By Dan Lemke
Photos by Rolf Hagberg

Biobased fuels may be the largest growth area for agricultural product utilization in the next decade. From individual farming operations to municipal utilities, energy consumers are intrigued by renewable fuels.

“There is real interest,” says Jack Johnson, AURI director of engineering services. “Concerns over energy reliance, fluctuating fuel costs, (the environment) and increasing cost effectiveness of renewable fuels are some of the reasons why individuals and industries are taking a closer look.”

Minnesota is leading the way in research and promotion of many ag-based fuels — with 15 operating ethanol plants, the only statewide mandate for biodiesel in the country, leading-edge research on solid renewable fuels, and construction on the nation’s first turkey-litter powered plant moving ahead.

“Energy is one of our largest focuses,” says Yvonne Simon of the Minnesota Corn Growers Association. “It’s not just ethanol, but E-diesel, E-85 and fuel cells.”

The U.S. ethanol industry has grown to about one billion gallons per year. Federal forecasts show renewable electrical generation from biomass, landfill gas, geothermal energy and windpower shows promise as well.

“The largest increase is projected for biomass, from 36.6 billion kilowatt-hours in 1999 to 65.7 billion in 2020,” according to the Annual Energy Outlook 2001 report by the U.S. Department of Energy’s statistical agency.

Energy from renewable resources means an agriculturally-powered economy, Johnson says. “We need to assess what people are willing to pay for self reliance.”

So you want to build a biodiesel plant?
Handbook helps local groups assess plant feasibility

By Dan Lemke

Biodiesel proponents were victorious last March when Minnesota lawmakers passed a statewide mandate requiring biodiesel usage. The legislation calls for all diesel fuel sold in the state to contain two percent biodiesel.

A key requirement for the measure to take effect, however, is that Minnesota reach a biodiesel production capacity of eight million gallons by 2005. To help make that happen, AURI and the Minnesota Soybean Research and Promotion Council have teamed up to produce a biodiesel handbook. They hired the Independent Biodiesel Feasibility Group, a Kansas City engineering consulting firm, to produce it.

Measuring tool

“This is really a tool for producers and communities to assess whether a biodiesel production facility is feasible for their situation,” says Michael Sparby, AURI project director in Morris. “This does not replace a site-specific study; instead this will help groups decide whether or not it’s worth spending the money to proceed with a study of their particular site.”

It instructs groups interested in building biodiesel plants on how to review factors such as feedstock sources, available production processes, base catalyst sources and markets.

“Feedstock sources, whether vegetable oil like soybean or canola, or animal fats like grease or rendered recycled oils, are about 75 to 80 percent of the production cost,” Sparby says. “So that is by far the largest factor.”

The handbook compares plant costs and the pros and cons of batch and continuous flow processes. Other issues addressed, such as building process flow, transportation, water treatment and employment, can help readers assess their local situation.

“We developed this as a screening tool to help groups make educated decisions,” says Rose Patzer, AURI chemist in Marshall. “We don’t have any production in the state right now, but we do have some large companies interested in building here. We’re trying to help smaller groups be players in this industry.”

Thinking ahead

“The provision — that Minnesota produce eight million gallons of biodiesel — will provide for rural development,” says Minnesota Soybean Growers President Kristin Weeks-Duncanson. “Biodiesel is definitely a part of the national energy plan, and I’m proud to represent Minnesota, the first state in the United States to require its use.”

While building biodiesel capacity is key to getting the industry started, increasing demand for the fuel is also vital.

“We are working to drive demand for biodiesel within the ag sector first,” says Scott Singlestad of the Minnesota Soybean Research and Promotion Council. “We want producers to use it and request it because the infrastructure for handling biodiesel needs to be established.”

As the state opens the door to the biodiesel industry, others are interested in following Minnesota’s lead. “This is the first time anything like this has been published,” Sparby says. “There’s extreme interest in Minnesota, among other states and even from countries like Australia, the Netherlands and Puerto Rico.”

A series of presentations are scheduled throughout Minnesota to expand on the handbook’s information.