AINA KOA PONO asked the state Legislature yesterday to support a 15 percent tax credit for building a refinery in Pahala

`AINA KOA PONO asked the state Legislature yesterday to support a 15 percent tax credit for building a refinery here in Pahala. Chris Eldridge, who also owns American Mattress stores around the state, is an `Aina Koa Pono partner. His testimony for yesterday’s hearing describes former sugar lands, now largely used by the cattle industry between Pahala and Na`alehu, as “fallow,” and says that using land for a biofuels farm and factory would help fend off a rise in fuel prices statewide. “Building agriculturally based biofuel refineries in Hawai`i has the potential to reinvigorate Hawai`i’s struggling agriculture industry while also helping to meet the renewable energy goals of Hawai`i’s Clean Energy Initiative,” said Eldridge.

THE NUMBER OF JOBS projected for the proposed biofuels refinery and farm here in Ka`u was increased in the testimony that asks for the 15 percent tax credit. Eldridge said that in addition to 300 construction jobs over two years to build the refinery in Pahala, `Aina Koa Pono now projects 150 to 200 jobs created for the 20 to 30 years that the biofuel refinery would be in operation.

HE ALSO SUGGESTED that the tax break bill be amended to provide tax credits within 60 days after the refinery becomes operational. “We cannot emphasize enough the need for these incentives to attract private capital to invest in these projects for Hawai`i.

Statements about Pacific Biodiesel were untrue

Mahalo for coverage of the palm oil importation (The Maui News, Nov. 11) that seems to remain an issue despite all the talk about development of local, sustainable biofuel crops. Some corrections to the article are in order.

The inaccuracies are not The Maui News’ fault, assuming Hawaiian Electric Co.’s Pete Rosegg was quoted correctly. Pete stated that Pacific Biodiesel “withdrew their supply to (Maui Electric Co.),” which is absolutely not true. It’s unfortunate that the corporate communications director did not check his facts as he would have found out that Pacific Biodiesel continues to supply the contracted amount of fuel to MECO and even extended our contract from the last time it ended.

He also said he was waiting for Pacific Biodiesel to “respond to questions about their proposal.” We have answered all their questions and have been waiting for weeks for them to reply to us with a meeting date to discuss our concerns about their fuel spec, which is not an existing ASTM fuel specification.

Saying something is true and being quoted in the newspaper does not make it so, and stating you want to purchase biodiesel when you have requested fuel with different specifications implies the opposite.

Green groups oppose MECO plan to bring in palm oil

Maui environmental groups are organizing a letter-writing campaign to persuade Hawaiian Electric Co. and the state government to head off plans to import palm oil from Malaysia to be used in a test at Maui Electric Co.’s Maalaea power plant.

The international campaign was sparked by a German group, Rainforest-Rescue.org. Maui Tomorrow Foundation, Sierra Club Maui and the statewide group Life of the Land are protesting here in the islands.

They oppose a Public Utilities Commission decision to allow HECO to use palm oil at Campbell Industrial Park and to allow Maui Electric to test palm oil at Maalaea.

A spokesman for HECO said Tuesday: “We share a concern for the environment and human rights, which is why in 2007 Hawaiian Electric worked with the Natural Resources Defense Council to create a sustainable biofuels policy that we include in all contracts.”

HECO has signed what it calls a “very short” (two years) contract to supply its Campbell plant with fuel made from recovered animal waste on the Mainland. To get its new Campbell plant permitted, HECO had to promise to use renewable fuel.

For the Maalaea test, it contracted with Sime Darby to supply a million gallons of palm oil.

Navy pursuing biofuel

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Hawaiian sugar grower working on crops to fuel ships, planes.

HONOLULU — The federal government has turned to a 130-year-old Hawaii sugar grower for help in powering the Navy and weaning the nation off a heavy reliance on fossil fuels.

It will spend at least $10 million over the next five years to fund research and development at Maui cane fields for crops capable of fueling Navy fighter jets and ships. The project also may provide farmers in other warm climates with a model for harvesting their biofuel crops.

Hawaii has become a key federal laboratory for biofuels because of its dependence on imported oil as well as its great weather for growing crops. Factor in the heavy military presence at places such as Pearl Harbor, and the islands become an ideal site for the government to test biofuel ideas on a commercial scale.

“Hawaii is kind of the perfect storm of opportunity,” said Tom Hicks, the Navy’s deputy assistant secretary for energy.

Hawaii sugar grower working to power Navy

Navy fighter jets and ship could be powered by biofuels grown in Hawaii under an effort funded by the federal government.

The government is spending at least $10 million over five years on research and development at Maui cane fields for crops capable of fueling Navy fighter jets and ships. The project also may provide farmers in other warm climates with a model for harvesting biofuel crops.

Hawaii has become a key federal laboratory for biofuels because of its dependence on imported oil and its great weather for growing crops. It also has a large military presence.

The Office of Naval Research is funding the five-year program at Hawaiian Commercial & Sugar, a company dating to the 1870s that runs the last sugar plantation in the state.

Hawaii sugar grower working to power Navy – Hawaii News – Staradvertiser.com

Department of Energy – Secretary Chu Announces Six Projects to Convert Captured CO2 Emissions from Industrial Sources into Useful Products

Secretary Chu Announces Six Projects to Convert Captured CO2 Emissions from Industrial Sources into Useful Products
$106 Million Recovery Act Investment will Reduce CO2 Emissions and Mitigate Climate Change

Washington, D.C. – U.S. Energy Secretary Steven Chu announced today the selections of six projects that aim to find ways of converting captured carbon dioxide (CO2) emissions from industrial sources into useful products such as fuel, plastics, cement, and fertilizers. Funded with $106 million from the American Recovery and Reinvestment Act -matched with $156 million in private cost-share -today’s selections demonstrate the potential opportunity to use CO2 as an inexpensive raw material that can help reduce carbon dioxide emissions while producing useful by-products that Americans can use.

“These innovative projects convert carbon pollution from a climate threat to an economic resource,” said Secretary Chu. “This is part of our broad commitment to unleash the American innovation machine and build the thriving, clean energy economy of the future.”

Converting captured CO2 into products such as chemicals, carbonates, plastics, fuels, building materials, and other commodities is an important aspect of carbon capture and storage technology. Converting CO2 into other useful forms can help reduce carbon emissions in areas where long-term storage of CO2 is not practical. It is anticipated that large volumes of CO2 will be available as fossil fuel-based power plants and other CO2-emitting industries are equipped with CO2 emissions control technologies to comply with regulatory requirements.

The projects announced today were initially selected for a first phase funding in October 2009 as part of a $1.4 billion effort to capture CO2 from industrial sources for storage or beneficial use. Over the succeeding months, the project teams have performed experiments on innovative concepts and produced preliminary designs for pilot plants to study the feasibility of capturing and using CO2 exhausted from industrial processes. The selected projects now enter a second phase in which researchers design, construct, and operate their innovations at pilot-scale and evaluate the technical and economic feasibility of applying them commercially.

The projects selected to demonstrate the beneficial use of CO2 include:

Phycal, LLC (Highland Heights, Ohio)-Phycal will complete development of an integrated system designed to produce liquid biocrude fuel from microalgae cultivated with captured CO2. The algal biocrude can be blended with other fuels for power generation or processed into a variety of renewable drop-in replacement fuels such as jet fuel and biodiesel. Phycal will design, build, and operate a CO2-to-algae-to-biofuels facility at a nominal thirty acre site in Central O’ahu (near Wahiawa and Kapolei), Hawaii. Hawaii Electric Company will qualify the biocrude for boiler use, and Tesoro will supply CO2 and evaluate fuel products. (DOE Share: $24,243,509)