<<

Increasing Employment in Mississippi

The Greening of Mississippi’s Economy: the , , Fishing and Sector

August 2011 greenjobs.mdes.ms.gov

In 2009, Mississippi and Louisiana partnered to research economic development opportunities and workforce needs associated with the region’s green economy. Through a $2.3 million grant from the U.S. Department of Labor, a consortium of the Mississippi Department of Employment Security, Mississippi State University, Louisiana Workforce Commission, and Louisiana State University conducted an extensive study of economic activity that is beneficial to the environment. This and other research products were developed as part of that effort.

“This workforce solution was funded by a grant awarded by the U.S. Department of Labor’s Employment and Training Administration. The solution was created by the grantee and does not necessarily reflect the official position of the U.S. Department of Labor. The Department of Labor makes no guarantees, warranties, or assurances of any kind, express or implied, with respect to such information, including any information on linked sites and including, but not limited to, accuracy of the information or its completeness, timeliness, usefulness, adequacy, continued availability, or ownership. This solution is copyrighted by the institution that created it. Internal use by an organization and/or personal use by an individual for non-commercial purposes is permissible. All other uses require the prior authorization of the copyright owner.”

Equal Opportunity Employer/Program Auxiliary aids and services available upon request to individuals with disabilities: TTY 800-582-2233

i Table of Contents Description of Sector ...... 1 Introduction to the Green Component of the Agriculture, Forestry, Fishing and Hunting Sector .... 2 Green Goods and Services ...... 3 Renewable Energy ...... 3 Feedstocks for Renewable Fuels: Woody Crops ...... 5 Feedstocks for Renewable Fuels: Corn ...... 5 Combined Heat and Power: Bagasse and Wood Residues ...... 6 On-site Renewable Energy Production: Biogas and Litter ...... 6 Energy Efficiency ...... 7 Greenhouse Gas Reduction ...... 7 Pollution Prevention and Clean-up ...... 8 Recycling and Waste Reduction ...... 8 , Natural Resource Conservation and Coastal Restoration ...... 8 Education, Compliance, Public Awareness and Training ...... 9 Green Business Practices ...... 9 Renewable Energy ...... 10 Energy Efficiency ...... 10 Greenhouse Gas Reduction ...... 11 Pollution Prevention and Clean-up ...... 12 Recycling and Waste Reduction ...... 13 Sustainable Agriculture, Natural Resources Conservation and Coastal Restoration ...... 13 Education, Compliance, Public Awareness and Training ...... 14 Economic Factors ...... 15 Public Policy ...... 16 Renewable Energy and Energy Efficiency Improvements Grant Program ...... 16 The Crop Assistance Program ...... 16 The Renewable Fuel Standard ...... 17 The Renewable Energy and Energy Efficiency Export Initiative ...... 18

ii Other Legislation ...... 19 Technology ...... 20 Job Growth and Workforce Development ...... 21 Key Players ...... 23 Notes ...... 25

iii Description of Sector The North American Industry Classification System (NAICS) describes the Agriculture, Forestry, Fishing and Hunting sector, NAICS 11, as establishments involved in the production of crops, the raising or harvesting of animals from either or their natural habitat and the harvesting of timber. Establishments in this sector consist primarily of farms, , dairies, nurseries and greenhouses. This sector also includes agricultural support activities, which may perform one or more -related activities on a contract basis. Agricultural research and conservation efforts, however, are not included in this sector.1 Reported employment figures for this sector reflect the state of Mississippi’s distinction between “farm” and “nonfarm” employment. All agricultural operations employing fewer than ten individuals will be deemed “farm” employment and are excluded from accounting by the unemployment system. However, farming operations employing ten or more individuals will be included in reports of “nonfarm” employment. Employment figures used for this research effort exclusively rely on nonfarm figures. In Mississippi, this sector employs 13,362 people representing 1.2 percent of total nonfarm employment.2 In 2009, the private entities in this sector were responsible for $1,819 million, or 1.9 percent, of Mississippi’s gross state product.3

The Mississippi Green Jobs Survey was conducted during the third and fourth quarters of 2010 as part of this research effort to quantify and characterize the green economy in Mississippi. The survey provides a baseline measure of green employment. The survey results show an estimated 17,360 primary green jobsa in Mississippi across all sectors, which represent 1.6 percent of Mississippi’s nonfarm employment. An estimated 32,300 support green jobsb raises the total number of jobs involved in green activity categories to 49,660 jobs or 4.6 percent of nonfarm employment. The survey found that Mississippi’s Agriculture, Forestry, Fishing and Hunting sector accounted for 2,197 primary green jobs and 624 support green jobs. These survey results reveal that 21.1 percent of jobs in the Agriculture, Forestry, Fishing and Hunting sector are green with 16.4 percent primary green jobs and 4.7 percent support green jobs.

a A primary green job is defined as one where more than 50 percent of an employee’s time is devoted to one of the seven green activity categories: renewable energy; energy efficiency; greenhouse gas reduction; pollution reduction and clean- up; recycling and waste reduction; sustainable agriculture, natural resource conservation and coastal restoration; and education, compliance, public awareness and training supporting the other categories. b Support green jobs are defined as those essential to an organization’s involvement in one of the activity categories, but not requiring more than 50 percent of an employee’s effort.

1 Introduction to the Green Component of the Agriculture, Forestry, Fishing and Hunting Sector The Agriculture, Forestry, Fishing and Hunting sector is Mississippi’s largest according to the state’s Department of Agriculture and Commerce. It is a nearly $7 billion sector made up of 42,300 farms covering 11 million acres across all 82 counties. The state’s number one crop is poultry, producing meat and eggs from 817 million birds on 1,478 farms in 2010. Forestry is the state’s second largest agricultural area consuming 19,600,000 acres of state land. Soy, corn and cotton represent the third, fourth and fifth largest crops. Mississippi is also known for its rice, catfish, , hay, hog, horticulture, dairy, sweet potato, wheat, and peanut production.4

This report will focus on the environmentally beneficial activities of the Agriculture, Forestry, Fishing and Hunting sector in Mississippi in two major areas: goods and services and business practices. Discussions of this sector’s involvement in environmentally beneficial activities will be provided where significant involvement by the industry is found. As with other components of this project, green was defined based on seven activity categories:

1. Renewable Energy 2. Energy Efficiency 3. Greenhouse Gas Reduction 4. Pollution Reduction and Clean-up 5. Recycling and Waste Reduction 6. Sustainable Agriculture, Natural Resource Conservation and Coastal Restoration 7. Education, Compliance, Public Awareness and Training Supporting the Other Categories Each activity category includes: the research, development, production and distribution of a final good or service; the supply of unique parts or inputs to a final good or service; and production processes and business practices regardless of the final good or service produced. The table below indicates which environmentally beneficial categories will be featured in this report.

Sustainable Agriculture, Education, Pollution Recycling Greenhouse Natural Compliance, Renewable Energy Prevention & Gas Resources Public Energy Efficiency & Clean- Waste Reduction Conservation Awareness & up Reduction & Coastal Training Restoration Goods &

Services • • • • • Business Practices • • • • • • •

2 Green Goods and Services The Agriculture, Forestry, Fishing and Hunting sector is actively providing green goods that are utilized by consumers and by other industries as feedstocks. This sector’s primary contribution is in the area of renewable energy where it provides the raw materials for most forms of renewable bio- based energy. Mississippi’s forestry sector in particular is contributing to the production of biofuels as well as wood pellets that can be used in the production of electricity. This sector is also finding creative ways to turn animal wastes into sources of energy that can be used on site or sold to other businesses. Producers in this sector are also providing organic crops and certified sustainable wood products that promote natural resource conservation and environmentally sensitive agricultural methods.

Renewable Energy Although renewable energy is not generally produced as an end product at the agricultural production stage, the sector is responsible for producing the feedstocks used for most forms of renewable, bio-based energy. Renewable energy feedstocks can come from a wide-range of agricultural products, wastes and byproducts that are collectively known as biomass. Biomass can include crops grown specifically for energy purposes, wood products, grasses, agricultural residues, food wastes, and even animal wastes. In 2009, just over half of the renewable energy consumed in the United States came from biomass.5

One organization, the 25x’25 Alliance, a group of agricultural and forestry leaders, proposes that America’s farms, forests and ranches will be able to provide 25 percent of all energy consumed in the United States while continuing to produce affordable, abundant and safe food.6 Mississippi has taken steps to form a state-level organization of leaders around this goal promoting opportunities for farm-based renewable energy opportunities. A study by the University of Tennessee suggests that this goal is achievable and that Mississippi could see an economic impact of $11.4 billion and 92,000 jobs.7 According to the Regional Strategy for Biobased Products in the Mississippi Delta, the use of biomass “provides opportunities in Mississippi for new crop rotation options, revenue, and value- added processing income for farmers and foresters.”8

The two most likely sources of biomass-based energy available in Mississippi are from wood and forestry-related byproducts and from animal wastes, particularly poultry litter. Because these “crops” already exist as vital portions of Mississippi’s Agriculture, Forestry, Fishing and Hunting sector and because renewable fuels are produced from waste products associated with these crops, it is unlikely that new production will occur in either forestry or poultry specifically for energy purposes. The map below, generated by the National Renewable Energy Laboratory for the U.S. Department of Energy, shows estimates by county of current biomass resource availability in Mississippi.

3

In addition to requisite agricultural resources, the development of biofuels in Mississippi is also being researched and promoted through a number of other entities. The Mississippi Technology Alliance has established the Strategic Biomass Initiative to promote businesses and near-term technology based on biomass in the state9. The Mississippi Biomass and Renewable Energy Council supports biomass resources with representatives from a number of economic sectors supporting technology and biomass-related economic development opportunities.10 Mississippi State University has also established a sustainable Energy Research Center that has a focus on biomass crops such as lignocellulosic crops, switchgrass, oilseed crops, and woody biomass.11 Another research organization advancing the development of agricultural methods for woody energy crop production in Mississippi is the Forest Products Laboratory, a USDA research station.12

Interest in the development of new crops specifically for renewable energy production has been increasing in recent years, however. The Regional Strategy for Biobased Products in the Mississippi Delta, a report compiled by Battalle Technology Partnership for northwest Mississippi, and portions of Arkansas, Tennessee, Kentucky and Missouri, has helped to initiate a “Diversified Oilseed Feedstock Development Program” to work toward the commercialization of oilseed crops such as camelina, canola, and sunflowers.13

4 Feedstocks for Renewable Fuels: Woody Crops One class of crops in Mississippi with the potential to be a factor in the production of renewable sources of energy is short rotation woody crops like poplar and eucalyptus. These crops can be excellent sources of biomass for renewable energy in the form of cellulosic ethanol, wood pellets and wood energy. A hybrid version of eucalyptus, for example, can grow to harvestable heights of up to 70 feet in just six to eight years. Because it grows so quickly and can be easily grown on former timberlands, idle lands, or dedicated agricultural lands, land owners may be able to diversify their income by producing eucalyptus or other short rotation woody crops for energy purposes.14

Two giants in the forest products industry, International Paper Co. and MeadWestvaco Corp., are planning to transform planted forests of the southeastern United States by replacing native pine with genetically engineered eucalyptus, a rapidly growing Australian tree that in its conventional strains now dominates the tropical timber industry. The companies' push into genetically modified trees, led by their joint biotech venture, ArborGen LLC, looks to overcome several hurdles for the first time. Most prominently, they are banking on a controversial gene splice that restricts trees' ability to reproduce, meant to allay fears of bioengineered eucalyptus turning invasive and overtaking native forests.15 Development of planned eucalyptus forests in the southeast may help meet growing European demand for biomass.

Logging residues including the tops, slash and branches left in an area after harvesting can also be processed into biofuels. These residues are usually collected by loggers. But, harvesting specifically for biomass can also be done as a part of a forest management plan if the area is large enough with enough lower-value woody biomass resources. This residue collection may make logging more economical while providing jobs for forest managers and biomass harvesting equipment operators.

Agricultural research and private investments into biomass to fuel technologies have created economic development opportunities for Mississippi’s agricultural producers. Biodiesel plants utilizing woody biomass have located in Natchez, Greenville and Vicksburg, and still more facilities have installed systems to utilize biomass on-site to co-produce heat and electricity.16 However, a recent study by Forisk Consulting and the Schiamberg Group warns that technology for processing cellulosic biofuels from woody materials could be as much as eleven years away in their assessment. Researchers evaluated 12 technologies in 36 projects that converted wood to fuels like ethanol, butanol, diesel, gasoline, and jet fuel and found “major technical hurdles” impeding commercialization.17

Feedstocks for Renewable Fuels: Corn Another agricultural activity in Mississippi with the potential to contribute to renewable energy activities is corn production. After the enactment of the Energy Policy Act of 2005, which instituted

5 a Renewable Fuel Standard requiring a dramatic increase in national ethanol production, Mississippi saw a 279 percent increase in corn acreage. In 2007, the corn crop overtook cotton for the first time since 1958.18 Despite the interest in corn, Mississippi is still better positioned to pursue second generation biofuels such as those derived from non-food products like wood products and grasses. Since 2007, National policy has shifted to put less emphasis on corn-based biofuels and requiring ethanol production to come from non-cornstarch based sources and cellulosic sources exclusively by 2022.

Combined Heat and Power: Bagasse and Wood Residues Another contribution to renewable energy sources from producers in the agricultural sector is the fuel for combined heat and power (CHP) systems. The Environmental Protection Agency (EPA) says that CHP is “the simultaneous production of electricity and heat from a single fuel source, such as: natural gas, biomass, biogas, coal, waste heat, or oil.”19 CHP in the Mississippi agricultural sector primarily consists of burning renewable agricultural residues. This technology is well-established compared to the still developing process for converting bagasse into cellulosic biofuel. Woody residues from the forestry sector are also commonly used in combined heat and power operations to improve energy efficiency and to reduce the processors’ need for external energy inputs. Wood pellets are formed from the forestry residues that can be burned to produce energy. These products have become an important source of renewable energy for Europe. Due to standards requiring 20 percent of power from renewable sources, wood pellets are being imported into Europe from the United States. Mississippi is home to two wood pellet plants, one in Armory and the newest, the Piney Woods Pellets plant in Stone County. The Piney Woods Pellets plant alone manufactures 50,000 tons of wood pellets each year primarily for clients in Europe.20

On-site Renewable Energy Production: Biogas and Poultry Litter In addition to producing feedstocks for renewable energy, a few agricultural establishments are producing their own renewable energy on-site. One instance of on-site renewable energy production is the on-farm production of bioenergy from animal waste. This can be methane captured from cow manure known as biogas,21 or from poultry litter.

Poultry production is a $2.5 billion industry in Mississippi.22 This high level of poultry activity can produce an enormous quantity of manure, which has traditionally been used as a , due to its high levels of nitrogen and phosphorous, as well as some other useful plant nutrients. However, heavy application of poultry manure tends to lead to high nutrient build-up in the soil, which then creates groundwater leaching and runoff. When the nutrients are carried into bodies of water algae growth is enhanced which depletes oxygen and harms fish and wildlife.23 Theoretically, poultry litter can also be turned into energy through burning, charcoaling, or through biological processes

6 performed by bacteria. Burning poultry litter simply combusts the material under controlled conditions to produce heat and steam that moves turbines to produce electricity. Pennsylvania-based Fibrowatt, operates several poultry litter electrical plants around the world, including plants in England and the United States.24

The second method, pyrolysis, which is similar to the process used to produce charcoal from wood, burns the litter at extremely high temperatures in the absence of oxygen and without combustion. Pyrolysis produces volatile gases, a liquid called bio-oil, which is similar to crude oil, and a charcoal-like substance called biochar. Bio-oil can be further processed into other hydrocarbons including biodiesel or ethanol, or it can be combusted directly in conventional power plants.25 The gases released are used to provide the heat necessary to keep the pyrolysis reaction going, and biochar has many potential uses, including carbon sequestration.26

Anaerobic digestion is the third method. This process takes a slurry of poultry litter and creates methane gas (biogas) via the actions of anaerobic bacteria. This gas can then be used on-site to fuel boilers in place of natural gas, or it can be sold as a fuel itself. The solids remaining after digestion are suitable for fertilizing soils.27 The anaerobic digestion of poultry litter is currently being practiced in several locations in the American south, including one location in Mississippi. The system located in Mississippi uses two steel tanks to collect the waste and is able to produce liquid and organic biosolids for soil amendments as well as electricity and heat. Anaerobic digesters are becoming more common in dairy and hog operations as well. According to the Mississippi Development Authority, two such projects are underway in Mississippi. Biogas from these systems will be used to power electrical generators from 20 to 70 kilowatts and feed boilers to produce heat for on-farm use.28

Energy Efficiency No evidence of significant involvement for this activity category was found in the Agriculture, Forestry, Fishing and Hunting sector.

Greenhouse Gas Reduction The Environmental Protection Agency has identified certain feedstocks that are capable of producing “advanced biofuel,” meaning that it reduces greenhouse gas emissions by at least 50 percent over gasoline and is not derived from corn starch.29 There are number of renewable feedstocks that are being considered for the production of advanced biofuels including sugarcane, switch grass, sweet sorghum, energy cane, Chinese tallow, and algae, among others. The production of biofuels has been promoted heavily since the Renewable Fuel Standard (RFS) was established in the Energy Policy Act of 2005. The RFS called for 7.5 billion gallons of renewable fuels by 2012.30 The requirements for renewable biofuels were increased in the Energy Independence and Security

7 Act of 2007. Known as RFS2, the new version of the rule required 9 billion gallons of renewable fuel to be blended into transportation fuel in 2008. It also called for an increase to 36 billion gallons of renewable fuels by 2022.31

Pollution Prevention and Clean-up No evidence of significant involvement for this activity category was found in the Agriculture, Forestry, Fishing and Hunting sector.

Recycling and Waste Reduction When agricultural establishments are raising a diverse group of crops and , natural processes transform “waste products” into valuable inputs like fertilizer and compost. Many modern agricultural establishments, however, are producing a single crop or type of animal. In these operations, waste is created via unusable portions of the plant product or from manures produced by the animals being raised, but it is not transformed back into farm inputs. Many of the advances in the renewable energy activity category within the agricultural sector include finding valuable uses for what have been considered waste: bagasse, tree trimmings, and biogas production. These activities provide a waste reducing service and provide new energy sources that can serve to reduce a farm’s energy costs or be an additional revenue stream.

Sustainable Agriculture, Natural Resource Conservation and Coastal Restoration According to the National Sustainable Agriculture Information Service, a project of the National Center for Appropriate Technology funded by a grant from the USDA’s Rural Business-Cooperative Service, sustainable agriculture produces abundant food without negatively affecting the earth’s resources or polluting the environment. Sustainable agriculture follows natural processes for raising crops and livestock that are self-sustaining. This approach to agriculture promotes biodiversity, the recycling of plant nutrients, soil protections, water conservation and integrated crop and livestock enterprises.32

The Agriculture, Forestry, Fishing and Hunting sector’s most significant contribution to sustainable agriculture is the production of organic food. The environmental benefits associated with include benefits to the soil, water, air, biodiversity, and other ecological services. According to the Food and Agriculture Organization of the United Nations, organic processes such as crop rotations, symbiotic associations, cover crops, and organic fertilizers help improve the medium and long-term health and nutrient consistency of soils and reduce soil erosion. Water pollution by runoff synthetic fertilizers and pesticides is reduced and organic methods are seen as restorative measures in some heavily polluted areas. Organic agriculture also decreases fossil fuel dependence by avoiding petrochemical-based fertilizers and pesticides. Organic agriculture can also increase carbon storage by integrating higher levels of carbon into soils. Many organic farming

8 operations are also supporting biodiversity at the genetic, species, and ecosystem levels through plant selection and by avoiding pesticides that can harm native species.33

Foods and other items carrying the organic label are officially regulated by the United States Department of Agriculture (USDA). The USDA Organic label guarantees that certain environmental or health considerations were taken into account in the production, raising, or harvesting of crops, livestock and poultry, and processed foods. For processed foods to be labeled organic, no less than 50 percent of their ingredients (excluding salt and water) by weight must have been raised organically. Livestock and poultry producers must agree to use feed that is organically produced and disallow plastic pellets in feed that are sometimes used for roughage. They must also agree not to use manure re-feeding and feed formulas with urea, abstain from using hormones, growth promoters, sub-therapeutic antibiotics, or medications on animals without illness. Seafood caught in the wild may also be classified as organic.34 According to the Southern Organic Resource Guide, Mississippi was one of only two states to have no land established for certified organic production in 2001. By 2005, the Mississippi Department of Agriculture Organic Program had certified the state’s first five organic producers and two other producers were certified by private agents.35 Since 2005 the amount of certified organic farmland has increased dramatically. By 2008, Mississippi’s acreage of organic crops and pasture and rangeland was 1,433 spanning 23 different operations.36

Education, Compliance, Public Awareness and Training The national trends toward drawing deeper connections between food, its source, and how it is produced are providing new avenues for the promotion of sustainable agriculture and other environmentally beneficial practices. Restaurants, local farmers markets, grocery stores and cooking magazines are featuring demonstrations, recipes, and other promotions that emphasize and popularize environmental issues through discussions of food and farms. Although these features do not generally tease out the environmental benefits of one food trend or another, they are often part of larger discussions about food and culture.

Green Business Practices Establishments in the Agriculture, Forestry, Fishing and Hunting sector are benefiting themselves and the environment by adopting sustainable business practices. Tools are available to help farmers assess their energy needs and plan for upgrades to reduce their energy usage. New technologies are allowing for the adoption of highly precise planting and fertilizing processes that help reduce fuel and fertilizer usage. Other practices being adopted by this sector include methods for reducing nonpoint-source pollution from animal and crop producing operations as well as partnership programs to assist with the implementation of waste-to-energy systems that reduce waste

9 and greenhouse gases and also produce renewable energy. Finally, this industry is improving production processes by insuring the sustainability of forestry operations through the implementation of best management practices, reforestation, sustainable land management, and habitat management.

Renewable Energy Renewable energy technologies are not yet widely used in agricultural settings, but serve as an option to farms wishing to produce their own electricity. For example, a three-year research project on solar powered poultry houses has been in operation in Delaware since 2009. The $500,000 solar system supports the fans, watering systems and lighting for three commercial poultry houses. The research project aims to determine the economic feasibility of such projects.37 Mississippi Solar and Electrical Contracting Enterprises signed contracts in 2010 to install two solar installations on poultry houses in Leake and Scott counties.38

Another excellent use for renewable energy systems in the Agriculture, Forestry, Fishing and Hunting sector is photovoltaic water pumping for irrigation, or water aeration, for the control of algae and bacteria growth in as well as other pond applications. Solar powered pumps avoid the noise, vibration, and pollution concerns raised by diesel powered solutions and also allow for sustained operation even in locations far from the grid.39

As research and technology advance in renewable energy production, the byproducts of many establishments in the Agriculture, Forestry, Fishing and Hunting sector will become viable energy sources. It is conceivable that the establishments producing these inputs of renewable energy production may be able to generate a portion if not all of their own energy from these renewable sources.

Energy Efficiency Farm operations can have significant energy needs. According to a January 2011 press release from the Natural Resources Conservation Service (NRCS), Mississippi farmers have seen an increase in their energy costs without being able to reflect those costs in the price of their products forcing farmers to cut costs internally. The NRCS has established two programs to help farmers improve their energy efficiency: the Environmental Quality Incentives Program and Energy Consumption Awareness Tools. The Environmental Quality Incentives Program (EQIP) is aimed at transitioning farm operations to more energy efficient systems such as switching from incandescent to U-tube fluorescent lights.40 The NRCSEnergy Consumption Awareness Tools assist farmers in reducing their energy consumption by helping them predict how facility and equipment choices will affect their energy use. By seeing these effects before design and capital choices are made, a producer is better able to plan strategically and take energy costs into account. Online energy estimating

10 software is available that is specifically tailored to animal housing, irrigation, nitrogen tools and tillage. 41 Farmers can also benefit from energy audits from the USDA. The process involves information and data gathering about a farm’s needs, equipment and current energy usage and then recommendations are offered on how to improve efficiency. The Farm Bill creates grant and loan opportunities for improvements recommended by these energy audits.42

Precision agriculture methods are also helping farmers to reduce their energy needs. These techniques and technologies have revolutionized practices of seeding, fertilizing and planting. These highly efficient practices allow farmers to cover more area with fewer passes, thus using fewer inputs like diesel and fertilizer.43 Precision agriculture begins with highly efficient equipment paired with technology such as global positioning systems (GPS) and geographic information systems (GIS) to limit energy and fertilizer use. In phase one, information gathering, GPS or other satellite imagery is used to collect specific information about the farm area. The second phase, variable rate management, involves soil sampling at various points around the property to determine exact fertilizer needs and ideal crop placement. In the third and final phase, GPS guidance on farm equipment reduces the number of passes needed to cover the crop rows using highly detailed mapping. The reduced number of passes resulting from this improved accuracy leads to reductions in required energy inputs in the form of fertilizers, pesticides, and fuel. Many farmers have adopted one or more of these technologies, but currently only 25 percent utilize all three in combination. The further development of precision agriculture usage depends largely on access to technologies and their ease of use as well as the availability of documented research on their benefits.

Establishments in this sector can also see energy savings by making small changes to their operating procedures that save on fuel use. In 2005, farmers in the United States spent $5.84 billion on diesel fuel and $2.30 billion on gasoline alone. Evaporation rates can be dropped from 120 gallons per year to 15 gallons per year by repairing, painting and shading fuel tanks. Adopting minimum tillage or reduced tillage practices can cut tractor use in half, and by changing how tractors are driven fuel consumption can be radically decreased.44 Reductions in fuel use will also reduce greenhouse gas emissions.

Greenhouse Gas Reduction The greenhouse gas of most concern in the Agriculture, Forestry, Fishing and Hunting sector is methane. The largest single source of methane emissions in the US is direct emissions from animal production, primarily from cattle.45 Cattle production creates methane in two critical ways: from gaseous cow emissions and from manure decomposition gases. Methods for capturing methane from cattle production have been researched for years, and there is some promise in several areas. Research is being done on methods to reduce the direct gaseous emissions by changing feed practices to reduce the number or activity of methane-producing gut flora. Research is also being done on methods to

11 capture and utilize the GHGs produced from manure. Manure gases are over 50 percent methane, and most of the rest is carbon dioxide.46 By capturing the methane, producers can purify the gas and use it as a natural gas substitute. This fuel can be used either for on-site power generation, or for use in compressed natural gas (CNG) vehicles. Some research has also been done on capturing the direct emissions, but thus far it appears to be cost-prohibitive and fairly ineffective. Instead, efforts have been focused on reducing the amount of methane that is generated. Many feed strategies have been shown to be effective at reducing the methane produced and thus emitted.47

One technology that is helping some operations reduce their methane emissions is on-farm biogas recovery systems used to capture the greenhouse gas emissions from animal wastes. The Environmental Protection Agency, the Department of Energy and the Department of Agriculture established the AgSTAR program to assist agricultural establishments with the implementation of on-farm biogas recovery systems. As discussed previously, these anaerobic digesters can produce power from combustible biogas. But, an added benefit of anaerobic digesters is their benefit in capturing those greenhouse gases before they are released into the atmosphere. According to AgSTAR, these systems are in operation at 151 farms around the United States, primarily in dairy operations, and they can be preferable to other waste management systems such as lagoons from both an environmental and financial perspective. AgSTAR offers digester extension events and conferences, “how-to” development tools, public recognition for farms implementing the technology and collaboration with federal and state renewable energy, agricultural and environmental programs.48 Six farm-scale digesters are operational in Mississippi as of December, 2010.49

Another agricultural practice that reduces greenhouse gases is Management Intensive (MIG). According to the National Sustainable Agriculture Information Service, “Management- intensive grazing (MIG) is grazing and then resting several pastures in sequence. The rest periods allow plants to recover before they are grazed again.”50 This process not only increases the quality and diversity of plant life on the pasture lands, but also the growth of the animals on a per-acre basis.

Pollution Prevention and Clean-up Pollution prevention is a major concern of the Agriculture, Forestry, Fishing and Hunting sector. According to the 2005 National Water Quality Inventory published by the EPA in 2009, agriculture was the leading contributor to river and stream impairment and the third leading contributor to the pollution of lakes, ponds and reservoirs.51 Nearly all of this agricultural pollution is nonpoint source, meaning it is aggregated from many sources as rainwater or snowmelts flow across an area before being deposited into a waterway. Animal wastes, sediment erosion, poorly managed feeding areas, overgrazing, and excessive or poorly timed pesticide and fertilizer use all contribute to nonpoint source pollution.52 The accumulation of nonpoint source pollutants from the Mississippi River’s tributaries and wide watershed eventually make their way into the Gulf of

12 Mexico where they lead to the creation of a “dead zone.” The Dead Zone is a large area of water that is too low in oxygen to support life.

Many government programs exist to help farmers and ranchers prevent and control nonpoint source pollution. Section 319 of the Clean Water Act provides for grants to assist in these efforts and many programs of the USDA do as well.53 The EPA has also established a National Agriculture Center as a “first stop” for information about environmental protections that agricultural establishments can enact to ensure compliance with regulations. Information on topics such as pesticides, animal waste management, ground and surface water, tanks and containment, and solid and hazardous wastes are provided. 54 The Mississippi Department of Environmental Quality maintains a nonpoint source program to educate the public about the issue, provide information about pollution projects and teach best practices to help prevent and reduce this type of pollution.55

Research is also being done on other runoff reduction methods, including wastewater lagoon treatment, which shows much promise for the Mississippi delta. 56 Many Mississippi poultry producers are also taking steps to reduce nonpoint source pollution from their farms. By adding phytase to their feed the birds are able to utilize more of the phosphorus content in their diet.57 When the resulting poultry litter is applied to fields as a fertilizer, the nitrogen-phosphorus ratio is improved, and phosphorus run-off is reduced.58

Recycling and Waste Reduction Many environmentally beneficial activities that fall under the mantle of sustainable agriculture are also helping to reduce waste. A number of organic farming practices rely on the repurposing of wastes into compost, fertilizer and other useful products. The rise of in-woods chipping and other biomass harvesting techniques for renewable energy has also been a positive trend in the sector leading to an overall reduction in waste.

Sustainable Agriculture, Natural Resources Conservation and Coastal Restoration The proper management of forests is beneficial to the environment and essential for maintaining the sustainability of forestry resources. One element of proper forest management is a forest management plan. According to the USDA and the Natural Resources Conservation Service (NRCS), a forest management plan is a site specific plan, which addresses one or more resource concerns on land where forestry-related conservation activities or practices will be planned and applied.59 These plans assist forest managers with meeting the needs of timber owners while minimizing impacts to the environment. In hardwood settings, forest managers determine the proper amount of thinning to maximize the reproduction of new trees. In pine and other soft wood settings, managers also determine land use patterns and controlled burns to maximize forest health. Much like precision agriculture, forest management utilizes GIS and GPS technologies to map and

13 characterize different areas of timberland and to quantify feedstock availability.60 GIS and other computerized mapping and analysis tools can also help to identify sensitive or high value sites from a conservation perspective.

Education, Compliance, Public Awareness and Training The primary mechanism by which agricultural and forest product companies increase public awareness of green products is through certification programs which use visible stamps and insignia to designate sustainable and green products. Certification of wood products such as the Forest Stewardship Council (FSC) and the Sustainable Forestry Initiative (SFI) certifications ensure the use of sustainable practices throughout growth, harvest and manufacturing. The use of certifications in wood products has influenced practices in both the forestry and logging industries and through the wood products supply chain. These certifications are entirely voluntary and ensure the sustainability of participating companies’ products through chain-of-custody certifications.61 FSC certification ensures that the forest products are from responsibly harvested and verified sources.62 Similarly, SFI certifies that wood and paper products are manufactured with raw materials from a responsible source.63 In Mississippi, SFI certification is most common on lands owned by the forest industry or larger Timber Investment and Management Organizations (TIMOs). Small, private landowners are mostly certified through the American Tree Farm System. Mississippi has the most Tree Farms of any state in the nation. The FSC is less present in Mississippi but does certify some land in the Delta region of the state. Logger education programs have been offered through Mississippi State University for the past 12 years to help loggers maintain certifications under SFI.

Agricultural producers can seek organic certification as a means to “advertise” their sustainable production processes. All USDA certified organic foods are branded with an official label. Another labeling system introduced by the USDA in January of 2011 signifies the use of biologically-based renewable plant, animal, marine or forestry materials in manufactured products. The new, “Biobased” label has been approved for nearly 5,100 products for preferred purchasing by Federal agencies and aims to promote the sale of these environmentally preferable products to consumers.64 This label will verify that products like linens, fuel additives, cleaning products, and table ware that claim to be derived from biological materials actually are sourced as manufacturers maintain. The USDA established minimum requirements for the renewable content for many product categories that manufacturers must meet to earn the biobased label. For all products without USDA- established criteria, a 25 percent minimum biological, renewable threshold must be met.65

Foresters rely heavily on certified forest managers to ensure the sustainable management of timberland. Organizations offer continuing education programs and specialized courses ranging from the proper utilization of precision technologies to compliance with endangered species statutes.

14 Economic Factors Green business practices and processes that represent cost savings through reduced energy consumption are the most quickly adopted. In the Agriculture, Farming, Fishing and Hunting sector these cost-saving business practices include implementing precision agriculture techniques. Other green initiatives, like the construction of advanced biofuels plants and anaerobic digesters to produce on-farm renewable energy, represent a significant investment of time and capital that many firms may not be willing to make prior to further technological advancements. Eventually, establishments in this sector could see substantial cost savings from turning byproducts of production, like chicken litter, into an on-site, renewable energy source.

During the first six months of 2009, over 21 percent of the capacity of the ethanol industry was lost due to plants shuttering operations.66 The downturn in ethanol investments creates a decrease in demand for the feedstocks that come from the agriculture industry. The production of advanced biofuels like cellulosic ethanol will require even greater commitments from the agriculture industry to participate in feedstock development since the crops themselves require multiple years to become harvestable. 67 Seeing the degree to which the biofuels industry suffered during the recession, feedstock producers might be considerably more wary of uncertainty in their ability to buy their feedstock for the long-term. This uncertainty could result in lower levels of participation, or in a higher demanded price to commit land to feedstock development. Either of these developments could hurt the fledgling advanced biofuels sector before it even gets off the ground, as margins in biofuel production tend to be razor thin and highly volatile.68

Another economic factor that is certain to influence environmentally beneficial activities in agriculture is the price of oil and of energy in general. As of 2006, fuel costs represented about 15 percent of the average cost of agricultural production in the US, but for some crops, the share is much higher. For rice and corn, the energy share is over 40 percent of the cost of production.69 On the upside of the issue however, the higher oil prices go, the greater the demand for substitute energy sources will grow. While ethanol demand may not see an overall benefit, more direct substitutes like renewable crude or other “drop-in” petroleum replacements would see an increase in demand increase accompanied by an increase in the market price. Producers of the feedstocks for these renewable energy sources will benefit from both the increase in quantity demanded and from the increase in price received.

A final potential economic factor that could impact the agricultural sector is the development of a carbon market. It is possible that some agricultural establishments in Mississippi would choose to offer carbon sequestration services should a market materialize. According to the Environmental Protection Agency, “terrestrial carbon sequestration is the process through which carbon dioxide

15 (CO2) from the atmosphere is absorbed by trees, plants and crops through photosynthesis, and stored as carbon in biomass (tree trunks, branches, foliage and roots) and soils.”70 A carbon market would allow for carbon credits created by carbon sequestration to be bought, sold, or traded. The amount of carbon actually captured by various activities has yet to be determined, however. For trees, the growing conditions, life-span and end use are all key factors in determining the amount of carbon captured in a given time. The development of a carbon market has also been slowed by a lack of comprehensive climate legislation from congress or regulation from the executive branch.

Public Policy

Renewable Energy and Energy Efficiency Improvements Grant Program A number of state and federal policy initiatives have been aimed at increasing the availability of energy efficient technologies to the agricultural sector or towards promoting crop production for renewable energy and the installation of renewable energy systems on farms. Beginning with the 2002 Farm Bill, agricultural establishments and other rural businesses were encouraged to install renewable energy systems and energy efficiency improving technology through the Renewable Energy and Energy Efficiency Improvements Grants Program. Through this program, however, was hampered by a lack of resources to prepare grants and a lack of awareness about the program. In Mississippi, the Southwest Mississippi Resource Conservation and Development Council provided technical assistance to farmers through the Mississippi State University Extension Service and the Mississippi Development Authority that helped to send 45 percent of all funds from the program to Mississippi in the first two years of the program. Mississippi farmers installed $4.8 million worth of energy efficient equipment and created an estimated $23 million in economic benefits over a ten year period.71

The Biomass Crop Assistance Program In the 2008 Farm Bill, the United States Congress established a program called the Biomass Crop Assistance Program (BCAP) which was intended to spur investment in renewable energy technologies that use biomass. As part of the program, funds were made available to incentivize the collection, harvest, storage, and transportation (CHST) of Eligible Materials.72 Crop producers that were selected to participate in the program were eligible for reimbursements of up to 75 percent of the cost of establishing a bioenergy perennial crop. Producers also could receive up to 5 years of annual payments for grassy crops and up to 15 years of annual payments for woody crops. Assistance for collection, harvest, storage and transportation of biomass to biomass conversion facilities was made available for 2 years, per producer, in the form of a matching payment for up to $45 per ton of the delivery cost to the facility. However, these CHST payouts were suspended pending

16 investigation into adverse economic effects on primary-product biomass markets such as wood product manufacturing.

A revised BCAP was announced in October 2010 with new restrictions and clarifications. Updates to BCAP ensured that existing markets would be protected by disqualifying eligible materials for matching payments for BCAP purposes if USDA determined that in those distinct localities that the materials were used for pre-existing markets. For example, wood waste and residue on federal and nonfederal lands that otherwise might be used for higher-value products was prohibited from the program. Kent Politsch, public affairs branch chief for USDA's Farm Service Agency, says the prohibition proposal resulted because of concerns from segments of the wood industry, specifically the pulp and pressboard/fiberboard manufacturers. By paying matching funds for the collection, harvest, storage and transport of forest items like bark, sawdust and shavings the program was directly causing increased prices and competition in the fiberboard industry. With the matching funds in place, particleboard makers would essentially have to double the price they typically paid for the materials they use.73

The updated BCAP also withholds payment to pre-existing users of biomass waste products such as those used for energy and heat production in wood products processing facilities.74 Relative to other states, Mississippi has received a rather large share of BCAP funding that allows residents to participate in the green energy market. While the payments were being made under BCAP I, over $6 million was distributed in Mississippi.75 Funding distribution is not available by crop, but bagasse is on the federal list of eligible materials.76 The available payments provided producers with additional revenue streams, but since the collection, harvest, storage and transport of these materials was already ongoing, it is difficult to say that BCAP payments stimulated any additional production of renewable energy from crop residues.77

The Renewable Fuel Standard The Energy Policy Act of 2005 established the Renewable Fuel Standard (RFS) which called for increases in the nation’s production of ethanol. Under the law, 7.5 billion gallons of renewable fuels were to be blended with gasoline by 2012.78 Until 2007, the increase in ethanol production was largely supplied by conventional corn ethanol. With the passage of the Energy Independence and Security Act of 2007, additional feedstocks for biofuel production were mandated. The new Renewable Fuel Standard (RFS2) mandated that of the 36 billion gallons of ethanol demanded for production by 2022, 21 billion were to come from non-cornstarch derived biofuels, and 16 billion gallons were to come from cellulosic ethanol.79

In February of 2010, revisions were made to the Renewable Fuel Standard that created a new category of biofuels known as “advanced biofuels.” In order for fuels to qualify as advanced biofuels

17 they must be shown to reduce greenhouse gas emissions by at least 50 percent over gasoline. Ethanol derived from sugarcane has been designated as an advanced biofuel. Since the RFS standards call for 21 billion gallons of advanced biofuels by 2022, and 16 billion gallons of that from cellulosic ethanol, that leaves a 5 billion gallon mandate for other advanced biofuels that could be filled by ethanol from sugarcane juice.80

Most sources of renewable liquid fuels currently rely on economic incentives to compete with fossil fuels. Beginning in 2009, companies could apply for up to $250 million in guaranteed loans for the development and construction of commercial-scale biorefineries or for the retrofitting of existing facilities for the development of advanced biofuels.81 Producers of advanced biofuels from biomass other than corn that are operating in rural areas may also apply for funding offered by the Bioenergy Program for Advanced Biofuels.82 Tax credits are also available for companies producing certain types of renewable fuels: registered cellulosic biofuel producers may be eligible for a tax incentive of up to $1.01 per gallon under the cellulosic biofuel producer tax credit,83 small producers (under 60 million gallons/year) of corn-based ethanol may qualify for a $0.10 per gallon credit in the small ethanol producer tax credit,84 and blenders of ethanol can receive a $0.45 per gallon credit for adding pure ethanol to gasoline under the volumetric ethanol excise tax credit.85 In 2009, the biodiesel tax incentive was allowed to expire which had a negative impact on the agricultural sector which had come to depend on the biodiesel industry as a critical buyer of their goods. Marc Curtis, chairman of the United Soybean Board, estimates that biodiesel has added about $.25 to the farm gate price of a bushel of soybeans over the last several years.86 The credit was retroactively reinstated through January 1, 2011 by the Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010.87

The Renewable Energy and Energy Efficiency Export Initiative In December of 2010, a trade initiative was announced that could increase the export of biomass and biomass processing technologies. Known as the Renewable Energy and Energy Efficiency Export Initiative, this combination of 23 new commitments from 8 government agencies aims to create a noticeable increase in the United States’ clean energy technology exports. This initiative will promote the export of all equipment and services related to the production of electricity from renewable sources (such as biomass-based wood pellets), but biofuels and other aspects of clean transportation will not be included. The United States aims to capitalize on the growth of biomass power plants, the co-firing of biomass within coal plants, and carbon reduction policies in Europe and certain countries in the developing world to promote U.S. biomass exports.88 When the European Union mandated that 20 percent of electricity in member states had to be produced from renewable sources, the wood pellet became the cheapest method to achieve that goal. In the United Kingdom alone, 12 million tons of pellets will be needed a year to achieve their renewable targets.89

18 European demand has created a market for pellet producers that have access to low-cost feedstocks and water transportation. The outlook in Europe promises a demand of over 73 million tons per year by 2020. North American biomass companies will supply a substantial proportion of the biomass to meet European demand.90 In 2010, six hundred thousand tons of pellets were shipped from the U.S. to European countries. This figure represents more than 5 percent of Europe’s 11 million ton pellet demand.91 This trend could mean jobs in renewable energy feedstock production for Mississippi residents. This increased reliance on wood pellets is also increasing demand for the specialized boilers and equipment used to generate power from wood pellets. In 2009, the U.S. exported $176.4 million in biomass energy equipment and feedstock, representing an average annual growth of 54 percent from 2007. In 2009, imports of biomass energy equipment and feedstock totaled $349.2 million, representing an average annual growth of 28 percent since 2007.92

Other Legislation New legislation in the European Union that bans timber imports from illegal sources promises to increase exports from the United States to countries in the EU. This legislation targets illegal logging practices in countries such as Russia, China, Brazil and Indonesia that currently supply at least 21 percent of demand in the EU. The ban was put into place because illegal logging is largely non- sustainable and one of the leading causes of deforestation. This ban offers suppliers in the United States an opportunity to gain a share of the timber market that previously went to illegal logging and helps to solidify its position as a wood pellet supplier as well. According to a European study assessing the environmental and economic impact of the illegal timber ban, the U.S. stands to raise timber exports to the EU by 2.3 percent.93

The 2002 Farm Bill provided energy provisions that supported research and development through renewable energy grants that included areas such as biofuels and biorefineries. Support included grants for education, development of renewable energy systems for farmers and development of biorefineries for biomass conversion.94

The American Recovery and Reinvestment Act of 2009 (ARRA) provided the most support to environmentally beneficial agricultural activities by issuing loan guarantees for biomass and biofuels technology to refiners and blenders. ARRA also provided the USDA with nearly $28 billion in funding for programming and guaranteed loans, but only a small portion of that funding went to green activities. The Natural Resources Conservation Service (NRCS) received funding to restore close to 40,000 acres of flood prone land to its natural state helping to decrease soil erosion and improve wildlife habitats. The NRCS is also partnering with state and local governments to protect watersheds prevent flooding and improve water quality.95

19 Long-standing policies such as the Clean Water Act have greatly influenced the implementation of sustainable agricultural practices and have increased adoption of runoff mitigation practices. For instance, phytase supplementation in chicken feed has a positive outcome for the poultry farmer due to the increased utilization of the feed, but also has a positive impact for the farmer who uses the litter, due to decreased phosphorus runoff.

Greenhouse gas legislation could potentially impact the agricultural sector as well. Best management practices in cattle production can already help reduce methane production, but a policy that more stringently regulated greenhouse gas emissions might boost this area of research even further.96

Technology Under strong economic pressure to both lower production costs and increase production capacity, the agricultural sector has been a technological innovator for decades. As with any commodity production industry, early adopters of new technologies often gain significant competitive advantages that can change the industry landscape. Such examples from agriculture’s past include such devices as the cotton gin and the combine harvester. 97 In the area of environmentally beneficial economic activity, technological development has accelerated rapidly since the 1990s. Technologies in agricultural production range from general use technology for increasing efficiency to forward-looking research in the areas of advanced bioenergy like cellulosic ethanol and captured biogases.

One of the fastest-adopted new techniques has been GPS-based precision agriculture. Precision agriculture is being widely implemented in row crop production, where it can greatly reduce fertilizer and planting costs by ensuring that there is minimal overlap in rows and also by accounting for intra-field variability in soil chemistry.98 This technology is primarily taken on as a cost-reducing measure, but by reducing fertilizer application, adopters of this technology also reduce runoff and leaching from over-application of chemical nutrients.99 Mississippi is also undergoing a GIS Remote Sensing Project begun in 1999 to produce maps to identify the major crops grown in Mississippi. It is one of only twenty states using satellite pictures to monitor agricultural crops. Starting in 2006, improved satellite imagery and processing techniques have resulted in cloud-free maps and more categories for classification of the land cover for the entire state.

Other growth fueled by technological change is in the renewable energy sector. High-pressure boilers, which are designed to burn biomass more completely and make better use of the resulting steam in CHP systems, have been installed and are showing significant gains over traditional boilers.100 In addition, new technologies for the production of biofuels are being studied extensively.

20 Several different methods of pretreating cellulosic biomass could make cellulosic ethanol from Mississippi agricultural residues and purpose-grown energy crops into a highly competitive biofuel. Other technologies for the direct conversion of agricultural products or wastes into renewable energy are also advancing. Processes such as pyrolysis are turning wastes into petroleum-like products,101 and improvements to anaerobic digesters that capture methane are also making the systems more accessible.

A number of technologies are under development to commercialize the production of biofuels from a new variety of cellulosic materials. A recent study by Forisk Consulting and the Schiamberg Group, however, warns that technology for processing cellulosic biofuels from woody materials is still an average of eleven years away. Researchers evaluated 12 technologies in 36 projects that converted wood to fuels like ethanol, butanol, diesel, gasoline, and jet fuel and found “major technical hurdles” impeding commercialization.102

In the forestry industry, automation technology is reducing the number of employees needed for forest products processing, but in the area of harvesting, technology is allowing loggers to focus more on sustainable practices and harvest residues that can be sold to biomass markets.

Job Growth and Workforce Development Green employment in the Agriculture, Farming, Fishing and Hunting sector is projected to follow a similar path to overall employment in the sector. Long-term trends in the sector, like increases in the use of ever more complex farm equipment with less labor to carry out work that had previously required large amounts of labor, result in very low growth rates for the overall sector as well as green employment.

A significant share of employment in this sector was identified as either primarily involved in or supporting green activities. However, due to the use of non-farm employment as a sampling frame for the survey, those estimates may not accurately reflect the overall level of employment in the Agriculture, Farming, Fishing and Hunting sector. However, to convey the overall trends anticipated for this sector, a projection was carried out based on that estimate. The projection implies that green employment will remain relatively flat over the projection horizon. During the next 10 years green employment is expected to reach 2,825 relative to the 2010 baseline of 2,821 estimated from the Green Jobs survey.c

c The starting point for a sector’s green jobs projection is the survey estimate, which includes private and public entities in each sector. Baseline growth rates were taken from the state’s primary employment projections, which include only private sector establishments, and supplemented with additional information on future changes to the green economy collected through this research effort.

21 Since most of the environmentally beneficial activities discussed in this report are not labor intensive, it is conceivable that green employment will decrease over the projection horizon even if participation in green activities increases. However, those employed in the sector may require some retraining and additional education for many practices, like methane capture, Management-Intensive Grazing, and proper application of lower-phosphorus poultry litter, as these practices differ from traditional methods.

Much of the advancement in the forestry and logging sectors has resulted in the adoption of automation technologies that have reduced employment needs. However, the green production processes and practices being investigated and implemented do offer the potential for job creation to offset potential losses elsewhere in the sector. The production of renewable energy from agricultural wastes and byproducts in particular, represents a source of potential job growth for the state. Trees are the state's largest source of renewable biomass, creating opportunities for the forestry and logging industries to benefit from the future production of renewable energy from this resource. Utilizing woody biomass residuals from existing forest practices for the production of biofuels and biofuel components could create new jobs and markets, particularly in rural areas. Education and training will be necessary for land managers and loggers to ensure sustainable harvesting of both timber and biomass. Other developments like CHP adoption and anaerobic digestion of animal wastes are not labor intensive and will not present a large workforce requirement. For some green occupations, existing workers will need training to enhance their skills. For other occupations, curricula may be needed to provide a more comprehensive training for new workers or those entering a new occupation.

22 Key Players Mississippi agriculture is made up of thousands of small farmers and landowners, but is largely dominated by a few larger players. In addition, several public and industry groups are very important to the sector.

AgSTAR: www.epa.gov/agstar Joint program between the EPA the Department of Energy and the Department of Agriculture that seeks to assist farmers with the adoption and implementation of methane recovery systems.

Forestry Stewardship Council (FSC): www.fscus.org Non-profit organization that sets principles, criteria, and standards designed to guide forest management toward sustainable ends.

Mississippi Agricultural and Forestry Experiment Station - Mississippi State University Extension Service: www.msucares.com Group working to provide the people of Mississippi with up-to-date access to information and research on agricultural best practices.

Mississippi Department of Agriculture and Commerce (MDAC): www.mdac.state.ms.us State agency responsible for the promotion, protection and advancement of Mississippi’s agriculture and forestry industry.

Mississippi Development Authority (MDA) - Energy Division: www.mississippi.org/index.php?id=7 Offers products and services to increase the development of renewable energy in Mississippi including biomass resources.

Mississippi Forestry Association (MFA): www.msforestry.net Organization representing land owners, foresters, logging contractors, forest products manufacturers, wood fiber suppliers and state and federal agencies working to promote the “Voice of Forestry” in Mississippi.

Mississippi Forestry Commission (MFC): www.mfc.ms.gov Agency protecting Mississippi’s forests from fire as well as promoting urban forestry, good management practices, and overall forest health.

23 Natural Resources Conservation Service (NRCS): www.nrcs.usda.gov Division of the USDA that works with landowners to assist with the conservation and benefit of soil, water, air, plants, animals and productive, healthy ecosystems.

Sustainable Forestry Initiative (SFI): www.sfiprogram.org Non-profit certification system that ensures wood and paper products are derived from sustainably managed forests.

U.S.D.A Forest Products Laboratory: www.fpl.fs.fed.us/partners/caws/un_mississippi.shtml Partnership project between Mississippi State University and the USDA researching forest products, wood preservation, and insect resistance.

U.S. Department of Energy National Renewable Energy Laboratory Biomass Maps: www.nrel.gov/gis/biomass.html

U.S. Environmental Protection Agency (EPA): www.epa.gov Key federal agency for the protection of the environment and public health. Oversees a variety of practices in the mining, quarrying, and oil and gas extraction industry and enforces environmental laws with a direct impact on industry operations.

24 Notes

1 "Sector 11—Agriculture, Forestry, Fishing and Hunting." North American Industry Classification System. U.S. Census Bureau. Web. 27 Apr. 2011. . 2 "Quarterly Census of Employment and Wages: Second Quarter 2010." U.S. Bureau of Labor Statistics. Web. 20 July 2011. . 3 United States. Department of Commerce. Bureau of Economic Analysis. Economic Downturn Widespread Among States in 2009: Advance 2009 and Revised 1963-2008 GDP-by-State Statistics. Washington, D.C.: U.S. Department of Commerce, 2010. Regional Economic Accounts. Bureau of Economic Analysis, 18 Nov. 2010. Web. 11 Apr. 2011. . 4 "Mississippi Agriculture Overview." Mississippi Department of Agriculture and Commerce. Mississippi Department of Agriculture and Commerce. Web. 21 June 2011. . 5 "U.S. Energy Consumption by Energy Source." U.S. Energy Information Administration: Renewables and Alternate Fuels. U.S. Department of Energy. Web. 19 May 2011. . 6 Mississippi. Mississippi Development Authority. Energy Division. SEE: Sustainable, Energy-Efficient Farming Practices & Incentives. Jackson, MS: Mississippi Development Authority. Web. 23 Jun. 2011. . 7 Mississippi. Mississippi Development Authority. Energy Division. SEE: Sustainable, Energy-Efficient Farming Practices & Incentives. Jackson, MS: Mississippi Development Authority. Web. 23 Jun. 2011. . 8 Battalle Technology Partnership Practice. Regional Strategy for Biobased Products in the Mississipi Delta. Rep. Battalle Technology Partnership Practice, Aug. 2009. Web. 23 June 2011. . 9 Williford, Clint, and Charles Burandt. MS Biomass Utilization: University-Based Research and Development Project. Rep. Mississippi Technology Alliance: Strategic Biomass Initiative, 17 Apr. 2006. Web. 21 June 2011. . 10 "Mississippi Biomass and Renewable Energy Council." Mississippi Biomass and Renewable Energy Council. Mississippi Biomass and Renewable Energy Council. Web. 21 June 2011. . 11 "SERC | Feedstocks Research." Sustainable Energy Research Center. Mississippi State University. Web. 22 June 2011. . 12 "Forest Biorefinery: Introduction." Forest Products Laboratory - USDA Forest Service. United States Department of Agriculture. Web. 22 June 2011. . 13 Battalle Technology Partnership Practice. Regional Strategy for Biobased Products in the Mississipi Delta. Rep. Battalle Technology Partnership Practice, Aug. 2009. Web. 23 June 2011. . 14 Schmidt, Dean. "Biomass Energy Opportunities from Hybrid Poplars in Minnesota." University of Minnesota Extension. Proc. of Woody Biomass Harvesting and Utilization Workshop, St. Cloud, Minnesota. Web. 19 May 2011. . 15 Voosen, Paul. "USDA Weighs Plan to Bring GM Eucalyptus to Southeast Pinelands." The New York Times. The New York Times Company, 29 June 2010. Web. 19 May 2011. . 16 Advance Mississippi. Making the Grade: An Assessment of Renewable Energy Sources for Mississippi. Rep. Advance Mississippi. Web. 21 June 2011. . 17 “Wood Transportation Fuels: Study Finds 11-Year Gap Between Announced Production and Viability of Technologies.” Forisk’s Blog. Forisk. Web. 19 May 2011. .

25

18 Mississippi. Mississippi Development Authority. Energy Division. SEE: Sustainable, Energy-Efficient Farming Practices & Incentives. Jackson, MS: Mississippi Development Authority. Web. 23 Jun. 2011. . 19 "Basic Information." Combined Heat and Power Partnership. US Environmental Protection Agency. Web. 13 May 2011. . 20 Lofton, Lynn. "Piney Woods Pellets Plant." Mississippi Business Journal. Mississippi Business Journal, 12 June 2011. Web. 22 June 2011. . 21 "On-site Biogas Generators Supply Power to US Dairy Farmers." PennEnergy. PennWell Corporation. Web. 19 May 2011. . 22 "Mississippi Agriculture Overview." Mississippi Department of Agriculture and Commerce. Mississippi Department of Agriculture and Commerce. Web. 21 June 2011. 23 Paudel, Krishna P., Keshav Bhattarai, and Doleswar Bhandari. "USE OF POULTRY LITTER AND OTHER BIOMASS IN ELECTRICITY PRODUCTION AND ITS IMPLICATION FOR ECONOMIC DEVELOPMENT." AgEcon Search. Web. 02 Mar. 2011. . 24 Slack, Eric. "Fibrowatt: Poultry Power." Welcome to Energy Today Magazine, Covering the North American Energy Market. Energy Today Magazine - Red Coat Publishing, 1 Sept. 2009. Web. 19 May 2011. . 25 Brown, Robert C., and Jennifer Holmgren. Fast Pyrolysis and Bio-Oil Upgrading. Fast Pyrolysis and Bio-Oil Upgrading. Honeywell UOP. Web. 19 May 2011. . 26 "7. The Research Progress of Biomass Pyrolysis Processes." FAO: Corporate Document Repository. Food and Agriculture Organization United Nations. Web. 19 May 2011. . 27 Kelleher, B.P., J.J. Leahy, A.M. Henihan, T.F. O’Dwyer, D. Sutton and M.J. Leahy. “Advances in poultry litter disposal technology—a review.” Bioresource Technology 83.1 (2002): 27-36. Print. 28 Mississippi. Mississippi Development Authority. Energy Division. SEE: Sustainable, Energy-Efficient Farming Practices & Incentives. Jackson, MS: Mississippi Development Authority. Web. 23 Jun. 2011. . 29 "EPA Finalizes Regulations for the National Renewable Fuel Standard Program for 2010 & Beyond." EPA. US Environmental Protection Agency, Feb. 2010. Web. 02 Mar. 2011. . 30 "Biomass Program: Federal Biomass Policy." EERE. U.S. Department of Energy. Web. 02 Mar. 2011. . 31 "Renewable Fuel Standard (RFS)." EPA. US Environmental Protection Agency. Web. 02 Mar. 2011. . 32 Earles, Richard. Sustainable Agriculture: An Introduction. Ed. Paul Williams. National Center for Appropriate Technology's National Sustainable Agriculture Information Service, 2005. Web. 7 June 2011. . 33 "Organic Agriculture." Food and Agriculture Organization of the Nations. Web. 01 Mar. 2011. . 34 “Organic Foods Production Act of 1990.” Title XXI of the Food, Agriculture, Conservation, and Trade Act of 1990 (Public Law 101-624). November 10, 2005. Web. 35 "Mississippi Organics - Southern Organic Resource Guide." ATTRA - National Sustainable Agriculture Information Service. NCAT. Web. 19 May 2011. . 36 Economic Research Service. "Table 4. Certified Organic Producers, Pasture, and Cropland." ERS/USDA Data - Organic Production. USDA Economic Research Service - Home Page. Web. 19 May 2011. .

26

37 "Americasheartland's Channel: Solar Panels Power Poultry Houses." YouTube. KVIE Sacramento. Web. 19 May 2011. . 38 McCollough, Amy. "Solar Installations Set for Poultry Houses." Mississippi Business Journal. Mississippi Business Journal, 8 Nov. 2010. Web. 22 June 2011. . 39 Mississippi. Mississippi Development Authority. Energy Division. SEE: Sustainable, Energy-Efficient Farming Practices & Incentives. Jackson, MS: Mississippi Development Authority. Web. 23 Jun. 2011. . 40 “NRCS Announces Initiative to Improve Agricultural Energy Conservation and Efficiency: Individual Energy Audits will Help Producers Reduce Energy Use.” United States Department of Agriculture. January 2011. . 41 "Energy Tools: Energy Consumption Awareness Tools." Energy Tools Home. USDA Natural Resrouces Conservation Service. Web. 19 May 2011. . 42 Mississippi. Mississippi Development Authority. Energy Division. SEE: Sustainable, Energy-Efficient Farming Practices & Incentives. Jackson, MS: Mississippi Development Authority. Web. 23 Jun. 2011. . 43 Pimentel, David, Sean Williamson, Courtney E. Alexander, Omar Gonzalez-Pagan, Caitlin Kontak, and Steven E. Mulkey. "Reducing Energy Inputs in the US Food System." Human 36.4 (2008): 459-71. Print. 44 Mississippi. Mississippi Development Authority. Energy Division. SEE: Sustainable, Energy-Efficient Farming Practices & Incentives. Jackson, MS: Mississippi Development Authority. Web. 23 Jun. 2011. . 45 "Sources and Emissions | Methane | Climate Change | U.S. EPA." Methane. US Environmental Protection Agency. Web. 19 May 2011. . 46 Zeeman, G. "Methane Production/emission in Storages for Animal Manure." Fertilizer Research 37.3 (1994): 207-11. Print. 47 Johnson, K.A., and D.E. Johnson. "Methane Emissions from Cattle." Journal of Animal Science 73.8 (1995): 2483- 492. Print. 48 "About Us | AgSTAR | US EPA." AgSTAR. US Environmental Protection Agency. Web. 19 May 2011. . 49 "Accomplishments | AgSTAR | US EPA." AgSTAR. US Environmental Protection Agency. Web. 19 May 2011. . 50 United States. National Sustainable Agriculture Information Service. National Center for Appropriate Technology. . By Alice E. Beetz and Lee Rinehart. Washington, D.C.: NCAT, 2004. Print. 51 "National Water Quality Inventory: Report to Congress, 2004 Reporting Cycle." Water Quality Reporting (305b) | US EPA. U.S. Environmental Protection Agency, 2004. Web. 19 May 2011. . 52 United States. Environmental Protection Agency. Nonpoint Source Control Branch. Protecting Water Quality from Agricultural Runoff: Clean Water Is Everybody's Business. Washington, D.C.: Environmental Protection Agency, 2005. Print. 53 United States. Environmental Protection Agency. Nonpoint Source Control Branch. Protecting Water Quality from Agricultural Runoff: Clean Water Is Everybody's Business. Washington, D.C.: Environmental Protection Agency, 2005. Print. 54 "Ag Center | Agriculture | US EPA." National Agriculture Center. US Environmental Protection Agency. Web. 19 May 2011. . 55 "MDEQ - Managing Polluted Runoff in Mississippi." MDEQ - Home. Web. 05 Aug. 2011. . 56 Conkle, J.J., and C. Metcalfe. "High Dietary Phytase Levels Maximize Phytate-phosphorus Utilization but Do Not Affect Protein Utilization in Chicks Fed Phosphorus- or Amino Acid-deficient Diets." Chemosphere 73.11 (2008): 1741- 748. Print.

27

Augspurger, N. R., and D. H. Baker. "High Dietary Phytase Levels Maximize Phytate-phosphorus Utilization but Do Not Affect Protein Utilization in Chicks Fed Phosphorus- or Amino Acid-deficient Diets." Journal of Animal Science 82 (2004): 1100-107. Print. 58 Maguire, R.O., J.T. Sims, and T.J. Applegate. "Phytase Supplementation and Reduced-phosphorus Turkey Diets Reduce Phosphorus Loss in Runoff following Litter Application." Journal of Environmental Quality 34.1 (2005): 357-69. Print. 59 Illinois. Natural Resource Conservation Service. Forest Management Plan Criteria Practice/Activity Code (106) (No.). Illinois NRCS, 2010. Web. 19 May 2011. 60 Doyle, J., M. Bertolotto, and D. Wilson. Multimodal Interaction—improving Usability and Efficiency in a Mobile GIS Context. Proc. of International Conference on Advances in Computer-Human Interaction, Washington, D.C. New York: Institute of Electrical and Electronics Engineers, 2007. 63-68. Print. 61 "SFI Standards and Certifications." Sustainable Forestry Initiative. Sustainable Forestry Initiative. Web. 19 May 2011. . 62 "FSC Certification." Forest Stewardship Council. Forest Stewardship Council. Web. 19 May 2011. . 63 "Sustainable Forestry Initiative." Sustainable Forestry Initiative. Sustainable Forestry Initiative. Web. 19 May 2011. . 64 "USDA Launches New Biobased Product Label to Boost Demand for Products Made from Renewable Commodities and Support Green Jobs." Http://www.biopreferred.gov. Web. 02 Mar. 2011. . 65 "What Label Means." USDA Biopreferred Program. U.S. Department of Agriculture. Web. 2 May 2011. . 66 Adams, David. "Recession Saps Energy from Ethanol Industry - St. Petersburg Times." St. Petersburg Times. St. Petersburg Times, 8 Apr. 2009. Web. 19 May 2011. . 67 Gutterson, Neal, and James Zhang. "Important Issues and Current Status of Bioenergy Crop Policy for Advanced Biofuels." Biofuels, Bioproducts and Biorefining 3.4 (2009): 441-47. Print. 68 Z. "Ethanol Profit Margins Zeroed, Some Negative." Investing Blog. Wordpress, 25 June 2008. Web. 19 May 2011. ; Jessen, Holly. "ADM Reports Show Improved Ethanol Margins." Ethanol Producer Magazine | EthanolProducer.com. BBI International, 6 May 2010. Web. 19 May 2011. . 69 Shoemaker, Robbin, David McGranahan, and William McBride. "Adjusting to High Energy Costs in Agriculture and Rural Communities." Amber Waves: The Economics of Food, Farming, Natural Resources, and Rural America. USDA Economic Research Service, Apr. 2006. Web. 19 May 2011. . 70 "Frequent Questions | Carbon Sequestration in Agriculture and Forestry | Climate Change | U.S. EPA." Carbon Sequestration in Agriculture and Forestry. US Environmental Protection Agency. Web. 19 May 2011. . 71 "Energy Grants to Agricultural Producers." Cooperative Conservation America. Cooperative Conservation America. Web. 24 June 2011. . 72 United States. Farm Service Agency. BCAP - CHST Eligible Materials List. Washington, D.C.: Farm Service Agency, 2009. Web. 19 May 2011. . 73 Austin, Anna. "BCAP Rule Revision." Biomass Power and Thermal | Biomassmagazine.com. BBI International. Web. 19 May 2011. 74 United States. Department of Agriculture. Farm Service Agency. FACT SHEET: Biomass Crop Assistance Program (BCAP). Washington, D.C.: USDA, 2010. Print. 75 United States. Department of Agriculture. Farm Service Agency. BCAP CHST Summary Report FY 2009 and FY 2010 as of Tuesday, October 19, 2010. Washington, D.C.: USDA, 2010. Print.

28

76 United States. Farm Service Agency. BCAP - CHST Eligible Materials List. Washington, D.C.: Farm Service Agency, 2009. Web. 19 May 2011. . 77 Kemp, Loni. "National Sustainable Agriculture Coalition » Archive » BCAP Boondoggle." National Sustainable Agriculture Coalition. National Sustainable Agriculture Coalition, 11 Jan. 2010. Web. 19 May 2011. . 78 "Renewable Fuel Standard (RFS)." Fuels & Fuel Additives. U.S. Environmental Protection Agency. Web. 19 May 2011. . 79 "Renewable Fuel Standard (RFS)." Fuels & Fuel Additives. U.S. Environmental Protection Agency. Web. 19 May 2011. . 80 "EPA Finalizes Regulations for the National Renewable Fuel Standard Program for 2010 & Beyond | Transportation & Air Quality | US EPA." Fuels & Fuel Additives. US Environmental Protection Agency. Web. 19 May 2011. . 81 "SECTION 9003 BIOREFINERY ASSISTANCE PROGRAM BIOREFINERY ASSISTANCE LOAN GUARANTEES." USDA. Web. 02 Mar. 2011. . 82 "SECTION 9005 BIOENERGY PROGRAM FOR ADVANCED BIOFUELS PAYMENTS TO ADVANCED BIOFUEL PRODUCERS." USDA. Web. 02 Mar. 2011. . 83 "Cellulosic Biofuel Producer Tax Credit." Http://www.afdc.energy.gov. U.S. Department of Energy. Web. 02 Mar. 2011. . 84 "Small Ethanol Producer Tax Credit." Http://www.afdc.energy.gov. U.S. Department of Energy. Web. 2 Mar. 2011. . 85 "Alternative Fuels and Advanced Vehicles Data Center: Volumetric Ethanol Excise Tax Credit (VEETC)." Http://www.afdc.energy.gov. U.S. Department of Energy. Web. 03 Mar. 2011. . 86 Zimmerman, Cindy. "Soybean Checkoff Supports Biodiesel Promotion." Domestic Fuel. ZimmComm New Media, 10 Jan. 2011. Web. 19 May 2011. . 87 "President Obama Signs Bill Extending Biodiesel Tax Incentive Into Law." Biodiesel.org. National Biodiesel Board, 17 Dec. 2010. Web. 19 May 2011. . 88 United States. Department of Commerce: National Export Initiative. TPCC Working Group on Renewable Energy and Energy Efficiency. Renewable Energy and Energy Efficiency Export Initative. Washington, D.C.: U.S. Department of Commerce, 2010. Print. 89 Griggs, Ted. "European Demand to Drive Production of Wood Pellets." 2theadvocate. The Advocate, 23 Apr. 2010. Web. 2 Mar. 2011. 90 RISI. "Wood Biomass Market Report." June 2010. 91 Austin, Anna. "Report: North American Wood Pellet Exports Double." Biomass Power and Thermal | Biomassmagazine.com. BBI International, 8 Mar. 2011. Web. 19 May 2011. . 92 United States. Department of Commerce: National Export Initiative. TPCC Working Group on Renewable Energy and Energy Efficiency. Renewable Energy and Energy Efficiency Export Initative. Washington, D.C.: U.S. Department of Commerce, 2010. Print. 93 Bosello, Francesco, Ramiro Parrado, and Renato Rosa. "The Economic and Environmental Effects of an EU Ban on Illegal Logging Imports. Insights from a CGE Assessment." Working Papers. Milan: Fondazione Eni Enrico Mattei, 2010. Print. 94 "The 2002 Farm Bill: Provisions and Economic Implications." USDA Economic Research Service - Home Page. Ed. Edwin Young. Web. 19 May 2011. . 95 "Conservation and Forestry Program Descriptions." USDA.GOV/Recovery. U.S. Department of Agriculture. Web. 19 May 2011. .

29

96 Shih, J.S, Dallas Burtraw, Karen L. Palmer and Juha Siikamaki. "Air Emissions of Ammonia and Methane from Livestock Operations: Valuation and Policy Options." Journal of the Air & Waste Management Association 58.9 (2008): 1117-129. Print. 97 "." BioWorld Products. BioWorld Products. Web. 19 May 2011. . 98 Stafford, John V. “Implementing Precision Agriculture in the 21st Century.” Journal of Research. 76.3 (2000): 267-275. Print 99 Cassman, Kenneth G. “Ecological intensification of cereal production systems: Yield potential, soil quality, and precision agriculture.” Proceeding of the National Academy of Sciences of the United States of America. May 25, 1999 vol. 96 no. 11 5952-5959 100 Kinoshita, C.M. “Cogeneration in the Hawaiian sugar industry.” Bioresource Technology. 35.3 (1991): 231-237. 101 Yang, Bin and Charles E. Wyman. “Pretreatment: the key to unlocking low-cost cellulosic ethanol.” Biofuels, Bioproducts and Biorefinin. 2.1 (2008): 26–40. 102 “Wood Transportation Fuels: Study Finds 11-Year Gap Between Announced Production and Viability of Technologies.” Forisk’s Blog. Forisk. Web. 19 May 2011. .

30