Research and Development

Journal reference: http://www.nature.com/nchembio/journal/vaop/ncurrent/full/nchembio.1417.html

News release: http://www.york.ac.uk/news-and-events/news/2013/research/enzyme-family/

Researchers from the University of York (United Kingdom) and Aix-Marseille Université (France) have discovered a new family of enzymes capable of degrading hard-to-digest biomass into its constituent sugars.

Finding a way to break down hard-to-digest or recalcitrant materials, such as plant stems, wood chips, cardboard waste or insect/crustacean shells, into their constituent sugars to allow them to be fermented into bioethanol is regarded as the 'Holy Grail' of biofuel research. Fuels made from these lignocellulosic sources are known as second generation biofuels.

The research team reported in the journal Nature Chemical Biology the detailed biochemical characterization of a newly discovered family of lytic polysaccharide monooxygenase (LPMO) enzyme from Aspergillus oryzae, a fungus widely used in fermentation industries. LPMOs are a recently discovered class of enzymes capable of oxidizing recalcitrant polysaccharides. The recently reported enzyme belongs to the third LPMO family of enzymes discovered.

The recent discovery is considered as a significant step in the development of second generation biofuels.


Journal reference: http://www.pnas.org/content/early/2013/12/26/1321673111.full.pdf

News release: http://www.vib.be/en/news/Pages/Field-trial-with-lignin-modified-poplars-shows-potential-for-bio-based-economy,-but-also-that-work-still-needs-to-be-done.aspx

The results of field trials with genetically modified (GM) poplar trees in Belgium and France have shown improved conversion of wood biomass into sugars for making bio-ethanol. The GM poplars produce low levels of cinnamoyl-CoA reductase (CCR) enzyme to suppress the formation of lignin polymer which is a tough barrier in biomass processing.

The study, published as an open access paper in Proceedings of the National Academy of Sciences (PNAS), also found that strong down-regulation of CCR affected biomass yield. The research team from Belgium, France and the United States concluded that the strategy of down-regulating the CCR may work to improve biomass processing if such yield penalty can be overcome.

The study showed that the suppression of the lignin biosynthesis in some trees is stronger than others, indicated by varying intensity of red coloration of the wood beneath the bark. The branches with the highest red coloration produce 160 percent more ethanol. On the average, the ethanol yield per gram of modified wood is 20 percent higher than that of non-modified wood.

The negative effect of CCR down-regulation points to the fact that the modified poplar trees appear to grow less rapid than non-modified trees. As the scientists begin to understand what causes the growth retardation, they plan to start to work on poplars that grow normally, but still have a stable suppression of the lignin production. In a new field trial in Belgium in 2014, trees that have been developed to suppress another enzyme through modern technique, for a more uniform lignin supression will be tested.


Journal reference: http://www.sciencemag.org/content/342/6165/1513

News release: http://www.nrel.gov/news/press/2014/6304.html

Researchers at the National Renewable Energy Laboratory (NREL) of the U.S. Department of Energy have found that an enzyme produced by a bacterium that thrives in hot springs possesses remarkable catalytic properties which enable it to digest cellulose almost twice as fast as the leading commercial cellulase enzyme.

NREL researchers have tested and characterized the CelA enzyme secreted by Caldicellulosiruptor bescii, a bacterium first found in the Valley of Geysers on the Kamchatka Peninsula in Russia in 1990. They found that CelA produced more fermentable sugars than Cel7A, the most potent cellulase enzyme in leading commercial enzyme mixtures, under industry standard test for cellulose degradation. They found that CelA not only can digest cellulose, but it also creates cavities in the material, which leads to greater synergy with more conventional cellulases, resulting in higher sugar release.

The NREL researchers who reported their finding in the journal Science described CelA as "an amazingly complex enzyme", which combines two catalytic domains with three binding modules." The dual catalytic domains working in concert are most likely responsible for fast degradation of cellulose.

NREL scientists also found that CelA can attack xylose, which means that the amount of enzymes in commercial cocktails for removing xylose could be further lowered, translating to lower costs. The enzyme with its remarkable cellulose digesting mechanism promises to bring down the cost of making lignocellulosic biofuels or fuels made from hard-to-digest biomass sources.

Production and Trade

News article: http://www.bangkokpost.com/business/news/385581/cassava-based-ethanol-set-to-boom-in-2014

News article: http://www.biofuels-news.com/industry_news.php?item_id=7217

In Thailand, the amount of cassava used in making ethanol is expected to double to 3 million tons in 2014 as the Ministry of Commerce moves to push up the price of the crop.

The Ministry of Commerce will allocate 10 billion baht ($306 million) to manage a cassava income guarantee plan for next season. Even if this income guarantee plan does not materialize in 2014, ethanol producers could still purchase fresh cassava root directly from farmers at a lower price (than the guaranteed price). This will result in reduced ethanol production cost and lower ethanol prices in the market.

Around 38 percent of Thailand's ethanol is made from cassava feedstock, with the rest coming from molasses.


News article: http://world.einnews.com/article/183395897/t-amShSx9b0NDsXA

Biodiesel producers in the Philippines have increased their production capacity by 70.3 million liters, according to documents from the Department of Energy (DOE).

The additional capacity came from nine accredited coconut biodiesel plants, including five that expanded their plants.

The industry players and the Department of Agriculture (DA) are pushing for an earlier implementation of a higher biodiesel blend of 5 percent (B5) from the current 2 percent (B2) to spur the development of the coconut industry. However, on the part of the DOE, the main concern is supply and pricing. An economic impact study commissioned by the government prior to the implementation of B5 is still pending.

Policy and Regulation

News release: http://e2shi.jhu.edu/index.php/news/article/biofuels_paper

News article: http://www.greencarcongress.com/2013/12/20131222-icct.html#more

White paper: http://www.theicct.org/sites/default/files/publications/ICCT_AdvancedBiofuelsInvestmentRisk_Dec2013.pdf

A white paper published by the International Council on Clean Transportation (ICCT) identified four specific changes to the United States tax code that could scale up investment in second-generation biofuels to accelerate its commercialization.

Second-generation biofuels are made from non-food sources which include cellulosic (grasses and woodchips) and algal biomass.

The paper, authored by researchers from Castalia Strategic Advisors, Johns Hopkins University and ICCT, presents the analysis of share prices of seven cellulosic and algal biofuel producers using an investment assessment tool known as capital assets pricing model (CAPM). The analysis shows that prospective investors in this sector would require a 15 percent expected annual rate of return, which is a barrier to investment at a critical juncture in the development of the cellulosic biofuels industry in the U.S.

The white paper proposes the following changes to an existing federal tax incentive for second-generation biofuels in order to mitigate the elevated risk of investing in this industry:

1. Extend the existing second generation biofuel producer tax credit until 1 billion cellulosic Renewable Identification Numbers (RINs) have been generated; at this point, support will no longer be needed.

2. Allow companies eligible for the second-generation biofuel producer tax credit to opt instead for the business energy investment tax credit, worth 30 percent of expenditures on new property used in the production of second-generation biofuel or in new or retrofitted facilities. The construction phase is when biofuel companies need financial certainty to attract investors.

3. Allowing eligible biofuel producers to opt for a grant in lieu of tax credit enabling them to use this support in the early stages, as they may not have tax liability against which to claim the credit for several years after construction begins.

4. Harmonizing definitions of eligible pathways between this tax credit and the Renewable Fuel Standard 2 (RFS2).


News article: http://www.thejakartaglobe.com/news/govt-ministries-sign-agreement-on-aviation-biofuel-renewable-energy-for-airports/

In Indonesia, the Transportation Ministry and the Energy and Mineral Resources Ministry have signed an agreement on the use of aviation biofuel and renewable energy sources at airports.

The agreement seeks to establish a working team that will be responsible for planning, preliminary work and sustainable execution and will serve from 2014 to 2016. Embodied in the national energy conservation efforts, the said agreement will be part of a broader effort by the Transportation Ministry to reduce greenhouse emissions and mitigate climate change.

The Transportation Ministry issued a regulation in 2013 stipulating the gradual implementation of aviation biofuel, with a usage target of 3 percent by 2020.


News article: http://www.argusleader.com/article/20140102/NEWS/301020015/Governors-plead-ethanol-mandate?nclick_check=1

News release: https://governor.iowa.gov/2013/12/gov-branstad-brings-bipartisan-group-of-six-governors-together-in-support-of-rfs/

The governors of ethanol-producing states of Iowa, Kansas, North Dakota, Minnesota, South Dakota and Nebraska have sent a joint letter to the White House, the Environmental Protection Agency (EPA) Administrator and the Secretary of Agriculture saying that a cut to the U.S. biofuel mandate would hurt efforts to create jobs, grow family incomes and revitalize their local economies.

The EPA proposed to cut the biofuel requirement in 2014 to 15.2 billion gallons - 3 billion gallons less than what Congress required in a 2007 law. The governors said if the proposed cut becomes final, the negative impact would be disproportionately felt by rural America.

The governors said more than 400,000 Americans depend on renewable fuels for good-paying jobs in their states and as many as 44,500 jobs related to biofuels are at risk if the RFS is lowered as planned by the EPA. They also cited a study from Iowa State University that estimated a reduction in the Renewable Fuel Standard (RFS) could cause corn prices to drop by 19 cents a bushel, below the average cost of production for many farmers.

The governors urged the Obama administration to increase the biodiesel volume level to reflect current production levels, modify the cellulosic target to match production expectations and bring the overall renewable fuels target back in line with what Congress initially required.