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President Obama Establishes Biofuels Interagency Working Group; Push on Biofuel Development/Commercialization and Flex-Fuel Vehicle Use

US President Barack Obama has established a Biofuels Interagency Working Group, to be co-chaired by the Secretaries of Agriculture and Energy and the Administrator of the Environmental Protection Agency, to further the research, development and commercialization of biofuels.

The announcement came in conjunction with the EPA’s release of its notice of proposed rulemaking for the Renewable Fuel Standard (earlier post), and the Department of Energy’s announcement of $787.5 million in funding to be awarded to advanced biofuels research and commercialization projects (earlier post).

The Biofuels Interagency Working Group will work with the National Science and Technology Council’s Biomass Research and Development Board in undertaking its work. The Working Group will:

  • Develop the US’ first comprehensive biofuel market development program, which shall use existing authorities and identify new policies to support the development of next-generation biofuels, increase flexible fuel vehicle use, and assist in retail marketing efforts;

  • Coordinate infrastructure policies impacting the supply, secure transport, and distribution of biofuels; and

  • Identify new policy options to promote the environmental sustainability of biofuels feedstock production, taking into consideration land use, habitat conservation, crop management practices, water efficiency and water quality, as well as lifecycle assessments of greenhouse gas emissions.

“We need to work in concert with the industry to figure out how to do a better job to create a market for biofuels, how to increase the use of flex-fuel vehicles, how we can assist those who market, and to coordinate the infrastructure, and do all this in a sustainable way. This is a very aggressive directive from the President.”
—Secretary Vilsack

President Obama directed Secretary Vilsack to expedite and increase production of and investment in biofuel development efforts by refinancing existing investments in renewable fuels to preserve jobs in ethanol and biodiesel plants, renewable electricity generation plants, and other supporting industries; and making renewable energy financing opportunities from the Food, Conservation and Energy Act of 2008 available within 30 days.

These opportunities include:

  • Loan guarantees for the development, construction, and retrofitting of commercial scale biorefineries and grants to help pay for the development and construction costs of demonstration-scale biorefineries;

  • Expedited funding to encourage biorefineries to replace the use of fossil fuels in plant operations by installing new biomass energy systems or producing new energy from renewable biomass;

  • Expedited funding to biofuels producers to encourage production of next-generation biofuels from biomass and other non-corn feedstocks;

  • Expansion of Renewable Energy Systems and Energy Efficiency Improvements Program, which has been renamed the Rural Energy for America Program, to include hydroelectric source technologies, energy audits, and higher loan guarantee limits; and

  • Guidance and support for collection, harvest, storage, and transportation assistance for eligible materials for use in biomass conversion facilities.

Comments

SJC

Most excellent...we may get those solar powered corn stalk bio fuels plants yet :)

ejj

I agree...let's incentivize the hell out of the establishment of non-foodstock biofuel operations (but without annual subsidies). Let T. Boone Pickens and Mesa Water supply water from the Ogallala Aquifer to irrigate whatever will grow out west. I'm aware of a major project in the works in Florida that will produce 70 million gallons per year of ethanol AND supply a 40 MW power plant (steam powered boilers from leftover sorghum bagasse) from 35,000 acres of ranchland. These are suburban sprawl fighting, farm-saving, good-paying American jobs that are carbon NEGATIVE and can't be outsourced.

sulleny

A good idea. Albeit a difficult one given the animosity between most government agencies. I would expect Range Fuels and Coskata to be high on the list of loan recipients - should they choose to use them.

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