America s Advanced Biofuel

Transcription

1 America s Advanced Biofuel Presented To Greater Portland Council of Governments Portland, Maine October 17 th, 2013 Leo Verruso The Nazzaro Group 1

2 Today s Agenda Introduction to Biodiesel Top 5 Reasons Fleets Are Using Biodiesel ASTM Fuel Specifications and Fuel Quality Legislative Updates Impacting Biodiesel Demand OEM Acceptance and Positions of Support Biodiesel Use and Handling Guidelines 2

3 What is Biodiesel? A renewable fuel commercially refined from a diverse array of fats and oil by-products which is used in normal diesel engines. 3

4 Defining Biodiesel Biodiesel, n. -- a fuel comprised of mono-alkyl esters of long chain fatty acids derived from vegetable oils or animal fats, meeting ASTM D 6751, designated B100. Biodiesel Blend, n. -- a blend of biodiesel fuel with petroleum-based diesel fuel designated BXX, where XX is the volume percent of biodiesel. 4

5 U.S. Biodiesel Production by Calendar Year Volume in Gallons RFS-2 Implemented; Biodiesel Tax Credit in ,200,000,000 1,000,000, ,000,000 Economic Downturn RFS2 Uncertainty Lapse of Biodiesel Tax Credit 600,000,000 Volume Year 400,000, ,000, * Estimated 5

6 An Advanced Biofuel Available Now 205 EPA- Registered plants nationwide with over 3.08 Billion GPY Capacity 6

7 Reasons Why Fleets Are Choosing Biodiesel 7

8 #1 It s Available Now Biodiesel is America s first domestically produced, commercially available Advanced Biofuel and meets EPA requirements for inclusion and use under the new Renewable Fuels Standard (RFS-2). RFS-2 mandates 36 billion gallons of renewable fuel be used by obligated parties (i.e. refiners) by 2022 Biomass-Based Diesel Volume Requirement Million Gallons Billion Gallons Billion Gallons 8

9 #2 Biodiesel is Cleaner Other tailpipe emissions are also reduced by running on biodiesel, especially in pre-2010 diesel engines without after treatment systems NOx issue eliminated in today s new technology diesel engines Emission Type B20 B2 Total Unburned Hydrocarbons -20% -2.2% Carbon Monoxide -12% -1.3% Particulate Matter -12% -1.3% Oxides of Nitrogen (NO X ) +/-2% +/-.2% 9

10 #3 It s Sustainable Does not sacrifice food for fuel Biodiesel is produced from a variety of renewable resources and by-products of producing food for humans and animals From the soybeans used to produce biodiesel, 81% of the soybean s yield is protein that enters the market for either human consumption or animal feed. 10

11 Helps reduces dependency on foreign oil #4 Energy Security and Economy Expands and diversifies domestic refinery capacity Most economical option for converting oils and fats into usable diesel applications Creates added outlets for farm-based products Creates U.S. manufacturing jobs 11

12 #5 Ease of Use and Performance Biodiesel blends can be used in any diesel engine/vehicle B5 B20 covered under OEM warranty Drop-in replacement for diesel fuel No vehicle modifications needed, similar, seamless performance Dispensed through existing fueling stations Comparable fuel prices to diesel Low overall cost of ownership High biodiesel energy balance 5.54 : 1 (B100) percent fuel efficiency gains with diesel engine 12

13 #5 Ease of Use and Performance Biodiesel Delivers Important Diesel Properties: Auto-ignition = Cetane Number over 50 BTU Content = Similar to #1, less than #2 Viscosity = Values in diesel fuel range (1.9 to 6.0) Cloud Point = Current biodiesel higher than #2 Lubricity = Naturally high in lubricity Sulfur = Naturally less than 15 ppm Cleanliness = ASTM specs same as petrodiesel Stability = Spec set for six-month minimum shelf life Emissions = Significantly less for PM, HC, CO 13

14 ASTM Specifications and Biodiesel Fuel Quality 14

15 Defining ASTM Standards ASTM D6751 is the approved standard for B100 for blending up to B20, in effect since 2001 Performance-based standard: feedstock and process neutral D975 Covers petro diesel and blends up to five percent biodiesel maximum for on/off road engines; B5 is now fungible with diesel fuel D396 Covers heating oil and blends up to five percent biodiesel; B5 is now fungible with petro-based heating oil D7467 Covers blends containing six to twenty percent biodiesel (B6-B20) for on/off road engines Designed so that if B100 meets D6751 and petro diesel meets D975, then B6 to B20 blends will meet their specifications Important quality control is at B100 level 15

16 Additional Fuel Quality Controls States that have adopted ASTM D : : 48 (AK and NJ remain) States with proactive enforcement 2007: : 23 Fuel Quality Proactive Testing Proactive Testing No Proactive Testing 16

17 BQ-9000 and Fuel Quality The biodiesel industry has an excellent fuelquality program called BQ ( Helps ensure that only the highest-quality biodiesel meeting ASTM specifications gets put into your fuel tanks 17

18 BQ 9000 Current Status 90% 80% Percentage of BQ9000 Biodiesel 79% 81% 70% 60% 58% 66% 65% 63% 50% 47% 40% 30% 20% 10% 0% FY05 FY06 FY07 FY08 FY09 FY10 FY11 47 Producers - 29 Marketers - 7 Labs 18

19 Legislative Updates Impacting Biodiesel Demand and OEM Support 19

20 Renewable Fuels Standard (RFS-2) 20

21 Federal Legislation Other federal legislative incentives that are important to OEMs and fleets: Biodiesel Tax Incentive $1.00 per gallon blenders tax credit Retroactively reinstated for EPACT Credits Incentive for fleets for B20+ use; most economical option for EPACT compliance CAFÉ Credits Incentive for automakers for B20+ approval; set to expire after model year

22 Biodiesel Use and OEM Acceptance 24

23 OEM Warranty Statements All major OEMs selling diesel equipment in the U.S. support at least B5 and lower blends, provided they are made with biodiesel meeting ASTM D 6751 Most OEMs are also recommending use of a BQ-9000 supplier 10 new OEM statements of B20 support in 2012, more on the way Nearly 80 percent of U.S. manufacturers (30 brands) support B20 or higher blends in at least some of their equipment; 90 percent of the medium- and heavy-duty truck markets support B20 For a complete listing of OEM position statements on biodiesel, as well as the current U.S. Diesel Vehicles List, visit: 25

24 OEMs Supporting B20+ 26

25 B20 Approved Ford approves B20 in all its 2011 MY and beyond Class 2-5 Super Duty & Class 6,7 Medium Duty Trucks 2010 and prior models approved for use with B5 under warranty. 27

26 B20 Approved Chrysler currently supports the use of B20 in the 6.7L Ram 2500/3500 pickup for government, military, and commercial fleets Chrysler extending full B20 support for all their diesel vehicles equipped with Cummins engines as of January 2013 New diesel Jeep Grand Cherokee coming in 2013 (biodiesel blend TBA) 28

27 All 2011 MY and beyond GM Heavy Duty Products approved for B20 Chevrolet Silverado GMC Sierra Chevrolet Express GMC Savana 29

28 Why Are OEMs Supporting B20? Vehicle performance and emissions benefits ASTM specifications, BQ-9000 Quality Assurance Renewable Fuels Standard (RFS-2) State Mandates and Incentives EPACT Credits Green Competitive Advantage Diesel Users Desire The Option 31

29 Biodiesel Performance, Use, and Maintenance 32

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31 Biodiesel Use & Handling Guidelines Perform regularly scheduled maintenance per OEM Use only fuel that meets ASTM D6751 / D7467 specifications. Purchase from BQ-9000-certified suppliers when possible Ensure fuel supplier conducts proper fuel blending Storage tanks should be free from sediment and water, and cleaning is advisable if sedimentation is found Cleaning properties of biodiesel may call for fuel filter change upon first switching to biodiesel Be aware of diesel fuel cold weather properties 34

32 Cold weather can cloud and even gel any diesel fuel, including biodiesel. Users of a B20 with #2 diesel will usually experience an increase of the cold-flow properties (cold filter plugging point, cloud point, pour point) at approximately 2 to 10 Fahrenheit. Similar precautions employed for petroleum diesel are needed for fueling with 20 percent blends. Blending with #1 diesel / #1 biodiesel Using fuel heaters and garaging vehicles Properly blending a cold-flow additive Cold-Weather Performance 35

33 Evaluating Diesel Fuel Operational Temperatures Cloud Point Temperature at which the paraffin wax falls out of the liquid phase. CFPP The absolute lowest operating temperature a vehicle will operate Pour Point Temperature which fuel ceases to flow, more a storage flow temperature used by pipelines and terminals 36

34 Cold Impacts Wax TEMPERATURE 10 o F 0 o F -10 o F NUCLEI VISIBLE CRYSTALS CRYSTALS GROW AND BEGIN TO ADHERE TO ONE ANOTHER -20 o F More wax precipitates as the temperature decreases LARGE CRYSTALS STICK TOGETHER. POCKETS ARE FORMED THAT TRAP LIQUID PORTION SIMILAR TO A HONEY COMB EFFECT. FUEL GELLED 37

35 Biodiesel Cold Flow Impact 38 degrees cloud B degrees as compared to #2 at 16 degrees B degrees B degrees B degrees Yellow 46 degrees B degrees as compared to #2 at 16 degrees B degrees B degrees B degrees 38

36 With in-spec B20 and lower, it is seamless and transparent with petroleum based diesel; B20 Versus Diesel: Except: You will see fewer lubricity-related issues Filter-related issues may be related to cleaning effect upon first use, or are likely normal diesel issues, imposter biodiesel or raw vegetable oil Helps reduce black smoke NBB offers ASE-Certified Diesel Technician training to help distinguish and diagnose fuel issues In the Shop 39

37 ASE Certified Training To see our curriculum of ASE-Certified continuing education courses on Biodiesel for Diesel Service Technicians, visit 40

38 Biodiesel Training Toolkit News Releases & Information Resources Technical Library, Spec Sheets & Videos OEM Warranty Positions on Biodiesel U.S. Diesel Vehicle List Official site of National Biodiesel Board Listing of BQ-9000 Certified Companies 41

39 The National Biodiesel Board Jefferson City, Missouri / paulsr@yourfuelsolution 42