Growth Energy Announces Partnership at Washington Auto Show

Growth Energy and Ricardo, a leading provider of technology, product innovation, engineering solutions and strategic consulting to the world's automotive, transport and energy industries, issued an announcement at the Washington Auto Show stating that they are going to collaborate on a project which will bring together for the first time the shared skills and expertise of a global leader in automotive and clean energy technology with America's foremost body representing US ethanol for the very first time.

Together these two partners aim to demonstrate that a highly optimized engine fueled on ethanol can provide a cost-effective, low-carbon, high-fuel economy alternative to fossil fuel.

Two demonstrator vehicles are being produced incorporating Ricardo's EBDI (Ethanol Boost Direct Injection) engine technology, showing that even for larger vehicles, extreme optimization of ethanol combustion can enable engine downsizing of the order of 50 percent and still deliver substantial fuel economy and CO2 emission improvements from a cost-effective, high performance, inherently low emission powertrain. Based on test work already performed, Ricardo estimates that a fuel economy improvement of up to 30 percent is possible with no loss of power or performance, using a downsized EBDI engine in place of currently available gasoline powertrain technology.

The project will use Ricardo's EBDI flex fuel engine, developed from a production V6 gasoline engine, to repower two GMC Sierra 3500 HD pickup trucks, each with a curb weight of 6000lbs. Ricardo and Growth Energy have the objective of demonstrating through the following project:

• the market-readiness Ricardo's EBDI technology, which optimizes flex-fuel vehicles to burn ethanol with consumer value, horsepower and fuel economy that is comparable to gasoline, and;
• domestic ethanol's potential, as a high-octane, low-carbon and renewable fuel, to lessen American dependence on gasoline refined from carbon-heavy oil imported from overseas at growing risk to US economic and national security.

Following completion of the ten month project, the demonstration vehicles will be available for a range of demonstration, test and evaluation exercises to be organized by Growth Energy and Ricardo.

Speaking at the launch of this landmark initiative Ricardo Inc President Kent Niederhofer said, "Ricardo is actively engaged worldwide in developing a wide range of high fuel economy, low carbon technologies aimed at creating practical solutions for a more sustainable transport system for the future. While we firmly believe that many of these technologies will be particularly appropriate to individual market sectors, EBDI engine technology offers a uniquely American solution for a wide range of vehicle applications, combining extreme optimized flex-fuel engine technology offering high fuel economy, low emissions and uncompromised performance using a source of renewable fuel produced here in the United States."

Jeff Broin, Chairman of the Growth Energy Board of Directors, stated, "Ethanol is a high-octane, clean-burning fuel, produced right here in the United States. It has the potential to create U.S. jobs while reducing our dependence on foreign oil and it is cleaner than oil. We have known for years that engine technology would catch up with fuel technology" and this project today is proof of that. Demand for ethanol as a transportation fuel is only going to grow in the days to come, because of its low-carbon, renewable qualities. Ethanol is literally the fuel of the future, and now we will have engines in our cars, trucks and tractors that can are designed to make the best use of that fuel.

EBDI: optimized power from renewable fuel

Ricardo's EBDI engine technology solves many of the shortcomings of current generation flex-fuel engines, which are typically only optimized for gasoline operation and do not make full use of the properties of ethanol. Unlike existing flex-fuel technologies EBDI takes full advantage of ethanol's properties of high octane and latent heat of vaporization to deliver near-diesel levels of engine efficiency at substantially reduced cost. For example, a flex-fuel product derived from a standard gasoline engine might suffer a fuel economy penalty of about 30 percent when operating on higher ethanol blends such as E85.

The Ricardo EBDI engine addresses this problem by being able to adapt its operation to offer fully optimized flex-fuel performance on any blend of fuel from standard pump gasoline to E85 fuel. It achieves this through the sophisticated application of the latest in boosting technologies, fueling strategy and combustion control, matching the effective compression ratio and in-cylinder conditions to precisely those required for optimal performance and fuel efficiency. In doing so it offers exceptional fuel economy and high specific performance without the need for complex aftertreatment technology to meet current or planned emissions regulations.

The results of test bed evaluation of the EBDI engine already carried out by Ricardo have demonstrated the potential of this technology to deliver significant fuel-efficiency improvements with uncompromised performance, in particular while operating on high ethanol blends. "People are likely to be amazed with the performance and fuel economy that can be delivered from a comparatively small displacement engine running on a renewable fuel such as ethanol," said Rod Beazley, director of the Ricardo Inc Spark Ignited Engines Product Group.

"In the project we are announcing today with Growth Energy, we will be substituting a 3.2-liter V6 engine in a 1 ton pickup truck vehicle usually powered by a 6.0l V8 gasoline or a 6.6l diesel engine. The reason we are doing this is that while the engine test results speak for themselves, there is no substitute for experiencing in a vehicle the benefits of uncompromised performance and extremely high fuel economy that can be achieved using a renewable fuel like ethanol in an optimal manner. Moreover by using a truly flex-optimized engine such as EBDI, the best possible performance and fuel efficiency can be delivered from whichever gasoline-ethanol mix is selected by the driver when next stopping for fuel."

As Growth Energy showcased the project to demonstrate an ethanol-optimized engine to policy makers, the press and the public, also displayed was a Dresser Wayne blender pump offering E20, E30, and E85. This Ovation Series pump offers the consumer more choices as it allows them to select the desired blend of gasoline and ethanol.

FFV Powered by Waste at Washington Auto Show

Source: DomesticFuel.com, Jan. 22, 2010

The Washington Auto Show, operating as the “Public Policy Show”, plans to showcase many new and exciting automobiles. For the first time, flexible fuel vehicles (FFVs) powered by government waste will be displayed by Novozymes, the world's largest enzyme producer for advanced biofuels.

The group offered an opportunity of a Ride n' Drive on January 26 — a test drive of a Chevrolet HHR powered by E85 made from paper waste. The Ride ‘n Drive will allowed media, government officials and other VIP guests a chance to drive the vehicle and feel its performance.

1,800 Mile Ethanol Pipeline Plan Unveiled

Source: DomesticFuel.com, Jan. 22, 2010

Plans were disclosed for an 1,800-mile long pipeline, running across Indiana and north of Indianapolis, to carry ethanol made in the Midwest to new markets for the fuel in the eastern United States.

If financing can be secured, the $4 billion project proposed by POET Ethanol Products, based in South Dakota, and Magellan Midstream Partners in Texas would carry about 3.6 billion gallons a year of the fuel made from corn and cellulose products.

The ambitious project -- the first long-distance pipeline to carry ethanol in the country -- is projected to create 80,000 jobs in the construction, and then 1,100 permanent jobs to operate it.

It would be at least four years before the 20-inch diameter line, collecting ethanol from farms and regional ethanol plants from South Dakota to New Jersey, would be ready to operate.

USDA, Navy to Work on Advanced Biofuels

Source: DomesticFuel.com, Jan. 22nd, 2010

The USDA and the Department of the Navy (DoN) have agreed to work together to develop advanced biofuels and other renewable energy systems.

This USDA press release says the agreement is part of the government's plan to build a clean energy economy, create new jobs and reduce American dependence on foreign oil, while building a strike force that will run on green power in the near future:

Secretary of the Navy, Ray Mabus emphasized how partnering with USDA supports his vision for energy reform. Mabus' overarching goal is to increase warfighting capability. “In order to secure the strategic energy future of the United States, create a more nimble and effective fighting force, and protect our planet from destabilizing climate changes, I have committed the Navy and Marine Corps to meet aggressive energy targets that go far beyond previous measures.”

From a strategic perspective the objective is to reduce reliance on fossil fuels from volatile areas of the world. Tactically, on the battlefield, the costs of transporting fuel is exponentially increased; in extreme cases a gallon of gasoline could cost up to $400. Mabus continued “Even more serious and sobering, we are putting our Sailors and Marines in harms way as fuel convoys often meet a lethal enemy.”

North Carolina Calls for Ethanol Infrastructure Projects for Funding

Source: NC Solar Center, Jan. 11, 2010

The North Carolina Solar Center at NC State University has announced a call for projects for $700,000 to award to governments, business, and/or non-profit fleet and fuel providers for transportation related emission reduction projects. The Clean Fuel Advanced Technology (CFAT) Project is a one million dollar initiative of the NC Solar Center (NCSC) funded in part by federal dollars from the NC Department of Transportation (DOT). In addition to providing assistance for emission reduction projects such as purchasing alternative fuel vehicles, installing refueling infrastructure for cleaner burning alternative fuels, retrofits on older diesel vehicles and idle reduction technology, the CFAT project focuses on education and outreach to the twenty-four NC counties that do not meet national ambient air quality standards. Project proposals must be submitted to the NC Solar Center by March 15, 2010.

This is the second round of DOT funding available through the CFAT project. From 2006-2009 over $1.4 million was distributed for 31 projects to a variety of entities including a national park, local governments, school systems, service station owners and a company providing electrified parking spaces at a truck stop to reduce idling in long haul trucks. The CFAT project operates in 24 counties that do not national air quality standards. More than 30% of North Carolinians live in counties that have unhealthy air and transportation related emissions are a primary contributor to the state's air quality problem. “We are pleased to have the opportunity to use federal Congestion Mitigation Air Quality funds for a program that offers such a wide variety of transportation technology solutions to our air quality problems,” stated Secretary of Transportation Gene Conti. Project managers anticipate a wide range of applications including funding requests for neighborhood electric vehicles, hybrid electric vehicles, alternative fuel refueling infrastructure, such as natural gas, propane and electricity, retrofits for school buses and other heavy duty diesel vehicles.

Ethanol Vital to Nebraska's Economy

Source: Governors Biofuels Coalition, Jan. 20, 2010

With last week's announcement of a record-breaking corn harvest, the role of ethanol as a backstop against plummeting corn prices and a cornerstone of Nebraska's agricultural economy became more evident.
 
“Ethanol provides guaranteed demand for corn producers,” said Todd Sneller, Nebraska Ethanol Board administrator. “Ethanol is an ideal industry for Nebraska because of rural job growth and support of agriculture, the largest sector of Nebraska's economy.”
 
A recent industry survey by Ethanol Producer Magazine found that 83 percent of ethanol plant employees make over $40,000 per year, and 99 percent have health insurance.  Many of the 23 Nebraska ethanol plants are located in smaller communities where quality jobs are essential to economic stability.
 
The resiliency of the ethanol sector was again illustrated when Zeeland Farm Services bought the idle ethanol plant in Cambridge.  ZFS plans to resume production there during the first quarter of 2010, employing 30 full time workers.  Aventine Renewable Energy announced it will resume construction at its Aurora West site, slated to begin production in 2011.  The combined production of the two plants is expected to exceed 150 million gallons of ethanol annually.  Corn purchases at the two plants will increase demand by nearly 60 million bushels per year.
 
Nebraska ethanol plants already create an annual demand for over half a billion bushels of corn, and have directly created over 1,000 jobs in Nebraska. A 2009 study by the Nebraska Public Power District found that the indirect impact of the ethanol industry has created over 3,000 jobs and $3 billion in economic activity in Nebraska.  Ethanol production at the Cambridge and Aurora locations will add to the impact of ethanol production in Nebraska.  A federal standard for renewable fuel use will further increase demand for ethanol during the next several years.
 
“The Nebraska Legislature knew in 1971 that a strong ethanol industry would create good jobs, provide a market for corn growers and low-cost feed for livestock producers, and provide a cleaner, cheaper alternative fuel for drivers,” Sneller said.

Blendstar to Launch Biofuel Transload Terminal in Louisiana

Source: Blendstar Press Release, Jan. 27, 2010

Blendstar, LLC proudly announces the launch of a biofuel transload terminal to distribute ethanol and biodiesel in Bossier City, Louisiana, a suburb of Shreveport. The facility is expected to open in late January with capacity to serve the local market as well as future growth related to increased demand as a result of higher blends of biofuels in the U.S. fuel supply. Fuel distributors in Northern Louisiana, Southern Arkansas and Eastern Texas will be able to obtain high-quality ethanol and biodiesel at the terminal, located on 4800 Viking Drive, Bossier City, LA.

The Bossier City facility will be a common stock terminal with direct rail access via the Kansas City Southern Railroad and will offer rail to truck offload services, as well as customized services dependent on customer needs.

"We are committed to providing the most cost-effective access to biofuels to our customers so they in turn meet the demands of their customers,” said Matt Griswold, president of Blendstar, LLC. “With Bossier City and other strategic terminal locations across the Southern U.S., Blendstar is able to extend our ethanol and biodiesel offerings to improve blending efficiencies in numerous markets.”

With the addition of the Bossier City terminal, Blendstar will soon operate nine biofuel terminals in seven states.

The Bossier City terminal will be open 24 hours, 7 days a week.

New Dispenser From Gilbarco Veeder-Root Provides Maximum Flexibility for Marketers

This coming March, Gilbarco Veeder-Root will unveil a multi-hose dispenser offering four fuel products from the same fueling position: Regular Unleaded, Premium Unleaded, Mid level blend and E85. Each fueling product will have its own separate hose, allowing a maximum flexibility for the consumer or marketer.

"With the proposed federal mandates pushing the ethanol blend wall from E10 to a mid level amount of up to E15, fuel marketers will be faced with a decision," said Chad Johnson, product manager at Gilbarco Veeder-Root. "The EPA's testing has shown vehicles produced prior to 2002 will not be compatible with higher levels of ethanol. Fuel marketers will need to continue to offer E10 and mid-level grades to satisfy both customer demand and regulatory mandates."

Gilbarco offers a wide variety of dispensers with hydraulics up fitted to handle the effects of higher ethanol blends. The company has had a blender dispenser on the market for over 3 years allowing fuel marketers the ability to offer standard fuel and higher ethanol blends from the same dispenser.

Johnson added, “We offer over 40 different models in our Encore S dispenser line and there a number of configuration type to meet customer needs.  The Encore S dispenser allows maximum flexibility for the retail fuel marketer.  We also offer a full line of commercial dispensers sold under our Gasboy brand.  There are over 50 different models of this dispenser type as well to satisfy the fleet fueling marketplace.”

For more information on Gilbarco Veeder-Root, click here.

New and Renewed Growth Energy Market Development Members

We would like to thank these organizations for their continued support of Growth Energy:

Reid Petroleum
American Agricultural Assets LLC
Fuel Services Inc
East Gate Express
Arizona Petroleum

Member Spotlight: Shipley Stores

The Shipley Group, located in York, Pennsylvania, was established in 1929 and is a fourth generation family owned company who operates Tom's convenience store chains. Shipley company represents 670 employees and 10 distinct product lines. They also provide Home heating oil (bio-heat), propane, natural gas, electricity and on and off the road motor fuels. The Convenience Stores group has recently renewed its membership with Growth Energy Market Development.

Shipley Group joined Growth Energy Market Development to learn more about the ethanol industry and to stay ahead of changes within the market.

Robert Astor, the Wholesale Fuels Business Manager for Shipley Fuels Marketing, states, “One of the challenges of the industry today is the cost of starting a new facility from ground up - it requires massive infusions of capital. Investors look to profit from these investments sooner rather than later so the “Green” industry struggles to be competitive with the incumbent.”

Shipley Stores promotes and believes that “Green” sustainable energy is the future of energy for America. Internet promotion and direct mailing of owners of flexible fuel vehicles is essential in order to improve consumer education about E85.

Currently there are seven locations offering E85 and other blends for Tom's Convenience Stores:

New E85 and Blender Pump Stations

As of this publication, there are 2,113 E85 stations. Below is a listing of those opened since our last publication.

If you know of an E85 station we do not have listed at www.e85refueling.com, please contact us at marketdevelopment@growthenergy.org.

IMPORTANT NOTE: Growth Energy and our partners have established a financial assistance fund that may be accessed by retail sites to assist with offsetting a portion of the cost of installation of new flexible fuel pumps. Rather than just talk about them, we're going to assist with paying for them! Our primary objective is to assist with the installation of systems that will dispense E10, E20, E30 and E85. To discuss the availability of the program and your interest in participation, please contact Phil Lampert at Plampert@growthenergy.org or 573-635-8445 ext. 11.