ways.”

Energy options abound.

“Can there be a silver bullet or will there be, by necessity, silver buckshot?” asked Dick Hemmingsen, director of the University of Minnesota’s Initiative for Renewable Energy and the Environment.

The answer appears to be buckshot. Some experts, for instance, predict fuel pumps with 10 options, ranging from gasoline to hydrogen.

That day is not here. Pawlenty predicted it will be 15 years before the energy future arrives, but he and others said technology is advancing fast and potential profits mean businesses may find new ways to use Minnesota resources sooner rather than later.

A Minnesota-based energy drive began decades ago, and really caught fire in 1992. Twin Cities’ air was so polluted that federal authorities ordered all gasoline sold in Minnesota’s largest metropolitan area that winter to contain some oxygen to ease the problem.

Minnesota farmers provided the solution with corn-based ethanol, which when mixed with plain gasoline lowered pollution.

Five years later the Legislature required gasoline statewide to contain 10 percent ethanol. After several years of struggling to build the state’s ethanol industry, the mandate 10 years ago fueled a massive growth, leading many politicians to claim Minnesota was becoming “the Saudi Arabia of the Midwest.”

Lots of talk followed about using Minnesota’s crop, wind and other resources to help the country become “energy independent.” That rhetoric, while still heard from some quarters, has faded a bit.

During a recent “Washington Journal” appearance on the C-SPAN cable television service, Pawlenty fielded an Alabaman’s charge that energy independence is not possible for decades.

“I always say it is important that we should move towards energy independence rather than say in the next two years we are going to be energy independent because that is unrealistic ... ” Pawlenty said in a measured tone. “Over time, we certainly can make progress toward that goal.”

Realism that time is needed to reach anything approaching energy independence is taking hold in Minnesota, along with the understanding of an ever-increasing role for corn, soybeans, wind, wood, even turkey manure. All parts of the state can get into the energy act.

But that is the future. Now is a transition time.

Ethanol plant construction has slowed. In northwestern Minnesota’s Erskine, for instance, economic fears influenced Agassiz Energy last month to indefinitely postpone plans to build a corn ethanol plant.

“With today’s market conditions, we can’t make any money,” said Agassiz Energy President Don Sargeant, citing high corn prices and relatively low ethanol prices.

On top of money questions, many of the more than 100 people attending an October Erskine meeting said they were concerned about environmental impacts from ethanol plants, the primary of which is ethanol plants use lots of water.

In Benson, Chippewa Valley Ethanol Co. decided in September to delay an expansion of its corn ethanol plant, noting increased construction costs and a flooded ethanol marketplace.

Pawlenty said the ethanol boom, which he called “a gold rush,” is making a market correction: “It’s like everything else - there is a huge buildup in the ethanol market. They have to take a little pause and a little breather until they restabilize. Some people would say they were overbuilding.”

Wind power also faces a hurdle that slows its development - there are not enough transmission lines to move the juice from where it is produced, mostly in southwestern Minnesota, to where it is needed, mostly in the Twin Cities and farther east.

Companies manufacturing wind turbine parts, such as southwest Minnesota’s Suzlon Energy, are seeing a growing demand for wind energy and a long list of wind farm projects are under construction.

Major new wind projects will struggle unless there is investment in new transmission lines, which face regulatory challenges and in some cases stiff opposition from environmental groups.

The energy speed bumps do not affect Deputy Commerce Commissioner Ed Garvey’s enthusiasm for Minnesota’s energy future.

“We are the shining star of the whole planet on energy issues,” he said.

Maybe so, maybe not. In wind power, for instance, California and Texas dominate. And Iowa, much maligned by many Minnesotans, produces three times as much ethanol, and the Hawkeye state is ramping up to have an ethanol plant in every one of its 99 counties.

Corn-based ethanol costs too much to produce, and more research is needed before the next generation is available. Known as cellulosic, the new ethanol would be made out of grass, wood chips, garbage, crop residue and other cheaper and more environmentally friendly feedstocks.

Minnesota was the first state to mandate that all gasoline contain at least 10 percent ethanol. And before any other state adopted a similar standard, Minnesota’s leaders decided to up the bar to require that 20 percent of the state’s gasoline sales be ethanol.

Minnesota has a third of the country’s 1,300 E85 pumps that provide customers with an 85 percent ethanol, 15 percent gasoline blend for cars that can burn it.

Soybean-based biodiesel is being produced in Minnesota, the only state to require that most diesel fuel contain 2 percent of that crop-based fuel.

Western Minnesota is among the windiest areas of the country, and wind farms are sprouting up as fast as the corn that grows around them.

Also in western Minnesota, the Fibrominn facility produces electricity by burning turkey manure, abundant in that poultry-producing area.

“Clearly, there is a vision that we all basically have,” Garvey said.

“Energy plantations” is a vision of Dave Zumeta, Minnesota Forest Resources Council executive director. Those plantations would be places where prairie grass or fast-growing trees provide raw materials for ethanol and electric-generating plants.

There is plenty of land for the plantations - 16 million acres of former forest land across the state that after it was cleared for farms was discovered to be less than suitable for traditional crops. Zumeta said much of that land would be ideal for the new crops.

“We are not there yet, technologically,” Zumeta admitted. “But there is a lot of money chasing this.”

One of the big changes, experts predict, is that all of Minnesota will be part of the energy future. Crop-based fuel plants, such as those that produce ethanol, mostly are in southern and western Minnesota. So are wind farms.

“The energy industry will be more evenly spread out,” Zumeta said.

Plants, which scientists like to call biomass, will be a big part of this energy future.

“There are biomass resources all over the state,” Assistant Commerce Commissioner Mike Bull said.

That will lead to a major change for Minnesotans, added Assistant Agriculture Commissioner Joe Martin: “You will live closer to an energy facility than you do now.”

(Grand Forks Herald reporter Kevin Bonham contributed to this story).

© 2007 Forum Communications Co. Fargo, ND 58102

BRUSSELS - The European Commission will propose rules requiring biofuels used in the European Union to produce at least a 10 percent saving of greenhouse gas emissions compared to fossil fuels, an EU official said on Thursday.

Leaders from the 27-nation bloc agreed in March to set a binding target for biofuels to make up at least 10 percent of petrol and diesel used by vehicles by 2020, a big rise from current levels of about 1.5 percent.

That goal is part of an overall aim of increasing consumption of energy from renewable sources across the bloc to 20 percent by the same year.

But the EU executive, under pressure from environmentalists, has said it would set specific criteria on biofuels used to meet that target to ensure that they are environmentally friendly.

Ewout Deurwaarder, an official in the Commission's energy division, said one of those criteria would include proving that the biofuel did not emit more climate-warming greenhouse gases than oil.

Specifically, the Commission floated a proposal of requiring biofuels to reduce greenhouse gas emissions by at least 10 percent on a "lifecycle basis," meaning from production to actual use, Deurwaarder said.

A consultation process conducted by the Commission showed support for an even stricter emissions requirement, he told a conference. "It will very likely be higher than that," he said.

Other criteria would include avoiding growing biofuel crops on wetlands and other areas that naturally store carbon. The terrain should also not be home to large amounts of plants and animals that would lead to biodiversity loss if converted to farm land.

The new criteria would apply both to biofuels grown within Europe and those imported from other nations.

The rules will be part of draft legislation on climate change and renewable energy due to be presented on January 23.

The Commission had not made a final decision on the "sustainability" scheme, Deurwaarder said. It will aim to create a simple system that takes into account World Trade Organization requirements and other practical issues.

The rules would encourage the use of second-generation biofuels, possibly by giving them extra weight towards EU nations' targets and allowing them more state aid support.

Such biofuels are derived from waste such as straw or wood chips and so do not compete with food sources. They are not commercially produced yet.

How to define a second-generation biofuel was still up for discussion, Deurwaarder said, though the Commission was leaning towards a system based on types of raw materials.

(Editing by Anthony Barker)

© Reuters2007

Europe's largest fuel consumer agreed on the measures after consultation with the agriculture, automotive and oil industry. The move is seen as a strategy to speed up the development of next generation biofuels. Germany is at the forefront of developing biomass-to-liquids fuels and new types of biodiesel based on hydrogenating plant oils. The country's land devoted to dedicated energy crops will be doubled and possibly tripled.

Launching the Roadmap Biokraftstoffe, Minister of the Environment Sigmar Gabriel and Minister of Agriculture Horst Seehofer stressed that only biofuels will be taken into account that are sustainably produced and reduce greenhouse gas emissions considerably.

The new, ambitious targets for biofuels look as follows:

For bioethanol, the target is now set at a 10% blend into gasoline by 2010, which poses no problem for use in current gasoline engines. The addition of bio-based Ethyl Tertiary Butyl Ether (ETBE) to gasoline will be promoted as well. E10 will become the new German norm and will be made available to consumers in at least 1,000 stations by the year 2016.

For diesel, a mixture of 7% biodiesel and 3% hydrogenated vegetable oils by 2010 is set as the new goal. Hydrogenated plant oils are also known as 'green diesel', or 'H-Bio', and draw upon advanced bioconversion methods found in the petroleum industry.

Between 2010 and 2020, the Agriculture and Environment Ministeries want the increasing shares - to reach 20% of all transport fuels by 2020 - to come from synthetic biofuels. Such biomass-to-liquids (BTL) fuels are obtained by gasifying biomass and then liquefying it via the Fischer-Tropsch process, a technique originally developed in Germany. This allows the use of cellulosic biomass from dedicated energy crops and from agricultural, industrial and forestry waste.

Cellulosic alcohols (ethanol, biobutanol) obtained from the biochemical transformation of biomass will be promoted over the same period.

Biomethane for transport will also be encouraged. The fuel is obtained after upgrading biogas made from the anaerobic digestion of biomass.

According to the Ministry for Agriculture, Germany currently only devotes 13% of its arable land to dedicated energy crops. This share will at least be doubled by 2020 and perhaps tripled if research indicates this is feasible and if market conditions and EU measures permit this, Seehofer said.

Sustainability and certification

A system will be implemented that computes the total greenhouse gas emission profile of imported biomass. The Environment Ministry says only those biofuel feedstocks will be allowed that result in a net reduction of emissions. The Germany government is working on the development of national, EU-wide and international certification mechanisms and sustainability criteria to be applied to international biomass trade.

Taxation

When it comes to biofuels taxation, Seehofer said he is trying to scale back and halt further taxes for biodiesel, which recently lost its tax-free status. Because of the new tax, German biodiesel producers are closing or stopping production. Industry groups estimate Germany's once-booming biodiesel industry is producing at about 20 percent of capacity following the government's taxing of green fuels. A second round of tax increases on biodiesel is on the statute book and scheduled to be imposed in January 2008. The government has so far refused industry calls to reconsider this.

Asked at the presentation in Berlin about the planned tax rise on biodiesel, Agriculture Minister Horst Seehofer said this was still being discussed. "I am fighting to keep the competitiveness of biofuels," Seehofer said. "There is still no agreement." But a finance ministry spokesman said the tax rise would go ahead. A new report on biofuels to be presented by the government would show subsidies and special tax breaks were too high, the spokesman said.

Techno-neutrality and costs

Reacting to the news of the increased biofuels targets, Matthias Wissmann, chairman of the German Federation of the Automobile Industry, said: "we have set in motion a transition towards second-generation biofuels, which are virtually carbon-neutral and to not have any effect on food prices." The high quality standard of synthetic biofuels gives it a competitive edge over first generation fuels, for which standards may be increased.

The managing director of Germany's Mineral Oil Trade Association, Klaus Picard, said he was pleased to note that the German government has remained technology-neutral and does not choose one production process over another to reach the goals. This allows producers to compete and to reach the targets with the smalles cost load for consumers.

However, Environment Minister Gabriel stressed that that the massive increase in biofuels does not relieve the vehicle industry of its obligation to build more efficient cars. Improved engines and more efficient vehicles is a key part of transiting to a low-carbon economy, he said.

Minister Seehofer pointed out that the use of biofuels in the past year had already reduced Germany's carbon dioxide emissions by 12,7 million tons.

The organisations that participated in the consultation on biofuels that led to the new targets include the following: Verband der Automobilindustrie, Mineralölwirtschaftverband, Deutscher Bauernverband, Interessengemeinschaft mittelständischer Mineralölverbände and the Verband Deutscher Biodieselhersteller.

The £35million pilot project, a joint venture between Talisman Energy (UK) and Scottish and Southern Energy (SSE), involves two turbines.

In the green energy awards, Talisman and SSE Generation have been nominated for the best renewable project award sponsored by ScottishPower Renewables.

REpower UK of Edinburgh, whose turbines are being used on the Beatrice scheme, is on the shortlist for the best new business award sponsored by All-Energy.

First Minister Alex Salmond has been nominated for the best politician award sponsored by the British Wind Energy Association for his championing of grid issues over the past two years, especially raising the issue of zonal losses.

Stewart Milne Timber Systems has been shortlisted for the best renewable innovation award sponsored by Scottish Enterprise for setting the standard for both energy efficiency and micro-renewables energy systems integration in residential homes. Winners of the sixth annual awards will be announced at a ceremony on Thursday, December 6, the National Museum of Scotland in Edinburgh.

Scottish Renewables chief executive Jason Ormiston said: "Scotland is well on its way to becoming a world leader in renewable energy and these awards recognise those business and individuals who are at the forefront of this exciting industry.

"The shortlist is drawn from all sectors of the renewables - onshore and offshore wind, marine, solar and bioenergy - and illustrates the strength in depth in Scotland.

"It is only fitting that the industry takes time each year to reflect and honour these green energy trailblazers."

Paul Cowling, head of business development at npower renewables, the headline sponsor of the awards, said: "These awards are a true celebration of the dedication and drive of all those involved with the renewable energy industry across Scotland.

"Scotland is well on the way to meeting its renewables energy targets, and this is testament to the excellent work undertaken by many organisations and individuals involved in the renewable energy sector.

"It is important that this momentum is maintained, and that Scotland evolves and adapts as rapidly as our industry is responding to climate change, to ensure that we have a planning system in place that delivers the best projects expediently, and a grid system that physically allows us to utilise the full potential of Scotland's natural energy resources.

"The Scottish Green Energy Awards will not only showcase the achievements of the renewable energy industry in Scotland to date, but also its potential to deliver so much more."

© Associated Northcliffe Digital

HAIRY HILL, ALBERTA - Growing Power Hairy Hill ("GPHH") is developing Canada's first Integrated BioRefinery(TM), a facility that will produce Green Power, BioFertilizer and Fuel Ethanol. On Friday, November 16, 2007, Growing Power Hairy Hill held an Official Sod-Turning Event to formally kick-off the project.

Attending the event were Alberta Premier Ed Stelmach, local MLA and Minister for Municipal Affairs and Housing Ray Danyluk, MP Leon Benoit, Two Hills County Reeve Allan Sayler and numerous investors, dignitaries and officials.

Premier Stelmach spoke of the importance of rural economic diversification, value-added agriculture and renewable energy in the province, following MLA Danyluk's announcement of nearly $4 million in provincial funding for the project which is expected to generate significant economic spin-offs.

Growing Power was especially pleased to celebrate the beginning of this project with our investor and grain supplier, Providence Grain Group Inc. of Fort Saskatchewan.

Growing Power General Manager Mike Kotelko said "this event is very important to Growing Power as we develop this first Integrated BioRefinery. We have been working closely with regulatory agencies and permitting is well underway. Our construction plans are being finalized and we are poised to take advantage of an economic window of opportunity for the benefit of our investors, and an environmental opportunity for the benefit of all."

Above is a diagram view of the GPHH Integrated BioRefinery(TM). The energy needed for ethanol production is produced in the BioUtility(TM) from biogas produced in the anaerobic digesters at the IMUS(TM) facility. Wet distillers grains from the ethanol plant are consumed by cattle at the nearby feedlot. The cattle, in turn, produce manure that is used to generate biogas. This is a marvelously efficient process requiring very little non-renewable energy.

Speaking to more than 3,000 delegates at the Michelin Challenge Bibendum conference, Mr. Pirret outlined the Shell strategy to enable more sustainable transport through three avenues: partnership with Original Equipment Manufacturers (OEM); developing fuels, lubricants and other products that can deliver cleaner, more energy-efficient transport; and working with consumers to help them improve their vehicle fuel efficiency.

Mr. David Pirret, Executive Vice President, Lubricants, Shell International Petroleum Company Ltd. Said, “At Shell we have long recognized the conflict between the need for mobility and the toll it is taking on our planet. We believe to resolve it, we must all face up to the truth that while demand for energy is growing at an increasingly rapid rate, access to conventional oil supplies is declining and there is an increasing need to keep energy-related carbon dioxide (CO2) emission at acceptable levels.”

Creating OEM partnerships

With partners such as Renault-Nissan, Volkswagen and Mercedes, Shell has been developing advanced lubricants to meet OEMs’ specific requirements. One result of the OEM partnership is the development of LowSAPs, or low sulphated ash, phosphorous and sulphur lubricants that can optimize the efficiency of the engines’ after-treatment systems.

In China, Shell has built partnerships with more than 40 major auto manufacturers, including Volkswagen, Renault-Nissan, Shanghai General Motors, Suzuki and FAW, in an effort to provide the best lubricant and fuels products and services to Chinese consumers.

Leading the market for better fuel economy

At the same time, Shell is also committed to helping motorists change their driving habits to improve fuel economy, and ultimately reduce the demand for energy. In a survey of 3000 people conducted by Shell in 11 countries, only 40 percent of those surveyed have made attempts to improve the fuel economy of their cars.

In China, formula Nemo, which is designed to clean and protect the engine, is added to every litre of fuel sold at Shell retail stati