Biomass Magazine - April 2009

Page 18

industry

NEWS A group of academia in the U.K. has created a £27 million ($38 million) Sustainable Bioenergy Centre through the Biotechnology and Biological Sciences Research Council. The collaborative effort includes six research hubs at the University of Cambridge, The University of Dundee, The University of York, Rothamsted Research and two centers at the University of Nottingham. Another seven universities and institutes, and 15 industrial partners, are contributing, as well. Research activities will encompass multiple projects toward developing sustainable bioenergy production. Crop work will focus on improving yield and the quality of nonfood dedicated energy crops. Other project partners will target barley straw, working on altering the lignin for more efficient processing. One group will examine the marine wood borer as a source of robust enzymes, while others will work on optimizing pretreatment and fermentation strategies for lignocellulosic ethanol production. Some will work toward improving the bacterial

PHOTO: BIOTECHNOLOGY AND BIOLOGICAL SCIENCES RESEARCH COUNCIL

Collaborative effort launches Sustainable Bioenergy Centre

Miscanthus and other dedicated energy crops have been studied at Rothamsted Research in the U.K.

conversion of biomass to biobutanol, while others will examine the social and economic sustainability of the various bioenergy approaches. “The U.K. has a world-leading research base in plant and microbial science,” said BBSRC Chief Executive Officer Douglas Kell. “The BBSRC Sustainable Bioenergy Centre draws together some of the world’s top scientists in order to help develop technology and understanding to support the

sustainable bioenergy sector. The center is taking a holistic systems-level approach, examining all the relevant areas of science needed for sustainable bioenergy, and studying the economic and social impact of the bioenergy process. By working closely with industrial partners, the center’s scientists will be able to quickly translate their progress into practical solutions to all our benefit and ultimately, by supporting the sustainable bioenergy sector, help to create thousands of new ‘green collar’ jobs in the U.K.” Industry partner Graham Mackay, chief executive of SABMiller PLC, called the effort an important contribution to fighting global warming. “The benefits of biofuels have been somewhat obscured by the negative effects of purpose-grown crops,” he said. “However, at SABMiller, we believe that the development of sustainable biofuel could prove to be one of the most important contributors to solving the energy and climate challenges.” -Susanne Retka Schill

Legislative initiatives benefit biomass industry President Barack Obama signed the $787 billion American Recovery and Reinvestment Act into law Feb. 17. Approximately $43 billion of that will be used to support energy projects that will save and create jobs, while laying the groundwork for long-term economic growth. Many of the energy components contained within the stimulus package are expected to benefit the biomass industry. Perhaps most importantly, the legislation extends the production tax credit (PTC) for qualified biomass and municipal solid waste facilities through 2013. The bill permits taxpayers to claim an investment tax credit (ITC) in place of the PTC for certain projects that come on line between 2009 and 2013. It also eliminates the reduction of the ITC for property financed by subsidized energy financing or tax-exempt private activity bonds. In addition, taxpayers are permitted to receive a grant from the U.S. Department of the Treasury in place of claiming 18 BIOMASS MAGAZINE 4|2009

tax credits for certain properties placed in service between 2009 and 2010. The package also provides funding for certain hazardous fuels reduction projects on federal lands, and allows the U.S. Forest Service to award up to $50 million in competitive grants as incentives to increase the use of biomass from federal and nonfederal forested lands. In addition, the legislation provides $6 billion for the Innovation Technology Loan Guarantee program, which was authorized by the Energy Policy Act of 2005. This program will provide loan guarantees for renewable technologies and transmission technologies. The $6 billion is ultimately expected to support more than $60 billion in loans for these types of projects. Members of Congress are also considering legislation that would create a federal renewable portfolio standard (RPS). The majority staff of the U.S. Senate Committee on Energy and Natural Resources re-

cently released an outline for a proposed federal RPS that would ultimately require 20 percent of energy sold to retail customers by 2020 to be sourced from renewable resources. A similar proposal was recently introduced in the U.S. House of Representatives. House Resolution 890 would require 25 percent of energy to be sourced from renewable resources by 2025. In addition, a bipartisan group of senators has introduced legislation that aims to promote the development of biogas through tax incentives. The Biogas Production Incentive Act of 2009 would encourage greater production by providing manufacturers with a tax credit of $4.27 for every 1 million British thermal units of biogas produced. The legislation, S. 306, was introduced Jan. 22 and referred to the Committee on Finance. -Erin Voegele


Issuu converts static files into: digital portfolios, online yearbooks, online catalogs, digital photo albums and more. Sign up and create your flipbook.