NREL is a national laboratory of the U.S. Department of Energy Office of Energy Efficiency and Renewable Energy operated by the Alliance for Sustainable Energy, LLC
Richard Bolin
National Bioenergy Center Partnership Development Group
NCSL Energy Supply Task Force
December 8, 2010
Biofuels: Overview and Opportunities
NREL is a national laboratory of the U.S. Department of Energy, Office of Energy Efficiency and Renewable Energy, operated by the Alliance for Sustainable Energy, LLC.
Presentation Outline
• Introduction to NREL
• Overview of Transportation
Fuel Market
• Overview of Biofuels Market
• Future Trends
• Impact of Federal and State
Policies
Innovation for Our Energy Future
National Renewable Energy Laboratory Innovation for Our Energy Future
NREL is the only national laboratory dedicated to
renewable energy and energy efficiency R&D.– Fundamental science to technology solutions
– Collaboration with industry and university partners
– Research programs linked to market opportunities
• NREL has 2,300 staff members
• Areas of Research:Advanced Vehicles & Fuels Computational Science
Biomass Basic Sciences Buildings Geothermal
Wind Solar Hydrogen & Fuel Cells
Electric Infrastructure Systems
NREL FY2009 Program Portfolio $525.1M
National Renewable Energy Laboratory Innovation for Our Energy Future
• Research spans fundamental science to technology
solutions
• Collaboration with industry and university partners
is a hallmark
• Research programs linked to market opportunities
National Renewable Energy Laboratory Innovation for Our Energy Future
Energy Efficiency
• Vehicle Technologies
• Building Technologies
• Industrial Technologies
Energy Delivery and Storage
• Electricity Transmission and Distribution
• Alternative Fuels
• H2 Delivery and Storage
Renewable Resources
• Wind
• Solar
• Biomass
• Geothermal
NR
EL R
&D
Port
folio
Foundational Science and Advanced Analytics
National Renewable Energy Laboratory Innovation for Our Energy Future
NREL’s National Bioenergy Center Facilities
Thermochemical Conversion
• Micro-reactors to pilot plants
Biochemical Conversion
• Bench scale to 9000L
Genomics Laboratory
• Strain development
Biomass Characterization
• Composition of Feedstocks
Spectroscopy Facilities
• Structure of Biomass
National Renewable Energy Laboratory Innovation for Our Energy Future
Thermochemical Conversion Partnering Facility
• 0.5-metric-ton-per-day Thermochemical Process Development Unit (TCPDU), which can be operated in either a pyrolysis or gasification mode
• catalytic fuel synthesis system capable of converting the full syngas stream from the TCPDU to liquid fuels
• 2-in.-diameter fluidized bed reactor system for small-scale studies of biomass and bio-oil gasification, pyrolysis, catalytic reforming of pyrolysis liquids or vapors, or raw syngas conditioning
• Fuel Synthesis Catalyst Test Facility
• Real-Time Sampling & Chemical Analysis
National Renewable Energy Laboratory Innovation for Our Energy Future
Integrated Biorefinery Research Facility
• Continuous 1-ton/day horizontal reactor system with the capability for multiple configurations
• Continuous 1-ton/day vertical reactor system
• Continuous 200-kg/day (dry basis) horizontal-screw reactor system
• High-solids 4000-L horizontal paddle-type reactors
•Bioreactors
• 27,000 ft2 of high bay space for industrial
partners
National Renewable Energy Laboratory Innovation for Our Energy Future
U.S. Department of Energy , Clean Cities Program
• creates public-private partnerships with a common mission: to
reduce petroleum consumption in the transportation sector
• builds value by expanding the market for advanced transportation
at a local level through voluntary coalitions
• coalitions, led by Clean Cities coordinators, draw stakeholders
from transportation departments, commercial fleets, transit
agencies, car dealers, fuel suppliers, public utilities, and nonprofit
associations.
•90 coalitions covering areas where 229 million U.S. citizens live—
approximately 78% of the country’s total population.
•2009 alone, roughly 446 million gallons of gasoline were displaced
as the result of Clean Cities activities
•put more than 600,000 alternative fuel vehicles on the road and
added more than 1,900 alternative fueling stations.
NREL is a national laboratory of the U.S. Department of Energy, Office of Energy Efficiency and Renewable Energy, operated by the Alliance for Sustainable Energy, LLC.
Presentation Outline
• Introduction to NREL
• Overview of Transportation
Fuel Market
• Overview of Biofuels Market
• Future Trends
• Impact of Federal and State
Policies
Innovation for Our Energy Future
U.S. Transportation Fuel Market
• Approximately 250 million on-road vehicles in the US
• Consumed 18.69 million bbl/day (2009 est., CIA world fact
book)• 6.8 billion bbl/year
• 137.9 billion gallons of gasoline/year (3.28 billion barrels of gasoline)
• Imported 11.7 million bbl/day (2009, API) • 62.6% of the US demand is being met by imported oil
• 22.4 bbl of oil consumed/person/year in the US
• 2.4 bbl of oil/person/year in China
• 434 gallons of gasoline consumed/person/year (19.36 gallons of
gasoline/barrel, EIA DOE)
• Current price of gasoline is $2.91/gallon (Lundberg survey)• Up $0.28 compared to December 2009
• $ range $3.21-$2.61
• Current oil price $89/bbl (up 10% from Dec 2009)National Renewable Energy Laboratory Innovation for Our Energy Future
U.S. Transportation Fuel Market
• 2009 crude oil prices ranged from a January average of
$41.68 per barrel to a December average of $74.47 per
barrel
• Avg. fuel efficiency for US passenger car in 2008= 22.6mpg
• Avg. fuel efficiency for a new US passenger car in 2008 =
31.2mpg
• CAFÉ for 2008= 27.5mpg
• Avg. fuel efficiency for European passenger car in 2007 =
40mpg • 113 models that got 40mpg or higher
• WW transportation fuel market = $4 Trillion
National Renewable Energy Laboratory Innovation for Our Energy Future
U.S. Transportation Fuel Market
National Renewable Energy Laboratory Innovation for Our Energy Future
Demand in the US is leveling off due to the Economy
and gains in Efficiency
U.S. Transportation Fuel Market
• Department of Defense spent $ 9.6 Billion on fuel for
vehicles • (non-fleet and fleet) including jet fuel, aviation gasoline, Navy-special fuel,
automobile gasoline, diesel-distillate and liquefied petroleum gas
(LPG)/propane
• 2007, 365,000 convey vehicles to support 300,000 troops in Iraq
• 35,400 vehicles moving just fuel
• In Afghanistan, cost to deliver one gallon of fuel to a forward operating base
$200-$400/gallon
• ―Further, the cost of purchasing security for resupply convoys presents other
strategic threats by funding the very adversaries we are attempting to
defeat.‖
National Renewable Energy Laboratory Innovation for Our Energy Future
World oil Consumption
National Renewable Energy Laboratory Innovation for Our Energy Future
0 5,000,000 10,000,000 15,000,000 20,000,000 25,000,000
US
China
Japan
Russia
Germany
India
Canada
South Korea
Brazil
Mexico
Saudi Arabia
France
UK
Italy
Iran
Oil Consumption by top 15 Countries
(bbl/day)
National Renewable Energy Laboratory Innovation for Our Energy Future
Oil Reserves
U.S.NigeriaLibyaRussiaVenezuela
U.A.E.
KuwaitIraqIranCanadaSaudi Arabia
2%2%
3%5%
6%8%8%
9%10%
14%21%
Oil Suppliers
Updated July 2005. Source: International Energy Annual 2003 (EIA), Tables 1.2 and 8.1-O&GJ. Canada’s reserves include tar sands.
0% 10% 15% 20%5% 25%
NREL is a national laboratory of the U.S. Department of Energy, Office of Energy Efficiency and Renewable Energy, operated by the Alliance for Sustainable Energy, LLC.
Presentation Outline
• Introduction to NREL
• Overview of Transportation Fuel Market
• Overview of BiofuelsMarket
• Future Trends
• Impact of Federal and State Policies
Innovation for Our Energy Future
Options for Biofuels
National Renewable Energy Laboratory Innovation for Our Energy Future
RENEWABLES
FATS & OILS
Fischer-
Tropsch
Ethanol
(catalytic)
Ethanol
(fermented)
Methanol to
gasoline
Higher
alcohols
Cellulosic
Ethanol
Algae diesel
(dark)
Green diesel
Biodiesel
Algae diesel
(photosynth.)
Pyrolysis oilRenewable
Hydrocarbons
Near-term
Long-term
SUGAR SYNGAS
Now Corn
Ethanol
Biofuels: Corn Ethanol to Advanced
Biofuels
• Ethanol replaces MTBE as an oxygenate in 2003
• 2005 Energy Policy Act
• Renewable fuel (ethanol) blended with gasoline
• 2006 National Renewable Fuel Standard Program
• Double the amount of fuel ethanol and biodiesel by 2012
• 2007 Energy Independence and Security Act
• 15 billion gallons of fuel ethanol by 2015
• 2010 187 operating Ethanol plants,13 mgy capacity
• 15 plants expanding,
• adding another 1.43 mgy in capacity
• 26 states have ethanol plants
National Renewable Energy Laboratory Innovation for Our Energy Future
Biofuels: Corn Ethanol to Advanced
Biofuels
• EPA 2011 requirements for the RFS
• ethanol and other renewable fuels must account for at least 13.95 billion
gallons of U.S. fuel sales in 2011, while cellulosic biofuel must account
for 6.6 million gallons = “Blend Wall”
• E15
• On October 13, 2010, the EPA granted a partial waiver to allow fuel and
fuel additive manufacturers to introduce into gasoline that contains
greater than 10 volume percent (vol%) ethanol and up to 15 vol%
ethanol (E15) for use in certain motor vehicles
• E15 for use in Model Year (MY) 2007 and newer light-duty motor
vehicles, which includes passenger cars, light-duty trucks, and medium-
duty passenger vehicles.
• Not approving the waiver for E15 use in MY2000 and older light-duty
motor vehicles, heavy-duty gasoline engines and vehicles (e.g., delivery
trucks), highway and off-highway motorcycles, and nonroad engines,
vehicles, and equipment
National Renewable Energy Laboratory Innovation for Our Energy Future
Biofuels: Corn Ethanol to Advanced
Biofuels
National Renewable Energy Laboratory Innovation for Our Energy Future
• E15
• Vehicles manufactured between 1994 and 2000 MY, which are
still operational today, comprise 62.8 million vehicles, or
approximately 25% of the overall U.S. LD vehicle fleet (EPA
MOVES model)
• Vehicles manufactured between 2001 and 2010 MY, which are
still operational today, comprise 152 million vehicles, or
approximately 60% of the overall U.S. LD vehicle fleet
• Ricardo study ―…specifically focused on light duty on-road
vehicles produced in the 1994 to 2000 MY. The analysis concluded
that the adoption and use of E15 would not adversely affect fuel
system components in properly engineered vehicles, nor would it
cause them to perform in a sub-optimal manner, when compared to
the use of E10.‖
• Pushing the Blend Wall out but not eliminating it
Biofuels: Corn Ethanol to Advanced
Biofuels
National Renewable Energy Laboratory Innovation for Our Energy Future
E85 in the US• > 8 million Flex Fuel Vehicles
• 50% of all new vehicles coming off assembly line model year 2012 and beyond
will be FFVs according to the Big Three
Other Near-Term Biofuel Technologies:
Biodiesel and Green Diesel
Biodiesel – Transesterified vegetable oils blended with diesel
• Mature technology, US is the second largest producer of
biodiesel in the world, producing 17.7% of the world’s
biodiesel in 2009, 752 MGY
• American Jobs Creation Act of 2004 established and
extended blender’s tax credits to reduce the final cost (in
nominal terms) of biodiesel made from virgin oil by $1.00
per gallon, and biodiesel made from waste grease by
$0.50 per gallon
• Tax credits extended through 2010, production tied to tax
credits
Green Diesel/Gasoline – fats, waste oils, or virgin oils
blended with crude oil as a feedstock for making low-sulfur
diesel/gasoline in petroleum refineryLongTerm
Near Term
National Renewable Energy Laboratory Innovation for Our Energy Future
Oils, Fats & Greases as Bio-renewable
Petroleum Refinery Feedstocks
• Co-processing of
oils and greases with
petroleum fractions
• Utilize existing
process capacity
• Potential for lower
conversion costs
(than FAME)
• Higher quality diesel
blending component
• G/D flexibility
CatalyticCracker
DistillateHydrotreater
Oils andGreases
Green Gasoline& Olefins
GreenDiesel
ISBL Petroleum Refinery
Based on Presentations at 1st International Biorefinery Workshop, Washington DC, July 20-21, 2005- Future Energy for Mobility, James Simnick, BP- From Bioblending to Biorefining, Veronique Hervouet, Total- Opportunities for Biorenewables in Petroleum Refineries, Jennifer Holmgren, UOP
National Renewable Energy Laboratory Innovation for Our Energy Future
National Renewable Energy Laboratory Innovation for Our Energy Future
U.S. National Commitment to Biofuels
Near-term – Cost Goal
“Cost-competitive cellulosic ethanol”
– Cost-competitive in the blend market by 2012
Longer-term – Volumetric Goal
EISA (Energy Independence & Security Act)
– 36 billion gallons renewable fuel by 2022
• 21 billion gallons cellulosic + advanced biofuels
Renewable Fuel Standard (RFS) goals for biofuels
penetration are based on specific GHG reductions
from the fossil fuel it replaces.
• Biomass-based diesel 50% reduction
• Advanced biofuels 50% reduction
• Corn grain-based ethanol 20% reduction
• Cellulosic Biofuels 60% reduction
National Renewable Energy Laboratory Innovation for Our Energy Future
Near-Term Focus on Ethanol
Ethanol – as a blending agent from either grain or cellulosic
material from Agriculture and/or Forestry industry
Biodiesel – Transesterified vegetable oils blended with diesel
Green Diesel/Gasoline – fats, waste oils, or virgin oils blended
with crude oil as a feedstock for making low-sulfur
diesel/gasoline in petroleum refinery
Pyrolysis Liquids – as a boiler fuel or an alternative feedstock to
petroleum refinery or gasification facility; also a future source of
aromatics and/or phenols
Synthesis Gas – for conversion to Fischer Tropsch liquids,
MeOH/DME, or mixed alcohols
Algae – as alternative source of triglycerides for biodiesel or green
diesel
Hydrocarbons – from hydrogenation of carbohydrates or ligninLongTerm
Near Term
Cellulosic Ethanol Research at NREL
National Renewable Energy Laboratory Innovation for Our Energy Future
Indirect
Gasification
Catalytic
SynthesisSeparation
Syngas
CO+H2
Mixed
alcohols
Thermochemical Mixed Alcohols
Chemical
Pretreatment
Enzymatic
HydrolysisFermentation
Sugar
Biochemical Ethanol
NREL core research includes:
• Increase pretreatment conversion
• Reduce enzyme cost
• Reduce commodity chemical usage
2008 State of Technology predicts $2.61/gal ($3.92/gal gas equiv.)
NREL core research includes:
• Increase tar reformer conversion
• Identify sulfur mitigation solution
• Improve alcohol synthesis catalyst performance
2008 State of Technology predicts $2.40/gal ($3.60/gal gas equiv.)
Ethanol
Methanol
Ethanol
Propanol+
Cellulosics
Cellulosics
National Renewable Energy Laboratory Innovation for Our Energy Future
The Biorefinery Concept
Trees
Grasses
Agricultural crops
Residues
Animal wastes
Municipal solid waste
UsesFuels Ethanol Butanol Higher alcohols Green gasoline Renewable diesel
Jet Fuel
Power Electricity Heat
Chemicals Plastics Solvents Chemical intermediates Phenolics Adhesives Furfural Fatty acids Acetic acid Carbon black Paints Dyes, pigments, and ink Detergents
Food and Feed
Enzymatic fermentation
Gas/liquid fermentation
Direct microbial production of hydrocarbons
Acid hydrolysis/ fermentation
Gasification
Combustion
Co-firing
Pyrolysis
Conversion Processes
Biomass Feedstocks
National Renewable Energy Laboratory Innovation for Our Energy Future
Major DOE Biofuels Project Locations
Four Commercial-Scale Biorefinergy Projects: up to $305 million
Nine Small-Scale (10%) Biorefinery Projects: up to $240 million (first round)
Three Bioenergy Centers: up to $405 million
Four Thermochemical Biofuels Projects: up to $7.7 million
Four Improved Enzyme Projects: up to $33.8 million
Five Projects for Advanced Ethanol Conversion Organisms: up to $23 million
Pacific Ethanol Biochemical
Wheat Straw/Corn Stover
(Boardman, OR)
Blue Fire
Biochemical
Municipal Solid Waste
(Corona, CA)
Poet
Biochemical
Corn Stover
(Emmetsburg, IA)
Lignol
Biochemical
Wood Residues
( CO)
ICM
Biochemical
Switchgrass, Corn
Stover
(St. Joseph, MO)
Abengoa
Biochemical/
Thermo
Ag Waste, Switchgrass
(Hugoton, KS)
DOE Joint Bioenergy Institute
(Berkeley, CA)
DOE Great Lakes Bioenergy
Research Center
(Madison, WI)
DOE Bioenergy
Science Center
(Oak Ridge, TN)
NewPage
Thermochemical
Wood Chips
(Wisconsin Rapids, WI)
Range Fuels
Thermochemical
Wood Chips
(Soperton, GA)
Iowa State
Thermochemical
Switchgrass
(Ames, IA)Emery Energy
Thermochemical
Corn Stover
(Salt Lake City, UT)
Southern Research
Institute
Thermochemical
Various
(Birmingham, AL)
Genencor
Biochemical
Various
(Palo Alto, CA)
Verenium Corp
Biochemical (2)
Various
(San Diego, CA)
DuPont
Biochemical
Various
(Wilmington, DE)
Mascoma
Biochemical
Various
(Lebanon, NH)
Purdue University
Biochemical
(West Lafayette, IN)
Cargill Inc
Biochemical
Various
(Minneapolis, MN)
Regional PartnershipsSouth Dakota State Univ., Brookings, SD
Cornell University, Ithaca, NY
Univ. of Tennessee, Knoxville, TN
Oklahoma State Univ., Stillwater, OK
Oregon State Univ., Corvallis, OR
Key
Company
Process
Feedstock
(Location)
Flambeau River
Thermochemical
Wood Chips
(Park Falls, WI)
RSE
Biochemical
Pulp extract
(Old Town, ME)
Alltech/Envirofine
Biochemical
Corn Cob
(KY)
Mascoma
Biochemical
Switchgrass (TN)
Verenium
Biochemical
Bagasse, Energy Cane
(Jennings, LA)
NREL
Cellulosic Ethanol Plants
Abengoa, ICM Inc.
AE Biofuels, Iogen Corp.
Bluefire Ethanol
California Ethanol Power, LLC
Coskata, Mascoma
DuPont Danisco Cellulosic
Ethanol, LLC
Frontier Renewable Resources,
LLC
KL Process, Pacific Ethanol
New Planet Energy
POET, Qteros
Range Fuels Inc.
Verenium, Verenium/BP Biofuels
Zea
Myriant Technologies LLC
BuckeyeTechnologies Inc.
National Renewable Energy Laboratory Innovation for Our Energy Future
NREL is a national laboratory of the U.S. Department of Energy, Office of Energy Efficiency and Renewable Energy, operated by the Alliance for Sustainable Energy, LLC.
Presentation Outline
• Introduction to NREL
• Overview of Transportation
Fuel Market
• Overview of Biofuels Market
• Future Biofuels
• Impact of Federal and State
Policies
Innovation for Our Energy Future
Advanced Biofuels from Sugars
Starch
Sugar
Aqueous-Phase
Reforming
Fermentation with
engineered microbes
Sugarcane
Dark Algae
Oil
Cellulosics
Fermentation
LS9, Amyris Solazyme
Gasoline
Diesel
Jet
Virent
Gasoline
Diesel
Jet
Biodiesel
Ethanol
Diesel
Benefits
•Infrastructure-compatible
•Highly controlled fuel properties
Challenges
•Feedstock availability
•Compatibility with cellulosic sugar
Butanol
Gevo, Cobalt
Mid-Term Biofuel Technologies
Ethanol – as a blending agent from either grain or cellulosic
material from Ag and/or Forestry industry
Biodiesel – Transesterified vegetable oils blended with diesel
Green Diesel/Gasoline – fats, waste oils, or virgin oils blended
with crude oil as a feedstock for making low-sulfur
diesel/gasoline in petroleum refinery
Pyrolysis Liquids – as a boiler fuel or an alternative feedstock to
petroleum refinery or gasification facility, also a future source
of aromatics and/or phenolsDME, or mixed alcohols
LongTerm
Near Term
National Renewable Energy Laboratory Innovation for Our Energy Future
Bio-oil is comprised of many oxygenated organic
chemicals, with water-miscible and oil-miscible
fractions
Fast Pyrolysis and Bio-oil as a Blending
Agent for Petroleum Refineries
Based on research at NREL (1990 - 2006)
Dark brown mobile liquid,
Combustible,
Not 100% miscible with hydrocarbons,
Modest heating value ~ 17 MJ/kg,
High density ~ 1.2 kg/l,
Acidic, pH ~ 2.5,
Pungent odour,
“Ages” - viscosity increases with time
National Renewable Energy Laboratory Innovation for Our Energy Future
Mid-Term Biofuel Technologies
Ethanol – as a blending agent from either grain or cellulosic
material from Ag and/or Forestry industry
Biodiesel – Transesterified vegetable oils blended with diesel
Green Diesel/Gasoline – fats, waste oils, or virgin oils blended
with crude oil as a feedstock for making low-sulfur
diesel/gasoline in petroleum refinery
Pyrolysis Liquids – as a boiler fuel or an alternative feedstock to
petroleum refinery or gasification facility, also a future source
of aromatics and/or phenols
Synthesis Gas – for conversion to mixed alcohols, Fischer
Tropsch liquids, MeOH to Gasoline, or DME
LongTerm
Near Term
National Renewable Energy Laboratory Innovation for Our Energy Future
Gasification Offers Many Feed & Product
Options
Primary Energy
SourceSyngas Step Conversion Technology Products
Syngas
(CO + H2)
Fischer
Tropsch
(FT)
Upgrading
Lubes
Naphtha
DieselSyngas to Liquids (GTL) Process
Mixed Alcohols (e.g. ethanol, propanol)
Syngas to Chemicals Technologies
Methanol
Acetic Acid
Others (e.g. Triptane, DME, etc)
Coal
Natural
Gas
Biomass
Hydrogen
Extra
Heavy
Oil
Slide courtesy of BP Corporation
Methanol
Advanced Biofuels from Syngas
Syngas
gasification
Fischer-Tropsch
Synthesis
Methanol
SynthesisFermentation
Dry Organic
Material
Cellulosics
Mixed Alcohol
Synthesis
Gasoline
Diesel
Jet
Solena, Choren,
Rentech
Gasoline
Ethanol
Propanol+
Methanol-to-
Gasoline Ethanol
Coskata,
INEOS
Benefits
•Product versatility
•Proven technology
Challenges
•Biomass collection radius dictates
smallish plant size
•Limited economy of scale
National Renewable Energy Laboratory Innovation for Our Energy Future
Long-Term Biofuel Technologies
LongTerm
Near Term
Ethanol – as a blending agent from either grain or cellulosic material from Agriculture and/or Forestry industry
Biodiesel – Transesterified vegetable oils blended with diesel
Green Diesel/Gasoline – fats, waste oils, or virgin oils blended with crude oil as a feedstock for making low-sulfur diesel/gasoline in petroleum refinery
Pyrolysis Liquids – as a boiler fuel or an alternative feedstock to petroleum refinery or gasification facility, also a future source of aromatics and/or phenols
Synthesis Gas – for conversion to mixed alcohols, Fischer Tropsch liquids, methanol, or dimethyl ether
Algae to Fuels – ethanol or to biodiesel or as a lipid source for green diesel or synthetic gasoline
Hydrocarbons – from hydrogenation of carbohydrates or lignin
National Renewable Energy Laboratory Innovation for Our Energy Future
A Novel Approach -- Jet Fuel from Biomass
Combine two technologies: Algae & Green Diesel
CO2
Cultivation Ponds
Microalgae
• Ethanol
• Power
• Food
60%
Triglyceride
40%
Carbohydrates
and
Protein
Jet Fuel (JP-8)
Green Diesel
Advanced Biofuels from Fats and Oils
Dry Organic
Material
Cellulosics
Envergent Tech.
“Big Oil”
ConocoPhillips/Tyson
Neste, Petrobras, Shell/Choren
Fats & Oils
Natural or WasteTransesterification Biodiesel
Refinery
Hydrotreating
& UpgradingPyrolysis
Algae growth
& oil harvest
Gasoline
Diesel
Jet
“Big Bang”Livefuels
PetroSun
Chevron
Boeing
Algenol (EtOH)
Benefits
•Portability of oil intermediate
•Infrastructure compatibility
Challenges
•Land use change
•Pyrolysis process design
•Algae biology and culture
NREL is a national laboratory of the U.S. Department of Energy, Office of Energy Efficiency and Renewable Energy, operated by the Alliance for Sustainable Energy, LLC.
Presentation Outline
• Introduction to NREL
• Overview of Transportation
Fuel Market
• Overview of Biofuels Market
• Future Biofuels
• Impact of Federal and
State Policies
Innovation for Our Energy Future
National Renewable Energy Laboratory Innovation for Our Energy Future
State of the Union Address
2006
―America is addicted to oil… The best way to break this addiction is
through technology.
Our goal is to make this ethanol practical and competitive within six
years.
To replace more than 75 percent of our oil imports from the Middle
East by 2025.‖ – 50 B gallons of EtOH
2007
Reduce U.S. gasoline usage by 20 percent in
10 years – 75% from new fuels – 25% from
vehicle efficiency.
Mandatory fuels standard to require 35 B
gallons of renewable and alternative fuels in
2017.
The Advanced Energy Initiative
FEDERAL Policies Driving Biofuels Market
National Renewable Energy Laboratory Innovation for Our Energy Future
• 2004 American Jobs Creation Act converted ethanol excise tax
exemption to flat tax credit and extended to 2010 ($0.51/gal)
• 2005 Energy Policy Act
•Renewable Fuel Standard introduced
• ―932s‖ fund cellulosic biorefinery demonstration projects
•2006 National Renewable Fuel Standard Program
•Double the amount of fuel ethanol and biodiesel by 2012
•2007 Energy Independence and Security Act (RSF2)
• 36 billion gallons renewable fuel by 2022
21 billion gallons cellulosic + advanced biofuels
• 2007 DOE funds the development of 6 commercial scale
biorefineries
• 2008 DOE funds 10% commercial scale cellulosic biorefineries
• President Obama establishes the Biofuels Interagency Working
Group
• DOE and USDA
• next generation biofuels, FFVs, retail marketing efforts
FEDERAL Policies Driving Biofuels Market
National Renewable Energy Laboratory Innovation for Our Energy Future
•2010 USDA announces the establishment of 5 regional biomass research
centers, loan guarantees for biorefineries, expand blender pump
distribution infrastructure, financial assistance to growers of biofuel
feedstocks, partnership with airline industry, military, and federal
government to expand the use of biofuels.
• GHG reduction, Carbon trade and cap
• 2009 Air Force Energy Policy
•Test and certify all aircraft and systems against
50/50 alternative fuel blend by 2011
• Increase the number of fexible fuel systems
• By 2016, be prepared to cost competitively acquire
50% of the Air Force’s domestic aviation fuel
requirement via an alternative fuel blend in which
the alternative component is derived from domestic
sources produced in a manner that is greener than
fuels produced from conventional petroleum
FEDERAL Policies Driving Biofuels Market
National Renewable Energy Laboratory Innovation for Our Energy Future
• Navy Biofuel Initiatives
• Sail a Green Strike Group by 2016
• Reduce non-tactical petroleum use by 50% by 2015
• Certify 50/50 biofuel blend in Navy ships and aircraft by 2012
• 2010 flew F/A -18 Super Hornet and MH60S Sea Hawk on 50/50
biofuel blend
• "In October 2009, I issued five energy targets for my department,
the most important of which is that by the year 2020 – a decade
from now – half of all the energy we use afloat and ashore, in the
air, on the sea, under the sea or on land will come from non-fossil
fuel sources," said secretary of the Navy Ray Mabus, in October
2010 at the Energy Security Forum held at the Pentagon.
FEDERAL Policies Driving Biofuels Market
National Renewable Energy Laboratory Innovation for Our Energy Future
• Marine Corps Biofuel Initiatives
• Under the 2007 Energy Independence Security Act, there is a
requirement for the Marines to reduce energy consumption by 30%
by 2015 compared with 2003's energy consumption. Additionally,
the Marine Corps is mandated to have 25% of its energy come
from renewable sources by 2025.
• 2009, Camp Lejeune used 50,034 gallons of biodiesel and Cherry
Point air station used 43,339 gallons
• Marine Corps Base Hawaii installed E85 and B20 fuel pumps for
their 70 FFVS
State Biofuel Policies and Initiatives
National Renewable Energy Laboratory Innovation for Our Energy Future
• State Biofuel Policies
• NCSL, 2005-2006 26 states passed legislation and provided
millions in grants, loans, tax breaks, sales tax exemptions,
corporate tax credits and rebate program to develop a biofuel
industry in their state
• Minnesota currently has two bills looking to develop other forms
of ethanol. HB 589/SB 480 and HF 2200/SB 2074, among other
things, support projects that develop cellulosic ethanol and improve
the efficiency of hydrogen.
• Virginia's SB 689, which was signed by the Governor,
establishes a grant program for the development of biofuels and
ethanol fuels and expands qualifying ethanol products to potatoes,
cereal grains, whey, sugar beets, forest products, residue and
waste.
• North Carolina SB 1451 creates a biodiesel incentive fund that
prioritizes grants based on the amount of North Carolina waste
products used in the production of biodiesel.
State Biofuel Policies and Initiatives
National Renewable Energy Laboratory Innovation for Our Energy Future
• State Biofuel Policies
• Florida SB 2870 expands the definition of renewable energy
resources to include waste products from livestock or poultry
operations.
•Iowa has two bills that look to increase renewable fuel distribution and
use. HF 2247 provides for motor fuel pumps which dispense renewable
fuel. HF 2632 provides for, among other things, infrastructure
associated with storing, blending, and dispensing renewable fuel.
• Arizona is also looking to establish a Biofuels Conversion Program
within the state's Department of Energy to convert existing and future
equipment at motor fuel dispensing sites so that they will be able to
dispense biofuels.
• Hawaii's HB 3179 expands the definition of "renewable energy
producer" to include growers and producers of organic materials used
primarily for the production of biofuels or other fuels, so that they will be
eligible for direct leases of public land.
NREL is a national laboratory of the U.S. Department of Energy Office of Energy Efficiency and Renewable Energy operated by the Alliance for Sustainable Energy, LLC
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