EIA Says U.S. Biodiesel Market Faces Uncertain Future
According to the Energy Information Administration (EIA), the future of the U.S. biodiesel market is uncertain as the removal of a tax credit loophole and new European import tariffs could slow down trade. Rising fuel prices along with the U.S. renewable fuel standard prompted a surge in production in past years with tax incentives funneling much of the fuel abroad. “However, the outlook for the U.S. biodiesel market this year remains highly uncertain,” the agency said. The loophole mentioned refers to a loophole in the Blender Tax Credit—a $1 per-gallon tax credit for biodiesel blended with petroleum diesel. The ‘splash and dash’ loophole allowed operators to add a small amount of petroleum diesel to imports of pure biodiesel and then export the new blend to take advantage of the tax credit—a practice that stimulated trade. However, the loophole was closed in October 2008 as part of the Emergency Economic Stabilization Act. While the loophole was in place, biodiesel imports grew from 4 million gallons in 2004 to 315 million gallons last year. Closing the loophole prevents U.S. firms that blend and then export foreign-produced biodiesel from getting a tax break. Export opportunities for U.S. biodiesel may also be limited this year by new European Union tariffs on U.S. imports of the fuel. The new tariffs, which took effect March 19 and will be in place for the next six months, could further dampen trade prospects for 2009.
Source: U.S. biodiesel market faces uncertain future: EIA , Reuters

California Allocates $176MM to Clean Transportation
Over the next two years, the California Energy Commission plans to invest $176 million in its Alternative and Renewable Fuels and Vehicle Technology Program. The ultimate goal is to reduce greenhouse gas emissions by 80% below 1990 levels by 2050, decrease petroleum fuel use to 15% below 2003 levels by 2020, and increase alternative fuel use to 20% by 2020. The funding breaks down as follows: The Energy Commission will invest $46 million for electric vehicles, public charging stations and manufacturing plants; $43 million for natural gas vehicles, fueling stations and biomethane production facilities; $40 million for hydrogen fueling stations; $12 million for advanced ethanol fuel production facilities and E-85 fueling stations; $6 million for advanced renewable diesel and biodiesel facilities; and $2 million for propane vehicles. The Investment Plan also directs $27 million to fund workforce training programs, research, public education and technical assistance programs.
Source: California Allocates $176M to Clean Transportation, Greentech Media

250 CNG Buses to Service Mumbai and Surrounding Areas
In a bid to cut down on fuel expenditure and reduce air pollution, India’s Maharashtra State Road Transport Corporation (MSRTC) will add 250 buses powered by compressed natural gas (CNG) to its fleet. Maharashtra is India’s second most populous state; its capital city, Mumbai, is the nation’s largest city. The state-run bus corporation has one of the largest fleets in India with over 16,000 buses and provides both interstate bus services in Maharashtra and surrounding states, and intercity services between major cities such as Mumbai and Pune. “We are confident of recovering costs in a-year-and-a-half as the fuel is cheaper,” said Mukund Dhus, MSRTC’s public relations officer, of the environmentally friendly buses. The corporation also plans to set up a CNG filling station at one of its depots within the next three months.
Source: MSRTC Goes Green, Will Roll Out 250 CNG Buses, Times of India

Plug-in Hybrid Fleet Vehicle Gets 100 MPG for First 50 Miles
Start-up Bright Automotive of Anderson, Ind. has unveiled a light-use utility vehicle that gets 100 mpg for its first 50 miles. The Idea, as the plug-in hybrid electric vehicle is called, uses battery power almost exclusively for the first 30 miles when starting with a fully charged battery. It then utilizes a typical hybrid system of electric with gasoline supplement. Because of this 30-mile electric start, Bright Automotive estimates that in a 50-mile drive the Idea consumes half a gallon of gas, getting it the equivalent of 100 mpg. The Idea is built from lightweight materials consisting of a high-tech aluminum and advanced composites to enhance fuel efficiency. It has a one-ton cargo capacity and a passenger seat that can convert into a mobile office. The vehicle is an ideal light-use truck for commercial and military utility fleets—utility trucks don't typically travel long distances and are often returned to a garage to be fully charged. The company has applied for $450 million in federal loans from the Department of Energy to mass-produce the vehicle. The U.S. government itself is not just a potential lender, but also a potential customer. Last January, the Army announced plans to replace up to 28,000 gasoline-powered vehicles with light-use EVs in the coming years.
Source: Plug-in hybrid gets 100 mpg for first 50 miles, CNet News

New Yeast to Increase Efficiency of Cellulosic Ethanol Production
An Indiana biotechnology company has begun producing a genetically modified yeast that promises to make it easier and faster to turn corn cobs, wood chips and a host of agricultural wastes into ethanol. Green Tech America Inc. of West Lafayette said its modified yeast ferments both major forms of sugar—glucose and xylose—involved in creating cellulosic ethanol from plant matter. The yeast, which arose from research at Purdue University dating back three decades, is a modified form of common baker's yeast. The genetically engineered microorganism allows cellulosic ethanol producers to make the fuel more quickly and with less energy than current methods, said Nancy Ho, a research professor at Purdue's School of Chemical Engineering and the company's founder and president. Green Tech America has licensed the yeast technology developed by Ho and her team, allowing the company to sell the new yeast and also provide companies with the technical help to use it at their ethanol plants. Although Green Tech's yeast, tentatively named Purdue Yeast, is available now, Ho said she expects her 3-year-old company to begin full-scale production in about a year.
Source: Purdue startup marketing new ethanol yeast, Chicago Tribune

EPA Formally Proposes Regulating Greenhouse Gas Emissions
The Environmental Protection Agency (EPA) has declared that greenhouse gas emissions pose a danger to the public's health and welfare, a determination that could trigger a series of sweeping regulations affecting everything from vehicles to coal-fired power plants. The EPA’s finding identifies six polluting gases—carbon dioxide, methane, nitrous oxide, hydrofluorocarbons, perfluorocarbons and sulfur hexafluoride—as contributing to global warming. In a statement, EPA administrator Lisa P. Jackson said, “This finding confirms that greenhouse gas pollution is a serious problem now and for future generations.” The agency also includes a “cause or contribute” finding for cars, which implies that not only are greenhouse gases dangerous in general, but also that such emissions from cars and trucks are reasonably likely to contribute to climate change. However, the EPA’s announcement did not include any specific targets for reducing greenhouse gases or new requirements for energy efficiency in vehicles. “The best solution, and I believe this in my heart, is to work with Congress to form and pass comprehensive legislation to deal with climate change,” Jackson said, adding that, “This pollution problem has a solution—one that will create millions of green jobs and end our country's dependence on foreign oil.”
Source: EPA Proposes Regulating Greenhouse Gas Emissions, The Washington Post

World's Largest CNG Station Plus 2,000 CNG Taxis for Singapore
Singapore will soon boast what is expected to be the world’s largest compressed natural gas (CNG) station—operating 44 CNG fueling dispensers for cars and two fueling dispensers for buses and trucks. The station will be owned and operated by utility Union Energy whose sister company TransCab has committed to adding 2,000 CNG taxis to its fleet. TransCab operates 2,600 taxis, 500 of which are already fueled with CNG. At the groundbreaking ceremony, Mr. Melchers, General Manager of C. Melchers Singapore—the company to supply the CNG compression and dispensing equipment—emphasized that this is both a milestone for the development of Singapore’s CNG infrastructure and for air quality improvement. “CNG cars meet Euro IV standards. Versus petrol cars, they will contribute to a 25% reduction of CO2, but more importantly versus diesel cars they will contribute to an elimination of particulate matter emissions.” Mr. Melchers also noted that CNG continues to be much cheaper than petrol.
Source: World's Largest CNG Station Plus 2,000 CNG Taxis for Singapore, NGV Global  

Study: Higher Ethanol Blends Required to Meet Government Fuel Goals
A new report on biofuels is urging that better infrastructure and more aggressive policies are necessary if the nation is to meet its mandates for ethanol and other alternative fuels. The U.S. Renewable Fuels Standard calls for Americans to use 36 billion gallons of biofuel in 2022, up from the current 9 billion today. The report, by the National Commission on Energy Policy, argues that the nation needs to increase the amount of ethanol blended into gasoline, as well as make it easier for biofuels plants to get government permits and make it easier to transport ethanol. The report cited a need for more flex-fuel vehicles that can fill up with 85% ethanol, as well as more gasoline stations offering the fuel. Currently only 1% of gas stations around the country offer flex fuel, according to the National Ethanol Vehicle Coalition. Moving ethanol long distances is also a challenge. Currently most ethanol travels by rail, truck or barge, and there is only one small ethanol pipeline in the country. Improvements such as better off-loading facilities at blending terminals along train lines could help the industry.
Source: Government Fuel Goals Will Require Higher Ethanol Blends, Study Concludes, New York Times

Michigan Awards $543.5M in Tax Credits to Four Li-ion Battery Makers
To further advanced battery research and development in its state, the Michigan Economic Growth Authority Board has awarded $543.5 million in tax credits to four battery companies announcing plans to invest more than $1.7 billion in Li-ion manufacturing facilities in Michigan. The four companies receiving the tax credits and announcing plant plans are Johnson Controls-Saft Advanced Power Solutions LLC; KD Advanced Battery Group LLC; A123Systems Inc.; and LG Chem-Compact Power Inc. The state refundable tax credits will help the companies in their quest for some of the $2 billion in federal grants for advanced battery research and development. “Michigan is positioned to lessen the nation's dependence on foreign oil and become the advanced battery capital of the world,” said Michigan Governor Jennifer M. Granholm.
Source: Michigan Awards $543.5M in Tax Credits to Four Battery Makers, Who Announce Plans for $1.7B Investment in Li-ion Battery Plants in Michigan, Green Car Congress

Alabama City to Power Vehicles with Biofuel from Wood Waste
The City of Hoover in Alabama will implement what the federal government has described as the nation's first program to recycle municipal wood wastes into automotive biofuel. The city, a suburb of Birmingham, will use the wood-based ethanol to power some of its flex-fuel police cars. The city just received its first shipment of the E-85 fuel from Gulf Coast Energy’s demonstration plant in western Alabama. The plant is the first facility in the country to take a city’s wood waste (such as tree limbs pulled from curbside heaps) and implement “gasification of wood waste” technology. Hoover began using alternative fuel vehicles in 2004. As of January 2009, 88% of the city’s vehicle fleet was running on alternative fuels, with 196 cars operating on ethanol. The city estimates that, as of April 2009, its fleet has driven close to 10 million miles on ethanol.
Source: Hoover Will Power Cars with Wood Waste, Birmingham Business Journal

Bangladesh Saves Over $800 Million Per Year Through Natural Gas Vehicle Use
PetroBangla, Bangladesh’s government-owned oil and gas company, has reported that the nation’s transport sector has offset more than US$800 million in annual oil importation fees due to the use of compressed natural gas (CNG) as a vehicle fuel. There are 250 CNG refueling stations in the country and about 138,000 vehicles have been converted to run on CNG. 14 more stations are under construction and the government has undertaken a project to install another 26 CNG stations under the Dhaka Clean Fuel Project funded by the Asian Development Bank. PetroBangla reported that vehicles fueled by CNG saved the equivalent of 69.77 million liters of gasoline per month, the import cost of which is equivalent to US$67.77 million per month or US$813.29 million per year.
Source: Bangladesh saves $ 800 million thanks to NGV, GNV Magazine

San Francisco's Hybrid Taxis Prove Their Worth
San Francisco's first 15 hybrid taxis, introduced in 2005, have made it to the 300,000-mile mark, nearing the city's official taxi retirement age—demonstrating that hybrid technology is more durable than previously imagined. The vehicles, all Ford Escapes, have saved drivers up to $9,000 a year. The retiring hybrid cabs have also shown that, even on San Francisco's notorious hills, the regenerative brake system's brake pads last far longer than non-hybrid brakes. When the Ford Escape was unveiled five years ago, customers feared that the batteries wouldn't last and would be expensive to replace, said Gil Portalatin, hybrid systems application manager at Ford Motor Co. San Francisco's experience, he said, showed that “these things are tougher than nails. We warranty the batteries for 150,000 miles and here you have cabs going out of service at 300,000—because that's the law, not because the cab's used up.” Today, 14% of San Francisco's 1,438 taxis are hybrids.
Source: San Francisco's hybrid taxis prove their worth, Los Angeles Times

Hyundai, GM Bet on Alternative Vehicle Technologies
Hyundai Motor Group and General Motors Corp. are placing their bets on eco-friendly cars despite a sharp industry downturn. Hyundai will go ahead with plans to develop eco-friendly cars, and GM has requested $2.6 billion in additional government loans to support the development of three new hybrid vehicles. Hyundai plans to start mass production of hybrid cars next year and to begin mass production of plug-in hybrids in late 2012. The group will launch its first small hybrid car, the Hyundai Elantra LPI Hybrid, in July this year. Other targets include the production of 30,000 hybrid vehicles by 2010 and commercialization of fuel cell electric vehicles (FCEV) by 2012. GM has requested its third government loan through a U.S. Energy Dept. program designed to support the development of fuel-efficient vehicles. The loan will help the company develop two spin-offs from its all-electric Chevrolet Volt. This is the first time GM has confirmed that it intends to move ahead with production of variants of the Volt. The Volt is scheduled to go into production in late 2010.
Source: Hyundai, GM, Mazda Bet on Eco Cars, Environmental Leader

Canada Prefers Harmonized North American Standard for Vehicle Emissions
The Government of Canada will introduce new regulations to limit greenhouse gas (GHG) emissions from the automotive sector. These regulatory standards will be equivalent to applicable U.S. national fuel economy standards, allowing the Canadian government the flexibility to harmonize its regulations with future U.S. government actions to address greenhouse gas emissions from vehicles, said Canada’s Environment Minister Jim Prentice. Canada plans to work closely with the U.S. towards the continued implementation of common national standards for cars and light-duty trucks to reduce greenhouse gases. Minister Prentice pointed out that allowing for different standards in each state and province makes automakers less competitive and affects the cost and choices available to car buyers. “We would certainly encourage, as the government of Canada, to see everyone ascribe to the federal standards—harmonized North American standards that will improve our competitiveness and also protect the environment,” he said. Transportation accounts for approximately one quarter of Canada’s total GHG emissions, with passenger cars and light-duty trucks contributing 12%.
Source: Government of Canada to Regulate Greenhouse Gas Emissions from Vehicles; Prefers Harmonized North American Standard, Green Car Congress

VW CNG Vehicle Passes the Test: 800 CNG Stations in 80 Days
Motoring globetrotter Rainer Zietlow has successfully completed a nationwide tour of Germany's 815 compressed natural gas (CNG) service stations. Zietlow completed the tour in 80 days, driving a VW natural gas vehicle—the Passat 1.4 TSI EcoFuel with a direct injection bi-fuel turbo engine. The Passat TSI EcoFuel easily passed the endurance test; “We had no problems with our car, even with extreme temperatures of minus 18 degrees Celsius … it is impressive in terms of how it handles and it is definitively suitable for the highway. CNG cars are no longer slow with low power—with the new Passat it’s easy to combine fun with an ecological driving experience,” said Zietlow. Zietlow was also impressed with the German CNG infrastructure. Germany leads the worldwide density tables in CNG refueling stations and its strong refueling infrastructure is supported by the low price of the fuel, currently costing on average 1/3 less than gasoline. This was Zietlow's third natural gas vehicle odyssey, having previously completed a round-the-world tour as well as a tour from Germany to Bangkok—both using a natural gas-powered VW Caddy.
Source: Zietlow Closes 80 Day Tour in CNG Passat, NGV Global

Ford Readies All-Electric and Plug-in Hybrid Vehicles for Market
Ford Motors says it is on track to bring both all-electric cars and plug-in hybrid vehicles using a new generation of lithium ion batteries to market, starting next year. At the upcoming New York International Auto Show, Ford executives will detail the company’s fuel-efficient car strategy and demonstrate an all-electric Focus and hybrid Fusion sedan. Ford already offers hybrid vehicles charged by regenerative braking. Next year, it will release an all-electric commercial Transit Connect van, which is expected to have a range of 100 miles and top speed of 70 miles per hour. Ford is also working to release an all-electric compact sedan in 2011—the Focus-sized vehicle will be able to go 100 miles on a charge and get about 70% better mileage than non-hybrid models. Then in 2012, Ford expects to release a plug-in version of one of its current hybrid vehicles. Ford expects to price the electric and plug-in hybrid cars with a slight premium, comparable to what consumers pay for hybrids today.
Source: Ford readies mix of all-electric and plug-in hybrids, CNet News

Draft of U.S. Energy and Climate Legislation Includes Transportation Provisions
The U.S. Energy and Commerce Committee, together with the Energy and Environment Subcommittee, has released a draft of far-reaching energy and climate legislation intended to create jobs, help end U.S. dependence on foreign oil, and combat global warming. Among the direct transportation-related provisions in the American Clean Energy and Security Act are a low-carbon fuel standard for all transportation fuels; financial support for large-scale demonstrations of electric vehicles; and financial support for automakers retooling plants to make electric vehicles. The bill also directs the President to work with the relevant Federal agencies and California to harmonize the federal fuel economy standards, any emission standards promulgated by EPA, and the California standards for light-duty vehicles. Any Federal vehicle standards are to achieve at least the results of the California standards. The bill also modifies the Clean Air Act to require the development of greenhouse gas emissions standards for all other mobile sources, such as trucks, construction machines, ships and planes.
Source: House Chairmen Waxman, Markey Release Draft of Energy and Climate Legislation; Among the Many Provisions Are Cap-and-Trade, Harmonization of CAFE and California Vehicle Regulations, and Low Carbon Fuel Standard, Green Car Congress

Honda Insight Sells 569 Units in First Week of U.S. Sales
The Honda 2010 Insight hybrid vehicle achieved sales of 569 units in its first week of sales in the U.S. The vehicle made its U.S. sales debut in limited quantities on March 24th and by the end of the month had posted sales of 569. The Insight carries an EPA rating of 40/43/41 city/highway/combined miles per gallon and sells for $19,800 in the U.S. In Japan, sales of the Insight, which began in February, have been brisk. Last week, Honda said that it had received orders for 21,000 Insights in Japan. To keep up with the strong demand, the company’s Suzuka factory has been producing 600 Insights a day. Honda is now dedicating 40% of the factory’s capacity to making the hybrid vehicles.
Source: Honda Insight Sells 569 Units in First Week of US Sales, Green Car Congress

British City Demonstrates Biomethane Fuel Use
The British city of Sheffield is using a VW Caddy EcoFuel van to demonstrate the benefits of biomethane as an alternative fuel for vehicles. Sheffield City Council is working in conjunction with Chesterfield BioGas, a company that sells equipment that turns organic waste and raw biogas from sewage plants into biomethane. Chesterfield BioGas says the U.K. market for biomethane has remained largely untapped, but the company believes that will change now that Volkswagen and Mercedes are producing natural gas-fueled vehicles for the U.K. market and an Energy Bill is paving the way for financial incentives for biomethane. The EcoFuel natural gas van has a range of 350 miles on a full tank of biomethane and can switch to a supplemental gasoline tank if necessary. Chesterfield BioGas points out that biomethane—which has been used to fuel most of Stockholm's buses for years—has virtually no carbon footprint, relying entirely on waste products to generate the raw biogas, and compares favorably with the use of electricity to power vehicles, which may be environmentally friendly in themselves, but whose 'green' credentials depend on how the electricity was originally generated.
Source: 'Green' initiative is put in the van, The Star

Survey: High U.S. Interest in Biofuels, Mixed Opinions About Corn-based Ethanol
A new survey coordinated by the University of Wisconsin-Madison shows most Americans are positive about biofuels, but have mixed opinions about corn-based ethanol. The Cooperative Campaign Analysis Project brought together more than 60 researchers from 25 academic institutions to survey 18,250 Americans. The national survey showed that 67% of respondents were interested in learning more about renewable biofuels. A majority of respondents perceive some clear benefits of biofuels—66% agree that biofuels can help the United States reduce reliance on foreign oil and 53% believe biofuels can have a positive impact on climate change trends. Respondents had mixed opinions about the advantages and disadvantages of corn-based ethanol—44% believe that the production of corn-based ethanol will create pressure on the food supply and 43% indicate that ethanol will create pressure on local water supplies. Only 28% of respondents agreed that biofuels are a permanent solution to the energy problems in our country. “Public perceptions about the positives of biofuels outweigh the negatives, but the corn-based ethanol industry needs to continue to make their case for why ethanol should be a part of the solution to address the long-term energy needs of the United States,” says Bret Shaw, co-investigator of the study and Assistant Professor of Life Sciences Communication at UW-Madison.
UW-Madison: Survey shows high interest in biofuels, WisBusiness