- Hawaii’s Conversion of Coal Plant to Biomass Marks a New Trend
- Cellulosic Ethanol Facilities Marching Ahead
- GM to Spend $500 Million to Launch the Chevy Cruze, a New Small Car
- Ford Invests $75 Million to Convert Truck Plant for Small Cars
- San Francisco Approves a Tough Green Building Standard
- High Fuel Costs Ground U.S. Travelers on Labor Day Weekend
Hawaii‘s Conversion of Coal Plant to Biomass Marks a New Trend
A coal-fired power plant in Pepeekeo, Hawaii, that formerly provided electricity to a sugar mill is now being converted into a 24-megawatt (MW) biomass power plant. MMA Renewable Ventures is financing the conversion and will operate the new plant, which will be called the H? Honua Bioenergy Facility.
Located about 8 miles north of Hilo on the Big Island of Hawaii, the facility will draw on residual wood from the local timber industry and other biomass wastes to produce enough power for about 18,000 homes, meeting up to 10% of the Big Island’s electricity needs. See the MMA Renewable Ventures press release (PDF 83 KB) and the H? Honua Bioenergy LLC Web site.
The conversion from coal to biomass power is a growing trend in the U.S. Back in 2006, Public Service of New Hampshire finished converting one of its coal-fired power plants into a 50-MW biomass power plant, the Northern Wood Power Project, which is fueled with wood chips. Earlier this year, DTE Energy Services, Inc. agreed to buy the 50-MW E.J. Stoneman Power Plant in Cassville, Wisconsin, with plans to convert it to burn wood waste in 2009.
And last week, Georgia Power, a subsidiary of Southern Company, asked the state’s public service commission for approval to convert the coal-fired Plant Mitchell to run on wood fuel. If approved, the retrofit will begin in 2011 and the biomass plant will start operating in mid-2012. The 96-MW biomass plant will run on surplus wood from suppliers within a 100-mile radius of the plant, which is located near Albany, Georgia. See the article from this newsletter on the Northern Wood Power Project, and see the press releases from DTE Energy Services and the Southern Company.
Companies are also building new power plants designed to run on biomass, with the most recent example being the Snowflake White Mountain Biomass Power Plant in Snowflake, Arizona. The 24-MW biomass plant began operating in June. Owned and operated by Renegy Holdings, Inc., the plant will burn waste recycled paper fibers from an adjacent paper mill, as well as waste wood material from the area’s forest industries. About 75% of the plant’s fuel will come from forest thinning efforts on U.S. forest lands in Arizona’s White Mountains.
Meanwhile, Dominion Virginia Power is hedging its bets by building a coal-fired power plant that can draw on biomass for up to 20% of its fuel. Construction of the Virginia City Hybrid Energy Center began in late June, and a groundbreaking ceremony was held on August 14. See Renegy Holdings’ press release and Web site for the Snowflake plant and Dominion’s press release and Web site for its power plant.
Cellulosic Ethanol Facilities Marching Ahead
A number of companies are making significant progress on building facilities to convert cellulosic biomass, such as agricultural and forestry wastes, into ethanol. In early August, AE Biofuels, Inc. opened a demonstration facility in Butte, Montana, to produce ethanol from a variety of plant materials, including grasses, wheat straw, corn stalks, and sugar cane stalks. But the facility is also able to produce ethanol from traditional starch and sugar sources such as corn, wheat, barley, and sugarcane, providing flexibility for the company. According to AE Biofuels, the company’s Ambient Temperature Enzyme technology significantly reduces the consumption of energy and water in the production of ethanol. See the AE Biofuels press release.
Other pilot-scale facilities currently under development include a facility in Vonore, Tennessee, that will be built by DuPont Danisco Cellulosic Ethanol LLC (DDCE)-a joint venture of DuPont and Genencor, a division of Danisco-and the University of Tennessee Research Foundation. The facility will draw on dedicated switchgrass crops and corn stover, freeing their sugars using a combination of an alkaline pretreatment and enzymes and converting the sugars into ethanol using a proprietary biocatalyst. It will start producing ethanol in December 2009.
Poet, LLC is also building a pilot-scale facility in Scotland, South Dakota, that will convert corn cobs into ethanol using a proprietary process. That facility will start producing ethanol this year, preparing Poet to start construction of a commercial-scale facility in Emmetsburg, Iowa, next year. Partially funded by DOE, the Emmetsburg facility will produce 25 million gallons per year of ethanol from corn fiber and corn cobs and is slated to begin operating in late 2011. See the press releases from DDCE and Poet.
A number of other commercial-scale facilities are also in the works. Mascoma Corporation and Michigan Governor Jennifer Granholm have announced plans to build a commercial-scale cellulosic ethanol plant on Michigan’s Upper Peninsula. Located in Chippewa County south of Sault Ste. Marie, the facility will use microbes to break down wood fiber and ferment it into ethanol, a process known as consolidated bio-processing.
In addition, BlueFire Ethanol Fuels, Inc. has been granted a conditional-use permit from the County of Los Angeles for the construction of a commercial facility to convert biowaste into ethanol. To be located near Lancaster, about 45 miles north of Los Angeles, the facility will use concentrated acid to break down non-foodstock urban wastes (such as grass clippings) and forestry and agricultural residues so they can be fermented into ethanol. Slated to begin operation in late 2009 with partial funded from a DOE grant, the facility will separate lignin from the biomass and use it to produce electricity and steam.
And Fulcrum BioEnergy, Inc. plans to build a facility near Reno, Nevada, that will use a Plasma Enhanced Melter from InEnTec, LLC to gasify municipal solid waste, followed by a catalytic process to convert the gas into ethanol. Construction will begin this year, with production slated for early 2010. See Governor Granholm’s press release, the Mascoma Web site, the press releases from BlueFire Ethanol and Fulcrum BioEnergy (PDF 34 KB), and the InEnTec press release and Web site.
GM to Spend $500 Million to Launch the Chevy Cruze, a New Small Car
The fuel-efficient Chevrolet Cruze compact car is coming to the U.S., and GM is investing more than $350 million in its Lordstown, Ohio, assembly plant to make it happen. The company will also spend $150 million to launch the new car in the U.S., bringing its total investment to $500 million. The Cruze is a "global compact car," meaning GM plans to sell similar versions of the vehicle in a number of global markets. Sales of the Chevy Cruze start in Europe and Asia Pacific next year, but GM has not yet announced a U.S. launch date. For now, anyone looking to see the real thing would have to travel to Paris, France, where the vehicle will debut when the Paris Motor Show starts on October 4. See the GM press releases on the Chevy Cruze and GM’s $500 million investment.
Meanwhile, GM is launching "XFE" versions of its full-size pickups and SUVs, including the 2009 Chevy Silverado, Chevy Tahoe, GMC Sierra, and GMC Yukon. XFE stands for "Xtra Fuel Economy," and the vehicles include a number of mechanical, aerodynamic, and mass-reducing enhancements to deliver a 5% increase in highway fuel economy and a more than 7% improvement in city fuel economy. They are powered by a 5.3-liter FlexFuel V-8 engine, built with a cylinder block and heads made from lightweight aluminum, matched to a six-speed automatic transmission. The vehicles also feature lightweight aluminum wheels, low-rolling-resistance tires, and aluminum lower control arms on their suspensions. See the GM press release.
GM is also developing the Chevrolet Volt, which is a plug-in hybrid with a production target date of 2010. The company has launched a new media Web site for the Volt, including the first "teaser" photos of the production vehicle: a close-up of the rear-end badging and a close-up of the left front end. See the Chevy Volt Web site and compare the new front end photo with the original concept vehicle photo.
Ford Invests $75 Million to Convert Truck Plant for Small Cars
Ford Motor Co. is following through on its plans to produce more small cars with a $75 million investment in the body shop of its Michigan Truck Plant. Starting in November, the company will begin disassembling the tooling and equipment for the Ford Expedition and the Lincoln Navigator, and by mid-2009 that same equipment will start producing those vehicles at Ford’s Kentucky Truck Plant. That will pave the way for small-car production to begin at the Michigan Truck Plant in 2010 (it’s not clear yet if Ford will also change the name of the facility). Meanwhile, Ford will add a third shift to the nearby Wayne Assembly Plant at the start of 2009, and the 1,000 employees from the Michigan Truck Plant will be put to work at that plant, producing the hot-selling Ford Focus.
The Michigan Truck Plant is one of three Ford plants in North America that will be converted from trucks and sport utility vehicles (SUVs) to instead build small fuel-efficient compact and subcompact cars. A facility in Mexico that currently produces F-Series pickups will begin building the new Fiesta subcompact car in 2010, while the Louisville Assembly Plant in Kentucky, currently the home of the Ford Explorer, will start producing other small vehicles in 2011. See the Ford press release.
Producing more compact and subcompact cars will yield significant gains in fuel economy for Ford, but of course those gains will be gradual and incremental. Looking more towards those technologies that can yield revolutionary gains in fuel economy, the Progressive Automotive X Prize announced last week that it is now accepting official registrations for its competition. To date, more than 120 teams from 17 countries have declared their intent to compete for the $10 million prize, which will be awarded those that can design and build production-capable, market-friendly vehicles able to achieve the equivalent of at least 100 miles per gallon.
Teams have until the end of this year to register, and those that qualify will participate in a long-distance stage race that will be judged on speed, distance, urban driving, and overall performance, while also having to meet the fuel economy goal and strict emissions standards. DOE is providing nearly $3.5 million for education and outreach related to the prize. See the press release on the Progressive Automotive X Prize Web site.
San Francisco Approves a Tough Green Building Standard
San Francisco Mayor Gavin Newsom approved a green building ordinance in early August that imposes strict requirements on newly constructed residential and commercial buildings within the city, as well as building renovations. For homes, the ordinance requires ratings from the GreenPoints rating system, developed by a non-profit organization called Build It Green. Starting next year, new "small" residential buildings (those with four dwellings or fewer) must achieve 25 GreenPoints (equal to the "Elements" rating), but do not need to be rated.
For 2010 and 2011, the homes must be GreenPoint Rated and building applications must demonstrate that a minimum of 50 GreenPoints (equal to the "Whole House" rating) will be achieved. And starting in 2012, building applications for new homes must demonstrate that at least 75 GreenPoints will be achieved. The same rules apply for mid-size residential buildings, except that the requirement for 75 GreenPoints starts earlier, in 2011.
For commercial buildings and high-rise residential buildings, the ordinance adds in requirements from the U.S. Green Building Council’s LEED rating system. Starting in November (if the California Energy Commission approves the legislation), new permit applications for high-rise residential buildings must include documentation to achieve LEED certification (or 50 GreenPoints), and starting in 2010, they must include documentation to achieve LEED Silver certification (or 75 GreenPoints). A number of specific LEED standards must also be met for landscaping, water use reduction, and construction debris management.
Mid-size commercial buildings don’t need to meet LEED certification requirements but must meet LEED standards for building commissioning, landscaping, water use, and construction debris management starting in 2009, and must meet enhanced commissioning standards and tighter water use requirements starting in 2010. Beginning in 2012, the buildings must also meet LEED standards for the use of on-site renewable energy or the purchase of renewable energy credits.
The toughest requirements apply to large commercial buildings. Starting in November, new permit applications for high-rise residential building must submit documentation to achieve LEED certification, and that requirement ratchets up to LEED Silver in 2009 and LEED Gold in 2012. There are also requirements to meet additional LEED standards, nearly equal to those for mid-size commercial buildings.
Finally, for new large commercial interiors and major alterations to existing buildings, new permit applications must include documentation to achieve the same LEED rating requirements as for new large commercial buildings, and must also meet the LEED standards for materials that emit low levels of indoor pollutants. All new buildings must earn additional rating points if an older building was demolished to make room for it, and they must earn even higher points if the demolished building was historical. Building projects can also earn extra points by retaining historical features of the previous building. See the mayor’s press release, the green building ordinance (PDF 2.3 MB), and the GreenPoints and LEED rating systems.
High Fuel Costs Ground U.S. Travelers on Labor Day Weekend
About 1 million fewer passengers flew on U.S. airlines during the Labor Day holiday period compared to last year, according to the Air Transport Association of America (ATA). The industry trade organization tallied a 5.7% drop in holiday traffic this year, and an even larger drop for domestic travel, at 6.5%. The ATA blames higher energy prices, rising airfares, and airline schedule cuts as the main reasons for the drop in travel. All of those factors are related to the sky-high price of kerosene-based jet fuel, which has averaged $160.47 per barrel so far this summer. That’s a 79% increase above last summer’s average jet fuel price of $89.82 per barrel. See the ATA press release.
The high fuel prices are being felt throughout the airline industry, and for most companies, the answer is to transition quickly to more fuel-efficient airplanes. Until those new planes arrive, one of the few ways to contain costs is to fly less, an approach airlines refer to as "capacity reductions." American Airlines, for instance, plans to retire 30 MD-80s this year and all 34 of its A300 aircraft by the end of 2009. The company’s mainline domestic capacity is expected to drop by 5.7% this year and even further next year as it awaits the arrival of 70 Boeing 737-800 aircraft, which are more fuel-efficient, in 2009 and 2010. See the American Airlines press release.
Nearly all the airlines are experiencing similar woes. Continental Airlines will cut its domestic mainline capacity by 10% starting in September and will retire 67 inefficient aircraft by the end of 2009, causing a loss of 3,000 jobs. Delta Air Lines plans to cut its domestic capacity by 13% for the second half of the year, while Northwest Airlines Corp., which is merging with Delta, plans to retire 47 aircraft and cut its mainline capacity by up to 9.5% in the fourth quarter of 2008. And United Airlines is retiring 100 aircraft and expects its North American mainline capacity to drop by about 8% this year (including a 16% drop in the fourth quarter), followed by a 13% drop next year, which will cause a loss of about 7,000 employees. See the Continental press release and the press releases from Delta (PDF 112 KB), Northwest, and United.
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Kevin Eber is the Editor of EREE Network News, a weekly publication of the U.S. Department of Energy’s Office of Energy Efficiency and Renewable Energy (EERE).
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