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DowDuPont to exit cellulosic biofuels business

By Jim Lane, Biofuels Digest.

In Delaware, DowDuPont announced that it intends to sell its cellulosic biofuels business and its first commercial project, a 30 million gallon per year cellulosic ethanol plant in Nevada, Iowa. The Nevada project is still going through start-up.

By Jim Lane, Biofuels Digest.

In Delaware, DowDuPont announced that it intends to sell its cellulosic biofuels business and its first commercial project, a 30 million gallon per year cellulosic ethanol plant in Nevada, Iowa. The Nevada project is still going through start-up.

In an official statement, the company said:

As part of DowDuPont’s intent to create a leading Specialty Products Company, we are making a strategic shift in how we participate in the cellulosic biofuels market. While we still believe in the future of cellulosic biofuels we have concluded it is in our long-term interest to find a strategic buyer for our technology including the Nevada, IA biorefinery.

We will continue to participate in the overall biofuels market through specialty offerings including biofuel enzymes and engineered yeast solutions that improve yield and productivity for biofuel producers. We plan to work closely with local, state and federal partners to assure a smooth transition as we pursue the sale of the business. All affected employees will receive support services during this transition.

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House Republicans Unveil Tax Reform Bill

On Thursday, November 2, 2017, House Republicans released the legislative text of H.R. 1, the Tax Cuts and Jobs Act.  The bill would make a host of significant changes to the U.S. tax code for both individuals and businesses.  Provisions of particular note for renewable natural gas stakeholders:

  • Reduces the corporate tax rate from 35% to 20%.
  • Provides immediate expensing for capital investments and limits the deductibility of interest expenses to 30% of pre-tax earnings, with some exceptions.
  • Interest on private activity bonds would be taxable starting in 2008.
  • The bill is silent on the credit for alternative fuel vehicle refueling property, the second generation biofuel credit, and the alternative fuel credit that expired at the end of 2016. Thus, the provisions are assumed to remain lapsed.
  • The legislation makes several changes to the Section 45 Production Tax Credit (PTC) and the Section 48 Investment Tax Credit (ITC). Specifically, H.R. 1:
    • Repeals the inflation update on the PTC for tax years after November 2, 2017. Thus, the credit rate would be 1.5 cents per kilowatt-hour. H.R. 1 does not otherwise modify the phase-out for wind projects or the credit lapse for non-wind renewable technologies enacted in 2015.
    • Modifies the ITC to provide micorturbines, fuel cells, combined heat and power, and small wind energy the same treatment provided to solar energy under current law (phased-down between now and 2021). The bill also repeals the permanent 10% ITC for solar and geothermal after 2027.
    • For both the PTC and ITC, the legislation modifies the begin construction standard that triggers credit eligibility to require continuous construction.  

Process:

The House Committee on Ways and Means is expected to begin consideration of H.R. 1 on Monday, November 6, 2017, and House Leadership has indicated a desire to consider the legislation in the full House the week of November 13, 2017.  Concurrently, the Senate Finance Committee is expected to unveil its version of tax reform, which is widely anticipated to differ from the House package, the week of November 13, 2017.  Senate Majority Leader Mitch McConnell has signaled his intention to consider tax reform legislation prior to Thanksgiving.  That noted, the situation on timing remains fluid, and could be modified based on the feedback and concerns of elected officials.

Below are links to the summary of the House tax bill prepared by the House Ways and Means Majority staff and a link to the text of H.R. 1.

Bill Summary:

https://waysandmeansforms.house.gov/uploadedfiles/tax_cuts_and_jobs_act_section_by_section_hr1.pdf

Bill Text: 

https://waysandmeansforms.house.gov/uploadedfiles/bill_text.pdf

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Utah to Reduce Emissions Along the Wasatch Front by Replacing Diesel Trucks & Buses

By U.S. Environmental Protection Agency.

DENVER, Colo. -- The U.S. Environmental Protection Agency has awarded the Utah Department of Environmental Quality a $2.3 million grant under the National Clean Diesel Funding Assistance Program to reduce diesel emissions from heavy-duty trucks and school buses based in several counties along the Wasatch Front, an area challenged by levels of particulate matter that exceed federal air quality standards.

By U.S. Environmental Protection Agency.

DENVER, Colo. -- The U.S. Environmental Protection Agency has awarded the Utah Department of Environmental Quality a $2.3 million grant under the National Clean Diesel Funding Assistance Program to reduce diesel emissions from heavy-duty trucks and school buses based in several counties along the Wasatch Front, an area challenged by levels of particulate matter that exceed federal air quality standards.

"EPA’s clean diesel grants support local and regional efforts to secure healthier air in our communities," said EPA Regional Administrator, Doug Benevento. "Over the past decade, the state of Utah has established exemplary partnerships with local governments and businesses to prioritize clean diesel investments and retrofit and replace high-emitting vehicles. EPA will continue to support our partners as they address air quality challenges along the Wasatch Front."

"In addition to the air quality benefits that result from these projects, DEQ appreciates the opportunity to collaborate with different organizations to upgrade their fleets," said DEQ Executive Director, Alan Matheson. "This funding assistance is a win-win for Utah businesses and the local airshed."

Utah DEQ will use the EPA clean diesel grant to replace short and long-haul diesel trucks with current model year vehicles that have the most stringent emissions standards available at the time of replacement. In addition, several diesel school buses will be replaced with current model year school buses powered by clean diesel, low-NOx, compressed natural gas engines or propane. The majority of these vehicles will operate in Davis, Salt Lake, Tooele, Utah and Weber counties, all designated nonattainment for particulate matter.

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Long Beach Transit to Purchase 40 CNG Bus Engines

By Joseph Bebon, NGT News.

Long Beach Transit (LBT) has received a $600,000 grant from the Mobile Source Air Pollution Reduction Review Committee (MSRC) of the South Coast Air Quality Management District Near Zero Incentive Program for the purchase of 40 “near zero” compressed natural gas (CNG) engines.

The Long Beach, Calif.-based transit agency says the engines are upgrades to a recent bus procurement, as the “near zero” engines were not available when the purchase was authorized in 2016.

By Joseph Bebon, NGT News.

Long Beach Transit (LBT) has received a $600,000 grant from the Mobile Source Air Pollution Reduction Review Committee (MSRC) of the South Coast Air Quality Management District Near Zero Incentive Program for the purchase of 40 “near zero” compressed natural gas (CNG) engines.

The Long Beach, Calif.-based transit agency says the engines are upgrades to a recent bus procurement, as the “near zero” engines were not available when the purchase was authorized in 2016.

According to LBT, the buses will be equipped with the Cummins Westport 8.9 liter engine that is certified by the California Air Resources Board and the U.S. Environmental Protection Agency to meet or exceed optional and more stringent near zero standards.

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Scott Pruitt Plans to Dismiss EPA's Expert Scientific Advisors

By Michael Biesecker, AP, via TIME.

(WASHINGTON) — The head of the Environmental Protection Agency said Tuesday he intends to replace the outside experts that advise him on science and public health issues with new board members holding more diverse views.

In announcing the changes, EPA Administrator Scott Pruitt suggested many previously appointed to the panels were potentially biased because they had received federal research grants. The 22 boards advise EPA on a wide range of issues, including drinking water standards and pesticide safety.

By Michael Biesecker, AP, via TIME.

(WASHINGTON) — The head of the Environmental Protection Agency said Tuesday he intends to replace the outside experts that advise him on science and public health issues with new board members holding more diverse views.

In announcing the changes, EPA Administrator Scott Pruitt suggested many previously appointed to the panels were potentially biased because they had received federal research grants. The 22 boards advise EPA on a wide range of issues, including drinking water standards and pesticide safety.

“Whatever science comes out of EPA shouldn’t be political science,” said Pruitt, a Republican lawyer who previously served as the attorney general of Oklahoma. “From this day forward, EPA advisory committee members will be financially independent from the agency.”

Pruitt has expressed skepticism about the consensus of climate scientists that man-made carbon emissions are the primary cause of global warming. He also overruled experts that had recommended pulling a top-selling pesticide from the market after peer-reviewed studies showed it damaged children’s brains.

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EPA: 21.36 million cellulosic RINs generated in September

By Erin Voegele, Biomass Magazine.

The U.S. EPA has released renewable identification number (RIN) data for September, reporting that nearly 1.6 billion RINs were generated during the month, including nearly 21.36 million cellulosic RINs.

By Erin Voegele, Biomass Magazine.

The U.S. EPA has released renewable identification number (RIN) data for September, reporting that nearly 1.6 billion RINs were generated during the month, including nearly 21.36 million cellulosic RINs.

Nearly 21.36 million D3 cellulosic biofuel RINs were generated in September, bringing the net total for the first nine months of the year to 156.67 million. So far this year 5.31 million D3 RINs have been generated for ethanol, with 96.74 million generated for renewable compressed natural gas and 54.66 million for renewable liquefied natural gas. Approximately 137.1 million D3 RINs have been generated domestically, with 19.6 million generated by importers.

No D7 cellulosic diesel RINs were generated in September. However, a net total 963,050 D7 RINs were generated during the first three quarters of 2017, all for cellulosic heating oil by importers.

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Lincoln, NE Mayor Urged to Reconsider Contract Award & Issue RFP for City Biogas-to-Vehicle fuel Project

By  Lincoln Journal Star.

City Councilman Roy Christensen wants Mayor Chris Beutler to reconsider his decision to award a contract to a Nebraska engineering company for work on a biogas-to-vehicle fuel project.

Beutler bypassed the city’s request-for-proposal (RFP) process to award a contract to HDR Inc. for design work on a city-owned and operated process that would convert biogas from the sewage treatment process into compressed natural gas.

By  Lincoln Journal Star.

City Councilman Roy Christensen wants Mayor Chris Beutler to reconsider his decision to award a contract to a Nebraska engineering company for work on a biogas-to-vehicle fuel project.

Beutler bypassed the city’s request-for-proposal (RFP) process to award a contract to HDR Inc. for design work on a city-owned and operated process that would convert biogas from the sewage treatment process into compressed natural gas.

Christensen on Wednesday asked Beutler to reconsider the contract with HDR and instead to use the city’s RFP process.

Christensen has tried to get the city administration to consider using a private company that would build, own and operate the biogas-to-fuel project. The private company would pay the city an annual fee and produce compressed natural gas for city vehicles.

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Southern California Edison Unveils Plan to Make Power Grid 80% Carbon-Free by 2030

By Robert Walton, Utility Dive.

Southern California Edison has developed a plan in a new white paper to help California meet its ambitious climate and air quality goals by electrifying the state's transportation, and water and space heating sectors, while also utilizing more carbon-free energy.

By Robert Walton, Utility Dive.

Southern California Edison has developed a plan in a new white paper to help California meet its ambitious climate and air quality goals by electrifying the state's transportation, and water and space heating sectors, while also utilizing more carbon-free energy.

The approach "builds upon existing state programs," the utility said, to help reduce the state's greenhouse gas emissions by 40% from 1990 levels in the next 12 years and 80% by 2050. However, the approach could require a 2% annual increase in power prices. 

The proposal calls for a doubling California's use of carbon-free electricity, from 40% today to 80% by 2030, in part by rolling out more energy storage projects.

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Manitoba Rolls Out New Plan to Combat Climate Change

By Journal of Commerce News.

WINNIPEG — Manitoba’s provincial government has announced a Made-in-Manitoba Climate and Green Plan, which was developed after a year of consultations with environmental, business and climate expert stakeholders.

Manitoba Premier Brian Pallister and Sustainable Development Minister Rochelle Squires announce a new Made-in-Manitoba Climate and Green Plan on Oct. 27. 

By Journal of Commerce News.

WINNIPEG — Manitoba’s provincial government has announced a Made-in-Manitoba Climate and Green Plan, which was developed after a year of consultations with environmental, business and climate expert stakeholders.

Manitoba Premier Brian Pallister and Sustainable Development Minister Rochelle Squires announce a new Made-in-Manitoba Climate and Green Plan on Oct. 27. 

One of the main components of the plan is carbon pricing at $25 per tonne starting in 2018, which Manitoba Sustainable Development Minister Rochelle Squires noted will not rise, with a full review of the carbon pricing plan scheduled for 2022.

"Our lower carbon price respects the massive hydro investments Manitobans have made over decades to build one of the cleanest electricity systems in the world," Manitoba Premier Brian Pallister said in a statement.

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Three Kings County, CA Dairies Among Eighteen Statewide Farms to Receive Grants to Build Digesters, Mitigate Methane Emissions

By John Lindt, The Sentinel. 

The California Department of Food and Agriculture has awarded $35.2 million in grant funding to 18 dairy digester projects across the state. These projects, part of the Dairy Digester Research and Development Program, will reduce greenhouse gas emissions from manure on California dairy farms.

Projects approved in Kings County include $3 million to Wreden Ranch near Hanford, $3 million to Hanford-area dairy Cloverdale and Hollandia Farms, also of Hanford, awarded $1.5 million. Each dairy had to put up substantially more for their projects in matching funds.

By John Lindt, The Sentinel. 

The California Department of Food and Agriculture has awarded $35.2 million in grant funding to 18 dairy digester projects across the state. These projects, part of the Dairy Digester Research and Development Program, will reduce greenhouse gas emissions from manure on California dairy farms.

Projects approved in Kings County include $3 million to Wreden Ranch near Hanford, $3 million to Hanford-area dairy Cloverdale and Hollandia Farms, also of Hanford, awarded $1.5 million. Each dairy had to put up substantially more for their projects in matching funds.

Dairy manure produces methane when it decomposes. Methane is a powerful greenhouse gas that traps more than 80 times as much heat in the atmosphere as carbon dioxide. Dairy digesters help capture methane emissions, which can be used to produce electricity or natural gas.

Each project plans to capture methane emissions from a covered lagoon and transport the gas to a collection point to be converted to biomethane fuel for vehicles. The process turns an airborne pollution problem into a business opportunity.

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