Bring on the B-5 biodiesel

Effective April 1st, 2011 all diesel road fuel sold in the state of Oregon will contain a 5% biodiesel blend.

The state of Oregon has achieved a biofuel milestone by reaching an annual production of 15 million gallons of biodiesel. Reaching this goal has set into motion the next phase of the Oregon Renewable Fuel Standard (RFS) which mandates a minimum of 5% biodiesel to be dispensed in all diesel fuels sold in the state. 


This increases the current biodiesel mandate of 2% biodiesel (98% petroleum) blend. This measure not only assures the sustainable production of biodiesel fuel in the local Oregon economy, but also shows the state's logistical approach in addressing the need to lower our carbon emissions.  

Exceptions to this mandate include:

1.) railroad locomotives

2.) marine engines

3.) home heating applications

Links:

Oregon Renewable Fuel Standard

B-5 notification (PDF file)

Biofuels Tax Credit How to claim the Oregon Biofuels Tax credit for B-99 and E-85 fuel blends

It's tax season and we've had a few requests for more information on the biofuels tax credit for Oregon residents. 

Passed in 2007, Oregon House Bill 2210 allows Oregon residents to claim a tax credit of up to $200.00 per year for purchasing B-99 biodiesel, and E-85 ethanol fuel blends. 

"Governor Kulongoski, provides a package of measures to encourage greater development, distribution and use of agricultural and forest material for biofuels, for electricity and for other forms of biomass energy use.  The bill expands property tax incentives for biofuel and certain fuel additive production facilities, establishes a new tax credit for producers and collectors of biofuel raw materials, based on Btu content of feedstock, and creates an income tax credit for consumer use of biofuel "

courtesy of Oregon.gov

How to claim the tax credit:

(For our example we will be using the standard 2010 Oregon 40 form.)
*click on form to download*

Claiming the biofuels tax credit is a pretty straight forward process. One quick thing to note is that a tax credit is not the same as a tax deduction. A tax deduction is an expense that lowers your total taxable income. In this case with a biofuels tax credit, it is a specific dollar amount that you can subtract from your liability to the state. In short, it's less money that you have to pay the state or more money that you would get back from the state.

1.) Gather all receipts for B-99 or E-85 fuel purchased in Oregon in the 2010 calendar year and add up the total amount of gallons purchased.

*If you purchased these fuels @ the SeQuential station in Eugene the receipts should have a dollar amount per gallon as well as a gallon amount that is specific to the thousandth of a gallon.

Ex: "10.132 gallons"

2.) B-99 tax credit is $.50 per gallon & the E-85 tax credit is for $.42 per gallon.

3.) Multiply your total gallons purchased by the appropriate credit for each fuel type.

4.) Go to box #39 on the 1040 form and plug the total into the box.

                     "Biofuel Consumer (code 744)"

5.) This is the total that you subtract from your debt to the state or money that the state may owe you as a refund depending on your individual situation.

6.) That's It!

Please note that the tax credit is ONLY for B-99 and E-85 fuel blends at this time. 

The tax credit is eligible up to a maximum of $200.00 per vehicle registered in Oregon.

The tax credit is a consumer tax credit and does not fall under the business expense category

*If you are preparing your taxes on-line, most services already have the necessary information built into the program for you to fill out.

New E85 flex-fuel station app for Android smart phones

The Renewable Fuels Association has released a free and useful mobile phone app for the Android smart phone line.

As many of you know, biofuels aren't always the easiest fuel to track down, especially when you're traveling or just in an unfamiliar area. This new app provides users with E85 station locations, prices, phone number, and most importantly -- directions.


I recently spent the holidays w/ my family in Arizona where we had rented a flex-fuel vehicle from the airport. I had installed the app a few days earlier and was excited to see it in action when I fired it up in a big city with hundreds of fueling stations. Within seconds a full map appeared on the screen displaying the stations in the area with an E85 pump.

With the mobile app becoming a growing standard in our daily lives, it is exciting to see an application designed specifically for the biofuel markets. No word yet on a biodiesel specific application, but I think it's only a matter of time until one is released.

“Being able to provide America’s consumers with more access to flex-fuel stations is helping raise awareness of the increasing amount of alternative fuels that are available to them,” said RFA Market Development Director, Robert White. “As more Americans fuel up with domestic fuel, we can reduce our dependency on foreign oil and increase energy security.”

Links:

 Renewable Fuels Association

E85 locator app for Garmin & TomTom GPS systems

Zeachem Inc. secures financing for completion of Oregon cellulosic ethanol refinery

Zeachem Inc, a leading developer for producing cellulose-based fuels, has announced that their new biorefinery will be completed on schedule and within their budget. 


The news comes after the company recently secured a guaranteed maximum price (GMP) for the construction of the refinery and a $25 million grant from the US Department of Energy. The new 250,000 gallon facility broke ground this summer in Boardman OR, with fuel grade cellulosic ethanol expected come on-line in 2011.

Zeachem's Technology Overview

Links:

Press Release

Zeachem

Convenience Store News - Oregon bans alcoholic energy drinks

The Oregon Liquor Control Commission (OLCC) has banned certain alcoholic energy drinks - effective immediately after a 4-1 vote at a special meeting last week.

These drinks have made recent headlines in the Eugene area with many UO undergraduates reportedly landing themselves in  the emergency room after consuming several of the 24oz cans in one night.

“The OLCC has been concerned about the health risks of these products for some time,”says OLCC Chairman Philip Lang. 

“It’s unfortunate that so many young people around the country were hurt by these products. We’re glad that we can play a role in preventing that from happening here in the future.”

Health experts confirm that the high level of caffeine can mask the effects normally felt from consuming alcohol in large volumes and the consumer therefore drinks more and more. Some cans have as much as 12% alcohol by volume, which puts one 24oz can equivalent to 4-5 regular sized beers. Combine that with the caffeine content and you are essentially drinking 4 beers and 2 cups of coffee at one time.

Why are we reporting on this? 

Because "traditional" or "regular" convenience  stores are the main retail locations for this controversial beverage. The drink is targeted at the youth market & people with smaller disposable incomes.  It directly promotes rapid intoxication at the low cost. 


These drink choices have no socially redeeming purposes & only go to illustrate the lack of ethics in convenience store management across the country. Just because you can make a profit off of something, doesn't mean that it's ok to sell it to your local community.


We're trying to be a better convenience store.


Our SeQuential retail station has adamantly refused to carry such products in our store because of these negative impacts of the drink.  We love our community and there are so many better beverage choices that are readily available the Northwest. We feel this one is a no brainer because it only takes a little more effort to provide your customers with higher quality choices at different price points. 

A short video by the Associated Press:

Links:

OLCC's overview 

Real time info-graphic by the National Biodiesel Board.

2011 Ford diesel truck engines fully compatible w/ biodiesel blends

Ford's new and improved 2011 Power Stroke®  V-8 turbocharged diesel engines are tested and approved to run on B-20 biodiesel.

The new engine design has performance improvements across the board in comparison to older heavy duty diesel engine models. Even more exciting is the news that this engine has lower overall emissions + greater flexibility in fuel choices with the capability of running B-20 biodiesel blends at high performance levels. To put it simply, It's a whole lot of truck with decreased environmental impact.


This increased biodiesel application in the new heavy duty engines increases biodiesel's use in industrial applications and passenger vehicles. This is an encouraging sign because vehicle and engine manufacturers hold a responsibility to biofuels enhancement as an on-road & off-road vehicle fuel of the future. We don't have much say in how an engine is built, but we can have the buying power to choose what type of fuel source we want to operate it with. After market modifications can always be made, but those usually come with downtime & significant costs to the consumer.

Biodiesel's natural ability to blend with petroleum diesel in any percentage is simple and beneficial common ground for engine manufacturers and consumers. I've personally met hundreds of die-hard B-20 drivers at the station who use and can attest to the performance & choice that B-20 has already given them. It's not just an easy way to go green, it's a proven way to get the job done.

I love the fact that Ford is promoting their new engine with a new Power Stroke® B20 emblem directly on the trucks. Hopefully we'll be seeing more of this is next year's models.


Links:
Ford Media Page w/ full engine info
Ford's green technology website
National Biodiesel Board 
Edmund's review: 2011 Ford Super Duty
Ford's 2011 Super Duty website 

Electric Car Charging Stations going to?

We all know one of the major drawbacks to electric cars: limited driving range. Yet, if there was a charging station on every corner it wouldn’t be an issue. The Department of Energy (DOE) recently announced a program to invest in several charging stations throughout Oregon.
Naturally, SeQuential was very excited about this given our proximity to I-5 and our commitment to sustainability. DOE gave the placement logistics to a third party company, who we met with several times.
Much to our dismay, we learned last week that SeQuential will not be receiving a charging station. Instead or going to local businesses, the chargers will be going to Arco stations, and only Arco stations. If there’s a sustainability connection to Arco, I’m certainly not aware of it.
This raises plenty of issues: the reality that big corporations will inevitably end up in the sustainability business, the importance of continuing to support truly local businesses, and that even the noble sustainability movement will encounter shady, back-door dealings to test the patience of us who desire positive change.

100 Years From Now...

Where do we want to be 100 years from now? You may ask, "Why do we care?" After all, we have serious problems now, and we need to deal with them right now. Forget this distant future stuff.

We care because currently, we lack a clear end-goal. For global warming, fossil fuels, and transportation, there's no obvious finish line anywhere in the near or distant future. When will we declare these problems solved? All we have is the ubiquitous Reduce-The-Bad mentality: "minimize the impact..." "reduce the consumption..." These are not clear end-goals.

Where do we need to be in 100 years? Take transportation: our cars and the fuel they run. The fuel needs to be made responsibly, using 100% renewable resources that don't add net-CO2 to the air. The fuel needs to be transported using 100% renewable resources, and produced using energy that is 100% renewable.

But it's much more than fuel. Take apart the car: the metal, paint, plastic, rubber, and fluids should all be easily produced and easily disposed of. They should fall into one of 2 "Cradle-to-Cradle" categories: 1) infinitely recycleable (like high-grade metals) or 2) truly biodegradable (meaning breaks down and nourishes the natural environment). There's no such thing as "acceptable pollution" or a law that says "you can pollute the earth this much."

Today, even our most sustainable cars like the Toyota Prius fall far short of these goals. The Prius runs on gasoline, a finite and CO2-emitting fuel. The plastic dashboard is made from petroleum-based plastic. The paints are not low-VOC or natural or non-toxic. The batteries are a mess from start to finish.

While it's true that progress is slow, that a silver bullet doesn't appear instantly, having these clear goals in mind helps drive our designs-pun intended. We don't need a scientific breakthrough like cold fusion to solve our problems. We can build cars now, today, using existing technology that meet all of the above criteria. If we could close our eyes and imagine driving a fun car made from recycled steel, non-toxic interior parts, recycled rubber tires, running on a clean local fuel, then maybe we would see that car when we open our eyes.

The 2 Big Questions

As consumers, we drive the products available. If no one bought something, it would disappear quickly. On the flip side, whatever you buy a lot of will stick around for a while. There are 2 questions we need to ask about any product we consume:


1. What is it made from?

2. How is it made?


In our business, what are the biofuels made from? There are many choices: corn, soy, used cooking oil, algae, cellulose, expired soda pop, food scraps, palm oil, sugar cane, jaltropa seeds, camelina, hemp, canola, fish oil, animal fat, and many more. SeQuential has always had this question in mind. We source the best options from all of these: our biodiesel - made from used cooking oil - has the lowest lifecycle carbon footprint of any alternative fuel, including electric cars plugged into today's grid. Our ethanol is still evolving, but much of it now comes from food processing sugar waste. Produced this way, it shatters the conventional wisdom about ethanol being an evil fuel that will starve the world and destroy the environment.



How is it made?

If we made these cool biofuels using slave labor, coal-fired electricity, barrels of petroleum, and produced tons of waste by-products, the game is up. Fortunately, this isn't the case! Our plant in Salem uses a proprietary washing system that produces zero waste water and a high-grade fertilizer. Heavy fats and oils that can't be processed are burned for heat and power. We have a distilation column to capture and re-use our methanol. All employees are paid excellent wages and have full benefits.

Here's the bottom line: consumption is complex. Boiling this complexity down to simple triggers like "biofuel" or "organic" is not good enough. Shallow doesn't cut it, you have to go deeper.

Jealous of Europeans? You are now!

Americans are all too familiar with gasoline engines. Our diesel engine experience is limited to big trucks, old Mercedes, and a handful of newer VW's. Yet we hear about this high mileage utopia called Europe, where stylish diesels are in every garage.

The message from car companies is "America isn't ready for diesel...we can't make cars that get high mileage...it's all too costly..." Without going to Europe, and hearing messages like these, we logically conclude European diesel cars exist from annonymous brands we've never heard of. Mythical companies shrouded in secret...wooooooh.

Let the truth shine in! Below are interesting links from your favorite car companies. Hopefully these are the cars we'll be driving in the near future.

Warning: the following may increase your desire to leave America.

Honda Civic w/ diesel engine getting 55mpg: http://www.honda.co.uk/cars/civic5door/#fullspecification

Subaru Outback w/ diesel boxer engine, getting 43mpg: http://www.subaru.co.uk/Subaru_co_uk/ViewMenu.qed?menuid=M0M0M1

Toyota Yaris w/ diesel getting 69mpg: http://www.toyota.co.uk/cgi-bin/toyota/bv/generic_editorial.jsp?deepLink=YA5_Specification_new&nodiv=TRUE&fullwidth=TRUE&edname=specSheet_YA5&carModel=Yaris&imgName=bv/CarChapter/YA5/Imagery/YA5_spec.jpg&zone=Zone%20YARIS&navRoot=toyota_1024_root

Expanded SeQuential-Pacific Biodiesel facility is online

After a years work, the newly expanded SeQuential-Pacific Biodiesel facility has turned on and has started producing biodiesel. The facility has some major improvements in efficiency and production processes - making biodiesel even more sustainable.

The Statesman Journal did an interview with Plant Manager Tyson Keever - check it out:
http://www.statesmanjournal.com/article/20081110/NEWS/811100329/1001/NEWS

Lots of new FlexFuels in 2009

I was just checking out the list of FlexFuel Vehicles (FFV) for model year 2009 and I have to give some big kudos to Chevy. Out of the 16 engine options they are offering, 13 are FFVs.

Vehicles that have FFV engines can use any ethanol blend of up to 85% ethanol, automatically adjusting engine timing to accomodate the fuel blend. Ethanol is much cleaner burning; a car running on E85 will decrease its Carbon Dioxide (CO2) emissions by about 41%. (This number takes into account the fact that there is less energy in a gallon of ethanol than in a gallon of pure gasoline, meaning you will use more ethanol to go the same distance.) 85% Ethanol is generally the cheapest fuel around; if you are an Oregon resident, you also qualify for a $0.50 / gallon tax credit!

Historically, most FFVs have not been labeled as such - especially if you drive an American made vehicle, you might have an FFV and not even know it. Check out a list of all FlexFuel Vehicles at http://www.e85fuel.com/e85101/flexfuelvehicles.php.

A list of all SeQuential E85 Ethanol pumps: http://www.sqbiofuels.com/locations.htm

More info on the Oregon Tax credit: http://www.sqbiofuels.com/tax_credit.html

High blends of biodiesel in newer vehicles

Concerns have been raised about using B99 Biodiesel in cars model years 2007 and beyond. SeQuential is researching these concerns and will update you as we learn more. In the mean time, if you are uncomfortable using a high-blend biodiesel, consider using a lower blend of biodiesel such as B5 or B20.

Cold weather is here: keep your vehicle on line!

It is time, once more, to switch to a lower blend of biodiesel.

For those of us who have been running B99 biodiesel thru the warmer months, now is the time to add some petroleum diesel to our fuel tanks to make sure there are no gelling problems.

Pure biodiesel will gel at colder temperatures; if you are having trouble starting your car in the morning, add some petroleum diesel to your fuel tank and let it mix in there. At the warmest part of the day, start up your car and then let it idle for a while.


SeQuential's recommendations are as follows:

45˚F, start blending with petroleum diesel

By the time temperatures reach 32F, you should be using 50% BIODIESEL and 50% diesel #2.

When temperatures get to 20F, you should be using 20% BIODIESEL and 80% diesel #2.

20% ethanol for every gas car?

The Department of Energy released a report today with their initial findings on a project to identify the effects of higher blends of ethanol in engines not designed for the fuel.

Vehicle results include the following when E15 and E20 were compared with traditional gasoline:

• Tailpipe emissions were similar;
• Under normal operations, catalyst temperatures in the 13 cars were largely unchanged;
• When tested under full-throttle conditions, about half of the cars exhibited slightly increased catalyst temperatures with E15 and E20, compared to traditional gasoline; and,
• Based on informal observations during testing, drivability was unchanged.

It is a little confusing that tailpipe emissions were similar. From research I've seen, 10% Ethanol blended in with gasoline decrease carbon dioxide (CO2) emissions by about 5%. E85 Flex Fuel (85% ethanol) decreases CO2 by about 41%.

It will be interesting to see where this research leads - bringing more ethanol into the fuel supply would decrease overall mileage, but it would decrease dependence on foreign oil as well.

Camelina approved for feed in Oregon

Good news on the better fuel front: the Oregon Department of Agriculture approved Camelina meal for cattle and hog feed. This opens the door for Camelina, an oilseed that grows with little to no water or fertilizer in poor soil, to be produced more widely for biodiesel production in Oregon.

Camelina meal is what is left over after seeds are crushed for oil; the ODA ruling means that now farmers can sell all parts of the seeds, making it worthwhile for them to grow on their marginal lands.

New oil dropoff sites for the public

Do you have 10 gallons of oil you used to deep fry your turkey? Expired olive oil or salad dressing?

Now you can dispose of your vegetable oil responsibly, knowing that it will be turned into cleaner burning fuel!



Please call dropoff sites ahead of time for their hours:

Encore Oils: 503.954.2154
10111 NE 6th Dr, Portland

Salem Keizer Recycling & Transfer Station: 503.588.5169
3250 Deer Park Dr. SE, Salem

North Marion Recycling & Transfer Station: 503.588.5169
17827 Whitney Lane NE, Woodburn

SeQuential Retail: 541.736.5864
86714 McVay Hwy, Eugene

If you are a restaurant or a processing facility and have commercial levels of used cooking oil, Encore Oils will buy your oil from you! Call 503.954.2154 for more information.

Biofuels Northwest - City Club of Eugene 9/8/08

City Club of Eugene 9/8/08 Friday Forum.

Ian Hill of SeQuential & Mark Kendall with the Oregon Department of Energy discuss biofuels in the Northwest. Download from KLCC here.

Ford: Americans don't want fuel efficient cars

On Saturday I tabled at the Muddy Boot Festival in Portland and encountered the same supportive message that I've been hearing on a day to day basis for the four years I've been with SeQuential: "Biodiesel is a great idea, but I don't have a diesel car!"

I thought it fitting, with that in mind, when I read this article from Grist: Ford's Fiesta ECOnetic, which gets 65 mpg with a diesel engine, won't be sold in America. According to Ford America President Mark Fields, "We just don't think North and South America would buy that many diesel cars".

Now granted I know that the people I've talked to (from both sides of the isle) across little old Oregon don't represent the majority of the people in the US, but I don't understand why US automakers are so hesitant to offer reliable, long lasting, fuel efficient, diesel vehicles. Pass by any auto dealership and you'll see advertisements promoting "30+ MPG!", as if this is impressive and notable. If people are making purchase decisions based on mileage, which you would assume they are with the recent higher gas prices, why not offer US consumers the same car that is already in production elsewhere in the world?

All conspiracy theories aside, I'm baffled - the market is ripe for high mileage cars, especially diesel. Just look at the market for used Volkswagen TDIs - they consistently sell above their blue book values, especially older models that have smaller engines (and better mileage).