ISAAA.org/KC - Biofuels Supplement (1/30/2009)

BIOFUELS SUPPLEMENT
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A bi-weekly summary of world developments on biofuels, produced by the Global Knowledge Center on Crop Biotechnology, International Service for the Acquisition of Agri-biotech Applications SEAsiaCenter (ISAAA)
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January 30, 2009

In This Issue:

News and Trends
- New International Agency for Renewable Energy in Germany
- Brazil Reports Fossil Fuel Savings and Record High Ethanol Exports in 2008
- New US Agriculture Secretary Aims to Ensure Survival of Ailing Ethanol Industry
- Book Release on Sugarcane Ethanol and Biofuels

Energy Crops and Feedstocks for Biofuels Production
- Nigerian Scientists Study Biodiesel Characteristics of Beniseed Oil

Biofuels Processing
- Biomass Pretreatment Process Improves Economics of Cellulose Ethanol Production

Biofuels Policy and Economics
- Policy Initiatives for the “New Energy Plan for America”
- Another Analysis of Biofuels and Food Prices

* NEWS AND TRENDS *

New International Agency for Renewable Energy in Germany
http://www.renewableenergyworld.com/rea/news/story?id=54614
http://www.irena.org/
http://www.irena.org/downloads/Presentation%20IRENA%20081209.ppt.pdf

The International Renewal Energy Agency (IRENA) was launched recently in Bonn, Germany. The agency, which aims to promote interests in renewable energy, was founded by the following countries: Germany, Denmark, Spain and the United Arab Emirates (UAE). A total of 116 countries are taking part, with 55 countries signifying commitment to full membership. The United States and the United Kingdom are conspicuously absent from the membership, but both countries “are expected to send officials to observe IRENA events”. IRENA is envisioned to address global challenges related to energy issues: depletion of natural energy resources, global warming, and rising energy prices. Solutions for providing energy security, mitigating climate change, and ensuring affordable energy supply are important goals. Activities of the IRENA will include: (1) “providing concrete policy advice for developed and developing countries,” (2) “promoting technology transfer and providing advice on financing,, and (3) enhancing capability building..

Brazil Reports Fossil Fuel Savings and Record High Ethanol Exports in 2008

http://www.mme.gov.br/site/news/detail.do?newsId=17884¤tArea= (in Portugese)
http://bioenergy.checkbiotech.org/news/brazil_registers_record_high_ethanol_fuel_export
http://www.thebioenergysite.com/news/2895/record-high-ethanol-fuel-export-in-2008

The Brazilian Ministry of Mines and Energy recently reported record-high ethanol exports in 2008. A total of 1.365 billion gallons of ethanol was exported by Brazil in 2008, a 45% increase over its 2007 exports. The average selling price was about US$1.78 per gallon (or 0.47 US cents per liter), a 16% increase over the 2007 selling price. The United States is still the major ethanol importing customer in 2008, with imports of 470 million gallons (about 2.8 billion liters). Other highlights of the report, according to the Checkbiotech website are: (1) In the Brazilian domestic market, an increase in ethanol consumption for 2009 is expected, and this is attributed to the “increasing number of flexible-fuel cars in the Brazilian fleet," (2) the blending of biodiesel in regular diesel (from 2% biodiesel blend in the first half of 2008 to 3% in the second half) resulted in a reduction of petroleum diesel imports by 1.1 billion liters, or a savings of US$ 976 million..

New US Agriculture Secretary Aims to Ensure Survival of Ailing Ethanol Industry
http://www.biofuels-news.com/industry_news.php?item_id=500
http://biofuelsdigest.com/blog2/2009/01/27/us-department-of-agriculture-begins-policy-shift-under-vilsack-focuses-on-ethanol-feasibility-best-practices-climate-change-leadership/

The newly confirmed United States Department of Agriculture (USDA) Secretary, Tom Vilsak, promised to “research and develop best practices for the ethanol industry to ensure its survival." The ethanol industry in the country (particularly the corn-ethanol industry), is an “ailing” industry, having suffered “volatile corn prices and low demand for a fuel that is more expensive than petrol." Vilsack, in his first news conference said, “we need to make sure that the biofuels industry has the necessary support to survive the recent downturn, while at the same promoting policies that will speed up the development of second and third generation feedstocks for those biofuels that have the potential to significantly improve America’s energy security and independence.”.

Book Release on Sugarcane Ethanol and Biofuels
http://www.wageningenacademic.com/default.asp?pageid=0&docid=16&artdetail=sugarcane&webgroupfilter=950&
http://www.thebioenergysite.com/articles/252/sugarcane-ethanol-contributions-to-climate-change-mitigation-and-the-environment

This is the title of the book published by Wageningen Academic Publishers which “looks at the scientific basis on the debate of sugarcane ethanol” for transport biofuels. The book, which is a compilation of writings by different authors, discusses the impacts of sugarcane ethanol “on climate change, land use, sustainability and market demands,” with Brazil as major player. Issues related to public policy, food-fuel dilemma and millennium development goals are also discussed. Some of the book highlights (posted by “thebioenergysite” website) are: (1) “Brazil is dominant in the production of sugarcane with the country accounting for 75 per cent of the increase in the area of land allotted to sugarcane between 2000 and 2007,” (2) “there is no evidence to show that deforestation is a direct consequence of sugarcane production.” (The book also shows, however, that Brazil does comply with the targets for greenhouse gas reduction), (3) “the success of Brazil's sugarcane- to-bioenergy production is down to the fact that it can produce high levels of ethanol, 7,000 litres of ethanol per hectare, and electricity, 6.1 MW hours per hectare, with low input of fertilizer and chemicals.” More information about the book contents and ordering can be obtained from the Wageningen Academic Publishers and the BioenergySite Bookshop website (URLs above)..

* ENERGY CROPS AND FEEDSTOCKS FOR BIOFUELS PRODUCTION *

Nigerian Scientists Study Biodiesel Characteristics of Beniseed Oil
http://www.academicjournals.org/AJB/PDF/pdf2007/5Nov/Fariku%20et%20al.pdf

Beniseed (Sesanum indicum), also called “sesame seed”, is commonly grown in many areas in Nigeria. It was initially grown in Nigeria as a minor crop, with lesser significance compared to other cash crops. However, this may change as the market potential of the oilseed is realized and demand slowly growing. Nigerian scientists recently explored the potential of beniseed oil for biofuel production by studying its biodiesel characteristics. Results showed the beniseed biodiesel had comparable properties relative to sunflower and soybean biodiesel. Details of their research are published in the African Journal of Biotechnology (URL above).

* BIOFUELS PROCESSING *

Biomass Pretreatment Process Improves Economics of Cellulose Ethanol Production

http://www.pnas.org/content/early/2009/01/22/0812364106.abstract
(may require paid subscription for full access)
http://www.thebioenergysite.com/news/2906/process-can-cut-cost-of-making-cellulosic-biofuels

Scientists from the Department of Chemical Engineering and Materials Science at Michigan State University (MSU, United States) have reported the use of a biomass pretreatment process which can help reduce the cost of cellulose ethanol production. The purpose of pretreatment is usually to remove the tight lignin wrapping around the plant cellulose fibers, and to liberate the cellulose for facilitated enzymatic breakdown into simple sugars. The simple sugars are then fermented to ethanol. Conventional pretreatment methods usually involve the use of acids or steam under high temperature or pressure, and often require large amounts of process water to detoxify the liberated cellulose material by repeated washings. Nutrient supplementation of the material for ethanol fermentation is also needed. The MSU scientists found that the use of a pretreatment process called “Ammonia Fiber Expansion” (AFEX), could obtain a material (delignified cellulose) which does not require additional water for detoxification. The material also does not require nutrient supplementation during ethanol fermentation. This would result in significant reduction in production cost of cellulose ethanol. The researchers published their findings in a recent issue of the Proceedings of the National Academy of Sciences (PNAS) (URL above)..

* BIOFUELS POLICY AND ECONOMICS *

Policy Initiatives for the “New Energy Plan for America”
http://www.fredlaw.com/articles/energy/energy_0811_tat.html
http://biofuelsdigest.com/blog2/2008/11/10/highlights-of-obama-new-energy-for-america-plan-highlighted/

With energy independence and energy security as the “overarching goal”, a “New Energy Plan for America” under the administration of US President Barack Obama is reportedly set for unveiling within his first 100 days of office. An outline of the policy initiatives of the plan is posted at the Frederickson & Byron website, and includes: (1) Next Generation of Sustainable Biofuels and Infrastructure: cellulosic ethanol, biobutanol, and synthetic petroleum from sustainable feedstocks, (2) Renewable Fuels Standard: a mandate requiring at least 60 billion gallons of advanced biofuels (i.e., biobutanol, biogasoline) by 2030, (3) National Low Carbon Fuel Standard: mandate to accelerate the introduction of low-carbon non-petroleum fuels, (4) New Flexible Fuel Vehicles (FFV) Mandate: a law requiring all new vehicles to have FFV capability, and (5) Commercialization of plug-in hybrids..

Another Analysis of Biofuels and Food Prices
http://www.biofuels-news.com/content_item_details.php?item_id=126

The Biofuels International website recently featured a “fact versus fiction” analysis on biofuels and food prices. First generation (food-based ) biofuel feedstocks (such as corn for ethanol) have been seen to play a major influence in agricultural commodity prices. Recent reports from the United Nations Food and Agriculture Organization (UN-FAO) and the International Food Policy Research Institute (FPRI) portray biofuels as the reason for crop price hikes in 2007 and 2008. Both organizations recommended that governments (urgently) review their biofuel policies in the light of potential adverse effects on “food prices and increased world hunger”. However, the feature analysis points out, that other major factors have influenced agricultural commodity prices, and biofuels have exerted only “moderate impacts”. The price hikes are said to be a “combination of relatively inelastic demand and volatile supply”, and a number of “cyclical” and “structural” factors are involved. One of the structural factors mentioned was “the growing demand from emerging economies, the historically low levels of investment in agriculture and agricultural research which have slowed down productivity”. Cyclical factors include: (1) “adverse weather conditions resulting in bad harvests in key production areas of the world”, (2) “limited international commodity trade due to the imposition of export restrictions in various countries” and (3) “speculative investment in agricultural commodity markets”. The full feature article can be accessed at the Biofuels International website (URL above)..

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