By Lauren M. Graham, Ph.D.
On October 5, 2017, Neste, a member of the Biobased and Renewable Products Advocacy Group (BRAG®), announced the publication of its business environment outlook titled “Taking Action on Climate Change.” The report provides an overview of key changes taking place in the energy, transport, and chemicals markets and of select drivers of such change. The report highlights the role biofuels can play in reducing emissions from the road, aviation, and marine transport sectors. Demand for renewable diesel is expected to double in North America, the Nordic countries, and Europe by 2021. Additionally, renewable aviation fuels provide an important solution for an industry committed to reducing its carbon dioxide emissions despite an increasing demand for aviation fuel.
The report also suggests that rapidly increasing resource consumption and waste generation are the driving force behind the move towards a circular economy. Neste expects the bioplastics market to grow by more than 40 percent by 2021, with 80 percent of the growth coming from durable biobased plastics. To help decouple plastics from the consumption of fossil-based feedstocks, Neste is developing new business operations from bioplastics using its renewable products as the raw materials.
By 2020, Neste aims to have renewable jet fuel, renewable chemicals, and biobased plastics account for 20 percent of its renewable business sales volume.
By Kathleen M. Roberts
On August 29, 2017, the government of the province of Ontario, Canada announced $25.8 million has been allocated to the Low Carbon Innovation Fund (LCIF) as a part of the province’s Climate Change Action Plan. The funding will be used to support emerging, innovative technologies in areas such as alternative energy generation and conservation, new biofuels or bioproducts, next-generation transportation or novel carbon capture and usage technologies.
Funding is available either from:
- The Technology Demonstration stream, which aims to support the development and commercialization of innovative low carbon technologies through testing in real-world settings; or
- The Technology Validation stream, which aims to fund proof-of-concept or prototype projects from eligible Ontario companies or academic organizations to help them get to market faster.
To be eligible for LCIF, projects must be conducted in Ontario and must show significant potential to reduce greenhouse gas emissions in Ontario. Ontario’s Climate Change Action Plan is key to its achievement of its goal of cutting greenhouse gas pollution to 15 percent below 1990 levels by 2020, 37 percent below by 2030, and 80 percent below by 2050.
By Lauren M. Graham, Ph.D.
The U.S. Department of Agriculture’s (USDA) National Institute of Food and Agriculture (NIFA) awarded researchers from Clemson University a $147,744, two-year grant to evaluate the effectiveness of producing biofuels to mitigate climate change. The project will analyze how switchgrass fields and loblolly pine forests affect local temperatures through the exchange of water, energy, radiation, and carbon with the atmosphere; and quantify below- and above-ground carbon fluxes in both loblolly pine and switchgrass plantations and assess the greenhouse gas emissions of the full biofuel production chain for each crop. The goal is to develop a comparative picture of the potential of these feedstocks to reduce carbon emissions when generating electricity by co-firing in a coal power plant, and ultimately to aid the development of effective land-use policies.
By Kathleen M. Roberts
On June 2, 2017, Neste, a member of the Biobased and Renewable Products Advocacy Group (BRAG®), released a statement in response to the decision by President Trump to withdraw the U.S from the Paris Agreement. According to Neste, the U.S. withdrawal is “unfortunate” and “a saddening turn for the international battle against climate change.” The decision, however, will not signal the downfall of the Agreement, which has been ratified by 147 of the 197 countries that signed it. The statement highlights the fact that no changes have been made to the Renewable Fuel Standard, which has set increasing obligations for renewable fuels for 2017 and 2018, nor to the California Low Carbon Fuel Standard. Neste aims to continue to make renewable products available to U.S. states, cities, and businesses to support their ambitious targets for reducing emissions.
On March 24, 2017, Neste, a member of BRAG®, announced its approval of draft proposals by the Swedish government regarding mandated reductions in traffic fuel emissions and the continued tax exemption for high-blended biofuels. By 2030, the government aims to reduce carbon emissions from transportation by 70 percent. In addition to reducing carbon emissions, the ambitious targets and long-term perspective will help support innovation and investments in biofuels. Neste, which has a strong focus on developing cost-efficient technologies to convert forest residues into biofuels, stated that the substantial amount of forest-based raw materials in the country will likely play a key role in achieving the proposed goals.
On November 3, 2016, the United Nations Environment Programme (UNEP) released the seventh UNEP Environment Emissions Gap Report, presenting a scientific assessment of global progress towards emissions reductions created by the United Nations Framework Convention on Climate Change (UNFCCC). The report found that if all Paris Agreement pledges to reduce emissions global temperature are achieved, global temperatures will still rise to more than 2°C over preindustrial levels. UNEP chief Erik Solheim stated that we need to move faster to mitigate our impact on climate change, with the report calling for strong clean energy and emissions reducing policies before the 2020 tipping point when the warming trajectory will become more difficult to reverse. The report identifies carbon capture and storage coupled with the use of bio-energy as a key factor to limit warming, but mentions the need to produce sufficient quantities of biomass without harming biodiversity.
On September 15, 2015, the head of the EPA, Gina McCarthy, spoke at the Growth Energy Advocacy Conference about the need of the upcoming RFS rule to encourage long-term investment in advanced biofuels to successfully grow capacity. McCarthy went on to say that the November 30, 2015, deadline is a priority for her to have the RFS rule finished to improve investment conditions for biofuels. She considers the RFS to be one of the best tools that the Administration has in the long-term fight against climate change. EPA is currently looking at approximately 650,000 comments from the proposed rule containing changes for the 2014, 2015, and 2016 blending requirements, and McCarthy stated that she has heard the industry's major concerns.
On September 7, 2015, Clean Technica published a conversation with Novozymes CEO Peder Holk Nielsen about opportunities for growth coming from the upcoming COP 21 Paris climate talks. Nielsen expressed a desire for a form of taxation or limits on carbon emissions to be put in place over the next 10 or 15 years. In the future, Nielsen sees biofuel production becoming more sustainable as people turn to waste biomass rather than producing biomass. The increasing use of waste biomass is an opportunity for Novozymes to deploy enzymes that are capable of converting waste biomass into biofuels in a cost effective and efficient manner. Novozymes is a global biotechnology company with a focus on industrial enzymes, microorganisms, and biopharmaceutical ingredients and is a Biobased and Renewable Products Advocacy Group (BRAG®) associate member.
Department of Agriculture (USDA) released its fiscal year 2016 budget
request on February 2, 2015. The proposed budget is $156 billion
total, with $6 billion going directly to loans that will encourage cleaner
fossil fuel use and support renewable energy in rural America. The $6 billion
allocation is an increase of $1 billion that would be allocated towards loans
from the 2015 fiscal year. Agriculture
Secretary Tom Vilsack stated that the proposed budget "fosters
innovation and advances technologies that address climate change vulnerability,
improve pollinator health, combat antimicrobial resistance, encourage the
development of renewable energy, and support the efficiency, sustainability and
profitability of America's farmers and ranchers, particularly those just