It will have the potential to produce 35 million gallons of biodiesel per year and was developed based on research using yellow grease, but unless there is equality in federally subsidized tax credits for rendered products and soybean oil, yellow grease may never see the inside of the newest biodiesel facility now being constructed.
Green Star Products, Inc., is building what it claims to be the largest biodiesel plant in the United States in Bakersfield, CA. Joseph LaStella, president of Green Star Products, said the choice in feedstock basically comes down to economics.
“We did all of our research development work in early 2000 and at that time we felt the only way to go was with yellow grease,” said LaStella. “From the beginning, the entire design was to handle yellow grease. Then the CCC [Commodity Credit Corporation] credits became available and they were so high that you have to take everything into consideration.”
LaStella would prefer to use yellow grease to produce the alternative fuel at the new facility and is still not sure which feedstock will be utilized once the plant is up and running later this year.
“The economics and formulas are so complicated,” he commented. “But I can assure you we’re going to run yellow grease in that plant sooner or later.”
Green Star Products has a 35 percent ownership position in American Bio-Fuels, LLC, the company that is building the continuous flow process plant through a joint venture. American Bio-Fuels is moving an existing 2.5 million gallon per year biofuels production facility from Adelanto, CA, to the new location in central California. The facility is located on 36 acres and has three railroad spurs that can hold 130 railroad cars. According to American Bio-Fuels, Bakersfield is an ideal location because most of the oil refineries in California are located there and the area has extensive infrastructure to transport fuels all over the state via rail, truck, and pipeline.
Initially, plans are to expand the plant to 15 million gallons per year as the market develops in central California. Expansion is possible with plug-in modules, each capable of producing 2.5 million gallons of biodiesel per year. According to LaStella, four additional plants are planned for Connecticut, Arizona, Utah, and Louisiana.
Canada Removes Excise Tax
Canada’s federal government took a big stride towards increasing the viability of biodiesel production and use in that country with the removal of the four-cent-per-liter federal excise tax on biodiesel, making the alternative fuel nearly tax-free in some areas of Canada. Ontario recently removed the 14.3-cent provincial tax and Quebec’s removal of its 16.2-cent tax is pending.
Other provinces considering biodiesel tax relief are British Columbia (11.5 cents), Saskatchewan (15 cents), Manitoba (10.9 cents), and Prince Edward Island (13.5 cents).
Biodiesel Rental Car Debuts
On the Hawaiian island of Maui, Shaun Stenshol, owner of Maui Recycling Service, fulfilled his long-time dream of a biodiesel rental car when the Bio-Beetle debuted in February 2003. Available for rent through Maui Car Rentals, the 2000 Volkswagen turbo diesel Beetle runs solely on 100 percent biodiesel, which is produced on Maui from recycled cooking oil by Pacific Biodiesel. Since its introduction, the Bio-Beetle has been rented nearly full time, primarily by ecologically minded visitors.
The light green colored Beetle is available for rent for about the same price as a Mustang convertible, which is a popular rental on the island. A bonus for Beetle renters is that the biodiesel fuel is included in the rental price, although with an average 45 to 50 miles per gallon, refueling is usually not an issue for most rentals. However, if a refuel is necessary, a map to Pacific Biodiesel’s pump is provided in the vehicle’s glove compartment.
A New Use for Manure
Smithfield Foods, Inc., will invest $20 million to build a facility that converts swine waste (manure) into biodiesel. The company will be the major partner in BEST Biofuel, LLC, a partnership that will construct the project at Smithfield-owned Circle Four Farms’ swine production facilities near Milford, UT. Construction is scheduled to begin in April, pending final approval of several permits, and the facility could start producing fuel as early as October.
The project will involve the construction of a collection system to pump waste to a central processing facility where it will be concentrated. The concentrated liquid is then introduced into a second facility that produces biogas, which is then piped to an enclosed plant where thermo-catalytic processes convert it into biomethanol.
The biomethanol will be transported to a plant outside of Utah for processing into biodiesel utilizing oils such as animal fat or used cooking oil.
Argent Group to Build Plant
The United Kingdom’s fats and used cooking oils will be converted into 50 million liters (13.2 million U.S. gallons) of fuel a year at Argent Energy’s new large-scale biodiesel production plant in Scotland. Argent Energy is a subsidiary of Agent Group Europe.
The facility will be capable of processing most oils and fats, whether they are saturated or unsaturated, converting them into biofuels and creating a viable alternative use for the used cooking oil produced by the United Kingdom’s fast food and catering industries. Construction is due to begin in the spring of 2003 with production beginning the following year. BioDiesel International was awarded the contract to build the plant.
Biodiesel Bulletin - April 2003 Render