By Tina Caparella
As the saying goes, “Good things come to those who wait.” Well, Rothsay, a division of Maple Leaf Foods, Inc., has waited long enough and has finally begun production at Canada’s first commercial-scale biodiesel plant. The new facility, which went online in late November 2005, has the capacity to produce 35 million liters (9.2 million gallons) of biodiesel annually and is located in an industrial section of Ville Ste. Catherine on the south shore of Montreal, QB, Canada. The batch system converts animal fats and recycled cooking oils into the alternative fuel using a process pioneered and developed at the plant in Montreal. The biodiesel is produced according to the ASTM International, formerly the American Society of Testing and Materials, Standard D6751, and sold to distributors in Canada and the United States.
The Canadian renderer first began producing biodiesel in September 2001 at a small pilot plant. After successfully proving the technology designed by Rothsay engineers and using the alternative fuel in the company’s own fleet of trucks, Rothsay decided to build a full-scale plant in 2003. After several delays, construction finally got underway in early 2005 at the site of the pilot plant, which used to house a rendering facility.
“With this new state-of-the-art plant, biodiesel is going big in Canada,” said Scott McCain, president and chief operating officer, Agribusiness Group, Maple Leaf Foods, Inc. “This plant is the first in the country to produce biodiesel on a large scale, marking an important milestone in the diversification from conventional fossil fuels to environmentally friendly fuels.”
Already one of Canada’s largest independent rendering companies, Rothsay is now also a major player in Canada’s biodiesel industry, helping to foster the development of the industry with such studies as the City of Montreal’s Bio Bus and BioMer projects.
The Canadian Renewable Fuels Association (CRFA) recently presented Rothsay with the New Canadian Producer award, one of two awards honoring those in the Canadian biodiesel industry.
Wastewater Plant to Use Inedible Grease for Energy
The city of Millbrae, CA, and Chevron Energy Solutions, a unit of Chevron, have begun construction on upgrades to the city’s water pollution control plant that will generate on-site electricity from restaurant grease and other organic matter. The plant’s improvements will process inedible grease in a comprehensive system specifically designed to control odors, generate reliable power, reduce energy costs, and provide a new municipal revenue stream.
Chevron Energy Solutions, which is engineering and managing the installation as prime contractor, said the new system will efficiently create and use a free biofuel – digester gas produced from the grease – and will increase the amount of “green power” now generated by the facility’s cogeneration plant by 40 percent. Because the system will generate electricity on site, the city will avoid having to purchase about 1.5 million kilowatt-hours from the local utility each year.
According to Dick York, the plant’s superintendent, the city will allow licensed inedible grease haulers to dispose of their material at the wastewater treatment plant at a cost to the hauler of 10 cents per gallon. York said about 13 companies in the area have been contacted, from mom-and-pop operations to large corporations, with many showing an interest in the program. Estimates are that the upgraded system will provide about $264,000 in combined energy savings and revenues from its grease receiving facility each year, helping to pay for the $5.5 million facility improvements – as well as maintenance – at no new cost to the city’s ratepayers.
The new system, enclosed to minimize odors, was designed as a cost-effective way to renovate the city’s aging wastewater treatment infrastructure and will include:
• a new 250-kilowatt microturbine cogeneration system, fueled by natural and digester gas, to power the plant’s wastewater treatment facility;
• a compressed natural gas tank to store fuel on site;
• a facility that will receive inedible restaurant grease 24 hours a day and provide deodorizing washes for grease hauling trucks; and
• “chopper pumps” that reduce grease particle size and help process and move the grease to two anaerobic digester tanks. The tanks house microbes that digest organic matter from wastewater and produce methane (natural gas) as a by-product, which is used to fuel the microturbine.
Construction is expected to be complete by the fall of 2006.
Minnesota Working Out Bugs
The Minnesota Department of Commerce, Weights and Measures Division, has twice stopped the selling of diesel fuel blended with two percent biodiesel since a mandate requiring the alternative fuel’s use took effect September 29, 2005, due to biodiesel fuel not meeting certain quality requirements.
The first variance was issued October 28, 2005, after samples from three biodiesel production facilities and from wholesale terminals in the state did not meet the 130 degrees Celsius minimum flashpoint required by the ASTM International standard for biodiesel. Out of the 17 samples tested by an independent laboratory, only 10 met the requirement, with all samples testing over 100 degrees Celsius. While samples from two biodiesel production plants – SOY MOR, Albert Lea, and Minnesota Soybean Processors, Brewster – did not meet the ASTM flashpoint standard, no other occurrences were reported at the time, allowing biodiesel to once again be blended with the state’s diesel fuel 10 days later.
The second variance was issued December 23, 2005, after the department received numerous complaints of clogged fuel filters, particularly in colder weather. It was ultimately determined that some biodiesel fuel was not meeting the ASTM standard for total glycerin content and sediment. Initially issued for 21 days, the variance was extended for an additional 30 days on January 13, 2006. The majority of the biodiesel fuel used in the state’s blending is produced in Minnesota; however, some biodiesel is imported from other states due to pricing and marketing strategies.
The variances were granted to allow fuel producers and distributors time to identify and remove any product from the distribution system that may be out of specification. The extension also allowed industry participants and stakeholders to implement quality assurance steps to prevent out-of-specification fuel from entering the Minnesota marketplace. Unblended diesel was allowed to be sold during each variance.
“The Department of Commerce and the [Governor] Pawlenty Administration remains committed to biodiesel,” said Deputy Commerce Commissioner Edward Garvey. “We appreciate the willingness of all the parties – especially biodiesel producers – to work on solutions that will ensure that this valuable, renewable fuel is a part of the Minnesota marketplace.”
Minnesota Biodiesel Council Chairman Don Louwagie said the out-of-specification fuel issue is not statewide and there are many Minnesota diesel users and fleets that are not experiencing problems.
“We feel strongly that biodiesel that does not meet the required standards has no place in the marketplace,” said Louwagie. “There is good quality biodiesel available that continues to provide excellent performance.”
NBB Reelects Officers
The biodiesel industry has reelected Darryl Brinkmann to serve a second year as chairman of the National Biodiesel Board (NBB). Brinkmann, representing the American Soybean Association, has served as a board member since 1998.
“I am honored to be reelected by my peers to chair NBB,” he commented. “All of us have the same goal: accommodate the demand for biodiesel, with emphasis on fuel quality. I am proud of the strides in the biodiesel industry in the last year, and will work to see them through this year.”
All NBB officers were reelected to the board and to their leadership positions. They are Fred Wellons, vice chairman, representing Baker Commodities; Gary Haer, secretary, representing West Central; and Jerry Osterholt, treasurer, representing the Indiana Soybean Board.
New York Mandates Use
In late November, New York Governor George Pataki issued an executive order requiring all state agencies and public authorities to increase their purchase and use of biofuels for heating facilities and fueling vehicles.
“High energy prices have significantly impacted families and businesses across the Empire State, and have clearly shown our vulnerability to foreign energy sources,” said Pataki. “By developing a strong biofuel industry in the state, we can break free from our dependence on foreign fuels, provide an economic boost to our farming community, and keep energy dollars here in New York.”
Under the executive order, state agencies and public authorities will be required to purchase and utilize biofuels for use in boilers, heating/cooling plants, and in motor vehicle fleets. The order mandates that by 2012, at least five percent of the heating fuel used in state buildings will be biodiesel. In addition, by 2007, at least two percent of fuels used in the state’s vehicle fleet must be biodiesel, with the percentage rising to 10 percent in 2012.
The New York State Energy Research and Development Authority also will offer an incentive package to developers to promote the construction of bio-refineries in the state. Under the $500,000 program, applicants are eligible for grants of up to $100,000 for the planning, design, and construction of biodiesel refining facilities as well as other qualifying costs associated with construction and operations.
New York state agencies and public authorities annually consume more than 48 million gallons of diesel fuel and 55 million gallons of heating oil, which are both primarily imported.
Patent Awarded for Modular Production Unit
Biodiesel Industries, Inc., has been awarded a U.S. patent for their design of a biodiesel modular production unit (MPU). The patent covers the production of biodiesel using an MPU incorporated onto a single platform for ease of installation and relocation, if desired, as well as several particular aspects of the design for collecting and processing a wide range of feedstocks, including animal fats, recycled cooking oils, and grease trap materials.
The prefabricated MPUs are designed to be transported by truck, rail, or ship and have a consistent set of plans that have been engineered and approved for all code and permitting requirements. The technology protected by this patent is already being used at four commercial facilities designed, built, owned, and operated by Biodiesel Industries in California, Colorado, Texas, and Australia. An MPU now being expanded at the naval base in Ventura County in California will have a capacity of three million gallons per year and occupy a 65-foot by 75-foot area. The skid-mounted components are small enough to be transported on a C-130 cargo plane.
Producer Partners with Marketer
American Biofuels (ABF), LLC, which is 35 percent owned by Green Star Products, Inc., has entered into a long-term agreement with Energy Merchant Marketing (EMM) to market the entire biodiesel production of ABF’s Bakersfield, CA, facility. EMM, a wholly-owned subsidiary of Energy Merchant Corporation and a national supplier of long-term petroleum contracts, will purchase 100 percent of the biodiesel produced at the ABF facility and market it into the downstream petroleum sector.
Under the agreement, EMM and ABF will look to increase the present capacity of the biodiesel plant from five million gallons per year to 20 million gallons per year over a three-phase expansion plan due to begin in the spring.
Research Grants Awarded
The U.S. Department of Agriculture (USDA) has awarded Small Business Innovation Research (SBIR) grants totaling more than $18.9 million to 131 small businesses. Those grants that deal with renewable energy total more than $1.2 million and include:
• “Biosolids for Biodiesel,” Emerald Ranches, Sunnyside, VA, $295,606 – a Phase II project to set up a facility capable of extracting oil from canola seed and transforming the oil into biodiesel;
• “A New Process for Biodiesel Production Based on Waste Cooking Oils and Heterogeneous Catalysts,” United Environment and Energy, LLC, Orchard Park, NY, $80,000 – a Phase I project to study the feasibility of cost-effective production of high-value biodiesel from waste cooking oils; and
• “Improved Quality Soy Oil-based Biodiesel Fuel,” Bioplastic Polymers and Composites, LLC, Midland, MI, $296,000 – a Phase II project to produce biodiesel from fats and vegetable oils that has better low temperature flow properties, is more volatile, and is more resistant to thermal breakdown than current biodiesel.
In fiscal year 2005, 131 SBIR grants were awarded in 12 topic areas that support the USDA vision of a healthy and productive nation in harmony with the environment. Companies initially apply for Phase I feasibility studies, which may be followed by Phase II research and development projects. Phase I grants are limited to $80,000 and a duration of eight months, while Phase II grants are limited to $300,000 and a duration of 24 months. Approximately half of Phase I projects continue onto Phase II.
Biodiesel Bulletin - February 2006 Render