Working with farmers, ranchers and rural communities to produce clean energy

August 2004 – Newsletter #6 | Archive

Farm Group Support Grows for Renewable Energy Standards
A new report published by Harvesting Clean Energy shows agricultural organizations across the country are joining a growing trend to support renewable energy standards. More than 20 state and national farming organizations, including the American Farm Bureau Federation and the National Farmers Union, now support renewable energy standards, and Northwest agricultural organizations are beginning to sign on. In a press release for the new report, for example, the Idaho Farm Bureau announced it will advocate for a 10% renewable fuels standard in the state. Both the full report and a summary are available.

Farm Bureau President Discusses Farm Energy Costs, Opportunities
American Farm Bureau Federation President Bob Stallman discussed rising energy costs and clean energy during a June 25 energy conference hosted by the Farm Foundation. Stallman noted today's energy situation presents farmers with a number of opportunities in the area of producing renewable fuels and wind energy.

Ag Secretary Veneman Supports Energy from Agriculture
Agriculture Secretary Ann Veneman provided a keynote speech on June 24 at the USDA Conference on Agriculture as a Producer and Consumer of Energy. Veneman noted that, "While farmers and ranchers have always provided the fuel that keeps our bodies running strong, today we see limitless opportunities for agriculture to help power our nation as well."

Federal Production Tax Credit Renewal Inches Forward
Senate leaders have reached an agreement allowing appointments to a House-Senate conference committee as the first step of negotiations on a final version of corporate tax legislation containing key renewable energy provisions. The House version (HR 4520) contains an extension of the PTC, while the Senate version (S 1637) not only renews the PTC but expands it to solar, geothermal, and some forms of biomass, as well as providing a 15% residential solar tax credit. Under the best-case scenario, the end of September remains the earliest point at which final action could occur. More likely, final action will take place during a "lame duck" session in November. Northwest Senators named to the conference committee are Gordon Smith (OR) and Max Baucus (MT). The House is expected to name its conferees soon.

Meanwhile, a bi-partisan letter circulating in the House urges the House Conferees, "to accept the Senate provisions that would extend and expand the renewable energy production tax credit to apply to other renewable energy technologies, including solar energy, geothermal energy, open-loop biomass, and small irrigation power - while also maintaining the current law's inflation adjustment."

Signatories to the House letter include Northwest Representatives Brian Baird (WA), Earl Blumenauer (OR), Peter DeFazio (OR), Jay Inslee (WA), Rick Larsen (WA), Jim McDermott (WA), Adam Smith (WA), Greg Walden (OR) and David Wu (OR). A similar letter in the Senate, urging support for the PTC for all renewables, has gathered signatures from Northwest Senators Maria Cantwell (WA), Larry Craig (ID), Mike Crapo (ID) and Patty Murray (WA).

House Approves 2005 Appropriation Request, Restores 9006 Funding
On July 13 the House approved its Agriculture Appropriations Bill for the 2005 fiscal year. Funding for Value-Added Producer Grants increased slightly over 2004 levels to $15.5 million, but still lags behind the $40 million authorized under the 2002 Farm Bill. Support for Federal procurement of biobased products doubled to nearly $2 million. The House Appropriations Committee had proposed a one-third cut in the popular Section 9006 (Renewable Energy and Energy Efficiency Rural Development) program, but an amendment offered by Rep. Marcy Kaptur (OH) and co-sponsored by Rep. David Wu (OR) restored funding to the full $23 million. Support for other Farm Bill programs remained at current levels. At this writing, no date has been set for markup by the Senate Agriculture Appropriations Bill.

Requests for Section 9006 Grant Support Grow
USDA's Office of Rural and Community Development received 237 applications totaling $36.6 million for the Renewable Energy and Energy Efficiency grant program, a 60% increase over last year. Last year USDA received 148 applications and funded 114 for a total of $21.7 million. Only $23 million in funding is authorized by the 2002 Farm Bill. This year's requests include three from Idaho, and two each from Oregon, Montana and Washington. Award announcements are expected in early September.

Federal Biomass R&D Grants Announced
DOE and USDA have awarded $25 million in funding under Section 9008 of the 2002 Farm Bill. Only 22 projects in 17 states (none in the Northwest) were successful out of more than 400 applications received. Included are new gasification and ethanol production technologies, liquid fuels derived from biomass to power a fuel cell, a small-scale biomass-fired gas turbine, and production of high-purity hydrogen from farm animal wastes. See the proposal compilation for details.

Small Business Innovation Research Grants Available
These programs focus on research and product/process development, including renewable energy, and don't require matching funds. Companies must have fewer than 500 employees. Phase 1 applications are due August 31.
Rural and Community Development
Marketing and Trade
Industrial Applications
Forests and Related Resources
Plant Production and Protection
Animal Waste Management

USDA Announces $150 Million for 2005 Bioenergy Program
Signup through August 31 for the 2005 Bioenergy Program and stimulate industrial consumption of agricultural commodities by promoting their use in bioenergy production. Commercial ethanol and biodiesel producers who increase production from eligible commodities are invited to enroll. Eligible commodities include barley, wheat, various oilseeds, cellulosic crops such as switchgrass and hybrid poplars, and fats, oils, and greases derived from an agricultural product or animal byproduct. Biodiesel producers are also eligible for a payment of 15% of their base production that is not an increase over the prior year.

BPA Regional Dialogue Holds Meetings
Bonneville Power Administration has scheduled six public meetings (Seattle, Eugene, Spokane, Boise, Portland and Kalispell) to solicit feedback on policy plans for their next rate period. The policy proposal is available for review, with comments due September 22.

Cluster Analysis Planned for Oregon Biodiesel Industry
Oregon Department of Economic and Community Development and Oregon Environmental Council will receive EPA funding this fall to develop a comprehensive list of Oregon biodiesel stakeholders, perform a "cluster analysis," and identify key industry needs. A cluster analysis determines connections and missing links between lead and supporting firms and customers. Other project goals include technical assistance to businesses to increase biodiesel production, and a marketing campaign to increase biodiesel purchases. Contact Chris Hagerbaumer at OEC for details.

Iogen Partners with Idaho Straw Project
Ethanol technology leader Iogen recently agreed to partner with 4-D Farms near Rupert. Iogen will provide in-kind services under a 2003 USDA Value-Added Producer Grant designed to determine the most efficient way to process, store and deliver straw to an ethanol plant. Project data will be analyzed later this year to support development of a turnkey business plan for a grower co-op to work with Iogen and its partner, Shell Oil. In 2002, Iogen looked at nearly 1,000 counties throughout the US and determined Southeast Idaho offered the best available feedstock for their operations.

Winergy: Alternative Energy and Viticulture
Students and faculty at Heritage College in Toppenish, WA have been looking for beneficial uses for nearly one-million tons of agricultural residue generated annually in and around the Yakima Valley. Of particular interest are ways to use grape seeds, skins and stems in the formulation of liquid, solid and gaseous fuels. Support for the college's EcoVino initiative ("more good from the grape") is being provided by the US Department of Commerce's Economic Development Administration.

Montana Company Seeks to Produce Ethanol from Wood
A Bozeman firm, Brelsford Engineering, hopes to begin using small diameter timber to produce ethanol using a patented extraction process known as dilute-acid cellulose hydrolysis. Brelsford calculates their costs will be 70% or less of other extraction processes. If efficiencies hold up on a commercial scale, they envision many small-scale ethanol plants scattered over the region, allowing ranchers and other landowners to enter the ethanol business.

Capital Press: Change Regulations to Encourage Power from Forests
According to a guest commentary, potential energy shortfalls and dangerously overcrowded forests in the western United States may share a common solution: biomass energy. "With non-renewable fuels providing the vast majority of our electricity, this ought to be the moment for biomass energy facilities to come into their own."

Hybrid Poplar & High Plains Oilseed Studies Receive Additional Funding
GreenWood Resources of Portland, OR recently received a Phase II Small Business Innovation Research/Small Business Technology Transfer grant from the US DOE. GreenWood is developing poplar hybrids tailored specifically to the needs of biofuel and bioproduct industries in the Northwest. Blue Sun Biodiesel of Fort Collins, CO also received Phase II support for efforts to improve cool season oilseed productivity to support biodiesel production in the high plains.

Washington State Ferries to Burn Cleaner Fuels
The largest state ferry system in the country is converting its fleet to cleaner fuels and reducing fuel consumption. Year-long trials of low-sulfur, ultra low-sulfur and biodiesel fuels are underway as part of the EPA's Clean Diesel Program. Ferries serving the "Triangle Route" between Fauntleroy, Southworth and Vashon Island will burn B20 (20%) biodiesel.

Treasure Valley Renewable Resources On Hold
Malheur County Court has postponed until January a land use ruling necessary for TVRR to move ahead with their $77 million biorefinery designed to produce ethanol and dietary products for the food and pharmaceutical industries. Opponents have argued the plant is too close to homes and neighborhoods and could cause pollution. Four local dairies and two feedlots in the Treasure Valley area have expressed interest in contracting with the proposed biorefinery.

Methanol From Biomass Competitive with Gasoline
A study of a new, patented Swedish technology concluded that methanol can be produced from biomass via black liquor gasification at a cost competitive with that of gasoline and diesel. Methanol can be used for flexible fuel vehicles, and since it is rich in hydrogen and has physical characteristics similar to gasoline, can also be used as a hydrogen carrier fuel to power fuel cell vehicles.

Dairies Can Help Reduce Greenhouse Gas Emissions
Vander Haak Dairy's new anaerobic digester, profiled in the previous edition of Harvesting Clean Energy eNews Bulletin, was the focus of a followup article in Capital Press. Learn more about the exciting research underway at the first commercial dairy anaerobic digester to be built in Washington state.

Guest Commentary: Biodiesel Needs Attitude Changes, Creative Investments
Spokane economic development specialist Terry Lawhead explores the cultural and political challenges facing our shared energy future. "Concerned citizens participating in the civic process have to decide where we can get to and then assume innovation and change will happen in order to get America from unsustainable to sustainable." Drop Terry a note with your thoughts on our first guest commentary.

Idaho "Wind Warriors" Undertake Prospecting Trip
Efforts by the Idaho Energy Division, Idaho National Engineering and Environmental Laboratory, DOE and BPA to locate commercial-scale wind resources in the Raft River Rural Electric Co-op service area were profiled in a feature article in the Twin Falls Times-News. The program is funded by a DOE Wind Powering America grant.

Windland Looks to Harness Wind in Cotterel Mountains
This profile provides a thorough update on Windland's proposed 80-100 turbine wind farm on federal land in the Cotterel Mountains. Whether to proceed with the 30-year lease will be up to the Bureau of Land Management, which has been studying the project since December 2002. The site is considered one of the best in the state, with consistent class 5 and 6 winds.

Twin Falls Times-News: Wind Farm Proposal Stands Up to Criticism
In a July 1 editorial, the Times-News states that opposition to windmills in the Albion Valley isn't strong enough to topple a new wind farm. Debate over Windland's proposed project in the surrounding Cotterel Mountains has largely centered on aesthetic concerns. According to the paper, the real issues should be whether the power will be sold to Idaho homes, and the return of net proceeds to project investors.

Kittitas Daily Record: It's Time to Approve Wind Farms
In their July 22 editorial, the Daily Record urged that wind farm proposals in the county be treated, "like the sound propositions that they are: private business developments that bring minimal negative impacts to the county in relationship to the benefits." Three projects (Kittitas Valley, Desert Claim and Wild Horse) have raised a number of community concerns. But in the paper's opinion, "Local, state and federal officials charged with review and approval of the projects should proceed with alacrity, confident that the projects have been properly vetted with area residents." The Daily Record provides a FAQ with additional project details.

Drought-Stricken Farmers Benefit from Wind Farms
A feature article in the Albuquerque Tribune explores the community economics and politics behind the growth in wind power on Colorado's distressed southeastern plains. The towns and utilities were able to take advantage of volume discounting through the Colorado Green program to purchase turbines.

Washington Company Continues Development of Unique Turbine
A Bellevue, WA firm, Wind Turbine Company, has been awarded an $800,000 contract from DOE's National Renewable Energy Laboratory to continue prototype testing and development of the company's two-blade downwind design. The current contract is focused on optimizing the design and preparing the new machine for the commercial marketplace.

NorthWestern Solicits Wind Energy Again
Montana's largest utility is in the market for wind power again, this time for 150 MW of wind capacity (roughly 50 average MW of energy). Wind energy development in the region's windiest state has stalled due to NorthWestern's bankruptcy, the expired federal production tax credit and regulatory issues.

Columbia Gorge Wind Turbine Correction
Don Bain of Aeropower Services in Portland points out that the 22 kW turbine being installed outside Hood River is not the first effort to harness Columbia Gorge wind power (see last month's eNews Bulletin). "In the early '80s, BPA had a regional demonstration program which installed several 1.2 kW Enertech machines, one of which was just west of Dallesport. The Solar Research Energy Institute (now the National Renewable Energy Lab) also had a Field Evaluation Program during the same time which installed a Pinson Cycloturbine near The Dalles."

Second Oregon Renewable Energy Plan Draft Released
The second draft of Oregon's Renewable Energy Plan is now available for review. Take a moment to look over their hard work, and send in your comments by August 27.

Western Governors Launch Clean Energy Initiative
Western Governors agreed unanimously at a joint meeting on June 22 to explore opportunities to develop, "a clean, secure and diversified energy system for the West and to capitalize on the region's immense energy resources." The resolution builds upon recommendations received from nearly 700 participants at the North American Energy Summit in April. Among the goals, 30,000 MW of clean energy by 2015 and a 20% improvement in energy efficiency by 2020.

Independent Energy Quarterly Explores Northwest Coops
NW SEED (Sustainable Energy for Economic Development) focuses on cooperative ownership of rural clean energy in the summer edition of their Independent Energy Quarterly. Highlights include articles on wind power and energy use in Montana, community energy coops in the region, and clean power and low-income households.

Renewable Energy Finance Directory Under Development
The American Council on Renewable Energy is creating a resource to assist project developers and entrepreneurs seeking capital, and investors seeking financial opportunities. The Renewable Energy Finance Network Directory will contain information on sources of finance for renewable energy and energy efficiency throughout the country. A 2004 draft version is already available.

Northwest Technology Investors Look for Opportunities
Northwest Technology Investor Network brings entrepreneurs and investors together to explore opportunities in technology-based industries, including natural resources, food processing, bio-products and renewable energy. A one-time membership is required.

Farmers, Foresters Can Help Fight Global Warming
North Cheatham, a Hood River commercial organic fruit grower, recently authored a commentary for The Oregonian on how American farmers and foresters can be major producers of clean, domestic, renewable sources of energy that make money, reduce greenhouse gases and wean our country from foreign oil.

BCO Newsletter Explore Biofuels & Mideast Oil Dependence
The latest edition of EESI's Bioenergy-Climate Protection-Oil Reduction (BCO) newsletter features an article from the Managing Director of the Biobased Manufacturers Association on how biofuels can end dependence on Mideast oil. Also included are updates on federal clean energy appropriations and grant programs. Send your name and address to EESI to receive future editions.

Geothermal Literature Review Available
The Geothermal Energy Association has conducted an extensive characterization of information available on the geothermal industry. The 71-page report, Geothermal Literature Assessment: Environmental Issues, was released in May. GEA will also produce papers on the socioeconomic and technical aspects of geothermal energy. For more information on environmental issues contact Diana Bates, and on socioeconomic research contact Nathanael Hance.

Heat Transfer Principles Explained
The July edition of the Geo-Heat Center Quarterly Bulletin includes the article, Direct-Use Temperature Requirements: A Few Rules of Thumb. The author explains the general principles of heat transfer and then applies them in different heating applications including aquaculture and pools, and greenhouses and building spaces.

Diverse Issues Tackled at National Solar Gathering
The National Solar Energy Conference, held in Portland in mid-July, addressed myriad topics, including local initiatives, regulatory advocacy, public benefits funding programs, the role of the marketplace and subsidies, and the role of solar in a hydrogen economy.

Carrying the Future Forward: Hydrogen vs. Electricity
A new report from the Institute for Lifecycle Environmental Assessment compares transmission, storage and transportation issues surrounding hydrogen and electricity, and common ground in the development of renewable energy. An executive summary is also available.

Northwest Renewable Energy Festival, Sept 24-25, Walla Walla
Bring the whole family to the 5th annual renewable energy festival at the beautiful Walla Walla Fairgrounds. Learn about renewable energy, energy conservation, and how renewable resources can be implemented today and in the future.

Energizing the Northwest, Sept 28-29, Portland
Utility executives, policy makers, environmentalists, implementers and experts from around the region and the nation will explore innovative ways energy efficiency and transmission adequacy can help maintain the reliability of the electric system and the quality of the environment.

AWEA Wind Power Project Siting Workshop, Oct 13-14, Portland
Explore ways wind power projects affect, and don't affect, elements of the human and natural environment. The program will include presentations on emerging issues in project siting, such as bat interactions and wildlife survey techniques, and address ways to build local support for wind projects.

Growing the Renewable Energy Industry in Central Oregon, Oct 21-22, Redmond
The Central Oregon possesses a truly unique diversity of renewable energy resources including tremendous solar resources, wind, geothermal, biomass and the growing potential of micro-hydro. Several dozen renewable energy companies already exist. What are the next steps for making renewable energy a significant element of the local and state economy.

Biofuels Workshop & Trade Show: Building an Industry, Oct 25-27, Sacramento
This Western regional conference will focus on near-term commercial-scale ethanol and biodiesel production and use. Important technical and political issues that can enable biofuels production and use in the Western US, Canada and Pacific Rim will be discussed.