Monday, January 31, 2011

UND to Host Cleantech Conference

Two University of North Dakota-based groups—the Sustainable Energy Research Initiative and Supporting Education (SUNRISE) program and the Center for Innovation—are organizing the Cleantech 2011 Workshop and Action Summit to be held June 19-21 at the Alerus Center in Grand Forks.

http://www2.und.nodak.edu/our/news/story.php?id=3353

North Dakota Bill Would Lower Oil Tax

The North Dakota legislature is considering a bill that would lower state oil taxes from 11.5 percent to 9.5 percent for newly drilled wells. The ND House Finance and Taxation Committee reviewed the bill today. According to the state Tax Department, the proposed legislation would mean a reduction of up to $371 million in taxes over two years.

http://www.bismarcktribune.com/news/local/govt-and-politics/2011_session/article_50cf7118-2d5b-11e0-a8f5-001cc4c03286.html

Fracking Study Released

According to a Congressional report released today, companies hired to perform hydraulic fracturing ("fracking") used 32.2 million gallons of diesel alone or in a mixture from 2005 to 2009. Most was injected in Texas, followed by Oklahoma, North Dakota, Louisiana and Wyoming. The year-long investigation, which was led by Rep. Henry Waxman, D-Calif., and other two other Democrats on the House Energy and Commerce Committee, found no evidence that the use of diesel fuel contaminated water supplies. The report did, however, state that the companies appeared to violate the Safe Drinking Water Act because permission was not obtained from state or federal authorities to use the diesel fuel.

Iowa Wind Industry Slows Down

The wind energy industry in Iowa is experiencing many of the same difficulties that has slowed expansion across the country, according to a recent report.  Reduced electricity demand, cheaper natural gas, tighter lending policies and the lack of a clear federal  policy all combined to create a significant slowdown in the pace of new U.S. turbine installations in 2010.

In Iowa, roughly 10 gigawatts of wind-generated power were added in 2008 and 2009. In 2010, the amount is expected to less than half that amount when the totals are compiled.

http://thegazette.com/2011/01/30/business380-iowa-wind-energy-industry-expected-to-see-slow-recovery/

Sunday, January 30, 2011

EERC Announces 2011 Biomass Conference

The Energy & Environmental Research Center at the University of North Dakota announced today that the "Biomass ’11: Renewable Power, Fuels, and Chemicals Conference" will be held at the Alerus Center in Grand Forks, North Dakota, July 26–27, 2011. Read more...

Pipeline Fight in Fairmont

Minnesota's Buffalo Lake Energy wants to build a 20-mile pipeline to carry treated water from its ethanol plant near Fairmont to the Blue Earth River for disposal. Environmental groups are opposing the plan, even though company officials at the southwest Minnesota site claim their proposal meets all state standards.

http://mankatofreepress.com/local/x376909854/Pipeline-plan-spurs-water-warfare

Thursday, January 27, 2011

Gov't Announces Modeling and Forecasting Agreement

The U.S. Department of Energy (DOE) and Department of Commerce announced on January 24 a new agreement to further collaboration between the agencies on renewable energy modeling and weather forecasting. This teaming will enable U.S. renewable energy resources to be used more effectively by business and entrepreneurs. The Memorandum of Understanding (MOU) signed by DOE and the Commerce Department's National Oceanic and Atmospheric Administration (NOAA) will encourage the agencies to disseminate weather and climate information needed for renewable energy technologies that are dependent on short-term weather and longer-term climate trends. Better information on weather patterns and improved modeling of the variability of the wind, sun, water, ocean currents, and other sources of renewable energy will ultimately increase the United States' ability to reliably integrate renewable energy into the electrical grid. Read more...

Minnesota RES Update

A January report by the Minnesota Department of  Commerce shows that Minnesota’s utilities appear to making satisfactory progress toward meeting the state’s Renewable Energy Standard mandate that requires 25 percent of the state's total electrical output to come from renewable sources by the year 2025. Read more...

Granite Falls Considers Increased CAPX Investment

In Minnesota, the Granite Falls City Council is mulling an increase in its investment in the CAPX2020 project from approximately $415,000 to $1.3 million. The city's interest is in the 250-mile Brookings County-to-Hampton segment that runs from Brookings, SD to Hampton, MN and includes a link from Marshall, MN  to Granite Falls. Construction is expected to begin in 2012 and be completed by 2015 at an estimated cost of $827 million. The cost of the entire CAPX project is estimated at $1.95 billion.

Xcel Reports Earnings

Minneapolis-based Xcel Energy Inc. today reported 2010 GAAP earnings of $756 million, or $1.62 per share compared with 2009 GAAP earnings of $681 million, or $1.48 per share. In its comments on the report, the company highlighted key events of 2010 including the acquisition of two natural gas power plants in Colorado, the commercial launch of the Comanche Unit 3 and Nobles wind farms and the beginning of construction on the CapX2020 transmission project.

Wednesday, January 26, 2011

University of Iowa Builds Solar Charging Station

A new solar-powered charging station for electric-powered vehicles is nearing completion at the University of Iowa. The structure is a 60-yard-long slanted canopy lined with reflective, dark-colored solar panels. It has more than 20 stalls and will be used to power the university's fleet of eight electric vehicles. The university plans to expand the fleet once the charging station is finished. The project, which cost $950,000, was funded by multiple agencies, including a $300,000 grant from the U.S. Department of Energy. Read more...

New WInd Farms Proposed for Southern Nebraska

Green Capital Power of Lincoln, Neb. pitched the idea of wind farm development to the Jefferson County Board of Commissioners during the group’s regularly scheduled meeting yesterday. An official from the company said Green Capital Power hopes to generate interest in the southern part of Nebraska and expand to other areas of the Midwest in the longer term. The board did not vote on the matter but agreed to take it under consideration. Read more...

ND Wind Company Gets New Investor

Phoenix-based NACEL Energy Corporation has announced an agreement to purchase two share blocks of Crownbutte Wind Power, Inc. of  Mandan, ND.  The deal makes NACEL the largest shareholder of Crownbutte, which reportedly has several wind projects in various stages of development in the Dakotas and Montana. Read more...

Iowa Governor Wants to Subsidize E-15

Speaking at the Iowa Renewable Fuels Summit in Des Moines this week, Governor Terry Branstad called for shifting state subsidies from the E-10 blend in the state to E-15 following the recent Environmental Protection Agency ruling that vehicles made after 2001 could use the higher ethanol blend. A study released at the event by the Iowa Renewable Fuels Association claims the industry accounted for nearly 8% of the state’s Gross Domestic Product last year and boosted state tax revenue by $532 million. The state has 39 ethanol plants, all up and running. Read more...

Tuesday, January 25, 2011

North Dakota Oil Impact Study Released

According to a North Dakota State University study released today, the economic impact of the state's oil industry soared from $4.2 billion to $12.7 billion between 2005 and 2009. State officials predicted the 2009 economic impact numbers will soon be overshadowed by those from 2010. Estimated production for the year was about 110 million barrels, up from 79.7 million in 2009. There currently are about 5,300 producing oil wells, up from  4,190 in 2009. Read more...

Iowa Senator Introduces Biofuels Bill

U.S. Senator Tom Harkin (D-IA) has introduced the “Biofuels Market Expansion Act of 2011,” legislation designed to promote Flexible Fuel Vehicles, expand the number of blender pumps, and make renewable fuel pipelines eligible for the federal loan guarantee pipeline program. The bill's co-sponsors included  Senators Tim Johnson (D-SD), Richard Lugar (R-IN), Amy Klobuchar (D-MN), and Al Franken (D-MN). Read more...

Third Biggest Corn Crop in South Dakota

The 2010 South Dakota corn crop harvest finished at 569.7 million bushels, according to USDA figures--the state’s third-largest crop on record.  Final state corn yields came in at 135 bushels per acre.  Record ethanol production is projected to use roughly 100 million bushels of the total production. Read more...

Minnesota Solar Plant on Schedule

The construction of a solar panel manufacturing facility in northern Minnesota is on schedule, according to a recent report. Kraus-Anderson Construction Company of Bemidji, Minn. is building the 25,000-square-foot plant for Mountain Iron Economic Development Authority in Mountain Iron, Minn. Silicon Energy MN will manufacture the solar panels. Construction of the $3.6 million project  is scheduled to be completed by March 2011, with production to begin by summer. Read more...

Oil Sands Lure Chinese

The UPI today is reporting on the increased interest shown by Chinese energy companies in the Canadian oil sands. The article highlights the investments made by China Petroleum and Chemical Corp. and China Investment Corp. in two oil sands projects. Canadian oil sands deposits are estimated at more than 100 billion barrels, which puts it second only to Saudi Arabia. Read more:

Minnesota Moves to #4 in Wind

New figures provided by the American Wind Energy Association show that Minnesota is now the nation's number four producer of wind energy. The state's Elm Creek II, Nobles and Ridgewind projects together accounted for 275 MW of installed capacity in 2010, or about 5% of the total growth in the U.S. Read more...

New Railport Planned for Western ND

A large multi-user rail terminal will be built in Trenton, North Dakota, according to an announcement today. The terminal, to be known as Trenton Railport, will be built by Savage Companies and served by the BNSF Railway. The facility will include rail infrastructure, open space for oil field materials storage, and receiving capability for frac sand and other materials. The project will be designed to bring large-scale rail service to the Bakken Formation providing transport of oil-field related materials such as tubular, frac sand and other strategic materials, in addition to the capability to load and ship unit trains of crude oil. Read more...

Monday, January 24, 2011

Will Consumers Buy Sugar Beet Biofuels?

By Cole Gustafson, Biofuels Economist, NDSU Extension Service

As you know, I am working with a group to develop an energy beet-to-biofuel industry in North Dakota. The goal is to construct 12 plants that produce 20 million gallons each for an annual state production of 240 million gallons. The first law of economics is that supply equals demand. Thus, if North Dakota has supply, will consumers purchase this level of energy beet biofuel at prices that are profitable for the plant?

The results of a study presented at the 2011 American Economic Association annual meeting shed some interesting light on the subject. The study’s authors, Alberto Salvo and Christian Huse of Northwestern University and Stockholm School of Economics, respectively, conducted a study of gasoline and sugarcane ethanol buyers in Brazil. Since ethanol derived from energy beets will be very similar to that produced from sugarcane, I think the findings are insightful.

In Brazil, car owners can select any proportion of gasoline or sugarcane ethanol to fill their tank. Sugarcane is widely available across the country and consumers are familiar with the advantages of both products. Salvo and Huse were interested in finding out what price differential between gasoline and sugarcane ethanol would get consumers to switch products.

The study was conducted by monitoring drivers’ fuel purchases without the customers knowing they were being observed. Once the buyers had completed their purchase, they were approached and asked several questions about themselves, their vehicle and why they selected the proportion of gasoline or sugarcane ethanol they wanted. The researchers then developed a statistical analysis to determine the importance of each characteristic.

What surprised the researchers was the number of consumers who steadfastly purchased gasoline or sugarcane ethanol regardless of price. There were approximately 20 percent of consumers on each end of the continuum who routinely purchased gasoline or ethanol even if it was far more expensive than the alternative. Buyers who purchased gasoline, regardless of price, were statistically older, drove heavier cars, had larger engines in their vehicles and commuted longer distances. In conversations afterward, one of the main concerns with sugarcane ethanol was its reduced mileage. Thus, since their cars were larger and they drove more, they found frequent refueling to be inconvenient.

Another interesting finding relates to the availability of flex-fuel cars. Flex-fuel vehicles are far more prevalent in Brazil than in the U.S. However, the majority of Brazilians do not yet own these models. Thus, they are constrained to purchasing gasoline, even when the alternative is cheaper.

What were the reasons purchasers of sugarcane ethanol routinely bought that product regardless of price? One of the choices they could have selected was that sugarcane ethanol was environmentally friendly. Turns out this consideration was not a strong motivating factor leading to repetitive purchases. The most significant factor was that sugarcane ethanol is produced in their region and they were supporting a local industry.

The remaining 60 percent of consumers were sensitive to prices and purchased a product based on economics.

The implication of this research is that 20 percent of consumers will eagerly await the opportunity to purchase energy beet biofuel. Sixty percent are price sensitive and will wait to compare energy beet biofuel prices with gasoline. The remaining 20 percent of consumers are going to be resistant energy beet biofuel shoppers.

Source: NDSU Agriculture Communication

Nebraska Officials Praise E15 Decision

The recent decision by the Environmental Protection Agency to allow increased ethanol blends in cars manufactured between 2001 and 2006 has drawn praise from industry officials in Nebraska who say the move will provide a big boost to the state's economy. Nebraska is the nation's number two ethanol producer.  Production is expected to soar to more than 2 billion gallons annually when the new 113-million-gallon Aurora West ethanol plant in Aurora begins production. Officials cited the lack of blender pumps as a major hurdle to overcome before the increased blends can see significant sales in the state. Read more...

Wind/Solar Conference Set for Iowa

Iowa State University Extension in Plymouth County, along with other partner organizations, is presenting a Wind/Solar Energy Conference on Wednesday, March 2 in Le Mars. Speakers from the Iowa Energy Center, USDA Rural Development and Iowa State University will address various topics concerning wind and solar energy, including financing, legal considerations, and planning and zoning. Read more...


Minnesota Biofuels Producers Get USDA Grants

A total of approximately $750 million in grants has been awarded to several Minnesota biofuels producers from the Agriculture Department's Bioenergy Program for Advanced Biofuels. Minnesota Soybean Processors was awarded nearly $400,000,  while Cargill Inc. received nearly $190,000 and Corn Plus LLP nearly $130,000.  Other recipients included FUMPA Biofuels, Chippewa Valley Ethanol Co., West River Dairy and Riverview LLP. Read more...

Friday, January 21, 2011

Iowa Awarded $1.4 Million for Renewable Energy

Iowa Senator Tom Harkin announced yesterday that his state will receive more than $1.4 million for renewable energy projects, most of which will go toward the production and use of biofuels through the Bioenergy Program for Advanced Biofuels. The program was authorized under the 2008 Farm Bill. Read more...

Thursday, January 20, 2011

North Dakota's EERC Gets DOE Grant

The Energy & Environmental Research Center (EERC) at the University of North Dakota announced today that its Plains CO2 Reduction (PCOR) Partnership has been awarded $768,000 from the U.S. Department of Energy (DOE) to continue research demonstrating the effectiveness of injecting a mixture of carbon dioxide (CO2) and hydrogen sulfide (H2S), a toxic and corrosive gas sometimes referred to as "acid gas," into an oil field for the purpose of simultaneously reducing greenhouse gas emissions and improving oil recovery.
 

Since 2006, the EERC's PCOR Partnership, one of seven members of DOE's Regional Carbon Sequestration Partnership Program, has performed a series of major field tests at sites in the United States and Canada to examine the effectiveness of carbon capture and storage (CCS) technologies, including the injection of acid gas at the Zama oil field in Alberta, Canada. Both the previous and planned work is being conducted in close collaboration with Apache Canada, Ltd., the owner and operator of the oil field, and Natural Resources Canada.

The new funding will support two more years of activities at Zama that are aimed at demonstrating that acid gas injection is a safe and effective means of reducing CO2 emission while enhancing oil recovery. The findings will help support national and global efforts to develop and deploy CCS use as one option for mitigating the emission of greenhouse gases to the atmosphere.

Read more...

ONEOK Announces More Bakken Investments

Oklahoma-based ONEOK Partners, L.P. today announced plans to invest between $260 million and $305 million in additional Williston Basin projects by the end of 2014.

The investments include $135 million to $150 million for the construction of a new natural gas processing facility in western Williams County, N.D. The plant, to be called Stateline II,  is projected to process 100 million cubic feet per day (MMcf/d) and is expected to be online in the first half of 2013.

ONEOK also plans to invest approximately $80 million to $110 million for expansions and upgrades to its existing gathering and compression infrastructure in the Williston Basin, as well as approximately $45 million for new well connections associated with the Stateline II facility.

The partnership previously announced plans to construct two other new natural gas processing facilities in the region, the Stateline I and Garden Creek plants. When completed, the combined natural gas processing capacity of the three new plants and a fourth already built (Grasslands) will be approximately 400 MMcf/d. This will nearly quadruple the partnership's current processing capacity in the Williston Basin.

Source links...

--http://ir.oneok.com/releasedetail.cfm?ReleaseID=544868&ReleaseType=OKS
--http://ir.oneok.com/releasedetail.cfm?ReleaseID=514288&ReleaseType=ONEOK
--http://ir.oneok.com/releasedetail.cfm?ReleaseID=462148&ReleaseType=OKS

Using Marginal Land for Biofuels Production

Researchers have published the results of a study aimed at identifying the amount of marginal land available worldwide for biofuel crop production. The goal of the study, conducted at the University of Illinois at Urbana-Champaign, was to determine the types and locations of land that are suitable for growing biofuel feedstocks and to identify the current land cover at those sites. The researchers concluded that biofuel produced from crops grown on abandoned or degraded cropland could supply up to 52 percent of the world's liquid fuel consumption. Read more...

Friday, January 7, 2011

How Much Energy Do Wind Turbines Use?

By Cole Gustafson, Biofuels Economist, NDSU Extension Service

I read a wide variety of publications. The editor of a recent mechanical engineering periodical lamented about all of the energy a wind tower consumes. He studied the inner workings of a modern wind tower and pondered whether any net energy is produced. Let’s look at some of the devices inside a wind turbine that consume power.

  • Rechargeable batteries – Large wind turbines contain a number of rechargeable batteries to power the electrical systems when the wind is not blowing. These systems include aircraft lights, brakes, blade control devices and weather instrumentation. If the wind doesn’t blow for an extended period, these batteries must be recharged with power off the electrical grid.
  • Heaters – Gearboxes in wind turbines contain fluids that must be kept warm in frigid climates. Turbine blades also have built-in heaters to prevent icing, which the author suggested could consume up to 20 percent of the electricity produced by the turbine.
  • Motors – A common misconception is that the blades of a wind tower sit still when the wind is not blowing. In fact, a tower uses its generator in reverse as a motor to spin the blades slowly. The movement of the blades is almost imperceptible to the naked eye. The blades move to prevent brinelling (grooving) of the bearings on the main shaft. This occurs when bearing components rock back and forth without much movement. Consequently, electricity is taken either from the storage batteries or off the grid to power the blades during these periods.

Wind turbine manufacture’s don’t report how much electricity is consumed internally or must be purchased externally. The amount is likely to be quite variable because system designs vary by manufacturer. Moreover, there likely are both good and bad economics of operation as turbine sizes increase.
So, is this really an issue to be concerned about?

The editor concluded his article by saying, “We’ve commissioned so many wind turbines that we will need to build new coal-fired power plants to run them.”

The question could be solved easily if tower net metering was available. Net metering monitors the quantity of electrical power flowing in both directions. Overall, the point is rather moot, though, because the editor failed to realize that wind turbine generators are rated on a net power-producing basis. In other words, each turbine has a nameplate with its power rating listed on it.

What is a more important consideration is the power curve that describes the level of electricity produced at various levels of wind speed. Wind speed is highly variable in each geographic area, so that is a more important factor to consider.

NDSU Agriculture Communication

Thursday, January 6, 2011

Iowa Researchers Report on Climate Change

Researchers from Iowa’s three regent universities presented findings from a climate change study to the Iowa General Assembly this week and recommended seven legislative policy initiatives to address climate change in Iowa. Researchers noted that Iowa has experienced a long-term trend toward more precipitation, an increase in extreme summer rainfall, and warmer temperatures, particularly over the winter and at night. Read more...

Hawkeye Sells Iowa Ethanol Plants

Hawkeye Renewables announced today that it is selling its ethanol plants located in Iowa Falls and Fairbank, Iowa, to Flint Hills Resources Renewables, LLC in an all-cash transaction. Flint Hills Resources Renewables is an affiliate of Koch Industries, Inc. and Flint Hills Resources, LLC, a leading provider of transportation fuels used in the Upper Midwest. The transaction is expected to close early in the first quarter of 2011. Read more...

New Small Wind Turbine Announced

Arizona-based Southwest Windpower has unveiled its latest product – the Skystream 600. The company said the turbine produces 40-60% more energy than its predecessor, the Skystream 3.7, and is capable of generating an average of 7,400 kWh of renewable energy each year with average annual wind speeds of 12 mph. The unit will be available for sale in March 2011. Read more...

Republicans Seek to Tame EPA on CO2 Rules

As widely expected, key Republicans joined together yesterday--the opening day of the new Congress--to introduce legislation that would prohibit the Environmental Protection Agency from regulating greenhouse-gas emissions. Read more...

DOE Publishes CO2 Storage Manual

Washington, DC The most promising methods for assessing potential carbon dioxide (CO2) geologic storage sites – a crucial component of Carbon Capture and Storage (CCS) technology – is the focus of the latest in a series of U.S. Department of Energy (DOE) CCS "best practices" manuals. Read more...

Wednesday, January 5, 2011

DOE Demonstrates Clean Coal Technology

Washington, DC -- A novel technology that could help release some of the currently unusable energy in an estimated 2 billion tons of U.S. coal waste has been successfully demonstrated by a Department of Energy (DOE) supported project. Read more...

Tuesday, January 4, 2011

New Wind Farm Approved for Minnesota

The largest wind farm to date in Minnesota has been approved for construction in Mower County in the southeastern part of the state. Last week, the county board approved three substations and two transmission lines for the 300 MW facility to be called the Pleasant Valley Wind Farm Project. The wind farm will consist of between 130 and 200 turbines and will cover approximately 70,000 acres. The developer is Colorado-based Renewable Energy Systems Americas. Read more...

Infrastructure Needed for More Ethanol Consumption

The United States doesn't have the infrastructure to meet the federal mandate for renewable fuel use with ethanol, but could meet the standard with significant increases in cellulosic and next-generation biofuels, according to a Purdue University study. Read more...

Sunday, January 2, 2011

Spiritwood Start-Up Date Announced

A $350 million lignite-fired power plant near Jamestown, North Dakota will go online on Jan. 1, 2012, according to a news report today. The plant, known as the Spiritwood Station, is owned by Minnesota-based Great River Energy and originally was set to start up in 2010. The date was postponed due to a weak economy in Minnesota, where most of the electricity will be sold.  Spiritwood is Great River Energy's first baseload power plant built since 1981 and North Dakota's first coal-fired power plant in a quarter century.

Saturday, January 1, 2011

Does the DDG Flap Mean Trouble for Iowa Ethanol?

Iowa ethanol producers are monitoring the trade dispute between the U.S. and China over dried distillers grains (DDGs) and wondering what it means for them in 2011. Last week, China announced an investigation into what it says may be illegal dumping of DDGs by the United States. DDGs are the dried corn kernel shells left over during ethanol production. They typically are sold for livestock feed at prices less than regular corn.  Sales of DDGs contribute up to 30% of the revenue generated by a typical ethanol plant. Iowa leads the nation in the number of ethanol plants with 40 and accounts for about one-third of U.S. ethanol production.  Read more...