DOCSLIB.ORG

Biomass, Energy, and Jobs: Feasibility Study for an Eco-Industrial Park Anchored by an Ethanol Bio-Refinery

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
Biomass, Energy, and Jobs: Feasibility Study for an Eco-Industrial Park Anchored by an Ethanol Bio-Refinery Biomass, Energy, and Jobs: Feasibility Study for an Eco-Industrial Park Anchored by an Ethanol Bio-Refinery Final Report This report was prepared under an award from the U.S. Department of Commerce Economic Development Administration Grant #07-69-06433 Submitted by Leonard Mitchell, Esq., Executive Director, and Deepak Bahl, Program Director USC Center for Economic Development Sol Price School of Public Policy University of Southern California 386 Von KleinSmid Center Los Angeles, CA 90089-0041 April 30, 2012 This publication was prepared by the USC Center for Economic Development. The statements, findings, conclusions, and recommendations are those of the author(s) and do not necessarily reflect the views of the Economic Development Administration. Authors The final report on Biomass, Energy,and Jobs: Feasibility Study for an Eco-Industrial Park Anchored by an Ethanol Bio-Refinery has been prepared under the overall supervision and guidance of Leonard Mitchell, Executive Director and Deepak Bahl, Program Director, USC Center for Economic Development. The four graduate students who made a contribution to this report are: Dmitry Galkin, Daniel Inloes, Gabriele Noriega-Ward, and Yin Xie. In addition, Michael Fatigati, Consultant and Dion Jackson, Adjunct Faculty, USC Price School of Public Policy were instrumental in advising on strategic sections and shaping the final report. 2 Table of Contents Introduction ..................................................................................................................................... 7 Unemployment Issue ................................................................................................................... 8 Environmental Issue .................................................................................................................... 9 Forest Fire Issue ........................................................................................................................ 10 Exceptionality of Southern California....................................................................................... 11 Local Economic Development Efforts ...................................................................................... 12 The Value Proposition .................................................................................................................. 13 Opportunities and Challenges Overview ................................................................................... 15 Electricity Production ................................................................................................................ 16 Biomass to Liquids Production ................................................................................................. 17 The Corn Dry Mill..................................................................................................................... 19 Biochemical Hydrolysis ............................................................................................................ 20 Thermochemical Production ..................................................................................................... 21 Hybrid Bio/Thermo Technology ............................................................................................... 23 Comparison to Corn Dry Mill ................................................................................................... 23 Other Biofuel Technologies ...................................................................................................... 28 Assessment and Comparison of Biofuel Processes ................................................................... 28 Real World Technology Examples ............................................................................................... 29 Sacramento Ethanol and Power Cogeneration Plant (SEPCO) ................................................. 30 Gridley Ethanol Project ............................................................................................................. 31 Collins Pine Cogeneration Facility ........................................................................................... 32 BlueFire Ethanol ....................................................................................................................... 32 Inbicon ....................................................................................................................................... 33 Demonstration Scale Projects .................................................................................................... 33 Other Production Factors .............................................................................................................. 34 Resource Yields ......................................................................................................................... 34 Development Risk ..................................................................................................................... 35 E85, E15/E10, Flex Fuel Vehicles, and Background for the Ethanol Market .......................... 36 Supply, Demand, and Price of Ethanol ......................................................................................... 37 3 Policy-Related Supply ............................................................................................................... 37 Policy-Related Demand ............................................................................................................. 38 Market Supply ........................................................................................................................... 39 Market Demand ......................................................................................................................... 41 Resource Supply ........................................................................................................................ 42 Considerations for Cost ............................................................................................................. 43 Relative Fuel Efficiency, Implications for Cost, and Public Policy ............................................. 44 Current Pricing for Ethanol ....................................................................................................... 45 Cost of Construction and Production ............................................................................................ 46 Financial Feasibility Model ....................................................................................................... 46 Logistics and Co-location .......................................................................................................... 48 Scaling ....................................................................................................................................... 48 Construction .............................................................................................................................. 49 Production: Variable Costs ........................................................................................................ 52 Revenue ................................................................................................................................. 54 Policy Incentives ....................................................................................................................... 54 Cash Flow Analysis ...................................................................................................................... 56 Commercial-Scale Facility ........................................................................................................ 56 Demonstration-Scale Facility .................................................................................................... 58 Economic Impact Assessment ...................................................................................................... 59 Principles of the Economic Impact Assessment ....................................................................... 59 Economic and Fiscal Impacts of a Cellulosic Ethanol Production Facility .............................. 61 The Eco-Industrial Park: Collaboration Improving Feasibility and Sustainability ...................... 63 Economic and Environmental Benefits of Co-location ............................................................. 63 Partners in an Eco-Industrial Park ............................................................................................. 66 Biomass Resources ....................................................................................................................... 69 Wildfire Mitigation Efforts ....................................................................................................... 69 Biomass Resource Assessment ................................................................................................. 70 Forest Biomass Collection Process ........................................................................................... 71 MSW Biomass Collection Process ............................................................................................ 72 4 Carbon Emissions Reduction ........................................................................................................ 73 Proposing a Site ............................................................................................................................ 73 GIS Modeling ...........................................................................................................................
Load more

Recommended publications
  • What Is Still Limiting the Deployment of Cellulosic Ethanol? Analysis of the Current Status of the Sector
    applied sciences Review What is still Limiting the Deployment of Cellulosic Ethanol? Analysis of the Current Status of the Sector Monica Padella *, Adrian O’Connell and Matteo Prussi European Commission, Joint Research Centre, Directorate C-Energy, Transport and Climate, Energy Efficiency and Renewables Unit C.2-Via E. Fermi 2749, 21027 Ispra, Italy; [email protected] (A.O.); [email protected] (M.P.) * Correspondence: [email protected] Received: 16 September 2019; Accepted: 15 October 2019; Published: 24 October 2019 Abstract: Ethanol production from cellulosic material is considered one of the most promising options for future biofuel production contributing to both the energy diversification and decarbonization of the transport sector, especially where electricity is not a viable option (e.g., aviation). Compared to conventional (or first generation) ethanol production from food and feed crops (mainly sugar and starch based crops), cellulosic (or second generation) ethanol provides better performance in terms of greenhouse gas (GHG) emissions savings and low risk of direct and indirect land-use change. However, despite the policy support (in terms of targets) and significant R&D funding in the last decade (both in EU and outside the EU), cellulosic ethanol production appears to be still limited. The paper provides a comprehensive overview of the status of cellulosic ethanol production in EU and outside EU, reviewing available literature and highlighting technical and non-technical barriers that still limit its production at commercial scale. The review shows that the cellulosic ethanol sector appears to be still stagnating, characterized by technical difficulties as well as high production costs.
    [Show full text]
  • The Sustainability of Cellulosic Biofuels
    The Sustainability of Cellulosic Biofuels All biofuels, by definition, are made from plant material. The main biofuel on the U.S. market is corn ethanol, a type of biofuel made using the starch in corn grain. But only using grain to produce biofuels can lead to a tug of war between food and fuel sources, as well as other environmental and economic challenges. Biofuels made from cellulosic sources – the leaves, stems, and other fibrous parts of a plant – have been touted as a promising renewable energy source. Not only is cellulose the most abundant biological material on Earth, but using cellulose to produce biofuels instead of grain can have environmental benefits. Cellulosic biofuel sources offer a substantially greater energy return on investment compared to grain-based sources. However, environmental benefits are not guaranteed. The environmental success of cellulosic biofuels will depend on 1) which cellulosic crops are grown, 2) the practices used to manage them, and 3) the geographic location of crops. Both grain-based and cellulosic biofuels can help lessen our use of fossil fuels and can help offset carbon dioxide emissions. But cellulosic biofuels are able to offset more gasoline than can grain-based biofuels – and they do so with environmental co-benefits. Cellulosic Biofuels Help Reduce Competition for Land Cellulosic fuel crops can grow on lands that are not necessarily suitable for food crops and thereby reduce or avoid food vs. fuel competition. If grown on land that has already been cleared, cellulosic crops do not further contribute to the release of carbon to the atmosphere. Because many cellulosic crops are perennial and roots are always present, they guard against soil erosion and better retain nitrogen fertilizer.
    [Show full text]
  • For Cellulosic Ethanol Production 1 DESCRIPTION of the Formicobio
    Appendix 1 formicobio™ technology 1 (2) for cellulosic ethanol production 1 DESCRIPTION OF THE formicobio™ TECHNOLOGY Chempolis’ formicobio™ is a technology for the production of cellulosic sugars and further ethanol. The technology has been specially developed for non-food raw materials (e.g. bamboo, bagasse, straws, oil palm biomass, and other agricultural residues), and it is based on selective fractionation of biomass with fully recoverable biosolvent containing formic acid. The formicobio™ technology avoids the main problems associated with other technologies developed for non-food raw materials and represents a true third- generation (3G) technology for the production of cellulosic sugars and further ethanol. The technology enables co-production of platform chemicals, such as acetic acid and furfural, which are used as raw materials in the production of paints, adhesives, and plastics, and as solvent and raw material for resins. Furfural can also be converted into synthetic diesel or gasoline ingredient by hydrogenation. In addition, combustion of co-produced solid biofuel (biocoal) can generate all the energy needed in biorefinery, with some surplus to be used in other production. The formicobio™ technology offers two principal options for the production of cellulosic ethanol: a) Production of ethanol from cellulose and chemicals from hemicelluloses b) Production of ethanol from cellulose and hemicelluloses with co-production of chemicals from hemicelluloses The principle of the technology (Option a) has been described as a simple block diagram in the picture below. The main steps in the process are the following: ‐ Selective fractionation of biomass with a fully recoverable biosolvent (i.e. formicodeli™). Fractionation takes place in a much lower temperature and pressure than pretreatment in typical 2G technologies.
    [Show full text]
  • Annual Biodiesel and Renewable Di
    141.422 Definitions for KRS 141.422 to 141.425. As used in KRS 141.422 to 141.425: (1) "Annual biodiesel and renewable diesel tax credit cap" means: (a) For calendar years beginning prior to January 1, 2008, one million five hundred thousand dollars ($1,500,000); (b) For the calendar year beginning on January 1, 2008, five million dollars ($5,000,000); (c) For calendar years beginning on or after January 1, 2009, but before January 1, 2021, ten million dollars ($10,000,000); (2) "Annual biodiesel, renewable diesel, and renewable chemical production tax credit cap" means, for calendar years beginning on or after January 1, 2021, ten million dollars ($10,000,000); (3) "Annual cellulosic ethanol tax credit cap" means five million dollars ($5,000,000), unless the annual cellulosic ethanol tax credit cap is modified pursuant to KRS 141.4248, in which case the cap established by KRS 141.4248 shall be the annual cellulosic ethanol tax credit cap for that year. Any adjustments to the annual cellulosic ethanol tax credit cap made pursuant to KRS 141.4248 shall be made on an annual basis and shall not carry forward to subsequent years; (4) "Annual ethanol tax credit cap" means five million dollars ($5,000,000), unless the annual credit cap is modified pursuant to KRS 141.4248, in which case the cap established by KRS 141.4248 shall be the annual ethanol tax credit cap for that year. Any adjustments to the annual ethanol tax credit cap made pursuant to KRS 141.4248 shall be made on an annual basis and shall not carry forward to subsequent years;
    [Show full text]
  • The Implications of Increased Use of Wood for Biofuel Production
    Date Issue Brief # ISSUE BRIEF The Implications of Increased Use of Wood for Biofuel Production Roger A. Sedjo and Brent Sohngen June 2009 Issue Brief # 09‐04 Resources for the Future Resources for the Future is an independent, nonpartisan think tank that, through its social science research, enables policymakers and stakeholders to make better, more informed decisions about energy, environmental, natural resource, and public health issues. Headquartered in Washington, DC, its research scope comprises programs in nations around the world. 1616 P Street NW Washington, DC 20036 202-328-5000 www.rff.org PAGE 2 SEDJO AND SOHNGEN | RESOURCES FOR THE FUTURE The Implications of Increased Use of Wood for Biofuel Production Roger A. Sedjo and Brent Sohngen1 Introduction The growing reliance in the United States and many other industrial countries on foreign petroleum has generated increasing concerns. Since the 1970s, many administrations have called for energy independence, with a particular focus on petroleum. Although energy sources are many, the transport sector is driven largely by petroleum. Despite calls for reduced oil imports, the United States increasingly depends on foreign supply sources. General concerns about the security of petroleum supply are compounded by added concerns about the emissions of greenhouse gases (GHGs) from fossil energy, including petroleum. While the United States did not ratify the Kyoto Protocol, efforts are increasing to find alternatives to petroleum as the dominant transport fuel. The major impediment to alternative fuels is generally their higher costs as well as the existing infrastructure, which has been developed to facilitate a petroleum‐driven economy. Europe is moving to supplement fossil fuel use with renewables, including biomass and particularly wood, in energy and heating functions in part through direct and indirect subsidies (e.g., Sjolie et al.
    [Show full text]
  • Biomass Energy in Pennsylvania: Implications for Air Quality, Carbon Emissions, and Forests
    RESEARCH REPORT Biomass Energy in Pennsylvania: Implications for Air Quality, Carbon Emissions, and Forests Prepared for: Prepared by: December 2012 The Heinz Partnership for Endowments Public Integrity Pittsburgh, PA by Mary S. Booth, PhD The Biomass Energy in Pennsylvania study was conducted by Mary S. Booth, PhD, of the Partnership for TABLE OF CONTENTS Policy Integrity. It was funded by the Heinz 4 Executive Summary Endowments. 4 Central findings 8 Recommendations 10 Chapter 1: Biomass Energy — The National Context 11 The emerging biomass power industry 11 Cumulative demand for “energy wood” nationally 14 Chapter 2: Carbon Emissions from Biomass Power 15 The Manomet Study 18 Chapter 3: Pollutant Emissions from Biomass Combustion 19 Particulate matter 20 Particulate matter emissions from small boilers 20 Use of pellets to reduce emissions and the carbon dilemma 22 Particulate matter controls for large boilers 22 Controls for other pollutants 24 Chapter 4: Biomass Combustion Impacts on Human Health 25 Special characteristics of biomass emissions 26 Diesel emissions from biomass harvesting and transport 27 Chapter 5: Policy Drivers for Biomass Power in Pennsylvania 28 Bioenergy in Pennsylvania’s Alternative Energy Portfolio Standard 29 Pennsylvania’s Climate Action Plan 30 Blue Ribbon Task Force on the low-use wood resource 31 Financial incentives for biomass and pellet facilities 31 Pennsylvania’s “Fuels for Schools and Beyond” program 32 Penn State University’s Biomass Energy Center 33 Chapter 6: Biomass Supply and Harvesting in Pennsylvania
    [Show full text]
  • Infograph Wood.Pdf
    Brazil is a global reference in the planting of trees for industrial purposes which are used to produce wood panels, laminate flooring, pulp, paper, charcoal and biomass – items that are present in our homes and our daily lives. The planted tree industry has invested in technology to 30 m FOREST-BASED turn the waste and by-products of these processes into innovative, renewable products that are essential for the development of a low-carbon economy. Many of these products are still in the research and development stage, or are being produced on an incipient scale. As investments are made in innovative technologies, the products from this industry will move out of the laboratories PRODUCTS toward new markets and different segments, providing additional benefits to society as a whole. Products already Products in the research and development on the market stage or produced on an incipient scale Honey SECTORS OF USE Aviation Electronics Flowers Civil construction Pharmaceutical and Printing/Publishing medical 25 m Food Furniture Seeds Automotive Chemicals Cosmetics and personal Textiles hygiene Various industries Fruits Essential oils Natural fabric dyes Oils FOOD Leaves Cellulose is used as an Cellulosic ethanol ingredient in various food products. In ice cream, Pig iron syrups, dairy cream and juices, it acts as a stabilizer and provides Smoke Flavorings consistency. It is also Charcoal added to grated cheese Preservatives to prevent moisture Crown Pyroligneous absorption and clumping. extract Cellulose is also a source of fiber that comprises Energy whole food products. Combustion Smoked delicacies use a flavoring extracted from MDP/HDP burning wood during the process of charcoal making.
    [Show full text]
  • Cellulosic Ethanol—Biofuel Beyond Corn Nathan S
    PURDUE TENSIONEX Bio ID-335 Fueling America ThroughE Renewablenergy Resources Cellulosic Ethanol—Biofuel Beyond Corn Nathan S. Mosier Department of Agricultural and Biological Engineering Purdue University Introduction form of straw, corn stover, other forages and residues, and wood wastes could be sustain- Fuel ethanol production in the U.S. is ably collected and processed in the U.S. each expected to exceed 7.5 billion gallons before year. This resource represents an equivalent 2012. This represents a doubling of ethanol of 67 billion gallons of ethanol, replacing production from 2004, which consumed 30% of gasoline consumption in the U.S (U.S. approximately 10% of the corn produced in Department of Energy Biofuels: 30% by 2030 the U.S. in that year. Increased demands for Website). domestically produced liquid fuel is increas- ing competition between animal feed and Plants use cellulose as a strengthening mate- fuel production uses of corn. rial, much like a skeleton that allows plants to stand upright and grow toward the sun, Cellulosic feedstocks (wheat straw, corn sto- withstand environmental stresses, and block ver, switch grass, etc.) can also be converted pests. People have used cellulose for centu- to ethanol. Overcoming the technological ries in paper, wood, and textiles (cotton and and economic hurdles for using cellulose linen). to produce liquid fuel will allow the U.S. to meet both food and fuel needs. Cellulose as Ethanol Feedstock Cellulose is a polymer of sugar. Polymers are large molecules made up of simpler molecules bound together much like links in a chain. Common, everyday biological polymers include cellulose (in paper, cotton, and wood) and starch (in food).
    [Show full text]
  • Why Is It So Difficult to Make Cellulosic Ethanol? Ethanol Can Be Created from a Variety of Source Materials and Through a Number of Methods
    Why is it so difficult to make cellulosic ethanol? Ethanol can be created from a variety of source materials and through a number of methods. Beer and wine Yeast fermentation uses a well-understood biological process Enzymes in which yeast are fed simple sugars from barley malt or grapes. Yeast digest these sugars to grow and reproduce, and brewers and vintners then harvest the ethanol the microbes create as a waste product. Yeast has special Glucose 2 Ethanol 2 Carbon Dioxide enzymes, or protein catalysts, capable of converting a simple sugar, called glucose, into ethanol as they extract Fermentation equation: enzymes in yeast convert glucose into ethanol and carbon dioxide. energy from the molecule. Creating ethanol from sugar cane, as they do in Brazil, is fairly straightforward Cellulose, like starch, is a complex carbohydrate made because cane juice contains these simple sugars that up of chains of glucose. However, the nature of the links yeast can digest. The production of ethanol becomes holding the glucose together is different in cellulose, more difficult when starting with more complex and there are fewer identified organisms with enzymes carbohydrates from corn grain or other plant materials. that are capable of breaking down cellulose. Enzymes work in a lock and key system; each enzyme matches Starch conversion is also relatively simple. Corn grain and a particular molecule—without the right enzyme potatoes, for example, are heavy in starches, which are you cannot build or degrade a molecule biologically. composed of long chains of glucose molecules. Enzymes that chop the long chains of starch into smaller glucose Starch units are readily available.
    [Show full text]
  • Biomass to Biofuels Primer
    Biomass to BioFuels Primer [email protected] Oil at $100 bbl= $0.30/lb Biomass at $40/dry ton = $0.02/lb [email protected] Ethanol 6.60 pounds/gallon Density is 7% greater than conventional gasoline 1 gallon ethanol has 76,000 BTU 2/3 heating value of gasoline [email protected] Gasoline vs. # 2 Diesel vs. Ethanol Gasoline Diesel Ethanol Chemical Formula C4-C12 C3-C25 C2H6O Molecular Weight ~100-105 ~ 200 32.04 C:H:O 85-88:12-15:0 84-87:13-16:0 52.2:13.1:34.7 Specific gravity, 60F 0.72-0.78 0.81-.0.89 0.80 Density 60 F (lb/gal) 6.0-6.5 6.7-7.4 6.61 Boiling Temp/F 80-437 37-650 172 Reid vapor pressure/psi 8-15 0.2 2.3 Octane # 81-90 -- 92 Cetane # 5-20 40-55 -- Freezing Point/F -40 -40-30 173.2 Viscosity 60 F/cp 0.37-0.44 2.6-4.1 1.19 Flash Pt/F -45 165 55 Autoignition/F 495 600 793 Latent Heat Vaporization Btu/gal 60 F 900 700 2378 [email protected] Theoretical Ethanol Yields • Corn Grain 124 gallons/dry ton • Corn Stover 113 gallons/dry ton • Rice Straw 110 gallons/dry ton • Cotton Gin Trash 57 gallons/dry ton • Forest Things 82 gallons/dry ton • Hardwood sawdust 101 gallons/dry ton • Bagasse 112 gallons/dry ton • Mixed used paper 116 gallons/dry ton [email protected] •Corn Ethanol – 300-400 gallons of ethanol per acre • Soybean Biodiesel – 60 gallons of biodiesel per acre • Sugar Cane Ethanol – 600-800 gallons of ethanol per acre • Poplar Cellulosic Ethanol – 1100 - 1500 gallons of ethanol per acre [email protected] Research test plots of Switchgrass • Up to 15 tons dry biomass/acre • 5-year average 11.5 tons/acre • 1150 gallons bioethanol/acre Established Giant Miscanthus yields 14 to 17 tons/acre.
    [Show full text]
  • California Assessment of Wood Business Innovation Opportunities and Markets (CAWBIOM)
    California Assessment of Wood Business Innovation Opportunities and Markets (CAWBIOM) Phase I Report: Initial Screening of Potential Business Opportunities Completed for: The National Forest Foundation June 2015 CALIFORNIA ASSESSMENT OF WOOD BUSINESS INNOVATION OPPORTUNITIES AND MARKETS (CAWBIOM) PHASE 1 REPORT: INITIAL SCREENING OF POTENTIAL BUSINESS OPPORTUNITIES PHASE 1 REPORT JUNE 2015 TABLE OF CONTENTS PAGE CHAPTER 1 – EXECUTIVE SUMMARY .............................................................................................. 1 1.1 Introduction ...................................................................................................................................... 1 1.2 Interim Report – brief Summary ...................................................................................................... 1 1.2.1 California’s Forest Products Industry ............................................................................................... 1 1.2.2 Top Technologies .............................................................................................................................. 2 1.2.3 Next Steps ........................................................................................................................................ 3 1.3 Interim Report – Expanded Summary .............................................................................................. 3 1.3.1 California Forest Industry Infrastructure .........................................................................................
    [Show full text]
  • 2015 Bioenergy Market Report
    BIOENERGY TECHNOLOGIES OFFICE 2015 Bioenergy Market Report February 2017 Prepared for the U.S. Department of Energy Bioenergy Technologies Office Prepared by the National Renewable Energy Laboratory, Golden, CO 80401 2015 BIOENERGY MARKET REPORT Authors This report was compiled and written by Ethan Warner, Kristi Moriarty, John Lewis, Anelia Milbrandt, and Amy Schwab of the National Renewable Energy Laboratory in Golden, Colorado. ii Authors 2015 BIOENERGY MARKET REPORT Acknowledgments Funding for this report came from the U.S. Department of Energy Office of Energy Efficiency and Renewable Energy’s Bioenergy Technologies Office. The authors relied upon the hard work and valuable contributions of many professional reviewers, including Chris Ramig (U.S. Environmental Protection Agency), Mary Biddy (National Renewable Energy Laboratory), Chris Cassidy (U.S. Department of Agriculture), Harry Baumes (U.S. Department of Agriculture), Patrick Lamers (Idaho National Laboratory), and Sara Ohrel (U.S. Environmental Protection Agency). Acknowledgements iii 2015 BIOENERGY MARKET REPORT Notice This report is being disseminated by the U.S. Department of Energy (DOE). As such, this document was prepared in compliance with Section 515 of the Treasury and General Government Appropriations Act for Fiscal Year 2001 (Public Law 106-554) and information quality guidelines issued by DOE. Though this report does not constitute “influential” information, as that term is defined in DOE’s information quality guidelines or the Office of Management and Budget’s Information Quality Bulletin for Peer Review, the report was reviewed both internally and externally prior to publication. Neither the U.S. government nor any agency thereof, nor any of their employees, makes any warranty, express or implied, or assumes any legal liability or responsibility for the accuracy, completeness, or usefulness of any information, apparatus, product, or process disclosed, or represents that its use would not infringe privately owned rights.
    [Show full text]