Pennsylvania Gov. Tom Wolf asks for RFS volume requirements waiver

By Cody Boteler, Waste Dive.

In a letter to Environmental Protection Agency (EPA) Administrator Scott Pruitt, Pennsylvania Gov. Tom Wolf asked for the administrator to reduce volumes required under the Renewable Fuel Standard (RFS). Wolf did, in his letter, note overall support for the program.

Wolf said the Northeast region of the U.S. would feel "severe economic harm" under current proposed levels because of "the high cost of purchasing RINs [Renewable Identification Numbers] to comply with the RFS."

Wolf added in the letter that because of the increasing costs of RINs, at least two merchant refiners in Pennsylvania now spend more annually on purchasing RINs than they do on payrolls costs. An EPA spokesperson told Waste Dive in an email that the agency would review Wolf's letter and respond through the appropriate channels, but did not offer further specifics.

Read more HERE. 

Read the full letter HERE. 

U.S. lawmakers from Mid-Atlantic refining states request FTC investigation into RIN markets

November 7, WASHINGTON, D.C. – Today, U.S. Senator Tom Carper, top Democrat on the Environment and Public Works Committee, along with a bipartisan, bicameral group of lawmakers, highlighted concerns regarding possible market manipulation in the compliance system used for the Environmental Protection Agency’s (EPA) Renewable Fuel Standard (RFS) program, known as the Renewable Identification Number (RIN) market.  

In a letter to Federal Trade Commission (FTC) Acting Chairman Maureen Olhausen, Delaware’s congressional delegation of Senators Carper, Chris Coons and Congresswoman Lisa Blunt Rochester (all D-Del.), as well as Senators Bob Casey (D-Pa.), Cory Booker (D-N.J.) and Congressman Patrick Meehan (R-Pa.), asked the agency to investigate and end any possible RIN market manipulation under the jurisdiction of the Commission’s Petroleum Market Manipulation Rule.

The lawmakers wrote, “Over the past four years, RIN prices have fluctuated wildly. Since earlier this year alone, they have spiked over 200 percent. This price volatility creates great uncertainty for obligated parties, especially for merchant refineries like the ones along the East Coast that have limited capability to blend biofuels into their products and need RINS to comply with the RFS program’s requirements. East Coast refineries already face slim profit margins, in part, due to their dependence on international markets for crude feedstocks, high gasoline inventories and the competition they face from global refiners. Volatility in the RIN market only adds to the East Coast refineries economic concerns.

They continued, “RIN market manipulation hurts all parties and directly harms our constituents. That is why we urgently request that the Federal Trade Commission use its authority to address RIN market manipulation.”

Read the full letter HERE. 

Michigan State University produces power from food waste using Anaerobic Digestion, and initiates global research partnerships

By Arlene Karidis, Waste360. 

The school's influence stretches far beyond its campus where ongoing research in Costa Rica and other South American countries is exploring methods.

Anaerobic digestion facilities are popping up across the country, including some at college campuses.

Michigan State University, in East Lansing, Mich., is leading with way with a facility that processes between 20,000 and 24,000 tons of food waste annually to generate 380 kilowatts of electricity every hour for the campus, up to 2,800,000 kwH annually.  

But Michigan State’s influence stretches far beyond its campus where ongoing research in Costa Rica and other South American countries is exploring methods to address challenging waste streams specific to certain regions.

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Icahn receives subpoena on RFS & presidential advisory roles

Houston, 8 November (Argus) — Federal investigators subpoenaed at least three companies for information on investor and former presidential adviser Carl Icahn's "activities relating to the Renewable Fuels Standard," according to corporate disclosures.

Icahn Enterprises, CVR Energy and CVR Refining were complying with inquiries by the Southern District of New York US Attorney's office, the companies said in quarterly statements.

Icahn was an outspoken critic of US biofuel blending mandates who served as what the administration described as an informal adviser on cutting regulation to President Donald Trump. He abruptly stepped down from that role in August. CVR Energy, in which Icahn holds an 82pc ownership interest, has pushed for changes to the mandates as the refiner's costs to comply with the program have climbed.

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U.S. Gain hires Mike Bolin as West Coast Business Development Manager

Via USGasVehicles.com.

U.S. Gain, a division of U.S. Venture, Inc., has hired Mike Bolin as a business development manager to oversee current and future opportunities on the west coast in a continuing effort to grow the GAIN Clean Fuel compressed natural gas (CNG) network.

In this position, Bolin will be responsible for continued education to fleets on the benefits of natural gas as a transportation fuel and the various options to access it using Gain’s current network, as well as building out customized solutions throughout the western region of the United States.

“Mike brings more than four decades of fleet knowledge, strategic foresight and customer contacts to our business,” said U.S. Gain President Mike Koel. “He’s a true thought leader, and we’re excited for him to join our team.”

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Elementary Students Learn About Renewable Natural Gas with Help from SoCalGas Engineers and College Scholars

Via PRNewsWire.

LOS ANGELES, Nov. 3, 2017 /PRNewswire/ -- To interest students from underserved neighborhoods in STEM subjects, Southern California Gas Co. (SoCalGas) and Great Minds in STEM leaders spent today with about 100 fourth graders at Sunny Brae Avenue Elementary School in Winnetka, where Great Minds in STEM team members, SoCalGas engineers, and college students engaged students in hands-on STEM challenges related to natural gas pipeline safety and renewable natural gas. Photos of the event are available 

SoCalGas sponsored the program, "Viva Technology Student Day," created by Great Minds in STEM, a Los Angeles County-based national non-profit that focuses on student populations underrepresented in STEM (Science, Technology, Engineering and Math) fields.

"These experiences show students that we need cutting-edge science to meet California's energy needs in the future," said Jimmie Cho, SoCalGas senior vice president of gas operations and system integrity. "We want to get students excited about the science of capturing renewable methane from sources like farm operations, landfills and wastewater treatment plants. Using that biogas both reduces greenhouse gas emissions, and creates additional renewable energy."

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L.A., Long Beach ports adopts plan to speed up quest for cleaner air

By Tony Barboza, Los Angeles Times.

The nation’s largest port complex approved a plan Thursday to slash air pollution by encouraging the phase-out of diesel trucks in favor of natural gas and, ultimately, zero-emissions trucks and cargo-handling equipment over the next two decades.

The Clean Air Action Plan, unanimously adopted at a joint meeting of Los Angeles and Long Beach harbor commissioners, provides a framework for transforming the massive hub for freight-moving trucks, trains and ships to cleaner technologies through 2035. But it leaves many details undetermined, including who will pay for up to $14 billion in cleaner trucks and equipment and which industries will benefit.

The plan is the most significant and expensive environmental initiative yet by the ports, which have sought to distinguish themselves from competitors over the last decade by pioneering air quality improvements, some of which have been replicated by other seaports and enshrined by California regulators.

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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.

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

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.

"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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