Sceptre International Investment News

The Renewable Fuels Agency says it is disappointed that the vast majority of biofuels sold on UK forecourts do not conform to environmental standards.

The body said fuel suppliers were meeting legally binding volume targets but some were falling "well short" on achieving voluntary green standards.

But since biofuels have had to be mixed into forecourt fuel, there had been a reduction in emissions, it added.

The Renewable Fuels Agency (RFA) is the UK's independent regulator for biofuels, and is responsible for the Renewable Transport Fuels Obligation (RTFO), which requires a percentage of fuel sold on forecourts to be biofuels.

In the first year of the RTFO, 2008/09, the target was 2.5%, and it is set to gradually increase until 2013/14 when 5% of all fuel sales have to be from a renewable source.

Falling short

Provisional figures for the second year of the obligation showed that almost 1.6bn tonnes of biofuels had been sold, primarily as a blend with traditional transport fossil fuels (petrol and diesel). This equated to 3.33% of total sales, exceeding the government's target of 3.25%.

However, a RFA spokesman said that, despite the volume target being achieved, the agency was "disappointed that more companies did not source more fuel that was produced according to a recognised environmental standard".

"We believe that sustainable biofuel is available, in sufficient volume, should these companies wish to procure it," he told BBC News.

Figures released by the RFA show that just 33% of biofuels met an environmental standard, well short of the 50% goal for 2009/10.

About 80% of the feedstock to produce the biofuels was imported, most of which was not subject to meeting an environmental standard.

But the spokesman did add that the RTFO did appear to be achieving its primary objective, namely to cut carbon emissions.

"The year two figures suggest that the RTFO is succeeding in cutting carbon. The target on this front was exceeded, with biofuels... delivering carbon savings of 51% compared with conventional diesel or petrol."

Under the RTFO, the target to cut emissions during 2009/10 was 45%.

"This is a significant reduction, equivalent of taking half a million vehicles off the road, or making Edinburgh, Cardiff and Belfast car free."

However, he did caution that the savings reflected the directly measurable savings biofuels offer in comparison with fossil fuels, but did not take into account the potential impact from indirect land use change.

Indirect land use change is a complex set of circumstances that makes it difficult to measure - such as when land used to grow food is switched to grow fuel crops, but as the demand for food remains it lead to primary forest being felled in order to create more arable land for food production.

The growth in demand for biofuels around the globe has been criticised by environmental groups, who said it is accelerating the rate of habitat loss and increasing food insecurity.

Currently, the majority of biofuels are produced using food crops - such as cereals, soybean, rape seed oil, sugar cane and palm oil - on arable land.

However, technological advances will see an emergence of "second generation" biofuels, which - for example - will be able to use waste from food crops (such as the leaves and stems) and woody plants that can grow on poor soil.

Proponents of biofuels say the new technologies will markedly improve the environmental performance of the renewable fuels and halt the sector's reliance on food crops. Some developers are even working on "third generation" fuels, such as using vast ponds of algae as a feedstock for fuel.

Currently under the RTFO, only the volume target is mandatory; the carbon savings and environmental standards goals were voluntary.

However, this is set to change when the EU Renewable Fuel Directive (RED) comes into force at the end of the year, which will expect member states to ensure the biofuels meet both environmental and carbon saving criteria.

Under RED, member states will also be expected to ensure that 10% of transport fuel is from a renewable source by 2020.

http://www.bbc.co.uk/news/science-environment-11112837

A surge in voter support for the Australian Greens, a political party that supports sustainable growth, has spurred optimism that the government may increase funding to renewable energy projects, Bloomberg News reports.

The Greens garnered a record number of votes in the general election Aug. 21 after Australia’s ruling Labor Party delayed plans to start an emissions trading system until after 2012.  Prime Minister Julia Gillard and opposition leader Tony Abbott are both fighting to form Australia’s next government because neither of their parties won a clear majority.

The rush in popular support for the Greens may prompt whoever forms the government to spend more on developing renewable energy projects and to disburse the money faster,  according to executives in the industry.

“It has to be good for us, whichever way you look at the election,” said Terry Kallis, managing director of geothermal company Petratherm, in the Bloomberg article. “The Greens may have a lot of opportunity to influence legislation.”

Renewable energy now supplies just 6 percent of power in Australia, but renewable energy projects appear to be on the rise.

One of the reasons that Australia has not pursued renewable energy until recently,  is that the country has too many energy resources, and too much cheap coal. The country is the leading exporter of coal in the world, and it generates about 80 percent of its electricity through coal-fired power stations, the New York Times reported.

Complicating matters, the very sources  of Australia’s clean energy — its vast outback and nearly 37,000 miles, of coast — are major obstacles to linking new, remote power sources into the nation’s power grid.

But recently, Australia has begun to move forward with clean energy products. Revised renewable energy targets passed in June earmarked 20 billion Australian dollars, or nearly $18 billion, for clean energy technologies by 2020 and are expected to create 28,000 new jobs.

On Aug. 12, the largest energy retailer in Australia, A.G.L. Energy, and New Zealand’s state-owned Meridian Energy announced that they would build a billion-dollar wind farm in Macarthur, in Victoria State. Its 140 wind turbines would make it the largest wind farm in the Southern Hemisphere, generating enough power for 220,000 homes and abating 1.7 million tons of greenhouse gases annually, Boomberg reported.

Worldwide, investment in renewable energy has boomed in recent years, with some $190 billion worth of new clean energy in 2008, according to the Renewables Global Status Report for 2009. The number of large solar plants tripled to 1,800 between 2007 and 2008, with the majority of new plants in Spain, the Czech Republic, France, Germany, Italy, South Korea and Portugal. The United States, the world’s biggest source of wind energy, installed five times Australia’s total wind energy capacity in 2008 alone.

A Frost & Sullivan study reports that the wind turbine services market in Australia and New Zealand earned revenues of $64.5 million in 2009 and estimates it will increase to $152.9 million in 2016.

http://www.environmentalleader.com/2010/08/23/greens-election-gains-may-boost-renewable-energy-projects/

Europe’s evolution toward a heavier reliance on renewable energy is nicely documented in a report released this week by Eurostat, the European Union’s statistics agency. The study, “Statistical Aspects of the Energy Economy in 2009,” provides a wealth of interesting detail without a lot of editorializing.

From 2008 to 2009 alone, the use of renewable energy in the European Union increased 8.3 percent. As I’ve reported as part of our continuing series, “Beyond Fossil Fuels,” some countries have made particularly great strides in this arena. Portugal now gets nearly 45 percent of its electricity from renewable sources, up from 17 percent five years ago.

The Eurostat report found that the production of energy from hard coal and natural gas showed an “important decrease” (9.2 and 10.1 percent, respectively). To reduce greenhouse gas emissions, the European Union is also aggressively pushing its members to cut back on their use of coal.

Renewable energy now accounts for 18.4 percent of energy production in the European Union, just behind natural gas, which provides 19.3 percent.

Energy intensity – a measure of how much energy is used to make a unit of economic output – dropped for the sixth straight year. That means member nations are learning to use energy more efficiently.

“The decoupling of increasing economic activity from increasing energy consumption is a goal for sustainable development,” the report notes. Emerging economic giants like China have been loath to define binding greenhouse gas reduction targets but have instead set as their goal reducing their energy intensity.

The report found that energy consumption across the European Union dropped 5.5 percent, to levels not seen since the 1990s – although at least some of the reduction is a result of the global recession.

http://green.blogs.nytimes.com/2010/08/20/europes-brisk-energy-transition/

 

 We believe the outlook for Africa is positive. It has stirred the interest of countries like China, India and other fast-growing emerging markets, which require increasing resources for their growing economies, as well as countries like Russia and Brazil, who look to expand their enterprises into global operations. South Africa, acting as a representative for the continent through the World Cup, has shown that it can host an international event to international standards, and we believe this bodes well for the region’s future investment prospects.

Africa as a whole has some of the world’s greatest deposits of natural resources, and only a fraction of those resources have been tapped so far. It is not only Africa’s mineral resources that appear attractive but also its agricultural potential and the abundance of water that we think may decide the rise and fall of nations in the future. In addition, the continent has a young and growing population, and its people could improve their education and skills to become a major asset to expanding manufacturing and mining enterprises.

While South Africa is by far the largest and most liquid of the markets in sub-Saharan Africa, we are now also looking at lesser-known markets in the African continent, including Nigeria, Egypt, Kenya, Botswana, Ghana, Morocco, and Tunisia. Liquidity is the key concern for most investors, so markets that are the most liquid could attract greater investment flows. While markets in some African countries are developing quite rapidly, we think they have a long way to go before their potential is fully realised. In the meantime, private equity investments present an alternative channel for direct foreign investment, which is needed as a starter.

To read the article in full, please click on the link below:

http://www.investmentweek.co.uk/investment-week/feature/1728294/will-africa-major-investment-destination

In a speech given during a visit to a Menomonee Falls, Wisconsin battery plant on Monday, President Barack Obama predicted that the nation’s manufacturing and industry would be a primary source of economic growth and that the policies his administration is putting in place would create 800,000 jobs in the next two years.

“Our commitment to clean energy … [is] going to help lay the foundation for lasting economic growth,” Obama proclaimed at Wisconsin-based ZBB Energy’s main facility [AMEX: ZBB]. The Company designs, develops, manufactures and distributes energy storage systems and solutions based on their zinc-bromine rechargeable electrical energy storage and power management technologies.

The president also targeted Republicans for stymieing the Democrats’ policies in Congress. Attempting to pin the tail of economic woe on the GOP, he claimed that the party has “made the political calculation that it’s better to stand on the sidelines than work as a team to help American businesses and American workers.”

The President didn’t go into detail about what sort of policy changes might result in such massive growth, but the administration’s strong continuing interest in green jobs and the renewable energy sector may offer some clues as to what direction he might be heading. The massive American Recovery and Reinvestment Act earmarked billions of dollars for these industries in the form of tax credits grants and loans, something the previous administration declined to support as readily.

As we near the midterm elections the White House’s will undoubtedly point toward growth in these sectors as signs of recovery in an economy that has been plagued by a weak pulse since the current recession began 2 years ago. True to this line of thinking, the president proudly noted in his Wisconsin speech “we’ve now added private-sector jobs for seven months in a row.” Hopefully, his current commitment to producing green collar and renewable energy jobs will begin to pay off for American workers struggling with high unemployment in other industries.

http://www.ecoinstitution.com/green-news/obama-pledges-clean-energy-policy-to-create-800000-jobs-by-2012/

Diabetic mellitus is asyndrome characterized by disordered metabolism and abnormally high blood sugar (hyperglycaemia) resulting from insufficient levels of the hormone insulin. The characteristic symptoms polyuria, polydipsia, glucoseuria, unexplained weight loss, and lethargy. There are two types of diabetes, diabetes I and diabetics II. Diabetes I may also known as Insulin dependent diabetes where insulin therapy is needed as the beta cells cant synthesis insulin. Diabetes II may refer to as Insulin non dependent diabetics as insulin is produced by the body but in lower amount or it becomes insensitive to act on glucose. It is possible for us to treat diabetes II through proper dieting, medication and regular exercise. 

The food which is ingested is converted to glucose for the cell function. Glucose cannot enter the cells alone. It needs assistance from insulin in order to penetrate the cell walls. Insulin therefore acts as a regulator of glucose metabolism in the body. If insulin is lacking or it becomes insensitive it will lead to diabetes.Untreated diabetes will lead to complications such as retinopathy, neuropathy, nephropathy, cardiovascular problems etc. Most of the people suffering from diabetes were unaware of the disease, when they recognized the disorder it becomes more complicated. A great way to get all of the important nutrients you need is to eat a diet high in raw fruits and vegetables, or to supplement the gaps in your diet with products that contain all of the necessary vitamins and minerals your body needs to function properly. The nutritional density and diversity of Moringa has deemed it the “Elixir Tree” or nature’s most nutritious food. The nutrients in this miracle from nature have been reported to treat over 300 different diseases and disorders of the body. Moringa leaves have 4 times more Beta-Carotene than that of carrots, 17 times more calcium than that of milk and 25 times more iron than that of Spinach. Moringa Leaves and pods contain 90+ nutrients and 46 antioxidants. Moringa leaves have more antioxidants than the green leaves.

Moringa contains all the essential nutrients needed for the biochemical reaction to perform regularly. Researchers in London recently reported that vitamin D is essential for the islet cells in the pancreas to be able to secrete insulin properly. The studies have shown that individuals with the lowest vitamin D levels experienced the worst blood sugar-handling problems and had a greater risk of developing diabetes. Moringa as a rich source of ascorbic acid helps in insulin secretion. It is interesting to note that certain nutrients like vitamins B1, B2, B12, pantothenic acid, vitamin C, protein and potassium – along with small frequent meals containing some carbohydrate – can actually stimulate production of insulin within the body.

Vitamin A as an antioxidant helps convert beta-carotene efficiently, which reduces the risk of blindness in diabetics. Vitamin B 12 supplementation has been used successfully to treat diabetic neuropathy.  High dose supplements of vitamin C have been shown to prevent sorbitol accumulation and glycosylation of proteins, both of which are important factors in the development of diabetic complications such as cataracts. Studies have shown that a low vitamin-E concentration was associated with a 3.9 times greater risk of developing diabetes. Vitamin E reduces oxidative stress, thus improving membrane physical characteristics and related activities in glucose transport. This antioxidant promotes healing of diabetes-related lesions. Magnesium helps in the metabolism of glycogen, Mg works closely with vitamin B 6 to help the metabolic process with in the cell. Moringa all these nutrient and helps the diabetic patient to control their blood glucose level.

http://affiliatemarketingonlineprogramreviews.com/moringa-the-natural-cure-for-diabetes/

Its new biodiesel manufacturing facility at Tongchuan City is expected to be commissioned during the last quarter of this year, according to Azo Cleantech.

In addition to this, the company has plans to purchase a biodiesel plant with 50,000 tons production capability before the end of September this year. The company is expected to invest around $31.5 million to achieve this goal.

During the 2nd quarter of 2010 the company has achieved a sale of 22,500 tones, thus resulting in 29.3 per cent increase in sales volume corresponding to the same period of the year 2009 and a clear 22.5 per cent increase in its first quarter sales. During this period the marketing price of the biodiesel went up by 21.3 per cent concurrently with the existing price of diesel.

Gao Xincheng, China Integrated Energy’s CEO, said the company witnessed a surge in its biodiesel sales to 56.8 per cent during the 2nd quarter of 2010 in comparison to the same period in the year 2009. He attributed bulk growth and pricing for this increase.

http://www.thebioenergysite.com/news/6810/integrated-energy-to-double-biodiesel-production

Foreign oil imports are up for the first time in 18 months according to the latest figures from the Energy Information Administration (EIA). The U.S. imported 65 percent of its oil, or 388 million barrels in July 2010, sending nearly $29.6 billion or $663,231 per minute to foreign countries. This is the highest number of barrels of oil imported in one month since January 2009.

T. Boone Pickens responded to the increase in oil imports in his monthly update and stated,” President Obama has pledged to eliminate Middle East oil dependence in 10 years, but the latest oil imports statistics show we’re not making much progress.  In July we imported 388 million barrels of oil, its the highest total since President Obama took office in January 2009.”

He continued, It’s not hard to see that spending approximately $30 billion on oil month after month is hurting the economy. In fact, oil imports continue to make up more than half of the United States’ growing trade deficit.”

Pickens has repeatedly called for a comprehensive energy plan where natural gas plays a starring role, and is urging Congress to put energy back on the front burner when they return to D.C. in September.

Pickens is just one of dozens of organizations that have called for more effective energy policy but he is only one of few that focuses so heavily on natural gas as a replacement for liquid transportation fuels. Depending on what energy expert you believe, the country has either enough to last for hundreds of years, or for less than 20 years, if it is used as a primary fuel in the transportation sector.

http://domesticfuel.com/2010/08/16/oil-imports-in-july-highest-in-18-months/

Crude palm oil futures on Malaysia’s derivatives exchange ended mostly higher Friday, fueled by a rally in CBOT soyoil and Chinese commodities despite the likelihood of a rise in August output.

The benchmark October contract on the Bursa Malaysia Derivatives exchange ended MYR45 or 1.7% higher at MYR2,718 a metric ton after it rose to a fresh 15-month high of MYR2,737/ton.

The most actively traded May soyoil contract on Dalian Commodity Exchange bounced up 1.5% to CNY8,280/ton, resuming an upward trajectory interrupted earlier this week by bearish macroeconomic data.

Soyoil futures on the Chicago Board of Trade were trading 79 points higher at 42.62 cents a pound by the end of trade on BMD.

China's vegetable oil demand is entering a seasonal high, buoying edible oil and feedmeal prices, as the Mid-Autumn Festival and National Day holidays approach.

Since July 20 Chinese buyers have booked 2.69 million tons of U.S. soybeans, extending an appetite that reached an all-time record of 6.2 million tons in June, fueling the rise in agricultural commodities, East Asia Futures said in a research note Friday.

Palm oil prices track soyoil as both compete for similar export destinations.

"There is a supply reduction in oilseeds and this is leading to greater dependency on palm oil as supply growth is lagging behind demand," a senior trading executive at Malaysia-based major plantation company said.

Some trade participants said palm prices may reach MYR2,800/ton next week due to supply tightness.

In the cash market, palm olein for October/November/December shipment was traded at $880/ton and January/February/March traded at $877.50/ton, free on board Malaysian ports, a trader in Singapore said.

Cash CPO for prompt shipment was offered MYR20 higher at MYR2,820/ton.

CME Group Inc.'s dollar-based October CPO futures were trading $1.75 lower at $850.50/ton at 1002 GMT, compared with Thursday's close of $852.25/ton.

Rupiah-denominated October CPO futures on the Indonesia Commodity and Derivative Exchange were 2.3% higher at IDR7,730 a kilogram at 1016 GMT.

Open interest on the BMD was 63,861 lots, versus 63,304 lots Thursday. One lot is equivalent to 25 tons.

A total of 24,669 lots of CPO were traded versus 20,250 lots Thursday.

Closing BMD Crude Palm Oil (CPO) futures prices in MYR/ton at 1000 GMT: 
Month   Close  Previous  Change   High    Low
Aug'10  2,795     2,809  Down 14  2,795  2,780
Sep'10  2,780     2,730  Up   50  2,792  2,744
Oct'10  2,718     2,673  Up   45  2,737  2,682
Nov'10  2,690     2,640  Up   50  2,704  2,650 

-By Shie-Lynn Lim, Dow Jones Newswires; +603 2026 1233; shie-lynn.lim@dowjones.com

(Chuin-Wei Yap in Beijing contributed to this story.)

(END) Dow Jones Newswires

August 13, 2010 06:32 ET (10:32 GMT)

Copyright (c) 2010 Dow Jones & Company, Inc.

http://www.palmoilhq.com/PalmOilNews/asian-crude-palm-oil-ends-up-1-7-on-chinese-commodities-cbot-soy/

 

Pakistan, the world’s third-biggest importer of palm oil, will increase purchases of the vegetable oil and rapeseed from overseas this year as demand climbs during the holy month of Ramadan, a refiners’ group said.

Imports of palm oil may climb to as much as 1.85 million metric tons from 1.75 million tons in 2009, Rasheed Janmohammad, vice chairman of the Pakistan Edible Oil Refiners Association, said in a phone interview from Karachi. Incoming shipments of rapeseed may jump 20 percent to 1.2 million tons, he said.

Palm oil has rallied 14 percent from a seven-month low on July 7 on optimism consumption will increase in Asian nations, which mark festivals in the September quarter, and on concern that weather may disrupt output in Indonesia and Malaysia, the biggest producers. Imports may beat forecasts if Pakistan’s cotton crop is damaged by the recent floods, said Janmohammad.

“Demand is quite good in view of Ramadan and most mills are short of stocks,” he said yesterday. “August will see strong imports and buying will only slow in the third quarter.”

Pakistan’s deadliest floods in eight decades may lower the country’s farm production by more than the 15 percent estimated by the nation’s agriculture chamber of commerce, Luigi Damiani, senior emergency and rehabilitation coordinator at the United Nations’ Food and Agriculture Organization said on Aug. 3.

October-delivery futures added 1.1 percent to 2,590 ringgit ($817) a ton on the Malaysia Derivatives Exchange yesterday, the highest close since April 9. India last year overtook China as the biggest buyer of the tropical commodity.

Pakistan imported 231,000 tons of refined palm olein in July, compared with typical monthly purchases of 125,000 tons, Janmohammad said. Imports in August may be 175,000 tons, he said.

Duty Cut

A reduction in tax on purchases of crude palm oil to 8,000 rupees a ton from 9,000 rupees announced June 5 has helped refiners operate their plants at higher capacity than before, Janmohammad said.

Pakistan, which consumes about 3 million tons of vegetable oils, buys palm oil from Malaysia and Indonesia, and rapeseed from Canada, Australia and Europe. Cotton and sunflower seeds are the main sources of the nation’s local cooking oil supplies.

“Rapeseed import deals have slowed in the past two weeks after prices shot up because of suspected damage to crops in the Black Sea region and Europe,” Janmohammad said. “We covered a lot of our needs at the right time.”

Temperatures in most parts of central Russia will be 8 degrees Celsius above average through Aug. 12, rising as high as 42 degrees Celsius (108 degrees Fahrenheit), according to the state weather service. “High” or “extreme” fire danger will persist in the central and Volga federal regions, where most wildfires are burning, the service said.

http://www.bloomberg.com/news/2010-08-05/pakistan-to-buy-more-palm-oil-rapeseed-to-meet-ramadan-demand-group-says.html

 Egypt's renewable energy potentials and options

Clean and renewable energy technologies are an answer to environmental pollution, energy security requirements, and negative health impacts of current energy sources. Clean and renewable energies include hydropower, wind, solar power and biomass, which include biofuels and agrofuels. Hydropower is the largest source of renewable electricity in Europe, supplying 60 per cent of Europe's total renewable energy compared with only 10 per cent in Egypt. Wind power has been the fastest growing European and global renewable energy.

One of the major reasons for the growth in wind power use is that it is currently the lowest cost renewable energy source. Onshore wind power, at prime locations, can cost as little as 0.065 Euro per kilowatt-hour (kwh) whilst the lowest offshore costs are 0.09 Euros per kwh. Biomass simply means biological material. So energy from biomass means obtaining heat, light or power from biological sources such as food crops, timber, straw, vegetable oil, animal manure or energy crops. The use of biomass to produce energy is the oldest renewable energy; firewood has been used for cooking and heating for millennia, and its use still supplies much energy around the world.

Biomass can be processed into liquids for use in combustion, and these liquids are often referred to as biofuel. At the moment, the main sources of biomass for liquid fuel production are food crops. Oil crops such as soybean, oilseed rape, oil palm and sunflower are used to produce bio-diesel, which can be used as a replacement for diesel. Crops such as sugar cane, sugar beet, maize, wheat and barley are used to make ethanol, which can be used as a replacement for gasoline. Ethanol production in 2009 represented about six per cent of the 1300 billion litres of gasoline consumed globally.

Recently the term "agro-fuels" has come into use to describe bio-fuels produced from large-scale, intensive or industrial production. Cellulosic ethanol, which is produced from plant residues, is slated to replace more than five per cent of US gasoline consumption by 2030 according to the US Department of Energy.

Photovoltaic solar and concentrating solar power is the most promising electricity source by 2050. The electricity supply system of North Africa and Europe in 2050 will be 100 per cent renewable, following a continuous and steady transformation of the power system in parallel with sustained growth demand. The grids of North Africa and Europe are strongly interconnected. This has been achieved through the reinforcement of the high voltage alternating current grid, a pan-European cross Mediterranean overlay of high voltage direct current.

Biofuel sales, global production and wholesale pricing of ethanol and biodiesel, reached $44.9 billion in 2009 and are projected to grow to $112.5 billion by 2019. In 2009, the bio-fuels market consisted of more than 23.6 billion gallons of ethanol and bio-diesel production worldwide ( Clean Energy Trends 2010 ).

Wind power's new installation capital costs are projected to expand from $63.5 billion in 2009 to $114.5 billion in 2019. Last year, global wind power installations reached a record 37,500 Mega Watt (MW).

China, the global leader in new wind installations, accounted for more than a third of new installations, or 13,000 MW. Solar power will grow from a $30.7 billion industry in 2009 to $98.9 billion by 2019. The total of clean energy (bio-fuel, wind and solar) reached $124.8 billion in 2008, grew 11 per cent to $139.1 billion in 2009, and is projected to grow to $325.9 billion in 2019.

Egypt could produce electricity from solar power collected from the western and eastern deserts, which is considered one of the five highest solar areas in the world, and at the same time desalinise Mediterranean and Red Sea water to get an appreciable amount of fresh water for sustainable development.

Renewable energy is the only choice for the future of energy in Egypt and the world.

http://weekly.ahram.org.eg/2010/1009/ec1.htm

If we can't mine it, we can grow it

Nepal may not have the fossil fuel deposits to meet demand for diesel but some dependency on imports could be eased if serious initiatives were taken to produce our own bio-fuel. Crystal Bio Energy Nepal's jatropha farming is a step in this direction.

Jatropha curcas, locally known as sajiyon or ratanjot, or simply jatropha, is a plant the oil extracts of which have a chemical structure similar to that of mineral diesel. Many feel it is the perfect biodiesel crop, as its seeds have upto 40 per cent oil content. It can be grown in poor soils and does not demand careful nursing once planted. Jatropha farming has proved to be an alternative fuel solution in India, Cambodia and parts of Africa. Japan and New Zealand have even conducted successful flight tests using jatropha fuel.

Jatropha farming is being encouraged in Nepal as well. For the last three years, Crystal Bio Energy Nepal has been investing in jatropha. The company, in collaboration with local communities, has begun jatropha farming in 40 districts. It has been training farmers, too, and 70 million jatropha saplings are now growing on 10,000 hectares of land.

"Although the plants produce seeds from the first year on, we plan to let them grow for three years," says Ramesh Kumar Rai of Crystal Bio Energy. "Seed production will then be high enough to produce diesel on a bigger scale." The jatropha plants are now 18 months old, halfway to production.

A litre of pure diesel can be extracted from four kilos of jatropha seeds. After the first five years, the typical annual yield of a jatropha tree is 3.5 kg of seeds. Jatropha trees have a productive life of 30-40 years.

The diesel produced from jatropha can be used for all types of diesel engines. In Nepal, jatropha fuel is expected to be used for irrigation pumps, stoves and lamps in homes. "The by-products of the oil extraction process are also useful," adds Rai. "The glycerine produced can be used in soap production and the rest of the by-products can be used as organic fertilisers or made into briquettes for fuel."

Besides Crystal Bio Energy, the Alternative Energy Promotion Center has been supporting 10 other organisations for jatropha farming. It has also helped set up biodiesel plants in Ramnagar (Chitwan) and Jhumsa (Palpa).

"We are at the initial phase right now," says Rai. "There is a need to develop commercial farming of jatropha and make it a sustainable fuel source."

http://nepalitimes.com/issue/2010/07/30/Nation/17315

The Executive Officer of the Bioenergy Association of New Zealand (BANZ), Brian Cox, welcomed the report released yesterday by the Parliamentary Commissioner for the Environment but said that if we are to achieve the potential for biofuels from wood we need to first consolidate the demand for biofuels produced from current feedstocks.

Mr Cox said it was well known that the longer term future of biofuels would involve wood which is one of our largest underutilized natural resources available throughout New Zealand. So in that respect BANZ agrees with the Commissioner. As for today's feedstocks, and in response to the Commissioner's points, Mr Cox added,

"We shouldn't underestimate the importance of current production of bioethanol and biodiesel as they are allowing us to develop the biofuels market. Much of our biofuels are being made from food processing by-products, or is grown as a crop which provides additional value to farmers. However there are finite amounts of these feedstocks from which to produce biodiesel and ethanol and so over the longer term we will have to get that from wood which is our only large scale option. It's important to understand that while current feedstocks meet our current needs, they are just a stepping stone to the large volumes a growing market would need. In New Zealand, these 'large' volumes can only come from wood."

"The current production of biofuels produces adequate volumes to start growing the market by giving vehicle users confidence in the fuel. However we will soon require additional production capacity and this is constrained by the need to attract investment. The industry needs a longer term development strategy to attract that investment."

Mr Cox added that "The NZ Bioenergy Strategy which has been prepared by the Bioenergy and Forest Owner Associations has indicated that up to 30% of New Zealand's transport fuels could come from biofuels by 2040. Most of this would come from wood - also known as 'cellulosic' feedstocks - but the fact is that we are not there yet. Strategically though we should be heading towards that goal by consolidating the market and attracting investors using existing feedstocks."

"As regards the sustainability issues noted in the report we would agree that there is no need for additional legislation. New Zealand companies are unlikely to import Palm Oil that is unsustainably grown as the power of the consumer will stop them. I think we saw this recently with consumers of Cadbury's chocolate where public pressure was brought on Cadbury to stop using palm oil. The power of the consumer is not to be underestimated. Anyone in New Zealand thinking of importing unsustainably grown palm oil would be embarking on commercial suicide. Add to this, companies are disclosing to EECA where their source materials come from as part of a sustainability statement, I think this is enough and meets our needs currently."

"At present, as an industry what we are trying to do is establish a market, get vehicle users comfortable with using biofuels, and get growth. We are making great progress and each week more and more vehicle users are starting to use biofuels and recognising that it is already a viable fuel option with financial and environmental benefits. This is why the gradual growth path is beneficial as we are able to address the basic building blocks and thus be ready for when the wood-to-energy technology is feasible and economic."

"We agree with the Commissioner that wood will in time be a major resource in the production of biofuels but we are not there yet. I would encourage the Commissioner to focus on changing hearts and minds on the biofuels we have today. In order to get to that 'future biofuel market' where wood is the main feedstock, we must establish a strong basis for a biofuel sector here and now so that it has a future. Our current biofuels are indeed in the main blended with mineral fuels but that is the situation internationally. Let's build on that as a starting point. We know where we want to get to and we have a sound sector already producing biofuels. It's now a case of growing the market and making sure that the industry succeeds."

"Finally, I would also agree with the Commissioner that the current uncertainly around the duration of the Biodiesel Grant Scheme (due to finish in 2012) is holding back investment in the sector. We have written to the Minister to encourage him to give a clear signal that the Scheme has a longer life. The industry needs this signal if it is to successfully attract investors."

http://www.voxy.co.nz/national/current-biofuels-provide-important-stepping-stone-biofuels-made-wood-feedstocks/5/57036

Army helps Air Force effort to test alternative power for Black Hawk

Recent flight testing on a Black Hawk helicopter at Redstone Arsenal proved to engineers Matt Boenker and Dale Cox something they already believed in – a U.S. helicopter can fly on an alternative fuel mix of 50 percent coal and 50 percent jet fuel.

A May 19 flight demonstration test conducted at theRedstone Airfield in support of Air Force research efforts further proved the viability of using an alternative synthetic fuel in aircraft – this time a Black Hawk helicopter.

    “This was the first time a Black Hawk had flown on alternative fuel. It’s a little bit groundbreaking. This is also the first time the Army has been involved in a test of this kind,” said Matt Boenker, a contractor working for Avion in support of the Aviation Engineering Directorate-Propulsion, Aviation and Missile Research Development and Engineering Center, and principal engineer for AMRDEC’s Alternative Fuel Program.

    Dale Cox, the subsystem’s team chief for the Alternative Fuel Program, has long been convinced that the Army can save fuel costs and gain efficiencies with the use of alternative (synthetic and bio) fuels. And, thanks to the recent Air Force test, Boenker and Cox are hoping to get closer to obtaining funding to research the use of alternative fuels by Army rotary aircraft.

    “The Navy, Army and Air Force are all interested in alternative fuels,” Boenker said. “We were involved in helping with the Air Force certification effort to certify the H-60 aircraft (Black Hawk to the Army and Pave Hawk to the Air Force) to fly on this coal-jet fuel mix.

 “This is not an Army program and this test does not qualify or certify this fuel for Army aircraft. But it was a demonstration by the Air Force that this could be done. We need a lot more testing to use this on Army aircraft. We are now pursuing funding for that testing.”

    The process of turning coal into fuel was discovered in the 1920s by German scientists Franz Fischer and Hans Tropsch, and today is referred to as the Fischer-Tropsch or F-T process. During World War II, the F-T process was used by Nazi Germany and Japan to fuel aircraft and the war effort. After the war, research on the F-T process was continued in the U.S. by German scientists as part of Operation Paperclip. During the economic isolation caused by apartheid, South Africa began using the F-T process to meet its energy needs using both natural gas and coal.

    “Since the mid-1990s, South Africa has used its alternative fuel at the Johannesburg International Airport,” Cox said.

    “About four years ago the secretary of the Air Force mandated that all Air Force aircraft be required to use alternative fuel by 2016. The Air Force has set up a certification office at Wright-Patterson Air Force Base, and they have a staff of about 30 who are certifying Air Force aircraft to use alternative fuel.”

    Researching and certifying the use of alternative fuels is a major emphasis within the Department of Defense. DoD is the largest single consumer of fuel in the U.S. with aviation fuel making up the largest portion of fossil fuel consumed by DoD, according to a 2007 Department of Defense report. In fiscal 2005, DoD consumed roughly 125 million barrels of oil (about 1.2 percent of the nation’s total). About 74 percent of that was used to power mobility vehicles – Air Force aircraft, Navy ships and Army ground vehicles. Of that, about 52 percent was used for aviation fuel. In 2006, DoD consumed about 340,000 barrels of oil per day, according to the Office for Defense Research and Engineering. 

A tri-service effort involving the Air Force, Navy and Army is ongoing to test the use of alternative fuels. The Air Force has taken the lead in this effort due to its commitment to purchasing at least half of all its fuel for its continental U.S. fleet from domestic alternative fuel sources by 2016.

    Although research has shown that F-T fuel runs cleaner than the standard JP-8 (Jet Propellant 8) fuel, there are concerns with the flight characteristics of the F-T fuel in its pure form.

    “The Air Force is not trying to certify straight F-T. There are no aeromatics in the F-T fuel that keeps the O-rings expanded,” Boenker said. “With the constriction of O rings, you will have fuel leaks. That’s why we have to use a 50/50 mix of JP-8 fuel and F-T fuel. But, even with a 50/50 mix, you cut in half the amount of JP-8 fuel that you need.”

    Prior to the May 19 testing at the Redstone Airfield, Air Force contractors briefed the AMRDEC engineers and Redstone Test Center pilots on all testing that has been completed with the JP-8 and F-T mix. The AMRDEC and RTC employees reviewed flight tests and material capability tests, and accepted the risk of flying with this new fuel blend.

“We were convinced there were no issues at all,” Boenker said.“Our guys really had no reservations in using F-T fuel because it’s flown in so many different aircraft.”

On May 19, a series of three flight tests at the Redstone Airfield confirmed for the Air Force that F-T fuel can power a Black Hawk. The first flight test, using the original form of JP-8 as fuel, was conducted to confirm all systems on the Black Hawk were performing properly. In the second flight test, JP-8 was used in one engine while the F-T/JP-8 fuel was used in the second engine. Once that flight was confirmed a success, a third test flight using F-T/JP-8 fuel in both engines was conducted.

    “F-T fuel and biofuel meet all the standards as a JP-8 fuel, they are just produced from a different source and in a different process,” Cox said. “They have the same characteristics as a JP-8. During our testing, the F-T fuel was confirmed as a drop-in fuel, a fuel you can drop in and don’t have to make any adjustments for.”
   
Since the Air Force test used an Army helicopter, AMRDEC was instrumental in conducting inspections before and after the flights.

    “We wrote the processes to inspect the aircraft with the alternate fuel,” Boenker said. “We checked specifically for leaks and seeps, and any abnormalities. We were responsible for the air worthiness of the flights. The pilots saw no difference between running straight JP-8 and this fuel.”

    The Black Hawk was one of the last aircraft that the Air Force needed to certify with the JP-8 and F-T fuel mix. But, while the Air Force is well on its way to meeting its 2016 requirement, the Army has yet to do its own testing with alternative fuels.

    “We still have a testing requirement,” Boenker said. “We haven’t started testing, especially in regards to the long-term effects on an engine. We have quite a bit of work to do with Army aviation to qualify this fuel.”
    Even though the coal-to-fuel process has proven to be successful, Cox and Boenker said efforts into using renewable sources – such as Algae (in ponds and renewable in 14 days), and the Camelina and Jatropha plant – are better solutions to providing alternative fuels.

    “Coal as a feed stock for alternative fuels is not renewable. Biofuels use renewable feed stocks. Plant based and animal based sources are renewable,” Boenker said. “There are even studies involving converting chicken fat from chicken plants into biofuel. Anything that has carbon can be used as a biofuel.”

    Research involving the use of corn, sunflower seeds and soybean as alternative fuel sources has been discouraged, Boenker said, because they are food sources.

    The Navy and Air Force are now doing research into the use of Jatropha and Algae as biofuels. Recently, the Air Force completed a test that used biofuel in an A-10 Thunderbolt II ground attack aircraft. The Navy is working on testing biofuel in an F-18 aircraft.

    “These fuels are extremely expensive because they are produced in very small amounts,” Cox said.

    Any work done in the area of alternative fuels is good for the U.S. fuel industry. As the alternative fuel industry grows, mass production will increase and costs should decrease. Proving that alternative fuel technology can provide high performance results in both military and private aircraft and vehicles is the first huge step toward jump starting this new, cleaner industry, Boenker and Cox pointed out.

    “It’s all about pushing awareness,” Boenker said.

    “Pushing awareness” is also about encouraging private companies to invest in manufacturing processes for alternative fuels.

    “Fuel using coal is not readily available,” Cox said. “It’s a supply and demand thing. No demand, so no supply. There are very few sources for this alternative jet fuel. The next big hurdle in this program is developing sources of supply.”

    The F-T fuel used in the May 19 test flights was purchased from South Africa. The Defense Energy Support Center is working with U.S. companies such as Rentech of Mississippi to develop supply sources for alternative fuels.

    Pushing toward creating U.S. sources for alternative fuels will, in the long run, be a good move for the military and for the U.S. economy, the two engineers said.
    “We don’t want to be dependent on South Africa or any of the oil producing nations for our fuel,” Boenker said.

Boenker and Cox also hope awareness will lead to funding for the stand-alone engine testing on T700 and T55 engines used in Black Hawk, Chinook and Apache helicopters, and for flight demonstration testing with alternative fuels.

    “One essential test is the endurance test where we run the engine with this alternative fuel and then we tear down the engine and look at all the internal parts to see if there is any degradation,” Cox said.
    As engineers, Boenker and Cox know it will take time to conduct Army tests on the use of alternative fuels in aircraft. But, as U.S. consumers, both are excited about the significance of these tests in terms of broadening the use of alternative fuels.

    “This is an exciting industry,” Boenker said. “We are very excited about what research and testing of alternative fuels can mean for not only the Army but also for the U.S. economy.”

    The following Team Redstone and Air Force employees supported the program during the planning stage, the actual flight testing at RTC, and post test of this new fuel: Jim Hesson, John Burkhead, Level Lesley and Emmett Garret, Redstone Test Center; Anthony Vahl, Gary Brammell, Daniel Bryant and Charles Berry, Army Aviation Test Directorate, Redstone Test Center; Dale Cox, Curtis Stevens, George Bobula and Matt Boenker, Aviation Engineering Directorate; Gary Smith, Army Fuels Division; and Walter Bagnal, Mark Bates, Craig Howell, Brad Strong, Daryl Corsentino, Jeff Eblen, Wayne Durosko, Steven Powers, Leo Starvetsky, Betty Rodrigues and Heather Haskin, Air Force Alternate Fuels Division. 

    “A program of this size cannot be put together without the incredible team effort of us all,” Boenker said.

http://blog.al.com/redstone-rocket/2010/07/flying_skies_with_coal_mix_fue.html

This month, New Mexico joined a handful of states mandating the use of biodiesel. All state agencies, political subdivisions and public schools operating on-road motor vehicles are now required to use at least B5.

After July 1, 2012, the B5 mandate will extend to consumers, and unless the state agriculture and energy departments find that the state has an insufficient supply of biodiesel, or the price of biodiesel significantly exceeds the price of diesel fuel for at least two months, the mandates will stay in effect. Rio Valley Biofuels, a biodiesel producer in Anthony, N.M., hopes the mandate will cause the government fleets to use more biodiesel, plant operations manager Jed Smith told Biodiesel Magazine.

Some government fleets however, didn’t need a mandate. The South Central Solid Waste Authority, a state agency responsible for management of solid waste in Las Cruces and Dona Ana County, has already run B20 blends in the majority of its diesel vehicles for the past three years. “In 2006, Patrick Peck, the director of SCSWA, approached Rio Valley Biofuels about running a B20 blend in his fleet,” Smith said. “He had been trying to find biodiesel in the area and was excited about the opportunity to use a renewable fuel.” Smith added that Rio Valley was awarded a bid to supply SCSWA with B20 and that SCSWA has been one of the best customers promoting the use of biodiesel in the area.

Every month, SCSWA orders a 7,500-gallon tanker of B20 for use in 16 tractor-trailers and trash trucks, landfill equipment including heavy duty tractors and bulldozers along with four diesel trucks. The feedstock used to produce the B20 generally comes from waste vegetable oil provided by local restaurants, but Smith said the plant can use almost any feedstock.

Rio Valley Biofuels has been producing biodiesel for five years, and “has worked very hard to educate people in the area about biodiesel,” Smith said. Along with SCSWA, El Paso Electric is running its fleet on a B20 blend, the University of Texas at El Paso has been purchasing B20 for its bus fleet since January of 2008 and both the city of Albuquerque and the New Mexico Department of Transportation have been using a blend of biodiesel, according to Smith. 

http://www.biodieselmagazine.com/article.jsp?article_id=4311