Johanns proposes $1.6 billion for funding cellulose ethanol
January 4, 2007
BY Dave Nilles
Agriculture Secretary Mike Johanns today announced plans to propose $1.6 billion in new funding for renewable energy, with a focus on cellulosic energy research and production. The move could be considered the first step toward implementing President George W. Bush's renewable energy plan laid out in his Jan. 23 State of the Union Address.
The proposal will be part of the administration's 2007 farm bill proposals, according to a USDA release. In his address, Bush proposed $2 billion in cellulosic production loan guarantees. He also proposed increasing the current renewable fuels standard (RFS) to 35 billion gallons by 2017. The current RFS, which was signed into law as part of the Energy Policy Act of 2005, calls for 7.5 billion gallons of renewable fuels by 2012.
"It remains a priority across USDA to support the development of biofuels," Johanns said. "We will continue to build on current programs and turn the corner on renewable energy. With biofuels coming to the forefront, American agriculture faces the greatest opportunity of a generation to lead a future in which we get our energy by the bushel and not by the barrel."
Johanns plans to provide additional information about the proposal within the next few weeks when he unveils the administration's full package of 2007 farm bill proposals.
Today Bush toured DuPont's global research and development facility in Wilmington, Del. He pushed his energy agenda while addressing more than 1,000 DuPont employees, including scientists developing biofuels and other alternative energy technologies. "We shared with President Bush information on a variety of agricultural feedstocks that we're using to improve biofuels production—from grain ethanol to ethanol from cellulose to next generation biofuels such as biobutanol," DuPont Chairman and CEO Charles Holliday said. "Our scientists were able to share the progress we're making with the U.S. Department of Energy to develop the world's first integrated corn biorefinery, which will use entire corn plants to produce fuels and other materials. We talked about the exciting work we're doing in biobutanol, expected to be a key biofuel in the years ahead."
Biobutanol is one of several alternative fuels that would be covered under the President's increased RFS, which the White House termed an "alternative fuels standard." The plan would increase the scope of the standard to include corn-based ethanol, cellulosic ethanol, biodiesel, methanol, butanol, hydrogen and alternative fuels.
In June 2006, DuPont and BP announced the creation of a partnership to develop, produce and market biobutanol by the end of 2007.
A USDA release said Johanns' proposal compliments an array of renewable energy-related efforts underway at the USDA. Examples of the efforts include:
--The USDA issued a formal Request For Information to initiate discussion with private sector partners willing to work with the USDA to establish a biofuels pumping station in Washington D.C., which would serve the general public and more than 800 flex fuel vehicles in the federal fleet. http://www1.fbo.gov/spg/
--In 2006, USDA launched BioPreferred, a procurement program that serves to increase the procurement and use of biobased products by Federal agencies. USDA has developed a Designated Biobased Product Catalog www.usda.gov/biopreferred as a resource of identifying biobased products.
--USDA spent nearly $1.7 billion on energy-related programs between 2001 and 2005. In 2006, USDA spent an estimated amount of more than $270 million on these programs in areas such as commercialization, research, infrastructure development and technical support.
--In 2005, Johanns appointed a USDA Energy Council for the purpose of coordinating and examining departmental programs and authorities, ensuring they fit into a comprehensive energy strategy.
--In 2000, USDA established the Biomass Research and Development Initiative (BRDI), an interagency working group with the U.S. DOE, to coordinate and accelerate all Federal biobased products and bioenergy research and development.
Dave Nilles is Online Editor for Ethanol Producer Magazine. Reach him at dnilles@bbibiofuels.com or (701) 373-0636.
Posted: 12:57 p.m. CST Wednesday, January 24, 2007
The proposal will be part of the administration's 2007 farm bill proposals, according to a USDA release. In his address, Bush proposed $2 billion in cellulosic production loan guarantees. He also proposed increasing the current renewable fuels standard (RFS) to 35 billion gallons by 2017. The current RFS, which was signed into law as part of the Energy Policy Act of 2005, calls for 7.5 billion gallons of renewable fuels by 2012.
"It remains a priority across USDA to support the development of biofuels," Johanns said. "We will continue to build on current programs and turn the corner on renewable energy. With biofuels coming to the forefront, American agriculture faces the greatest opportunity of a generation to lead a future in which we get our energy by the bushel and not by the barrel."
Johanns plans to provide additional information about the proposal within the next few weeks when he unveils the administration's full package of 2007 farm bill proposals.
Today Bush toured DuPont's global research and development facility in Wilmington, Del. He pushed his energy agenda while addressing more than 1,000 DuPont employees, including scientists developing biofuels and other alternative energy technologies. "We shared with President Bush information on a variety of agricultural feedstocks that we're using to improve biofuels production—from grain ethanol to ethanol from cellulose to next generation biofuels such as biobutanol," DuPont Chairman and CEO Charles Holliday said. "Our scientists were able to share the progress we're making with the U.S. Department of Energy to develop the world's first integrated corn biorefinery, which will use entire corn plants to produce fuels and other materials. We talked about the exciting work we're doing in biobutanol, expected to be a key biofuel in the years ahead."
Biobutanol is one of several alternative fuels that would be covered under the President's increased RFS, which the White House termed an "alternative fuels standard." The plan would increase the scope of the standard to include corn-based ethanol, cellulosic ethanol, biodiesel, methanol, butanol, hydrogen and alternative fuels.
In June 2006, DuPont and BP announced the creation of a partnership to develop, produce and market biobutanol by the end of 2007.
A USDA release said Johanns' proposal compliments an array of renewable energy-related efforts underway at the USDA. Examples of the efforts include:
--The USDA issued a formal Request For Information to initiate discussion with private sector partners willing to work with the USDA to establish a biofuels pumping station in Washington D.C., which would serve the general public and more than 800 flex fuel vehicles in the federal fleet. http://www1.fbo.gov/spg/
--In 2006, USDA launched BioPreferred, a procurement program that serves to increase the procurement and use of biobased products by Federal agencies. USDA has developed a Designated Biobased Product Catalog www.usda.gov/biopreferred as a resource of identifying biobased products.
--USDA spent nearly $1.7 billion on energy-related programs between 2001 and 2005. In 2006, USDA spent an estimated amount of more than $270 million on these programs in areas such as commercialization, research, infrastructure development and technical support.
--In 2005, Johanns appointed a USDA Energy Council for the purpose of coordinating and examining departmental programs and authorities, ensuring they fit into a comprehensive energy strategy.
--In 2000, USDA established the Biomass Research and Development Initiative (BRDI), an interagency working group with the U.S. DOE, to coordinate and accelerate all Federal biobased products and bioenergy research and development.
Dave Nilles is Online Editor for Ethanol Producer Magazine. Reach him at dnilles@bbibiofuels.com or (701) 373-0636.
Posted: 12:57 p.m. CST Wednesday, January 24, 2007
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