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Energy & Environment -- Biodiesel
Interview with Bill Wason President, American Bio-Fuels, LLC (ABF), makers of Green Star Bill Wason is a pioneer and an entreprenuer in Biodiesel and Renewable Energy Use in the USA. With over 20yrs of experience as a consultant on Renewable Energy and the President of American Bio-Fuels, he is the right person to talk to if you want to know what's happening in Energy Policy Reform in the US. ABF, his company, is the Bio-fuel manufacturer of Green Star, a form of biodiesel that is being sold in the US with approval of the EPA. Intrigued by the presence of any renewable energy company operating in the US, I was very eager to invite him for an interview. I had questions concerning the market for biodiesels in the US and also about legislation in the industry. Here's that interview: 1) Please share with our readers some information on Price, Supply and Demand of Biodiesel in your region. The answer to this is included in a report on ABF's product titled American Bio-Fuels, LLC: A Summary. 2) According to an EPA.gov report : http://www.epa.gov/otaq/retrofit/techlist-biodiesel.htm "There is a slight fuel economy penalty with biodiesel use." Is this true? How much does one gallon of Biodiesel (100%) cost vs. one gallon of Regular Diesel? What does 50% Biodiesel cost? We market a biodiesel blended with additives that are very inexpensive (less than 2 cents per gallon) and lower NOX by 15% and particulates by 25%+. Approximate price at the plant of biodiesel is about $1.60 per gallon in quantity purchases. There is conflicting data on how much this penalty is. It is anywhere from 0-10%, depending on how you count in additional cetane value of some biodiesel. In low blend biodiesel, the performance impact is very low. All of this can be offset by co-marketing biodiesel with additives, which can improve diesel fuel economy up to 10% even when biodiesel is used in low blends, since they effect both diesel and biodiesel. 3) From what I learnt from a Southern States Power Company report: http://www.sspowerco.net/solutions.cfm?CFID=3334757&CFTOKEN=70164879 "OxEG Biodiesel is very energy efficient. For every unit of fossil energy used to produce biodiesel, 3.37 units of biodiesel energy are created. " Read the attached report: Test Data on Emission & Efficiency Benefits : Summary Description of Green Star Technologies. 4) According to the above EPA.gov link: http://www.epa.gov/otaq/retrofit/techlist-biodiesel.htm "There are no data on biodiesel effects on engine durability, materials compatibility, fuel storage stability, lubricity, biodiesel production feedstock or costs, cold flow properties, cost, renewability /full fuel lifecycle emissions." Do you ever hear complaints from Biodiesel Use? There is lots and lots of data on biodiesel impact on engines. Go to the EU web site and find out all of the data submitted in response to the Directive they have now approved requiring 2% biodiesel and ethanol in all fuel in Europe starting in 2005. The data is all good except for a few cases of fuel not meeting spec getting into the fuel supply in Germany and causing some injector problems. This is only with 100% biodiesel. In the USA almost no 100% is sold and is unlikely to sell because it has not received engine warranty blessing from auto companies (they have blessed up to 20%). In Europe the standards are tighter and a 100% blend is OK on a car by car basis but requires production from rape oil which is more expensive. Biodiesel price in Europe is about $2.60 per gallon. The EU will probably weaken standards for low blends to match US standards but not for 2-3 years. There are almost no problems with biodiesel use or the Directive in Europe would never have been passed. By 2005 there will 5 million metric tons on the market and by 2010 twenty million metric tons. That is a lot of biodiesel and would not be happening if the fuel had a problem. Of course, there are always isolated cases of problems, usually due to non-spec fuel. 5) According to EPA.gov, NOx (nitrogen oxides) gases are emitted more by biodiesels than regular ones. What are the side effects of such emission? NOX problem can be addressed with additives and lead to sharp reductions in NOX. Also, at low blends, NOX impact is negligible. 6) How do local government, State Government, and Federal Government affect the supply and demand of biodiesel -- favorable or non-favorable legislation? To see what legislation in favor of Biodiesel has been introduced by the US Government, read the detailed attachment on American Bio-Fuels, LLC. In addition, I think that school-districts should use biodiesel in buses to avoid future requirements for expensive retrofits. Trash-haulers have similar rules pending. Also, they can pass legislation requiring or allowing for labeling of fuel to include CO2, fuel efficiency and renewable content on the label with government review of test data. |
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