Scaling RNG for Transportation Fuel: Barriers and Opportunities

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Ventures to make transportation fuel from biogas are attracting big investment dollars while creating tens of thousands of jobs, and these renewable natural gas projects (RNG) keep rolling out. In the past year the industry developed more RNG facilities than during its first 30 years (between 1982 and 2011). Though it has a long way to go to enjoy a robust market share, and it faces barriers along the way.

Today there are 130 operational facilities and 37 under construction in the U.S. and Canada, according to the Coalition for Renewable Natural Gas. Approximately 82 of the operational facilities are producing RNG for transportation fuel.

A bulk of the output goes to California, incentivized by the state’s low-carbon fuel standard (LCFS), which is driving more projects across the country than the U.S. Environmental Protection Agency’s Renewable Fuel Standard program, according to Patrick Serfass, executive director of the American Biogas Council.

Utilities Partner on Hydrogen Blending Demonstration Program

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Southern California Gas Co. (SoCalGas) and San Diego Gas and Electric (SDG&E) have created a Hydrogen Blending Demonstration Program that will be the first of its kind in California and among the first in the nation.

Blending hydrogen with natural gas is part of a multi-pronged strategy both utilities – subsidiaries of Sempra Energy – are undertaking to decarbonize their natural gas grid. The vision is to leverage surplus renewable electricity generated in the middle of the day to produce green hydrogen, which then can be injected into the natural gas grid for storage and use. SoCalGas, in partnership with the National Fuel Cell Research Center and the University of California Irvine, is developing the technology. Hydrogen blending is another important milestone for providing the clean fuel needed to achieve California’s climate goals while maintaining an affordable, resilient and reliable energy system.

U.S. Natural Gas Coalition Well Ahead of Methane Reduction Targets

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A coalition of 24 natural gas companies that are members of Our Nation’s Energy Future Coalition (ONE Future) beat its methane intensity goal by 67% in 2019, according to an annual report published by the organization.

In the report, ONE Future’s member companies in 2019 registered a methane intensity number of 0.334%, beating the targeted 1% reduction in methane emissions by 2025. That’s a level that studies show minimizes impact on the environment. Members agree to measure their emissions and track their progress over time according to reporting protocols approved by the Environmental Protection Agency.

Volvo LIGHTS Project Wins CALSTART 2020 Blue Sky Award

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The Volvo Group was recently honored with CALSTART’s 2020 Blue Sky Award during the organization’s annual meeting, a virtual gathering of the clean transportation industry’s top leaders and decision-makers.

The annual Blue Sky Award is presented to organizations and individuals who have made outstanding marketplace contributions to clean air, climate change mitigation and the development of clean transportation technologies. The Volvo Group and its Volvo LIGHTS project were recognized for their efforts in uniting public and private stakeholders to successfully introduce zero-emission battery-electric trucks and equipment into commercial operation.

Integrating propane into the renewable energy marketplace

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Renewable propane gas (RPG) is becoming increasingly available in several parts of the country, and efforts are underway to bring it much deeper into the renewable energy marketplace.

The Propane Education & Research Council is starting to pay attention to renewable propane for fleet vehicles but is understandably reluctant to push too hard because the U.S. is sitting on the largest supply of non-renewable propane in the world.

The National Propane Gas Association (NPGA) and many state associations are battling electrification efforts that are springing up across the country, and RPG is becoming an important part of that debate. In addition, NPGA is making significant inroads into research funding for projects involving the renewable fuel.

CRC plans to acquire, relocate biodiesel plant in Kentucky

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Hemisphere Ltd., the parent company of Continental Refining Co., announced that it is exploring plans to invest an additional $25 million to acquire, relocate and install a soybean crushing, biodiesel refining and blending facility at the current CRC oil refinery in Somerset, Kentucky. The ability to produce biofuels and soy-based products in Somerset would open new markets while providing farmers, CRC’s customers, vendors, investors and the community a solid AgriTech business opportunity that provides a positive economic impact for the entire region.

Local entrepreneur and Hemisphere Limited CEO Demetrios Haseotes purchased the refinery in 2011, investing over $40 million updating and improving the facility’s crude oil refining capabilities. Although he has been known as an oil man for the last several decades, agriculture is the root of his family’s business empire and runs deep in Haseotes’ blood. He was raised on the family’s Rhode Island dairy farm that grew to become the Massachusetts-based Cumberland Farms convenience store chain with 1,000 sites in eight states. The family also owned the Gulf Oil brand and distributed petroleum products. While those businesses were sold in recent years, Haseotes started Midland Farms in 2002, now a large New York-based fluid dairy processor. He moved to Pulaski County in 2012. Haseotes may soon shift his focus to soybeans as the future of diesel energy production and additives at his Continental refinery.

Goodyear, TuSimple collaborate on autonomous vehicle freight operations

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The Goodyear Tire and Rubber Company has entered a strategic relationship with TuSimple to provide tires and tire management solutions to TuSimple’s Autonomous Freight Network (AFN).

As part of this collaborative effort, Goodyear will provide products and repair services to enhance the safety and operation of autonomous trucks. Additionally, Goodyear and TuSimple will conduct wear studies designed to understand how autonomous trucks and tires can help better predict maintenance, understand tire longevity and reduce the carbon impact of fleets.

National Biodiesel Board Elects New Governing Board Virtually

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JEFFERSON CITY, MO – The National Biodiesel Board members met virtually this week to elect new Governing Board leaders from across the biodiesel and renewable diesel value chain. NBB’s new leadership will help the development and success of the industry, reflecting the member-driven and member-focused values of the trade association.

“As the national trade association for the biodiesel and renewable diesel industry, it is critical that we are led by a strong team of advocates from all sectors of the industry,” said NBB CEO Donnell Rehagen. “As we see consumers and policymakers leading the shift to cleaner transportation and heating fuels, NBB’s Governing Board will continue to play a critical role in our goal to double our production and become a 6 billion gallon a year industry by 2030.”

PowerTap, Cryotek Partner on Hydrogen Filling Stations

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Clean Power Capital Corp.’s 90% owned subsidiary – PowerTap Hydrogen Fueling Corp. – has partnered with Cryotek pursuant to an eight-month contract to provide engineering and design for the next-generation PowerTap hydrogen filling stations, which are planned to be deployed across North America starting in 2021.

“PowerTap is excited to work with Cryotek as our engineering and design partner to commercialize the next generation of PowerTap hydrogen filling stations,” says Raghu Kilambi, CEO of PowerTap Hydrogen Fueling Corp. “Cody Bateman and his engineering team are the ideal partner for PowerTap as we plan our aggressive rollout of hydrogen filling stations commencing in 2021.”

2021 National Ethanol Conference Shifts to Digital

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The Renewable Fuels Association announced today that the 26th annual National Ethanol Conference to be held February 16-18, 2021 will now be an all virtual format.

“As RFA prepares to enter its 40th year in operation in 2021, the upcoming NEC will hold special meaning for our organization and the entire industry,” said RFA President and CEO Geoff Cooper. “While the ongoing COVID-19 pandemic has led us to adopt a fully digital format, we are confident the NEC will continue to serve as the largest and most visionary ethanol policy and marketing event for industry leaders and stakeholders. This is a critical time for our nation’s ethanol industry, which faces a changing political landscape, regulatory challenges, and uncertainty in the marketplace. But it is also a time of incredible opportunity for low-carbon renewable fuels, and NEC will serve as an excellent forum for exploring the strategies and approaches that will facilitate continued success for our essential industry in the future.”