The Manildra Group, through its subsidiary Shoalhaven Starches Pty Ltd, produces bioethanol from starchy wastewater generated by their wheat processing facility in New South Wales, Australia. The RSB certification means that “Manildra offers tangible evidence that sustainable biofuels may be efficiently and economically produced at a large scale while adhering to ambitious social and environmental standards.”

The RSB Certification System allows farmers, feedstock processors and biofuel producers to demonstrate that their operations comply with ambitious yet practical safeguards, including, but not limited to, the protection of natural or rare ecosystems, food security, and the respect of human rights
to land, water and decent work conditions, and the management of water resources.

The Roundtable on Sustainable Biofuels is a multi‐stakeholder initiative launched and hosted by the Energy Center of Ecole Polytechnique Fédérale de Lausanne (EPFL), Switzerland.

The president of the Renewable Fuels Association (RFA) this week wrote a letter to the U.S. Trade Ambassador asking for an investigation into news that the Brazilian state of Sao Paulo was imposing a 25% tax on all imported ethanol.

“Because ethanol produced in Sao Paulo is tax exempt, ethanol imported into Sao Paulo from the United States and other areas is at a substantial economic disadvantage,” wrote RFA President and CEO Bob Dinneen to Ambassador Ron Kirk. “We believe this action is discriminatory and may severely—and immediately—restrict the exportation of U.S. ethanol to Brazil.”

Dinneen is pictured here sharing a lighter moment with Marcos Jank, president and CEO of Brazil’s UNICA during a session at the 2011 National Ethanol Conference.

In early December, the nation of Brazil extended a temporary suspension of a 20% federal tariff on imported ethanol.
“This action not only effectively reinstates the tariff on U.S. exports, but increases it by 5%,” wrote Dinneen. “Moreover, we believe the action taken by the state of Sao Paulo is in violation of Article III:4 of the Generalized Agreement on Tariffs and Trade (GATT) and possibly Article 2.1 of the World Trade Organization’s (WTO) Technical Barriers to Trade Agreement.

Port Santos in Sao Paulo is the main port of entry for U.S. ethanol exports to Brazil, which accounted for an estimated 400 million gallons in 2011.

*In response to the RFA’s letter and resulting media reports, UNICA released a statement from president Marcos Jank noting that the Sao Paulo tax is a pre-existing value-added tax (VAT), known as ICMS (Goods and Services Tax), which is not equivalent to the return of Brazil’s tariff on imported ethanol.

According to UNICA, the deferment period started on October 1, 2011 and is now scheduled to end on March 1, 2011.

Many international organizations have back tracked on their criticism of biofuels based on research which has found biofuels to have played a very minor role in the escalation of food prices globally. In fact, David Hallam, the FAO’s own Deputy Director has said that “unexpected oil price spikes could further exacerbate an already precarious situation in food markets.”

“Mr. Da Silva would do well to listen to the International Energy Agency’s dire warnings about our energy security future when commenting on biofuels,” said Baker. “The IEA concluded that biofuels could provide 27 percent of total transport fuel by 2050 and avoid around 2.1 gigatonnes of CO2 emissions per year when produced sustainably without jeopardizing food security,” said Baker.

The GRFA has repeatedly called for an increase in the use of biofuels to help reduce the world’s crippling reliance on crude oil.

“I would urge the new FAO Director General to focus on the real cause of high food prices – the rising cost of energy,” added Baker.

The 2011 edition of the World Energy Outlook (WEO), released by IEA last week in London, said there is still time to act, but the window of opportunity is closing. “Growth, prosperity and rising population will inevitably push up energy needs over the coming decades. But we cannot continue to rely on insecure and environmentally unsustainable uses of energy,” said IEA Executive Director Maria van der Hoeven. “Governments need to introduce stronger measures to drive investment in efficient and low-carbon technologies.”

According the report, oil demand will rise 14% between 2010 and 2035, from 87 million barrels per day in 2010 to 99 million in 2035. All net increases in oil demand will come entirely from the transportation sector in emerging economies as economic growth pushes up demand for personal mobility and freight goods.

“This is a deeply disturbing picture that the IEA has painted for the world,” said Bliss Baker, spokesperson for the Global Renewable Fuels Alliance. “Such increases are unsustainable making it imperative that all countries quickly bring real crude oil alternatives to market.”

Baker says that according to the report, an amount equivalent to twice the current total oil production of all OPEC countries in the Middle East must be discovered and brought to market by 2035.
“This is a wakeup call to the world that we need to further promote biofuels to meet this ever growing energy demand,” he said.

The IEA also highlighted the potential for supply disruptions in the Middle East and North African countries as a potential threat to world oil supplies saying that “If, between 2011 and 2015, investment in the MENA region runs one-third lower than the $100 billion per year required…consumers could face a substantial near-term rise in the oil price to $150/barrel.”

ePure claims that U.S. ethanol policy has encouraged production to the point that it can be sold at much lower prices on the world market. “Massive and sudden imports of US ethanol, combined with unfairly low prices over the last few years, have seriously damaged the economic situation of European producers” said ePure Secretary-General Rob Vierhout. “The unfair competition of US imports is simply depriving the EU industry from the benefit of this positive evolution on its own domestic market.”

According to the Renewable Fuels Association, ePure is specifically alleging that international ethanol traders were exporting E90 (90 percent ethanol blends) to Europe to take advantage of the European Union’s (EU) lower tariff on such blends as well as the $0.45 per gallon tax credit (VEETC) for ethanol blending in the U.S.

The RFA disputes the allegations. “Moreover, the U.S. ethanol tax incentive that lies at the root of the European allegations will expire at the end of 2011, rendering the tax incentive portion of the alleged trading impossible in the future. Importantly, domestic ethanol producers are not eligible for the tax incentive referenced by the Europeans. That tax incentive is specifically made available to gasoline blenders, marketers, and other end users. Therefore, U.S ethanol producers cannot nor should not be the focus of any potential European action.” The bigger issue, notes RFA, is the EU tariff schedule that encourages the import of E90 blends by classifying them at a lower tariff rate than other ethanol imports.

RFA says U.S. ethanol “remains the lowest cost, most cost effective ethanol in the market today. This fact has led to a surge in U.S. ethanol exports to Brazil, Europe, Asia, and the Middle East.”

The U.S. has become a net exporter of ethanol since the beginning of 2009 and exports continue to increase at a rapid pace. The latest reported figures for August from the Energy Information Administration showed 456,000 gallons of imports versus export demand of 52.3 million gallons. Through August, net exports are running at about 15.2 million barrels and are on pace to be double last year.

Former Brazilian President Lula da Silva was recognized with the 2011 World Food Prize for his Zero Hunger strategy, which resulted in Brazil reducing by half its proportion of hungry people (with 93 percent of children and 82 percent of adults eating three meals a day) and also reduced the percentage of Brazilians living in extreme poverty, from 12 percent in 2003 down to 4.8 percent in 2009.

At the same time he was fighting hunger, President Lula was supporting a strong biofuels policy in Brazil, making the case before the United Nations in 2008 that it was possible for a country to produce ethanol and biodiesel to “reduce dependency on fossil fuels and at the same time create jobs, regenerate degraded land and expand food production.”

Brazil is currently the second largest producer of ethanol in the world, behind the United States, and uses sugarcane as a feedstock.

The project is part of CleanStar Mozambique, a company founded by Novozymes and CleanStar Ventures to protect forests, produce food, deliver energy, reduce air pollution and enrich lives. The vision of CleanStar Mozambique is to implement sustainable farming practices for smallholder farmers, and to integrate a food and energy production facility that will result in improved health and economic benefits for the people of Mozambique.

“We’re thrilled to collaborate with Novozymes and CleanStar Ventures in this project,” said Dave Vander Griend, president and CEO of ICM. “Our employees put a tremendous amount of thought into the design in order to determine what equipment will work best for a location that has limited capabilities for overnight delivery. We are very proud to support CleanStar Mozambique in reducing exposure to breathing charcoal smoke through enhanced cooking practices, and improving the health and livelihood for millions of people living in the developing world.”

ICM’s Manufacturing division produced the shop-fabricated and specialty equipment components for the ethanol plant, which is designed to convert 18 pounds of locally grown cassava chips into a gallon of 185+ proof ethanol. Company officials say the reason the plant capacity is given in a “one gallon per minute” figure instead of the customary annual production number is that unlike plants in the United States, the Mozambicans do not have the ability to run the ethanol plant continuously, so the plant was specifically designed with the capability to start up in the morning, cease in the evening, and start up again the next morning. ICM has sized the cassava milling and cook process to operate 10-12 hours a day, and the small plant will include three fermenters and a beer-well. The distillation is sized to operate continuously, but the plant can begin and cease operations as needed.

ICM is providing a graphic control panel that contains the essential basics for motor control and flow control and during the start-up phase, ICM personnel will train the new plant operators in Mozambique.

An analysis by the International Energy Agency (IED) and the Organisation for Economic Co-operation and Development (OECD) found that governments and taxpayers spent about half a trillion dollars last year supporting the production and consumption of fossil fuels and that removing such subsidies would raise national revenues and reduce greenhouse-gas emissions.

OECD and IEA say fossil fuel subsidies “create wasteful use of energy, contribute to price volatility by blurring market signals, encourage fuel smuggling and lower competitiveness of renewables and energy efficient technologies.”

The G20 leaders in 2009 agreed to phase out subsidies that “encourage wasteful consumption, reduce our energy security, impede investment in clean energy sources and undermine efforts to deal with the threat of climate change”. According to the IEA, since that agreement subsidies for fossil fuel globally have increased by $110 billion to $409 billion in 2010 and could reach $660 billion by 2020 despite the G20 countries commitment.

“As we strive to develop alternatives to oil we must recognize that alternative fuels are not competing on a level playing field,” said Bliss Baker, spokesperson for the Global Renewable Fuels Alliance. “These massive multi-billion dollar crude oil subsidies completely outweigh current biofuel incentives and are a serious obstacle to the development of cleaner greener alternatives. Oil has a huge competitive advantage financed by global taxpayers.”

Baker notes that the G20 will meet in France next month and the issue of oil subsidies is on the agenda. “It is time for the G20 to show leadership and reverse this practice of never-ending subsidies to big oil,” Baker said. “It is time to move beyond crude oil and into a world with sustainable alternatives such as biofuels and other renewable forms of energy.”

At a global grains summit in Turkey on Monday, Quatari food security program advisor Mahendra Shah was quoted as saying, “Biofuels will trigger an increase in agricultural prices. Biofuels will result in another 120 million people hungry, just because we’re growing biofuels.” He cited a study by the Organization of the Petroleum Exporting Countries Fund for International Development (OFID) which claims the use of crops for biofuels is forecast to raise food prices by 30 percent to 50 percent by 2050.

Noting that the report cited was funded by OPEC’s International Development arm, GRFA spokesperson, Bliss Baker said, “This so-called report from 2009 cannot withstand any level of academic scrutiny and is a self serving attempt to distract people from the real impact that energy prices are having on global commodities.”

“Qatar, a key OPEC member and promoter of this report, derives 85% of its export earnings and over 70% of its government revenues from crude oil. Qatar’s agenda is to promote crude oil and discredit alternatives like biofuels,” Baker added.

According to GRFA, there is evidence that demonstrates that the OFID report is wrong, including a 2011 study by the International Energy Agency that says “by 2050, biofuels could provide 27% of total transport fuel” and will “not compromise food security”. The GRFA recently published data showing a clear and direct link between crude oil prices and the UN FAO’s Food Price Index.

The PV panels were donated by the SunPower Foundation and will be installed as part of the solar training course. Once installed, the four SunPower solar panels will generate energy for two Greenpeace Africa mobile solar showcase units. They will be on display during the 17th session of the Conference of Parties (COP 17) to the United Nations Framework Convention on Climate Change (UNGCCC) taking place in Durban November 28-December 9, 2011. Each unit will utilize solar-powered multi-media technology devices, including televisions, laptops and sound systems.

“With this donation, the SunPower Foundation remains true to its mission — to empower the world’s next generation of solar leaders,” said Tom Werner, SunPower president and CEO. “We hope that the Greenpeace Solar Training course will inspire local youth to explore solar technology and create renewable solutions for energy needs in this part of the world and beyond.”

In addition to the donation of the four panels. SunPower Foundation has also announced its plans to solarize the Greenpeach Africa Johannesburg headquarters with a SunPower rooftop system later this year. Olivia Langhoff, campaigns director for Greenpeace Africa added, “This donation provides an impetus for investment and is a demonstration that renewable energy solutions are feasible.”

The 50 percent HEFA biojet fuel blend, derived from camelina, has received recent approval by ASTM. As a result, Embraer said they are stepping up their efforts to develop a broader range of sustainable biofuels for aviation. To date, the tests of the biojet blend have been successful and future tests are planned.

“We have a strong and longstanding commitment to developing efficient and environmentally responsible products,” said Mauro Kern, Embraer Executive Vice President of Engineering and Technology. “This series of tests, and their very positive results, gives us a lot of new information to continue our sustainability program as it relates to future products. Supporting the development and deployment of sustainable aviation biofuels is one of the industry’s top priorities, and we are firmly engaged in that effort.”

Next steps for the two partners include testing other feedstocks and production pathways for production of the biofuels.

“This could encompass a broad range of pursuits, from testing of additional fuel production pathways and feedstocks, to potentially increasing HEFA blend levels,” added Laurent Rouaud, Chief Marketing Office, GE Aviation. “These flights have also demonstrated that the aircraft and engine manufacturers are also interested in limiting net carbon emissions from their ongoing product development activities, and in working with producers to establish early production demand for the benefit of the entire aviation enterprise.”

“We were incredibly impressed with the professionalism that the joint MBD and JCU team showed in putting on this site visit,” said Eckelberry. “Next-generation algae production has been integrated into an end-to-end system for the first time, and we’re proud to be part of this effort.”

The tour also included the Tarong Power Station, near Brisbane, where visited were able to check out a new industrial demonstration site that MBD is building to capture flue-gas CO2 produced by the coal-fired power plant. MBD plans to use the large-scale OriginOil Single Step Extraction systems to harvest algae at the one hectare site.

The research was conducted by Worldwatch’s Climate and Energy Program for the website Vital Signs Online. It also found that U.S. and Brazil remain the two largest producers of biofuels with the U.S. producing 49 billion litres or 57 percent of global output and Brazil producing 28 billion litres or 33 percent of the total. For both the U.S, and Brazil, high oil prices were a major factor for production.

“In the United States, the record production of biofuels is attributed in part to high oil prices, which encouraged several large fuel companies, including Sunoco, Valero, Flint Hills, and Murphy Oil, to enter the ethanol industry,” said Alexander Ochs, Director of Worldwatch’s Climate and Energy Program.

Ochs continued, “Although the U.S. and Brazil are the world leaders in ethanol, the largest producer of biodiesel is the European Union, which generated 53 percent of all biodiesel in 2010. However, we may see some European countries switch from biodiesel to ethanol because a recent report from the European Commission states that ethanol crops have a higher energy content than biodiesel crops, making them more efficient sources of fuel.”

Vital Signs authors Sam Shrank, a Worldwatch MAP Sustainable Energy Fellow, and Farhad Farahmand, a Climate and Energy research intern, also explored how new mandates in Argentina, Brazil, Canada, and China have altered the biofuel industries in these countries. “In Argentina, the biodiesel industry grew not only because of favorable conditions for growing soybeans, but also in response to a new B7 blending mandate, which requires the fuel to be 7 percent biodiesel and 93 percent diesel.”

You can click here to learn more about the study.

“By helping to create biorefineries, the NextGen Biofuels Fund also aims to add value to renewable fuel production while diversifying the economy in rural and agricultural areas and supporting market and technology transitions in the forestry sector,” said SDTC President and CEO Vicky Sharpe. “This will be crucial in helping Canada to transition to a bio-based, sustainable economy.”

The NextGen Biofuels Fund is able to support up to 40 percent of eligible project costs and the funds are repayable based on free cash flow over a period of 10 years after the project is completed.

To be eligible, a project must:

• • Be a First-of-Kind facility that primarily produces a next-generation renewable fuel at large demonstration-scale.
• • Be located in Canada.
• • Use feedstocks that are or could be representative of Canadian biomass.
• • Have demonstrated its technology at pre-commercial scale.

For more information on how to apply, visit www.sdtc.ca.

I asked them what they thought of using renewable fuels like ethanol. The answer, “I guess we’re really going to have to do something about an alternative fuel because I don’t think that the oil resources are going to last forever so we’ve definitely got to look somewhere else for our fuel needs.”

You can listen to my interview with our Australians here: Australians at Sturgis Interview

2011 Sturgis Motorcycle Rally Photo Album

“With the genetic diversity of their Jatropha hybrid material combined with ability to produce large volumes of hybrid seed, SG Biofuels is an ideal partner to work with to successfully develop, validate and scale Jatropha as the primary source for biodiesel in India,” said Mr. M.V. Radhakrishnan, chief executive officer of BREL.

Through molecular breeding and biotechnology, SGB is optimizing jatropha hybrid varieties at its JMax crop development centers. The centers feature hybrid material from SGB’s germplasm library totally more than 12,000 genotypes. The company will work with BREL to select, test and scale up the hybrids most suited to various growing regions across India. The ultimate goal is to grow jatropha suited for biodiesel production to help meet the country’s National Policy on Biofuels targets of blending 20% of fuels with ethanol and biodiesel.

“We look forward to working with BREL to develop a thriving Jatropha industry capable of meeting the country’s significant demand for biodiesel,” added Kirk Haney, president and chief executive officer of SGB. “Our partnership is a great example how collaborations across the entire value chain – from crop science and agronomics to downstream refining and logistics – are the key to the successful scaling of Jatropha.”

“We are naturally very proud to be global pioneers with Neste Oil in using renewable fuel on regularly scheduled flights,” said Christoph Franz, the Chairman of the Executive Board and CEO of the Lufthansa Group.

These commercial biofuel flights are now able to take place because just last month ASTM International approved the use of renewable aviation fuel.

“Lufthansa has been our customer for a long time, and we are now very pleased to be leading together the adoption of renewable fuels in aviation,” added Neste Oil’s President & CEO, Matti Lievonen. “Neste Oil’s NExBTL technology is very well-suited to producing aviation fuel. All our NExBTL plants are capable of yielding fuel that meets the aviation industry’s toughest quality standards. This is an area in which Neste Oil will look for growth in the future.”

Neste Oil’s biojet fuel is made from a blend of vegetable oils and waste fats including camelina, jatropha and waste animal fats. The fuel is compatible in all current aircraft engines with no engine modifications required.

Cellulosic ethanol has achieved a victory. The Dynamo, a concept car created by a student team called the Roadrunners, and fueled by ethanol made from straw, won the Urban Concepts class of the 2011 Shell eco-marathon in Europe. In tandem to the win, the car set a new miles per gallon record of 1,197 (509 km/1) when adjusted for energy equivalence with gasoline. The cellulosic ethanol was provide by Inbicon and was produced at their the Inbicon Biomass Refinery in Kalundborg, Denmark.

“The Roadrunners team from the Technical University of Denmark designed, built, tuned, tested, and drove the Dynamo to victory over all 35 European teams competing. And they also beat North America and Asia’s winning mileage,” said Christian Morgen, Inbicon manager of international marketing. “Since they use only a liter at a time, I don’t believe there’s any danger of depriving Danish retail customers of our eco-friendly fuel.”

The winning team was overseen by Jesper Schramm, a DTU associate professor. Six out of the last seven years his team has taken the trophy for energy efficiency in one of two main categories. A car is designated as an urban concept car, if with minor modifications, it could actually operate on city streets. This year is team used a 50cc 4-stroke Yamaha moped engine because the higher compression rate is able to take advantage of the higher octane level of ethanol fuel. To hone-in on an aerodynamic car, the team used wind-tunnel testing. Amazingly, the Dynamo ran 28% farther than its closest competitor.

More than 3,000 students and 187 teams from 27 countries took part in the eco-marathon held at the EuroSpeedway in Lausitz, Germany. Professor Schramm hopes that the experience and knowledge that has come from this project will launch their careers in a multitude of industries including automotive design and engineering.

Inbicon has coined its fuel “The New Ethanol” and has been producing it for use since 2009. Using Kalundborg as a guide, Inbicon plans on rolling out its biomass-based cellulosic ethanol worldwide.

Photos: Dynamo races to eco-victory at German speedway & Winning Roadrunners team, Technical Institute of Denmark. *Photo Credits Kasper Duncan Gram

As the EU looks to increase current biodiesel use from 3 percent to 10 percent by 2020, they are also concerned that such a move would increase environmental damage rather than reduce environmental concerns. Their own analysis concludes that a 10 percent biodiesel mandate could lead to “an indirect one-off release of around 1,000 megatonnes of carbon dioxide — more than twice the annual emissions of Germany.” In addition, one report concludes that more use of biofuels could “squeeze food supplies and increase global hunger.”

The studies to which Reuters is referring have not been released by the European Commission and the authors surmise it is because it would “have significant implications for the existing EU biodiesel industry.”

These negative impacts could include a reduction of investments in plants and infrastructure. It could also cause a reduction of biodiesel use, rather than what the country has been aiming for since 2003, an increase in biodiesel use.

One of the biggest concerns with increased biofuels use is indirect land use change (ILUC) a proposed theory that the pro-biofuels groups have been trying to fight for several years. The ILUC argues that more biofuel production (tied to biofuel mandates) will cause trees to be cut down in other areas, increasing carbon and if the crop competes for “food” causing hunger in other areas of the world.  In other words, the “indirect effects” of biofuel production outweigh the positive benefits of the fuel.

“The land use change effects make nearly half of the expected gains of shifting from fossil fuels to renewable biofuels disappear,” said a third report by the International Food Policy Research Institute (IFPRI) for the EU.

A fourth leaked document concluded biodiesel from Asian palm oil, South American soy beans, and EU rapeseed all had a bigger overall climate impact than conventional diesel.

The hope of the European biodiesel industry is that since the science is still young and inconclusive, the country should not pass legislation based on its deductions and theories.

This entire story reads like a “biodiesel conspiracy” theory- and who doesn’t love a little drama? It will be interesting to see if the as-of-now unreleased reports will in fact be released by the EU, and if so, what type of tail-spin the reports could cause.

“The Algae.Tec algae photo-reactors will be sited next to main facility and take a carbon dioxide feed from the main ethanol fermenters,” said Stroud. “Algae.Tec is one of only a few advanced biofuels companies globally with a technology designed to grow algae on an industrial scale and produce valuable biofuels that replace increasingly expensive fossil fuels.”

According to Algae.Tec, their technology captures carbon pollution from power stations and manufacturing facilities which feeds into the algae growth system. Currently, photo-reactors are being assembled at their Algae Development & Manufacturing Centre in Atlanta, Georgia. These photo-reactors use one-tenth of the land that is required when growing algae in ponds and the company said their enclosed module system is designed to produce the highest yield of algae biomass in nearly any environment on Earth.

“This is a unique opportunity to create the first industrial venture ever introducing sustainable biofuels for commercially competitive operations. The Commission therefore fully supports all efforts in this direction and will actively contribute to their success. They are fully in line with our European Strategic Energy Technology Plan,” said Mr Günter H. Oettinger, European Commissioner for Energy.

The Biofuel Flightplan also lays out a plan to establish much needed financing to bring aviation biofuel technology to market at commercial scale biorefineries. More specifically the Biofuel Flightpath aims to:

• • Facilitate the development of standards for drop-in biofuels and for their certification
• • Work together with the full supply chain to further develop worldwide accepted sustainability certification.
• • Facilitate dedicated aviation biofuel production at a reasonable cost by agreeing to tangible biofuel supply and purchase commitments.
• • Promote appropriate legislative measures to ensure the market uptake of paraffinic biofuels by the aviation sector.
• • Accelerate research and innovation into advanced biofuel technologies, including algae.
• • Establish financing structures to facilitate sustainable biofuel projects.
• • Publicly promote the benefits of replacing kerosene by sustainable biofuels.

Marcell Ulrichs, CEO of CHOREN Industries who is in the process of building an advanced biofuels plant in Germany, added, “Aviation biofuels are today technically possible and our biofuels sector is ready to help meet the Flightpath targets towards its commercialisation. Together with airlines and public stakeholders, we will create viable and cost competitive business cases for the production and utilisation of sustainably produced aviation biofuels. We are committed to enabling the global aviation community to reduce its carbon footprint and its dependence on crude.”

The agreement reached by the ministers mainly focuses on creation of an agricultural market information system and removing barriers to food exports for humanitarian purposes. The ministers did call for further analysis of the impact of biofuels on food availability, price volatility and sustainability. “We also recognize the importance of research and development on biofuels, including those produced through new processes or new feedstocks, non-food feedstocks and other vegetable materials,” they said in their declaration.

Agriculture Secretary Tom Vilsack noted that biofuels development can help alleviate spikes in oil prices that impact food prices. “Furthermore, our work to support innovation in the development of non-food feedstocks and next generation renewable fuels will continue to help offset instability in the energy market, which accounts for the bulk of food and commodity price fluctuations in the past decade,” he said.

The European ethanol trade group ePURE said the ministers’ decision “recognizes the vital role of biofuels in reduction of greenhouse gases, energy security and rural development and said that there was not enough evidence to link biofuels to food price volatility. The European ethanol industry welcomes the decision by the G20 to vanquish the myth that biofuels are responsible for food price volatility.”

“America is working on developing new feedstocks that don’t pit food versus fuel but that create new rural economic opportunities and allow us to continue to expand on our efforts to build a much more renewable energy source,” said Vilsack, who is attending the Paris Air Show prior to the G20 meeting to discuss biofuels for aircraft that can be made from dedicated energy crops.

The focus of the summit is on international efforts to ensure global food security and some groups are insisting that necessitates a change in biofuels policies. Oxfam is calling on Vilsack and the agriculture ministers of the other G20 countries to “urgently remove the types of biofuels subsidies and mandates that are leading to increased price volatility.”

The biofuels industry meanwhile is urging the ministers to examine the impact of crude oil price on food price volatility.

“It is imperative that the G20’s Agriculture Ministers use this first meeting to recognize that there is a direct and strong correlation between the price of crude oil and the price of food,” stated Bliss Baker, spokesperson for the Global Renewable Fuels Alliance (GRFA).

This will be the first meeting of all agricultural ministers in the Group of Twenty (G-20), which includes the United States, Argentina, Australia, Brazil, Canada, China, the European Union, France, Germany, India, Indonesia, Italy, Japan, Mexico, Russia, Saudia Arabia, South Africa, the Republic of Korea, Turkey and the United Kingdom.

Some may remember that last year due to a decreased sugarcane harvest caused by excessive rains, the country reduced its minimum ethanol requirements in the country’s fuel. Then this year, threat of another reduction circulated when once again the sugarcane harvest was lower than expected. In response, the government has cited ethanol shortages due to poor long-term strategic planning by the industry. The ethanol industry countered that the cause of problems lies in lack of uneven taxes, vague plans for future regulation and lack of investment incentives.

“As long as there is no clarity about the policy for fuels, there is a risk for investments,” said the president of Sao Paulo-based Datagro consultants, Plinio Nastari in a Reuters article.

Yet on the flip side of this bickering between the Brazilian government and Brazilian ethanol producers, the industry has once again begun exporting fuel to the U.S. over the past few months. According to brokers quoted in a recent Soyatech article, the ethanol industry has exported 1.9 million barrels to the U.S. as a result of fuel retailers needing to meet the requirements of the Renewable Fuels Standard.

Brazilian sugarcane ethanol has been considered an advanced biofuel as designated by the U.S. Environmental Protection Agency (EPA). Since there is a shortage of advanced biofuels being produced in the U.S., sugarcane ethanol has become a premium fuel for the obligated parties. Ironically, the exportation of ethanol was an abrupt change as earlier this year Brazil imported ethanol to meet its country’s mandates – the first time since 1994.

While all this is happening, Brazil’s national petroleum agency, ANP, unveiled new plans aimed at tightening government regulation over the ethanol market and avoid the recent ethanol supply volatility that has been plaguing the country. Ultimately, ANP’s regulations would level out the amount of ethanol producers and distributors market throughout the year and mandate companies to have minimum stocks of ethanol available at all times.

To aid the industry in meeting both anticipated ANP regulations as well as meet import demand, Brazil’s state-run bank, BNDES, has committed to providing $19-$22 billion in funds to finance sugar cane industry expansions through 2014. The monies represent nearly two-thirds of the industry’s current yearly output.

The country will have to develop plans to expand the industry with special emphasis on sustainability. The country is often cited by biofuel critics, especially environmental organizations, as a environmental disaster waiting to happen due to accusations that the ethanol industry is expanding through the destruction of precious rainforests.

Needless to say, the Brazilian ethanol industry has denied these accusations, and during the same Ethanol Summit where mud was being flung between groups, UNICA, the Brazilian Sugarcane Industry Association, launched a new website dedicated to sugarcane ethanol, www.SugarCane.org. The website is designed to showcase how sugarcane can contribute to pressing global issues such as energy and environmental needs and also lays out strategies to do this in an environmentally friendly and sustainable way.

“We are delighted with the response we’ve received from Boucherville businesses. This second phase brings us to the very heart of the project, focusing on the needs of businesses and their employees who work in Boucherville,” said Thierry Vandal, President and Chief Executive Officer of Hydro-Québec.

The EV testing was coordinated by Hydo-Quebec and have been designed to study users’ charging habits, driving experiences and overall satisfaction. In addition, the tests will study vehicle behavior when the cars are plugged in to the electric grid. On April 7, the Quebec government passed the Action Plan for Electric Vehicles and this EV testing program is part of that initiative.

“I hope that drivers working for the businesses selected in the second phase will be as delighted as I am to be driving an i-MIEV! The project has not only caught the attention of Boucherville businesses, but also sparked considerable interest among citizens,” said Jean Martel, Mayor of Boucherville and spokesperson for the project’s institutional users.

Koji Soga, President and CEO of Mitsubishi Motor Sales of Canada said of the project, “Our partnership with Hydro-Québec and our joint pilot project have met with much success over the last four months. The data collected and monthly reports have demonstrated that the i-MiEV technology is well suited to the Canadian market. The second phase of our program will help us better understand all-electric vehicles and will give them more visibility, allowing Québecers to become more familiar with this technology.”

“With wind, we can achieve a genuine energy revolution, and on 15 June, people on all continents celebrate the promises that wind power holds for our planet,” said GWEC’s Chairman Klaus Rave.

Event highlights include the German Technology Museum in Berlin opening its doors for a wind energy exhibition and an announcement in New York City of WindMade – an initiative to develop a consumer label for companies and products using wind power.

EWEA President Arthouros Zervos added, “Fukushima, the Arab spring and the oil spill in the Gulf of Mexico have created enormous public interest in the future of energy. Global Wind Day encourages citizens to find out for themselves how wind can make our energy supply more secure and environmentally friendly.”

To learn more about events near you visit www.globalwindday.org.

The report predicts that the price of food, already at a record high, will more than double in the next 20 years. In addition, by 2050, demand for food will rise 70 percent, yet the report says the world’s capacity to increase food production is declining. A contributor to these issues: global climate change and pro biofuel policies throughout the world.

“Our world is capable of feeding all of humanity yet one in seven of us are hungry today,” said Jeremy Hobbs, Executive Director of Oxfam. “In this new age of crisis, as climate change impacts become increasingly severe and fertile land and fresh water supplies become increasingly scarce, feeding the world will get harder still. Millions more men, women and children will go hungry unless we transform our broken food system.”

Both Growth Energy and the Renewable Fuels Association acknowledge that Oxfam is partially correct in their identifying the role that high oil prices and international trade have on the price of corn. However, they diverge with the report on biofuels being a cause of starving “millions of people” as the report purports.

“Oxfam is wrong to propose ending the Renewable Fuel Standard or the biofuels tax credit, as these are the most effective policies we have to displace oil – a primary driver of rising grocery prices,” said Jim Nussle, Growth Energy President. “It is unfair and erroneous to single out ethanol for high food prices, especially because the U.S. ethanol industry uses just three percent of the global grain supply on a net basis.”

RFA President Bob Dinneen highlighted the significant improvements in agriculture over the past few decades and called for more widespread adoption of improved agricultural practices worldwide. “The same opportunities at varying scales are available to farm communities in developing nations. Together with improved farming technologies, local biofuel production can provide developing rural economies with the kind of economic prosperity needed to become more food secure,” concluded Dinneen.

“Our objective of the project is to produce ethanol, which is a cheaper source of energy. Currently, ethanol is produced from grinds and sugarcane, but they are costing between 12-15 rupees per piece. We want to help cut down the price of fuel in the market, by using waste material, which is called Eichhornia (Water Hyacinth), which grows plenty in the wastewater and fresh water,” said R.K. Krishnamurthy, a biotechnology professor in an article in DailyIndia.com.

Krishnamurthy continued, “In another way it is creating pollution to the water bodies. We want to use those materials which is available at a throw away cost, it is freely available.”

The water hyacinth is considered an invasive pest by researchers; yet, it could be a viable ethanol feedstock because of its abundance in hydrosphere. The research team is collecting samples, then they wash them and dry them overnight at high temperatures. From there the dried water hyacinths are crushed and treated with diluted Sulphuric acid. Eventually, yeast is added and the plant is fermented to ethanol.

The students are racing against the clock. They are trying to produce a product to help mitigate the rising cost of fuel as well as meet the government’s goal of increasing biofuel production and use by 2012.

Shweta Patel, a biotechnology student added, “By 2012, we aim to increase the production of ethanol and reduce pollution by 10 percent in our area. Our target is to create as much as bio-ethanol and help the government.”

Bliss Baker, spokesperson for the GRFA, said, “Meetings like these are crucial opportunities to address energy security issues that must not be wasted. In April the IEA provided a comprehensive roadmap for reducing our crude oil reliance which included the widespread use of biofuels and we must take advantage of this opportunity.”

GRFA noted that record gas prices have occurred worldwide during the month of May. Baker stresses that a diversified fuel supply system will “alleviate our crippling reliance on crude oil.” This is the same strategy promoted by the IEA report. To support the organization’s position on biofuels, Baker highlighted two U.S. university economists who found that the presence of ethanol in the U.S. fuel supply kept gasoline prices 89 cents lower per gallon than if ethanol were not blended in the fuel. He also conveyed that even OPEC recognized in a recent forecast that “energy efficiency policies along with the use of biofuels will put downward pressure on oil consumption worldwide.”

Some of the findings of the report included:

• Biofuels providing 27% of global transport fuel by 2050
• Avoiding 2.1 gigatonnes of CO2 emissions by displacing gasoline
• Achieving these targets without compromising global food security

“The GRFA has long advocated that biofuels are the best way for the world to reduce its reliance on crude oil. In light of the IEA’s findings it is imperative that the G8 and OECD recognize the vital role biofuels can play in solving some of the world’s energy security problems,” Baker concluded.