ABO Blog

Today the the U.S. EPA released a proposed rule containing 2014, 2015 and 2016 renewable volume requirements (RVOs) under the renewable fuel standard (RFS).

The ambitious but achievable advanced biofuel volumes outlined in today’s proposal are an important step toward restoring the investment climate for advanced biofuels, and to providing market confidence for algae-based and other advanced biofuels in the years to come. EPA’s November 2013 RFS proposal to dramatically lower advanced biofuel volumes was a mistake that, combined with ongoing delays in approving new fuel pathways, crippled investment in advanced biofuels over the past 18 months. The advanced biofuel volumes proposed today are a signal to advanced biofuel investors that they can begin again to invest boldly in these vital technologies.

To achieve the full energy security, economic development and greenhouse gas potential of advanced biofuels, however, EPA must leave no doubt in its final rule for 2015 and 2016 and in future year rules that advanced biofuel developers will have a market for their fuel by setting volumes that take the advanced biofuels industry beyond today’s market constraints – including the so-called “blend wall” – and into a new era of fuel choice for all Americans.

By converting industrial sources of CO2 to advanced biofuels, algae and similar carbon-eating micro-organisms offer an unprecedented opportunity to transform CO2 emissions from environmental challenge to economic opportunity. It’s time that federal policy fully embraced this opportunity. Today’s proposal offers an important step in this direction.

Late last week the Senate Appropriations Committee marked up the FY-16 Energy & Water Appropriations bill, the legislation that funds most of the federal government’s energy and water efforts.

In a big win for algae, in addition to matching the House-proposed $30 million for targeted algae biofuels research at the Department of Energy’s Bioenergy Technologies Office, the Senate bill includes $45 million for the joint Navy-USDA collaboration on algae-based and other advanced biofuels, and a major increase in funding – from $2 million in FY 2015 to $10 million in FY 2016 – for algae and other carbon utilization research under DOE’s Fossil Energy program.

Carbon utilization has been a major ABO priority because the technology can unlock the CO2 that the industry needs to create a new source of sustainable products and contribute to reducing our greenhouse gas emissions. From the bill’s text:

“The Committee recognizes that finding new commercial uses for captured carbon could significantly offset the costs of capturing and sequestering carbon from our Nation’s coal-fired power plants. The Committee encourages the Secretary to use its existing authorities to fund activities that promote the reuse of captured carbon from coal and other sources in the production of fuels and other products. The Committee also urges the Secretary to support other carbon dioxide utilization technologies in addition to Enhanced Oil Recovery [EOR], including using carbon dioxide to produce algae. The Committee encourages the Office of Fossil Energy to collaborate with the Bioenergy Technologies program within the Office of Energy Efficiency and Renewable Energy to support projects that utilize carbon dioxide in the production of algae”

This is a striking achievement that could not have happened without the hard work and invaluable personal outreach by ABO members, as well as the key Senate offices that championed the cause of new and innovative algae technologies.

It is important to note that algae-based biofuels are not the only winners here. The Committee included language recommending that research also focus on the many other products that can be produced from algae, especially since the knowledge and infrastructure to produce them will help the industry achieve the efficiencies and scale required to ultimately produce large volumes of biofuels.

From the bill:

“The Committee recognizes research and development focused on higher value co-products is an effective strategy for lowering the cost of converting biomass to advanced biofuels.”

This is a great accomplishment for the algae community, but much work remains if we are to secure this progress in the final funding package put forth by Congress. We will be calling on you in the coming days to play your part!

Bloomberg reporter Ramy Inocencio traveled all the way to Hobbs, New Mexico to learn more about algae company, and new ABO member, Joule Unlimited. Joule produces carbon-neutral ethanol from the sun, waste CO₂ and non-potable water.

Mr. Inocencio reports that Joule bacteria can produce 25,000 gallons of fuel on one acre, while corn can only produce 400 gallons.

Watch Ramy Inocencio’s visit to the Joule facility:

Two leaders in algae and carbon utilization were recognized this month by the Biotechnology Industrial Organization (BIO).

Dr. Jennifer Holmgren, CEO of LanzaTech, was awarded the 2015 BIO Rosalind Franklin Award for Leadership in Industrial Biotechnology.

LanzaTech is developing the world’s first alternative jet fuel from industrial waste gases, and has a partnership with the IOC-DBT Center for Advanced Bio-Energy Research (an entity co-funded by India’s Department of Biotechnology and Indian Oil Corporation Limited) to pair algae cultivation with their technology for the production of omega-3 rich fatty acids and other products.

And later in the month the recognition for pioneers (bioneers?) in biotech and algae fields continued with the announcement that Solazyme’s CEO and co-founder Jonathan S. Wolfson had been awarded BIO’s  2015 George Washington Carver Award for innovation in industrial biotechnology.

Solazyme’s sustainable algal oils can replace petroleum-based and other unsustainable oils widely used in many industries. This includes not only fuels, but products like algal flours that can replace grain-based flours, as well as algae-derived replacements for butter and eggs.

Both of these leaders deserve congratulations for these awards and the incredible accomplishments that made them possible!