June 12, 2009

California's showdown over waste feedstocks


A showdown is looming in the California State Senate this summer over an issue that is at the heart of the nationwide drive to develop and deploy bioenergy conversion technologies.

In a state that prides itself on its landmark achievements in outlining Global Warming Solutions (AB 32), Bioenergy Action plans, and Low Carbon Fuel Standards, access to some of the most sustainable feedstocks for conversion to bioenergy is currently blocked by inexact statutory language and permitting regulations. As a result, municipalities and utilities are frustrated in their ability to exercise local authority over how they meet stringent waste diversion goals to reduce reliance on landfills for dumping post-recycled waste.

Post-recycled municipal solid waste is considered to be the most sustainable feedstock for biomass conversion into biofuels and biopower because, unconverted, this waste emits greenhouse gases while it decomposes. It is the only feedstock that has "negative" cost - receiving facilities receive per ton "tipping fees" that vary from region to region. Socially, it could provide good urban jobs that cannot be off-shored.

At the rate that municipal landfills are filling up and closing down, there is no time to wait. The state's largest landfill in Puente Hills, which services Los Angeles County, is scheduled to close in 2013. MSW currently disposed of there will instead be sent by train to a landfill 200 miles away!

Legendary former California State Senator (President Pro Tem) David Roberti and his Bioenergy Producers Association (BPA) is working overtime this month lining up support for passage of the bipartisan California Assembly Bill 222. With over 60 organizations supporting it (including municipalities, utilities, labor organizations, waste disposal facilities, and others) the bill was unanimously approved by the Assembly Utilities and Commerce Committee on April 27, 2009, and passed the State Assembly by a vote o 54-13 on Monday, June 1st. The Senate is expected to be a much more challenging battleground where, without support, the act might not get out of committee.

AB 222 proposes to update the Integrated Waste Management Act of 1989. It is one of those seemingly innocuous pieces of legislation that only a policy wonk could love, but it is extremely important because without its passage municipalities will continue to find it virtually impossible to permit and fund deployment of municipal solid waste conversion technologies around the state. In a Catch-22 they are penalized for not deploying solutions that achieve minimum state diversion targets..

If passed, deployment of such facilities could divert approximately 30 million tons of post-recyclables from landfills while producing biopower and biofuels in accord with state (AB 32) and national initiatives (EISA, the Farm Bill, and pending Waxman/Markey cap and trade bill) to reduce greenhouse gas emissions.

The strongest opposition to the legislation is being coordinated by Californians Against Waste (CAW). They see the bill as a threat to their sizable influence over waste streams in California. The BPA acknowledges the contributions that CAW has made to reducing, reusing, and recycling MSW in the state but dispute the contention that this measure will set recycling back. Instead, they emphatically assert it will help expand recycling in the state.

To point out other discrepancies, BPA is currently distributing a document titled CAW Misrepresents Renewable Energy Bill (AB 222) throughout Sacramento itemizing CAW's objections ("myths") and countering them with the facts at the foundation of AB 222 as written. The document charges that "Californians Against Waste has repeatedly attempted to discredit or thwart legislative and regulatory initiatives that would make possible the production of advanced biofuels and green power from these resources."

At a common sense level, if society can't even agree that post-recyclables are qualified feedstock for conversion to alternative forms of energy then the likelihood of other feedstocks being qualified is virtually nil. It is time for legislators to put more authority back in the hands of municipal governments to meet their diversion goals and to determine what is and what is not safe and sustainable. Public and private industries will always have to meet stringent standards on emissions and pollution for any solutions they deploy.

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April 21, 2009

California reform needed to spur investment in conversion technologies

Californians interested in supporting the clean conversion of post-recyclable waste streams into biopower and biofuels need to help support regulatory reform in Sacramento right now.

California is the crucible for this issue because of its proud history for diverting municipal solid waste (MSW) from landfills through reduction, reuse, and recycling. However there still remains some 40 million tons of post-recycled waste that fails diversion and ends up in a landfill. Why? Because the only conversion technology municipalities are allowed to receive diversion credit for is composting. However, there isn't sufficient market for compost (imagine saying that about affordable biopower or biofuels!). Excess compost gets spread onto landfills as alternate daily cover - so there is no true diversion.

A policy I advocate on this blog would allow municipalities to help meet their diversion requirements using their post-recycled waste as feedstock processed by new clean conversion technologies to create thousands of megawatts of green power and millions of gallons of biofuels.

It is incredible that, in a carbon sensitive world, there would be any opposition to such a sensible, regulated policy - but there is. That's why it is critical that new legislation, AB 222, which came out of the Assembly Rules Committee this past week, receive documented public support when the Utilities & Commerce Committee considers it at a scheduled hearing on April 27th. Late letters can still be important for when the fill ultimately reaches the Senate for a vote.

AB 222 will allow low emission thermal conversion technologies to make biofuels and bioenergy out of this waste. Antiquated regulatory definitions virtually prohibit the deployment of even demonstration size facilities for providing proof of concept and required emissions verification. Without the legislative reforms contained in AB 222, no state municipalities dare build conversion technologies to meet diversion requirements.

Below is an appeal for your written support to enable this legislation to reach the Assembly and then the Senate floor for a vote. Please follow the instructions for submitting a letter of support and fax it in today.

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Letter from the Bioenergy Producers Association
From Chairman of the Board Jim Stewart

The BioEnergy Producers Association is pursuing legislation to expedite the permitting and implementation of conversion technologies for the production of renewable energy from the state's organic waste streams.

The legislation creates a new category in statute for a "biorefinery," which is broadly defined as a facility that uses "non-combustion thermal, chemical, biological and/or mechanical processes to produce renewable fuels, chemicals and electricity from any carbonaceous materials.

It will remove from statute a scientifically inaccurate definition of "gasification," which requires zero oxygen in the process and zero emissions from the entire facility, a standard required of no other manufacturing process in the state.

The bill, AB 222, has been moving forward very quickly. It came out of the Assembly Rules Committee this past week and was referred to the Utilities & Commerce Committee, which has scheduled a hearing on April 27th.

Its co-authors, Fiona Ma and Anthony Adams have asked for letters of support, and these letters need to be faxed to the Utilities & Commerce Committee before 5:00 p.m. on Tuesday, April 21st in order to be acknowledged and listed on the Committee's staff report.

We would be pleased if you could submit such a letter. It should be addressed to Assembly Member Felipe Fuentes, Chair, Utilities and Commerce Committe and faxed to Edward Randolph (the Committee staff member who is preparing the analysis of the bill). The fax number is (916) 319-3899. I am attaching a copy of AB 222 and a bill summary, should you need it for reference. We have a comprehensive web site which you may find of interest, www.bioenergyproducers.org.

Many thanks.
Jim Stewart
Bioenergy Producers Association
Chairman of the Board
323-650-5095

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Passage of the bill will:
• Expand the beneficial use of California’s waste streams, and in so doing, stimulate economic investment and provide high level green collar manufacturing jobs here at home, rather than exporting materials to the Far East, India and Nigeria, where essentially no environmental standards exist.

• Significantly reduce the life-cycle greenhouse gas emissions of biofuels and assist the State in reaching its AB 32 GHG reduction goals;

• Reduce statewide dependence on landfills and their associated methane production and waste transport costs;

• Provide alternatives to the open-field burning of agricultural residues and the agricultural land-spreading of biosolids;

• Promote energy independence and national security by enabling the in-state production of advanced biofuels, rather than importing petroleum from the Middle East or ethanol from the Midwest (one billion gallons in 2008);

• Reduce by up to 90% CO2 emissions from automobiles as compared to an energy-equivalent amount of gasoline,

• Help California achieve the goals of its Renewable Portfolio Standard, Low Carbon Fuel Standard and Bioenergy Action Plan.

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March 1, 2009

Sierra Club and Worldwatch: Gasification is a "Smart Choice" for Biofuels

In February of this year the Worldwatch Institute and Sierra Club jointly released a report that supports the continued development of cellulosic biofuels using thermochemical means. From the report...
“In the thermochemical platform, heat, pressure, chemical catalysts, and water are used to break down biomass in much the same way that petroleum is refined. Thermochemical technologies include gasification, fast pyrolysis, and hydrothermic processing. These technologies can be used to convert almost any kind of biomass into fuel, from grass to turkey feathers, giving them a potential advantage over biochemical technologies that rely on developing specific enzymes to break down specific plant matter."

Smart Choices for Biofuels maps a future path for biofuels to ensure that they are more environmentally and socially sustainable and that the use of renewable fuels for transportation contributes to the global effort to reduce global warming pollution. The steps proposed in the report include an accelerated transition to cellulosic feedstocks such as switchgrass and the use of more effective agricultural practices to decrease erosion and soil nutrient depletion. Further, the report specifically identifies advanced biofuels feedstocks as including “the organic material found in urban waste."

Here are several other excerpts from the report:
"Despite ambitious government mandates and strong financial support for the biofuels industry, so-called “first-generation” biofuels have raised a variety of economic, social, and environmental concerns. New information points to the urgent need for a major shift to more-advanced biofuels to prevent negative effects on the climate, land, soil, water, air, and rural economies."

"Nearly all studies on the role of biofuels in mitigating global warming and boosting energy security have concluded that “second-generation” (or “advanced”) biofuels, which rely on non-food feedstocks and offer dramatically improved energy and greenhouse gas profiles, are necessary to make wider use of biofuels feasible worldwide."

"Cellulosic and other advanced biofuels have a better fossil energy balance than do first-generation biofuels; that is, the amount of fossil energy required to make the fuel is much lower relative to the amount of energy gained in return, which can significantly lower lifecycle greenhouse gas emissions."

One of the report's major policy recommendations is to:
“Re-examine the renewable energy portfolio balance to bring on cellulosic and other advanced biofuels faster and to promote biomass use for electricity generation and heat."

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November 9, 2008

Green Collar Workers for the Renewable Energy Economy


Perhaps the most overlooked issue for all sectors of the renewable energy paradigm is the availability of trained manpower. Maybe it should be the prime issue rather than a secondary one. It certainly will be once new technologies have emerged because widespread implementation and deployment will depend on the availability of a generation of new laborers for work that cannot be off-shored.

A leading advocate for the building this green collar workforce now is Van Jones, a legal scholar and an Oakland, California activist who has just received notification that his new book, The Green Collar Economy, has been listed on the NY Times Bestseller list. Any author would be thrilled but you get the feeling that it means more to him than better market exposure for the book. The book is, afterall, a means to an end. It is the cause that matters and Jones is nothing if not passionate about the cause.

What is the cause? The subtitle of the book is "How One Solution Can Solve Our Two Biggest Problems." The two problems are the fossil based economy and its impact on the economy. The "one solution" proffered by this book is the creation of new, meaningful green collar careers for the underemployed and often unskilled urban and rural workforce in America and other parts of the world.

Clearly, with a new administration headed to Washington (coupled with a clear Democratic majority in both houses) social policymaking and budget allocation is going to change. Add to that the threat of global economic collapse and the question isn't is the government going to address the needs of the middle class - it is how is it going to do it? Surely, this administration will attempt to get more Americans back to work.

Public works programs like the Civilian Conservation Corps (CCC), not seen since the days of FDR, are already being forecast above the fold in major newspapers. The likely projects will involve not only energy production, but also energy efficiency and transportation infrastructure. That is good because new bioenergy projects in particular will be dependent on increased traffic of heavy vehicles on good roads.

This is what is making Van Jones' book so timely. He addresses the economic justice issue by advocating a new spirit of survival collaboration (Noah and the Ark) in place of counterproductive confrontation (David vs. Goliath). He presents numerous case studies that document different ways that community-based organizations are changing their landscape, employment picture, and can-do self image.

In the back of the book is a list of online resources for learning more and getting involved. Some of my favorites are ACORE, the Apollo Alliance, the Los Angeles Coservation Corps, Andy Lipkis' Tree People, and Majora Carter's inspirational Sustainable South Bronx.

Perhaps the most obvious choice for getting involved is the Green For All website - a sophisticated online resource for engaging stakeholders, advocating policy, and expanding public awareness of the need and potential for "Green Jobs Now!" It too is a means to an end, leveraging the power of the internet to coordinate events as well as defining the scope of the campaign.

What I see missing in the book is a comparable campaign for rural America. The forests, farms, and rangelands of the countryside will provide a host of opportunities for growth of meaningful green collar jobs. Who will run the new equipment, build and operate green power plants and biorefineries for an increasingly decentralized renewable energy paradigm? Unless we stop the leaching of jobs from our depressed rural cooperatives and enterprises, much of the existing infrastructure will need to be refinanced and rebuilt and new manpower trained to deploy regional solutions. These are issues that are part of the agenda of 25x'25 and many national industry associations.

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November 2, 2008

The Greening of American Business

Joel Makower comments on the opportunities and challenges presented by the green economy

For twenty years Joel Makower has been a prolific and insightful communicator about businesses and their role in developing environmentally sustainable practices. He has his own website and Two Steps Forward blog. Many recognize him for his frequent speaking engagements at Clean-tech, business, academic, and investment conferences throughout the country. In short, he is a multi-media "bridge-builder" - as high a compliment as I am accustomed to making.
Joel is co-founder and executive editor of Greener World Media, Inc., which produces GreenBiz.com and its sister sites, ClimateBiz.com, GreenerBuildings.com, and GreenerComputing.com. He also serves as a senior strategist at GreenOrder, a sustainability consultancy, as well as co-founder and principal of Clean Edge Inc., a research and publishing firm focusing on building markets for clean energy technologies.

Joel Makower is also the author of more than a dozen books, including his latest titled "Strategies for the Green Economy: Opportunities and Challenges in the New World of Business" which I found to be a very illuminating snapshot of the operational successes and marketing shortcomings of environmentally conscious American businesses in today's economy. Joel offers a constructive discourse on the way many businesses assess the challenges and address the opportunities of "going green."

To be sure, many business marketing campaigns, in a vain attempt to appear green, are "all hat and no cattle" - calling themselves green for marketing purposes without any substantial impact on their environmental footprint. But Joel is fair in assessing which are making sincere attempts and he cites many examples that help define and illustrate what truly contributing to environmental sustainability is all about.

One of my favorite chapters is titled "You Gotta have CRED" - an acronym for Credibility | Relevance | Effective Messaging | Differentiation. Created by GreenOrder, a business strategy firm that he is affiliated with, CRED is the framework for crafting green strategies and messaging that work. He explains what and how necessary each element is and then simply concludes "Bottom line: You can start anywhere. The important thing is to cover all the bases."


Another chapter with particular relevance to my BIOwaste and BIOstock Blogs is titled "A Tale of Two Circles" which has pie charts I hadn't seen paired before (see my rendition above). It not only shows the total (.2 billion tons per year) and breakdown of municipal solid waste in the U.S. but also shows it to be a minor component of total trash in the country that comes from industrial waste.

In a recent post on his blog, Waste is a Profitable Thing to Mind he summarizes the import of the graphic:
The annual 13 billion tons of Gross National Trash is a costly burden on the environment, not to mention the companies that create these wastes and have to responsibly dispose of them. And it represents a vast untapped business opportunity for Waste Management and the world's other haulers and recyclers to find new ways to create value from these waste streams, or to eliminate them in the first place.

One of the true benefits of the new push for bioenergy would be the development of technologies that can efficiently clean up and tap the energy contained in the organic content of these waste streams.

Another important question that he addresses in the book is "Is green business a fad or a trend?" He then gives ten reasons why he thinks it is an enduring issue for businesses for years to come. Among them are: 1 - The problems aren't getting any better, 2 - The environment has become a fiduciary issue, 3 - Companies are moving beyond "sustainability" and 4 - There's money to be made.

Read the book to learn about these topics and others relevant to issues covered in the BIOenergy BlogRing.

You can hear Joel Makower interviewed for a NewPage OnPaper podcast recorded October 1st at the SustainCommWorld Live after his keynote speech.

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October 20, 2008

California's Renewable Energy Disconnect

Snatching Defeat from the Jaws of Victory

California is a study of trends and counter-trends.

On one hand we have an "Action" governor who commissions and signs executive orders like the California Bioenergy Action Plan that calls for collaboration between the State government, academia, NGOs, and private industry to tackle our energy deficit problem using bioenergy. The State also has a legislature that courageously drafted and passed its own Global Warming Solutions Act (AB32) that sets objectives for reducing carbon emissions in the state to be administered by its California Air Resources Board (CARB).

On the other hand we have a counter-trend that obstructs, as it has for many years, the economically sustainable means to deploy clean technologies that would go a long way toward helping municipalities meet the targets outlined in waste management legislation. In view of the desperate condition of California's budget and the national credit crisis, economic sustainability will not be achievable without private capital and free enterprise.

It is this "disconnect" that threatens the meaningful advancement of technology to solve urban waste management and carbon emission problems.

How is this "snatching defeat from the jaws of victory"? The groups that have successfully championed urban recycling that has played a significant role to reduce landfill growth are some of the most vociferous groups frustrating deployment of the most efficient technologies for converting unrecyclable waste into clean bioenergy fuels and power. Technologies that would, in effect, greatly expand recycling are made to languish as the landfills that are soon to close continue to fill to overflowing.

Perhaps the most articulate voice identifying this dichotomy is Dr. Kay Martin, Vice President of the Bioenergy Producers Association (BPA). The mission of this California lobbying group is to advance the development and commercialization of sustainable, environmentally preferable industries that produce power, fuels, and chemicals from agricultural, forestry, and urban sources of biomass and plastic wastes. Here is a brief bio of the author from the BPA website:
Over the past several years, Dr. Kay Martin has become a leading proponent for the commercialization of conversion technologies and new product markets for biomass fractions of the municipal waste stream, including renewable energy, transportation fuels, industrial chemicals, and a variety of other petroleum replacement products. She is currently a member of the Executive Board of the California Biomass Collaborative and, nationally, sits on the Board of Directors for the New Uses Council and on the Advisory Board of the Biobased Manufacturers Association.

She writes knowledgeably about the disconnect growing between California state objectives (as represented by its Bioenergy Action Plan and Global Warming Solutions Act) and the "decades-old hierarchical framework" that defines, with considerable unscientific bias, what conversion technologies are acceptable and which are not.

With the highly warranted concern for status quo technologies that contribute greatly to ghg and global warming, we are at a time when all promising technologies, especially those with successful track records elsewhere on the planet, should be welcome for demonstration deployment and incentives as long as they meet or exceed emission standards already in place. Otherwise, the status quo remains.

Here are the opening paragraphs of an article Dr. Martin published through MSW Management magazine in its October 2008 issue about this disconnect and the need for a more inclusive technological policy toward permitting and incentives.

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California's Renewable Energy Disconnect
by Dr. Kay Martin

Governor Arnold Schwarzenegger, in announcing his executive order to expand biofuels production, stated:
“Turning waste products into energy is good for the state’s economy, local job creation, and our environment. By implementing biomass programs in California, we will help fight critical waste-disposal and environmental problems, including the risk of wildfires, air pollution from open field burning, and greenhouse gas emissions from landfills.”

California’s single largest source of biomass is found in the MSW stream. According to a recent state-sponsored biomass-resource assessment, 38 million tons of MSW biomass are generated each year, or 1 dry ton per person. Annually, about 6-8 million tons of these organic materials are utilized to produce compost and mulch, and an additional 1.5 million tons are used to produce power by traditional biomass burn facilities. The remainder, about 70%–75% of the more than 40 million tons disposed annually, represents a tremendous untapped resource for in-state biopower and biofuel production.

Technologies that can safely and efficiently produce alternative energy from biomass-waste feedstocks are now commercially available. Given the state’s vanguard energy initiatives, the runaway cost of petroleum, increased global-warming concerns, and a willing set of new industry partners, one would expect to find a wealth of state incentives for biorefinery development. Unfortunately, this is not the case. Current laws and regulations are, in fact, skewed to prevent this.

The root problem is a chronic disconnect between California’s energy and waste-management policies. New state bioenergy initiatives call for the creation of a favorable legal, regulatory, and economic environment to stimulate industry investments in technologies that utilize biomass for green power and green fuel production. Waste-management policy, in contrast, is mired in a decades-old hierarchical framework that artificially limits bioindustry access to these same resources. It does so by favoring certain landfill-diversion technologies and products over others through the maintenance of statutory barriers and the granting or withholding of incentives.

To read the entire article, please click for MORE.

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August 16, 2008

California "discriminates" against thermochemical CTs

Aligned with the goals of the California Bioenergy Action Plan there is a new amendment to a California Senate Bill (SB 1252) that seeks to expand the range of technologies that are sanctioned for the conversion of green and municipal waste into biofuels. It would, for instance, "greenlight" projects like the new BlueFire Ethanol demonstration facility being built in Lancaster, CA.

Coming AFTER the recently awarded conditional use permit for BlueFire Energy by the Los Angeles Public Utilities Commission the amendment to SB 1252 appears to be a begrudging acknowledgement that public support for innovative technologies that convert waste into biofuels is on the rise. Better jump on the public opinion train before it leaves the station.

Unfortunately, the wording in the amendment is highly selective in defining what kind of conversion technologies are now acceptable. Simply put, cold technologies are now in but hot technologies are still out. This is nothing unique, according to Dr. Kay Martin, one of most respected advocates for California waste management reform and a member of the Bioenergy Producers Association (BPA):
Aside from this bill, the same kind of discriminatory embargo of "high-temperature" technologies appears in two other bills, AB 2640 (Huffman) and AB 2866 (DeLeon), each of which exclude these technologies from state grant funding eligibility. The BPA drafted "oppose unless amended" letters to the authors of these bills as well (see SB 1252 response below).

The bottom line is that there is an unavoidable recognition that significant new landfill diversion in CA requires new tools--but there is also a pervasive bias for composting, and an enduring blockade of any proposals that facilitate development of thermal processes that utilize MSW feedstock.

Apparently, the California legislature will have to be shamed by other states into accepting thermochemical remedies before it will permit deployment here. Besides killing investment initiative, it appears to be a blatant attempt to curb municipal interest in these technologies. Courageously, Los Angeles utilities who are looking into the barrel of its landfill crisis are moving ahead with their evaluation and likely deployment of thermochemical solutions without the State legislature's "blessing."

The California legislature, like its Ninth Circuit Court, are playing politics with issues that are technological in substance. This is becoming increasingly true as concern about energy, the environment, and global warming "heat up." Ironically, it is the "progressive" aisle that is being used to stop innovation while the conservatives want to spur development in new conversion technologies.

In view of the urgency of the drivers of change (national security, oil dependence, greenhouse gas emissions, balance of trade, fuel carbon content, revamping the energy infrastructure, etc.) it seems to be a poor time for the legislature to be exclusionary of a range of thermochemical conversion technologies that are already being used in Europe and Asia - not to mention advocated and incentivized for development funding by the U.S. Congress and Department of Energy.

In February, I attended the annual Renewable Fuels Association conference in Orlando Florida. One of the keynote speeches was given by Peter Hart of Hart Research Associates - a national polling firm. He reported that a recent poll his company ran asked the question:
In which approach should we invest the most resources and efforts to address our energy problems?

The response in favor of advancing new technologies was overwhelming.
• 51% said we should "Invent our way out of the problem: develop renewable sources."
• 28% responded "Conserve our way out of the problem: energy efficiency, conservation policies/programs."
• 17% said "Drill/mine our way out of the problem: find domestic fossil fuel sources."

Not surprisingly, most Americans believe that technological innovation is the best way to go - for developing renewable sources and energy efficiency. That should be especially true in California where many of the significant paradigm shifts of the last century have been successfully germinated, researched, nurtured, funded, marketed, and deployed. For the Senate to play politics with technological innovation is distinctly unAmerican and, I would submit, un-Californian.

In light of the profound stimulus for biofuels development contained in the 2007 U.S. Energy Bill (aka, EISA), now is the time to pull all the stops restricting innovation that provides solution to our energy, environment, and global warming challenges. This amendment should greenlight thermochemical solutions to waste management in addition to the cold ones currently mentioned.

For the California Air Resources Board to draft a Climate Change Scoping Plan that targets waste management but excludes thermochemical conversion technologies from being an "arrow in the quiver" is short-sighted and political non-science.

Below is a letter sent to the authors of the amendment by the BioEnergy Producers Association that succinctly states their concern about the anti-thermochemical technology bias contained in the bill. Will the California legislature drive the train or continue to wait in the station as other states take advantage of our profligate waste of initiative?

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An open letter from the Bioenergy Producers Association

To: Senator Don Perata
California State Senate

RE: SB 1252 - OPPOSE

The BioEnergy Producers Association is an alliance of companies dedicated to the environmentally sensitive manufacture of advanced biofuels, chemicals and green power from agricultural, forestry and urban biomass and plastic wastes. Among others, our membership includes electric utilities, waste haulers, biobased technology providers, engineering and consulting firms from all areas of the state.

The technologies we advocate, which include thermochemical/biochemical processes, represent California’s best hope for creating alternatives to its escalating costs of motor fuel and electricity, and its dependence on foreign petroleum. These new technologies could potentially produce 2.7 billion gallons of advanced biofuels and 2,500 MW of power from the 42 million tons of post-recycled municipal solid waste that are being placed in California’s landfills each year.

As more than 100 of these projects are now operating in Europe and Asia, and the Department of Energy is investing millions of dollars through grants and loan guarantees to introduce these technologies commercially in the United States, it is mystifying why the California legislature has so consistently, and for so long, refused to take action to encourage investment in, and expedite the implementation of, these technologies in this state. Indeed, it has established a pattern of direct economic and legislative discrimination against these technologies.

The latest example is SB 1252, of which you have just become a co-author. Here is why:

1. The definition for "lignocellulosic ethanol processing," as incorporated in SB 1252, is inaccurate, in that it is specifically limited to, and reserved for, the sugar platform via acid or enzymatic hydrolysis. The definition fails to recognize that ethanol can also be efficiently and economically produced from cellulosic materials through the biological fermentation of syngas in an engineered and controlled environment. The recognition of multiple technologies and pathways for ethanol production is consistent with the Bioenergy Action Plan and central to the objectives of AB 118 and the Low Carbon Fuel Standard.

2. The bill is discriminatory on its face by favoring one production pathway (the sugar platform) and technology (hydrolysis/fermentation) over all others. The granting of reduced permitting standards (transfer/processing station) and diversion credit to a single class of companies while denying these benefits to others is directly contrary to existing State policy for bioenergy development and in-state production of alternative fuels.

3. By limiting its definition of “lignocellulosic ethanol processing” to acid and enzymatic technologies [Section 40149 (a)], the proposed bill enables such technologies to be permitted as transfer or processing stations, while continuing to require the permitting of thermochemcial technologies as major solid waste landfillls. The difference in both time required and the cost of complying with the permitting process creates a market advantage for acid and enzymatic processes that is contrary to the principal of equal competition under law, and will provide “lignocellulosic” technologies, as defined in your bill, with a significant lead time to market.

4. By allowing waste streams that are consumed by acid and enzymatic technologies to qualify for a diversion credit, and by excluding thermochemical technologies from this provision, it denies municipalities of any incentive to make their waste streams available for processing by companies that are investing in clean thermochemical technologies. This wholly discriminatory action by the legislature denies these innovative technologies a level playing field and places them at a distinct competitive disadvantage.

This year, despite achieving a recycling rate of 54% (14% of which, by the way, is comprised of green wastes that are being placed in landfills for use as alternate daily cover), 42 million tons of post-recycled waste will be sent to the state’s landfills, more than was being landfilled in 1989, the year AB 939 was passed. As the state’s population is expected to grow by some 10 million people over the next 25 years, this trend cannot help but continue.

We submit that it will be impossible for the state to achieve the levels of landfill diversion mandated in SB 1252 without the application of all available technologies for waste conversion. Unfortunately, the hostile climate for thermochemical technologies being fostered by the state legislature is forcing the proponents of these technologies to construct their plants in other states, and along with them are going millions of dollars of Department of Energy grants and loan guarantees.

The victims of these policies, and bills like SB 1252, will be the people of California, who will be denied an efficient path to low-cost, locally-produced alternatives to gasoline and a cleaner environment.

The BioEnergy Producers Association strongly opposes the provisions of SB 1252 and the manner in which they are being inserted into this bill without adequate public discussion at the end of the 2008 session.

Sincerely,


James L. Stewart,
Chairman of the Board

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