Cool new fuel: Scientist leads innovation that could spur biofuel revolution

James Liao may be one of the most important people in the nation's energy sector.

And while his name may be unfamiliar to just about everybody not intimately involved with biofuel innovation, that could quickly change.

He leads a team that has developed a microbe capable of turning cellulosic material, or grassy and woody matter, into isobutanol, a fuel with huge potential. Just how huge, we'll likely find out in coming months. But suffice to say it's important, especially with gas prices pushing $4 per gallon.

This fuel is a far bigger deal than ethanol, which is made in this country from corn. Liao's team's feat is the first time isobutanol has been coaxed directly from cellulose.

Algae biofuel develops momentum; could we see $30 bbl fuel?

Algae keeps nosing around clean energy news.

It doesn't have the sunny cache of solar or the exotic qualities of wind, tidal and geothermal power. But the potential of algae fuel's reported advances are hard to ignore. At least for this former reporter.

In my backyard at the University of California, Merced, researchers received a grant to "perform a comprehensive life cycle analysis study of algae biofuels." The money, a modest $142,747, is part of about $3.5 million issued by the California Energy Commission's Public Interest Energy Research program.

Algae takes a back seat in the grant to other projects that include improving grid reliability, energy efficiency and automobile fuel economy. But, hey, it's algae. Pond scum. This is the stuff that may be grown in wastewater settling ponds, harvested and turned into diesel fuel. Or food additives, you never know.

It's not cold fusion
 
The important thing is algae wasn't left out. It's not cold fusion. This stuff shows true promise as an alternative energy source.

Here comes fat algae; research unveils potential commercial fuel production

Less so now but until recently every couple of weeks appeared to bring an algae fuel technological breakthrough, study or news of a pilot venture to bring the process from the laboratory to your corner fuel station.

Granted, fueling up with algae products is likely many years away. But it's being taken seriously. Right here in the San Joaquin Valley, experts at the University of California, Merced have been awarded a grant to analyze emerging algae biofuels technologies.

And the U.S. Department of Energy has recently announced that it will be accepting applications for $12 million in grants over the next three to four years for about five "laboratory or small pilot-scale projects that support the development of advanced biofuels." Technologies like cellusic ethanol or fuel-tank-ready butanol may be first to the gate, but algae research has a strong shot.

Algae breakthrough

For instance, John Sheehan, who coordinates research on biofuels at the University of Minnesota’s Institute on the Environment, just produced a 34-page study about a algae-to-fuel breakthrough discovered by scientists researching cancer treatments. The study was developed on behalf of VG Energy, a subsidiary of San Marino, Calif.-based. Viral Genetics Inc.

Those researchers found that molecules which disrupt the burning of fats, or lipids, in tumor cells "also encourage microscopic plant cells like algae to accumulate and even secrete fats," Sheehan wrote.

Is filling up your car with algae fuel a decade away?

The prospect of tapping pond scum for fuel may not be so far off.

While significant hurdles remain -- algae-produced fats aren't as readily transformed into energy as, say, the Beverly Hillbillies' Texas tea -- many have joined the pursuit of commercialization and a recent study says plants could come on line in the next four to six years producing product competitive with conventional fuels.

Imagine driving down to the corner quick-rip grocer and filling it up with a little homegrown green.

A decade from now that might be possible.

Boulder, Colo.-based Pike Research reports that by 2020, "production of biofuels derived from crude algae oil will reach 61 million gallons per year." Writers of the Pike Research report, industry analyst Mackinnon Lawrence and Pike President Clint Wheelock acknowledged the amount was "barely a drop in the bucket for biofuels" but said the potential production would represent a market value of $1.3 billion.

Algae research taps electricity, fuel and saving the world

Algae is more than just pond scum.

It's a potential power source. The green glop that forms in fetid pools and in nutrient soaked ground fed by overflowing septic systems increasingly is being investigated for properties beyond the "ugh" factor.

At Stanford University, a team of scientists has figured a way to extract a tiny portion of electrical current from algae cells. Gwyneth Dickey at the Stanford News Service wrote that the team was "able to draw from each cell just one picoampere, an amount of electricity so tiny that they would need a trillion cells photosynthesizing for one hour just to equal the amount of energy stored in a AA battery."

The power comes from photosynthesis, the process through which a plant converts sunlight to energy.

Dickey quoted WonHyoung Ryu, the lead author of the paper published in the March issue of Nano Letters, as saying he believes the Stanford team is the first to extract electrons from living plant cells. However, Ryu said there is a long way to go to put such power generation to any commercial use. "We're still in the scientific stages," he said.

However, in Nano Letters, he offered a more effusive account: "This result may represent an initial step in generating 'high efficiency' bioelectricity by directly harvesting high energy photosynthetic electrons."

Airship company seeks quiet domination of the skies

Airships haven't really had much going for them on a grand commercial scale since the Hindenburg disaster in 1937.

But people are making a go of it. An airship can be seen gliding over San Francisco.

Airship Ventures offers tours in California's Bay Area. Co-founder Alexandra Hall says she got into the airship business because of her husband. Brian Hall flew one while on a business trip in Cologne, Germany and was hooked.

The company says it works sports events and aids scientific missions. It plans to expand its fleet of airships to "support East Coast operations and expanded support of air shows, special events and scientific research missions" and intends to further develop its flight training and education capacities."

Mike Lawson, onetime chief executive of E-Green Technologies, was another player.

As reported by Alternative Energy news a few years ago, Lawson test-inflated an airship dubbed the Bullet 580 at Garret Coliseum in Alabama and says the 235-foot long, 65-foot diameter vessel "will usher in the return of inflatable giant airships."

Biofuels score big, but can they cut oil imports?

Biofuels have stormed forward with a series of advances that could give the sometimes maligned alternative energy sector a major boost.

On the federal side, President Obama has allocated $510 million to produce the fuel for military jets and ships and commercial vehicles. And the Army has established the Energy Initiatives Office Task Force, which is charged with figuring out how to meet a 25 percent renewable energy goal by 2025.

A national security issue

Much of the task force's efforts could be directed to biofuels. Oil dependence has long been considered a national security issue. A 2006 report by the Council on Foreign Relations said the United States must manage the consequences of unavoidable dependence on foreign oil. “The longer the delay, the greater will be the subsequent trauma,” the report said.

Obama has emphasized the importance of biofuels to energy security, and Navy Secretary Ray Mabus said, "America's long-term national security depends upon a commercially viable domestic biofuels market."

Biodiesel industry keeps rolling

Rich Gillis is selling his biodiesel plant.

But Gillis, president and chief executive of Watsonville, Calif.-based Energy Alternative Solutions Inc., intends to stay in the business. Once the sale is complete, he plans to focus on development of marketable biofuel crops like camelina, which requires very little water and has been grown successfully in the San Joaquin Valley.

"Biodiesel is taking off," he says. And camelina, which is harvested for its seeds, has a bright part in that future, he adds.
The biodiesel business certainly isn't putting the petroleum companies out of business. In fact, the market remains relatively limited with most sales going to fleets or established customers. However, its niche is extensive with more than 600 fleets using biodiesel blends in their vehicles and the military testing it as a 50 percent additive to jet fuel.

Gillis says he sees the fuel as an intermediary that will serve to ease dependence on petroleum until a substitute can be found. And that may take awhile.

The EPA has forecast through its Renewable Fuel Standard program a target of about 1 billion gallons of biomass-produced biodiesel this year. In 2006, 250 million gallons were sold, with more than 900 million projected to sell in 2011.

The EPA says biodiesel can help reduce U.S. dependence on foreign oil and provide greenhouse gas emission reductions: "It reduces emissions of carbon monoxide, particulate matter and sulfates, as well as hydrocarbon and air toxics emissions."

Derek Mead of greentechmedia.com calls biodiesel the workhorse of the biofuel sector. He writes that the "market is projected to continue to increase production and is still a stable sector."

Gillis' plant, which sits near the central coast in Gonzales, Calif. just south of Salinas on Highway 101, recycled 150,000 pounds of waste vegetable oil into biodiesel each week and has been on line since 2007. Over its history, the plant has produced more than 1 million gallons.

Biodiesel can be produced from vegetable oils, animal fats and used restaurant grease.

Gillis says the plant was built by Pacific Biodiesel, headquartered on Maui, Hawaii. "They are one of the oldest producers of biodiesel fuel and production plant builders in the country," he says.

Gillis says he'd like to see the plant bought and relocated to the nearby San Joaquin Valley where it would be close potential fields. He says "parties interested in relocating the plant to the San Joaquin Valley will be given a credit with a cap for the cost of disassembly and transport of the plant."

Gillis says that although a $1 per gallon tax credit wasn't renewed by Congress, renewable fuel credits are available through the U.S. Environmental Protection Agency "and remain an excellent source of support for producers of biodiesel. Cap and trade will also have a positive effect on the industry."

The tax incentive was enacted in 2004 as part of the American Jobs Creation Act and expired at the close of 2009.

The National Biodiesel Board says the industry generates substantial economic benefits. In 2008, the U.S. biodiesel industry supported 51,893 jobs, added $4.287 billion to the economy, and generated $866.2 million in tax revenue, it says.

Gillis says the elimination of the tax credit either eliminated or temporarily shuttered about half the jobs in biodiesel.

Gillis believes in biofuels and would like to see more jobs developed. He'd also like to find a buyer for his plant -- although he may have a line on it with a couple interested parties. He's got a list of the equipment for those who would like to know more. Price is negotiable, the list says.

Biogas industry seeks to clear the regulatory air

Fresno, Calif. and the rest of the San Joaquin Valley share some of the worst air in the United States.

A bootstrap industry, still trying to gain a toehold in the state, can remove tons of those pollutants and produce renewable energy at the same time. The concept would appear to meet the goal of the state's Global Warming Solutions Act of 2006, which seeks to reduce emissions to 1990 levels by 2020.

So what's the holdup?

Part economics, part regulatory. Five of the top people in the state's biogas industry met recently in Fresno with members of the California Public Utility Commission to explain the difficulties in getting bio-digesters up and running. The meetings were in Fresno City Hall. Each commissioner and his or her staff listened and gave feedback to various groups.

Making the case for biogas

The small but friendly renewables group spelled out all the potential a viable biogas industry could bring. But the group, who represented five companies, also explained the turmoil their operations face breaking into the market in a substantial way. And by and large, the commissioners, who met them one by one, appeared to see the merits of their cause.