>From: "National Biodiesel Board" <[EMAIL PROTECTED]>
>To: <[EMAIL PROTECTED]>
>Subject: Biodiesel Bulletin
>Date: Mon, 3 Feb 2003 19:02:51 -0600
>
>BIODIESEL BULLETIN
>A Monthly Newsletter of the
>National Biodiesel Board
>February 3, 2003
>
>
>HEADLINES:
>BIODIESEL BEATS THE COLD
>NBB SEEKS COLD WEATHER TESTIMONIAL
>BIODIESEL RESEARCH & BRAINSTORMING WORKSHOP BIG SUCCESS
>BIODIESEL FUELS OLYMPIA TRANSIT FLEET
>BIODIESEL ACTIVE IN STATE LEGISLATURES
>BIOENERGY PROGRAM FUNDING CHANGES
>WASHINGTON UPDATE
>CENEX CONTINUES BIODIESEL GROWTH THROUGHOUT MIDWEST
>
>
>BIODIESEL BEATS THE COLD
>This winter, countless biodiesel users have proven that the alternative fuel
>performs well in even the most frigid of conditions, debunking the myth that
>B20 gels too easily in cold weather.  From vehicles at the Canadian border
>to Colorado ski towns to airport snowplows, biodiesel is proving its
>reliability even when the temperature plummets.
>
>ãMany people arenât aware that cold flow improvers are already in most
>diesel during the winter,ä said Kelly Strebig, a research engineer for the
>University of Minnesota Center for Diesel Research at Minneapolis.  ãThe
>same procedures and products that keep diesel from gelling are typically
>good for biodiesel too. Many of these cold-flow improvers only cost ² cent
>to 1 ¸ cents per gallon, and you only need them during the few coldest
>months of the year.ä
>
>Strebig and other researchers have verified that B2, a blend of two percent
>biodiesel and 98 percent petroleum diesel has no measurable difference in
>cold flow properties than standard diesel. He says higher blends of
>biodiesel, such as B20, can be treated with standard flow-improvers÷the same
>as most diesel fuel is treated in cold weather. The Center for Diesel
>Research also just completed studies of new additives that lowered the gel
>point of B20 to 50 degrees below zero.
>
>Known as the ãIcebox of the Nationä, International Falls, Minnesota is a
>good place to test the cold-weather reliability of any fuel. International
>Falls is home to Voyageurs National Park, which has used B20 for three years
>and has experienced no problems even though the B20 is stored in unheated
>above-ground tanks.  Even in extreme cold, vehicles running on B20 have
>started well with only a common fuel block and fuel filter heater, according
>to the parkâs district supervisor William Carlson.
>
>ãEven when temperatures dropped to 28 degrees below zero, B20-powered
>vehicles started smoothly in the morning and ran all day at subzero
>temperatures,ä he said.
>
>Visit the home page at www.biodiesel.org to learn more about how B20 has
>worked just as reliably as petroleum diesel during severe cold spells
>nationwide.
>
>
>NBB SEEKS COLD WEATHER TESTIMONIAL
>Do you have experience using biodiesel in cold weather?  NBB would like to
>hear YOUR favorite cold weather story!  Any time during the next week, go to
>www.biodiesel.org  and follow the easy directions.  If you donât visit the
>home page in time, you can still tell us your story at
>http://biodiesel.grassroots.com/Cold_Weather_Story.
>Selected stories may be featured on our Web site.
>
>
>BIODIESEL RESEARCH & BRAINSTORMING WORKSHOP BIG SUCCESS
>Dozens of technical experts presented the latest in biodiesel research and
>technical development during the Biodiesel Research & Brainstorming Workshop
>January 29 ö 30 in New Orleans.  More than 200 people attended the technical
>workshop, which was open to the public for the first time this year.
>Presenters included scientists, government officials and engine
>manufacturers among others.  Several biodiesel users also spoke about their
>positive experience with the fuel, including representatives from the U.S.
>Military.
>
>ãThe workshop provided an excellent forum for the exchange of technical
>information in the biodiesel world,ä said Steve Howell, technical director
>for the National Biodiesel Board (NBB).  ãI was extremely impressed with the
>content of the presentations, the strong interaction with audience
>participation and the wide variety of attendees.ä
>
>Part of the purpose of the workshop is to develop a list of technical
>priorities for the biodiesel industry.  The group identified working with
>diesel engine manufacturers on a variety of topics as a top priority, as
>well as broad-based sharing of technical information within the biodiesel
>community.  The results will be posted on the NBB web site at
>www.biodiesel.org within the next several weeks.
>
>Based on strong response, plans are already underway for next yearâs
>workshop, which may be expanded to include specific sessions covering
>regulatory, marketing and other topics as well.
>
>The headline sponsors for the meeting were NBB, the U.S. Department of
>Agriculture and the U.S. Department of Energy.  Gold level industrial
>sponsors were Octel Starreon and Waterford Petroleum.  At the silver level
>were Lubrizol, P&G Chemicals and West Central Soy.  Bronze sponsors were
>ADM, Biodiesel Industries, Biox Corporation, Crown Iron Works Company,
>Griffin Industries, MG Engineering, Renewable Products Development Labs
>Inc., Sigma-Aldrich, Superior Process Technologies, Williams Laboratory
>Services and World Energy.
>
>For more information about the workshop, please see the NBB web site at
>www.biodiesel.org.
>
>
>BIODIESEL FUELS OLYMPIA TRANSIT FLEET
>The public transportation agency in the Pudget Sound area of Washington has
>begun using B20 in its fleet of 67 buses.  Intercity Transit tested use of
>biodiesel on several of its buses in 2002 and found no operational
>difficulties.  Because biodiesel acts as a fuel lubricant, the agencyâs
>Maintenance Director Randy Winders expects that it may extend the life of
>bus engine components.  Beyond the environmental benefits of biodiesel,
>Intercity Transit was attracted to using B20 because it can be used in any
>conventional diesel engine without modification and stored safely anywhere
>that petroleum diesel fuel is stored.
>
>Particulate levels, regulated under the federal Clean Air Act, are high in
>the Puget Sound region.
>
>ãIntercity Transitâs voluntary shift to biodiesel use is being done to
>address the new federal emphasis on reducing particulate levels in our
> area,ä said Lacey Mayor and Intercity Transit Authority Vice Chair Graeme
>Sackrison.  ãIn the long run, this effort will benefit everyone.ä
>
>Regional use of biodiesel has grown to more than 500,000 gallons annually,
>according to Linda Graham, Director of the Puget Sound Clean Cities
>Coalition.  The Coalition is a collaboration of public and private entities
>working to increase the use of alternative fuels, such as biodiesel and
>natural gas, for use in motor vehicles.
>
>ãHaving a transit district in our region step forward to use of biodiesel
>sets an example for others and shows leadership in expanding the use of
>alternative fuels in the region,ä she said.  ãThe commitment to alternative
>fuels addresses the substantial air quality and energy security concerns
>associated with the continued use of traditional petroleum fuels.ä
>
>
>BIODIESEL ACTIVE IN STATE LEGISLATURES
>As new legislative sessions begin, NBB is tracking 20 pieces of state
>legislation in eleven states that directly address biodiesel.  The bills
>include two mandates; six state excise tax exemptions; three producer tax
>credits; three usage promotion; and six miscellaneous.  A memo addressing
>these bills is available to NBB members on the state regulatory page of the
>NBB ãmembers onlyä site.
>
>North Dakota has proposed a mandate similar to the Minnesota legislation
>passed last year.  It would require B2 beginning in 2007 if biodiesel plants
>in the state have a production capacity of five million gallons, and if
>federal law reduces the cost of B2 by at least 2 cents, making the bill
>essentially cost neutral.  It does not have a Îdate certainâ clause enabling
>the legislation if the other conditions are not met.
>
>South Dakota just this week also introduced a biodiesel mandate.  It
>contains no conditions precedent, and simply states that all diesel fuel
>sold in South Dakota will be at least B2 beginning 2005.  Beginning in 2007,
>it will be at least B5.
>
>
>BIOENERGY PROGRAM FUNDING CHANGES
>Last week the U.S. Senate approved funding for Fiscal Year '03, and included
>in the spending package is funding for the CCC Bioenergy Program.  The
>program reimburses biofuels producers part of the cost of commodities used
>in new production.  In order to meet budget reduction goals, the program was
>only two-thirds funded from '03 levels with the remaining one-third to come
>from next fiscal year's budget.
>
>The Senate and House are currently meeting to resolve differences between
>the two packages.  The funding maze might be simplified during this process
>since the House had fully funded the '03 program.
>
>
>WASHINGTON UPDATE
>As the 108th Congress begins its work on legislative priorities, the
>biodiesel industry continues to seek passage of a tax incentive to encourage
>the use of the fuel.  A new session of Congress means the legislative
>process must start over for all issues and legislative priorities are being
>determined.  During the Presidentâs State of Union address this week, he
>outlined his major priorities for the year.  As expected, dealing with the
>economy and the crisis in Iraq topped the list. However, the President also
>mentioned his support for energy and environmental measures.  Congress may
>use this announcement to advance the Presidentâs Clear Skies initiative
>aimed at reducing emissions.  Opportunities for biodiesel are uncertain in
>the Clear Skies proposal but the industry will be looking for ways to
>advance fuel use.
>
>The House Energy and Commerce Committee plans to soon began action on an
>energy package that will be very similar to the version passed by the House
>of Representatives last year.  The Senateâs development of legislation will
>be more deliberate with a number of hearings and the redrafting of a bill.
>While the House leadership hopes to have an energy measure on the floor by
>late spring or summer, the Senate has not announced a schedule for
>consideration.
>
>With energy legislation on an uncertain track, other possible vehicles for
>moving biodiesel tax legislation are being considered.  One possibility is
>the reauthorization of the Transportation Equity Act for the 21st Century
>(TEA-21).  This comprehensive package includes all major transportation
>programs and authorization of the Highway Trust Fund.
>
>While energy and transportation packages may offer opportunities for
>consideration of biodiesel tax legislation, the industry is also working
>with supporters on Capitol Hill to identify other legislative vehicles.
>Other possible revenue measures that may receive priority in the short term
>include an economic stimulus package, a bill to extend expiring tax
>provisions or an omnibus revenue bill.
>
>Biodiesel tax legislation has not been introduced yet but sponsors are
>expected to do so in the very near future.
>
>
>CENEX CONTINUES BIODIESEL GROWTH THROUGHOUT MIDWEST
>In an effort to meet the growing demand for biodiesel blends in the Midwest,
>Cenex has introduced a B2 product called Ruby Fieldmaster B2ú Premium Diesel
>Fuel.
>
>ãInterest and demand for biodiesel blends continue to grow as producers and
>consumers learn more about the many benefits of these products,ä said Darin
>Hunhoff, brand, products and marketing manager for Cenex refined fuels.
>ãProducers are especially interested in using products that are derived from
>the crops they grow, such as soy-based biodiesel.ä
>
>Hunhoff noted that Cenex is pleased to offer the benefits of a biodiesel
>blend in addition to the proven performance of Ruby Fieldmaster.
>Cenex-branded distributors can access bulk biodiesel at more than 20
>facilities in its soy biodiesel distribution network in nine key states ÷
>Arkansas, Illinois, Iowa, Michigan, Minnesota, Missouri, Nebraska, North
>Dakota and South Dakota. Several additional sites are in the development
>stages.
>
>Cenex (www.cenex.com), a division of CHS Cooperatives, is a farmer-owned
>petroleum entity.  It meets the energy needs of producer-owners, homeowners,
>commercial and industrial businesses, and communities through local
>cooperatives and independent retailers.


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