biomass magazine - december 2009

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December 2009 Biomass Magazine

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  • INSIDE: BIOMASS DEVELOPERS LINE UP FOR BCAP FUNDING

    December 2009

    www.BiomassMagazine.com

    Woody Biomass Demand

    Intensifi es Growing List of Biomass Projects

    Increases the Value of Wood Chips, Saw Dust and Shavings

  • U.S. Pat. 496,052

    www.go4b.com/biomass

    www.go4b.com/biomass

    www.go4b.com/biomass

    U.S. Pat. 6,731,219

    www.go4b.com/biomass

    TouchSwitchA Safer and More Efcient Belt Alignment Monitoring Device!s3ENSORISTRIGGEREDBYTHE FORCEOFBELTCONTACTs2EQUIRESNOHEATBUILDUP SOITSSAFERANDMOREEFlCIENTs(ARDENEDSTAINLESSSTEELFACEFORLESSWEARs%XTERNALTESTKNOBAND,%$FORSENSORTESTAND SYSTEMVERIlCATION

    Roto-SafeFailsafe Rotation Detection of High and Low Levels of Bulk Granular Solids in Bins, Tanks or Silos!s3INGLEPOINTROTARYLEVELINDICATORs-OTORANDGEARBOXSWITCHOFFWHEN ROTATIONISIMPEDEDs3ENSITIVITYADJUSTMENTFORLIGHTOR HEAVYMATERIALS

    M800 SpeedswitchSimple, Versatile and Reliable Underspeed Protection!s0ROTECTSROTATINGEQUIPMENTFROMDANGEROUS UNDERSPEEDCONDITIONSs3OLIDSTATENONCONTACTINGWITHSIMPLE h-AGNETIC3WIPEvCALIBRATIONs0ROVIDESANDUNDERSPEEDOUTPUTS ANDDIGITALSPEEDOUTPUTS

    HotBus T500 EliteContinuous Bearing Temperature and Belt Misalignment Monitoring System!s$IGITAL#OMMUNICATION 3YSTEMFORMONITORINGUPTOPOINTSs!BSOLUTEANDRELATIVETEMPERATUREALARMSs5SERFRIENDLYMENUDRIVENSETANDCALIBRATIONs3INGLETWISTEDPAIRCOMMUNICATIONSAVES COSTSINWIRINGANDINSTALLATION

    www.go4b.com/biomass

    Bolt N GoThe Revolutionary New Assembly Method for Drop Forged Conveyor Chains!s.OWELDINGORCIRCLIPSREQUIREDs#HAINmIGHTSAREATTACHEDUSINGABOLT ANDNUTWITHAHIGHSTRENGTHHOLLOWPINs.ONEEDTOREMOVECHAINFROMTHE CONVEYORFORINSTALLATIONs2EDUCEDSHIPPINGCOSTS

    U.S. Pat. 7,080,728

    www.go4b.com/biomass

    CC-S: Heavy-DutyElevator BucketsThick Front Lip and a Consistent Clean Discharge!s0ATENTEDPOLYMERBUCKETs4HICKh)CEBERG%DGEvFRONTLIPDESIGNIMPROVESPERFORMANCEs-AXIMIZECAPACITYWITHIMPROVEDlLLINGANDDISCHARGEs3TACKABLEDESIGNFORREDUCEDSTORAGEANDSHIPPINGSPACE

  • WHEEL OF FORTUNE

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    N

    ovo

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    . 2009-20937-01

  • 4 BIOMASS MAGAZINE 12|2009

  • 12 |2009 BIOMASS MAGAZINE 5

    INSIDE DECEMBER 2009 VOLUME 3 ISSUE 12

    FEATURES. . . . . . . . . . . . . . . . . . . . .

    24 FINANCE State RPS, Incentives Spur Development State and federal support for bioenergy, in the form of renewable portfolio standards, tax incentives and grants, is allowing more biomass projects to move on to the preconstruction phase. By Lisa Gibson

    30 INTERNATIONAL Bioenergy World Leaders All eyes are on the U.K. and China as the countries strive to meet aggressive goals to generate more power from renewable sources. By Lisa Gibson

    36 MARKET Energizing the Woody Biomass Market The race to produce renewable energy has led to a growing list of projects from 10-megawatt biomass-powered plants using locally produced biomass to 295-megawatt plants that will export wood chipswhich is expected to have profound impact on the woody biomass market. By Rona Johnson

    42 POLICY BCAP to Boost Biomass Harvest The Biomass Crop Assistance Program has undoubtedly caught the attention of biomass suppliers, producers and processors, and it will have a positive impact on some of those sectors. The jury is still out, however, on its long-term impact.By Anna Austin

    CONTRIBUTIONS. . . . . . . . . . . . . . . . . . . . .

    48 ANAEROBIC DIGESTION Who Gets the Upstream Methane Credits?Anaerobic digestion project developers need to clearly defi ne who gets the methane credits when negotiating power purchase agreements. By Joe R. Thompson and William H. Holmes

    50 SUPPLY The Minneapolis Biomass Exchange: The Biomass MarketplaceNew trading platform facilitates biomass exchange and improves opportunities for biomass buyers and sellers. By Katie Hagen

    FINANCE | PAGE 24

    DEPARTMENTS. . . . . . . . . . . . . . . . . . . . .

    06 Editors NoteLooking Forward to 2010By Rona Johnson

    07 Advertiser Index

    09 Legal Perspectives 11 Industry Events

    12 Business Briefs

    14 Industry News

    53 BPA UpdatePitfalls of One-Size-Fits-All Approach to Biomass EmissionsBy Bob Cleaves

    55 EERC UpdateBiomass Utilization, Rain Forests, and Their Effect on the U.S. Carbon FootprintBy Bruce Folkedahl

    56 Marketplace

  • 6 BIOMASS MAGAZINE 12|2009

    Looking Forward to 2010

    ts the end of the year and the list of proposed biomass pow-er facilities continues to grow, permits are being awarded and I expect construction to be buzzing along quite briskly by mid-2010.

    Looking back, I think 2009 was a good year for bio-mass. In fact, it was quite good in terms of the government support for biomass production and project fi nance. Instead of using this issue to look back at 2009, however, the editors at Biomass Magazine were more interested in the current situation and in looking ahead. Thus, it was only fi tting for us to devote the last issue of the year on the woody biomass market, fi nanc-ing opportunities, the Biomass Crop Assistance Program and the worlds leading producers of bioenergy.

    I see the fi rst part of 2010 as being much the same as 2009, mainly because there are still questions about what certain bio-mass resources are worth and the cost and logistics of harvesting, transporting and storing those feedstocks. Once these proposed plants start to come on line, those issues will be solved if only by necessity in order for the industry to move on. It would be nice if everything came together in a nicely wrapped package tied with a crisp bow, but at this point, I think its going to be more of a trial-and-error-type situation.

    We know that industries arent built in a day, and that when things dont turn out as we expected there is always plan B. For example, Im not a big fan of the government-run health care option, but, Im not going to freak out if it passes because I trust that the powers that be will tweak it if it doesnt work as they had envisioned. Although that may sound easy, it is not. Its hard to come up with what you consider a good idea and watch it fail. Sometimes people get so fi xated on their great idea that they don't see failure as an option. It takes a smart person to be able to accept failure and move on.

    Thats actually going to be one of my New Years resolutions: to be smart enough to recog-nize when my ideas dont work and to fi nd another solution.

    I also have goals for 2010. One of them is to further develop our biopower and biogas maps and another is to develop monthly market reports for the different types of biomass. I envision a section in the magazine with a chart and some commentary about the woody biomass market. I would like to include municipal solid waste, crop residues and other biomass resources. If you have any information on how I can accomplish these goals, please shoot me an e-mail at rjohn-son@bbiinternational.com or call me at (701) 738-4940. And, let me know if you see something that should be changed as these goals develop. Thats when youll know if Im keeping my New Years resolution of being smart enough to see the error of my ways in 2010.

    In the meantime, I hope your holidays are joyous. See you next year.

    I

    Rona JohnsonEditor

    rjohnson@bbiinternational.com

    editorsNOTE

  • 12 |2009 BIOMASS MAGAZINE 7

    advertiserINDEX

    2010 International BIOMASS 60Conference & Expo

    2010 International Fuel 54Ethanol Workshop & Expo

    2010 Renewable Energy Technology 59 Conference & Exhibition

    4B Components, Ltd. 2

    Agra Industries 44

    Biodiesel Magazine 57

    BRUKS Rockwood 45

    Buhler 41

    Christianson & Associates PLLP 29

    Continental Biomass Industries, Inc. 4

    CW Mill Equipment Co., Inc. 34

    Detroit Stoker Company 46

    Ethanol Producer Magazine 52

    Energy & Environmental Research Center 8

    Envergent Technologies 10

    Factory Sales and Engineering Inc. 33

    Geomembrane Technologies Inc. 35

    Indeck Power Equipment Co. 38

    Jeffery Rader Corporation 39

    Kroger Air 23

    Laidig Systems Inc. 32

    McHale & Associates, Inc. 27

    Novozymes 3

    Roskamp Champion 28

    Sunbelt 58

    The Teaford Co. Inc. 26

    West Salem Machinery 40

    Wolf Material Handling Systems 47

    EDITORIAL

    EDITOR Rona Johnson rjohnson@bbiinternational.com

    ASSOCIATE EDITORSAnna Austin aaustin@bbiinternational.comLisa Gibson lgibson@bbiinternational.com

    COPY EDITOR Jan Tellmann jtellmann@bbiinternational.com

    ART

    ART DIRECTOR Jaci Satterlund jsatterlund@bbiinternational.com

    GRAPHIC DESIGNERSElizabeth Slavens bslavens@bbiinternational.comSam Melquist smelquist@bbiinternational.com

    PUBLISHING & SALES