Hi Keith and others,

I've got more info about the EPA registration issue and it's not 
good. I sent the info that Keith compiled  ( 
http://archive.nnytech.net/sgroup/BIOFUEL/27488/ ) to Jon Van 
Gerpen of Iowa State University who then contacted the EPA 
about the discrepancy in their registration process (I'm not sure 
who exactly he spoke with).  

I didn't get full details yet from Dr Van Gerpen (especially the 
question of whom it was that he spoke with, but I"ll try and find 
out next week) , but here's what he wrote to me:

Quote: "Regarding my email exchange with EPA.  It was pretty 
much a bust.  I  explained to them my understanding of the 
registration process and then asked them for the rationale they 
use to categorize biodiesel as an atypical fuel.  In the response I 
received, they confirmed that my understanding of the process 
was correct but ignored my request for the rationale.

I can't fault them too much for not being responsive.  We're all 
busy.   However, I still think there is no sound technical basis for 
not  including biodiesel as a non-baseline fuel.  This would 
allow it to qualify  for the small business exemptions.  I think the 
most likely path to  getting this would be to find a friendly senator 
who might be willing to push the EPA to loosen up." 
(end quote)


We have been organising here this fall in Northern California to 
talk about forming a statewide B100 consumers' association, as 
a sort of partnership with the several small biodiesel 
distributors, 'small business users' (ie people like Thanksgiving 
Coffee who run a few vehicles on B100 but aren't considered a 
fleet in the traditional sense), and passenger car biodiesel 
consumers- underserved markets, and ones hard-hit by IWP's 
quality problems this fall. 

  The first item on the agenda besides 'how to greet the industry 
when it comes here for it's winter convention' is
'how to do a legal challenge to the EPA registration rules so we 
can have legal local production'.

 I agree with Dr Van Gerpen's suggestion about finding a 
politician to take it up, but we're still in the beginning stages of 
debating strategy on this in our area, and more importantly trying 
to raise awareness about this issue locally. More info coming 
shortly.
.
 I think a legal challenge would have to hinge partly on a 
re-definition of 'small producer'. Currently the small business 
exemption for non-baseline fuel is for operators making less 
than 50 million dollars a year. That would leave the NBB high 
and dry, as no one is making that much from biodiesel 
production in the US. 

My personal proposal for redefining 'small producer' is someone 
making a half million gallons a year or less. This is considered 
pilot plant scale for the industry- but it's a reasonable scale for 
local sourcing and production. I think it'd be less threatening to 
the industry than demanding the current non-baseline 
registration rules, which would exempt everyone in the industry 
big and small from the Tier 1/Tier 2 testing, if followed to the 
letter. 


Also another heads-up: someone whom I know in the NBB 
contacted me about their winter convention- they're having a 
'small producer panel'  discussion in the convention. They're 
trying to get Jim Caldwell to be one of the speakers,and didn't 
know yet who the others would be. 

My acquaintance in the NBB read the official statement about the 
panel to me- and it said something like 'while we recognise that 
small producers have a role to play in the development of the 
biodiesel market" (which I read rather cynically!),   but  [I 
paraphrase here cause I can't remember the actual language]  
the issues of quality need to be addressed' or something like 
that.

Now this was amusing to me to hear. We've had serious 
problems with bad quality substandard non-spec biodiesel 
coming out of NBB member Imperial Western Products' plant 
this summer and fall, with drivers having big repair bills as a 
result, but the NBB has no clue that this is happening and still 
believes that small producers would have quality control 
problems. I asked my acquaintance in the NBB if he had any 
idea about this issue and of course no one had  told them. As 
usual the NBB is somewhat out of touch on B100 issues.

 Amusingly, the next thing scheduled on the NBB convention 
agenda right after the small producer discussion is suposed to 
be a tour of the IWP plant. I realy think they all have no idea that 
this sort of thing has been happening. Remember it also 
happened with World Energy this spring, causing some 
consumers to question 'yellow grease'-sourced B100 after 
THEIR repair bills occurred. ALso remember that those who 
cught the problem were basically watchdog grassroots people- if 
no one was watching, or everyone was getting their B100 from a 
regular gas station, it would have taken a lot longer to figure out 
that there was a problem.

By the way my reading of the above NBB statement is that the 
NBB lumps homebrewers in with small producers so all the 
usual quality control rumors take over, I think they're primarily 
worried about homebrewers. Again this is a place where 
redefinition might be handy strategy-wise- defining small 
commercial producers as a different thing than homebrewers.

  IN reality a few folks in our budding consumers group think that 
local smaller producers would probalby be more accountable 
than the industry is, as far as quality goes.

mark



--- In biofuel@yahoogroups.com, Keith Addison <[EMAIL PROTECTED]> 
wrote:

> <snip>.

 The website you
> reference is dated February 13, 2002, nearly two years ago. It's 
> outdated, I think it's one-sided, it's certainly no longer accurate, 
> and Tom Leue shouldn't still have it there.
> 
> This is what Jim Caldwell of the EPA said at the time:
> 
> >"He hasn't gotten registered yet, so he shouldn't have 
introduced 
> >this fuel to vehicles," Caldwell said, adding that Leue is still 
> >allowed to sell the  fuel for non-road vehicles such as 
tractors. "I 
> >wouldn't say we shut him down," Caldwell said, noting they've 
taken 
> >no  enforcement steps.
> -- From "EPA: Order shuts down biodiesel fuel manufacturer", 
AP
> http://www.spinninglobe.net/bioupdate3.htm
> 
> When it came up we formed a separate closed discussion 
group with 
> interested Biofuel and Biofuels-biz list members, including 
Tom Leue, 
> and checked the whole thing out thoroughly. Tom was 
convinced, and I 
> think he still is, that it was a conspiracy by Archer Daniels 
Midland 
> against small biofuel operators, but there's no evidence for that 
and 
> he was never able to offer any. Much more likely is that small 
> producers simply fell beneath the National Biodiesel Board's 
radar 
> screen: their definition of "small-scale" operators is those with 
> total annual sales of less than $50 million. People producing 
Tom's 
> 3,650  gallons a year simply weren't considered. The NBB was 
after 
> getting their soy check-off dollars back that had paid for the 
Clean 
> Air Act Health Effects Data studies for biodiesel, but they were 
> breaking their own rules, small-scale operators were 
supposed to be 
> exempt from paying the fees. Again, almost certainly mere 
neglect and 
> inefficiency rather than enemy action.
> 
> Meanwhile other list members at the Biofuels-biz list set to 
work 
> checking the rules and regulations and got in contact with the 
EPA 
> and other people. Complicated stuff concerning fuel definitions 
and 
> categorisations and much besides, but eventually the EPA 
agreed that, 
> according to their own rules and definitions in fact, in order to 
> register as on-road fuel producers small producers were 
indeed not 
> required to pay for access to the Health Effects Data, nor did 
they 
> have to join the NBB and pay the NBB's various fees and taxes 
- BUT 
> they had to produce evidence that the fuel they produced met 
the ASTM 
> D-6751 quality specifications. Also there was the different 
matter of 
> fuel taxes, both federal and state.
>
<big snip>

> 
> This is a summing up of the whole saga and outcome of the 
so-called 
> "EPA hassle" with small-scale biodiesel producers:
> http://archive.nnytech.net/sgroup/BIOFUEL/27488/
> 
> Keith Addison
> Journey to Forever
> 
> 


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