BIO Sensing of Washington DC Δ 13th of January 2014 Ω 5:11 AM

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~ sense for Ξ
~ Al Gore's Generation
~ VTT's Research
~ sense for Ξ
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«BIO Sensing of U.S.
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~ Al Gore's Generation

»Al Gore's Generation



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~ VTT's Research

»VTT's Research

U.S. Policy

2005
ξ in August 2005, President Bush signed the first law covering energy policy in more than a decade
ξ the energy plan encouraged energy efficiency and conservation, promote alternative and renewable energy sources,
ξ reduce dependence on foreign sources of energy, increase domestic production, modernize the electricity grid, and
ξ encourage the expansion of nuclear energy
ξ a goal to reduce domestic greenhouse gas (GHG) emissions by cutting its GHG intensity2 by 18% from 2002 to 2012
ξ this would be achieved by technology improvements, improving the energy-efficiency, voluntary programs with industry, and shifts to cleaner fuels
ξ U.S. is committed to the Asia-Pacific Partnership on Clean Development and agreed with the Bali Agreement
ξ the Energy Policy Act of 2005 basically promotes biofuels as well as non-petroleum fuels such as
ξ alcohols, biodiesel, natural gas, LPG, hydrogen and domestically produced natural gas and coal derived liquids
ξ the Renewable Fuels Standard (RFS) requires 7.5 billion gallons of renewable fuel required to be blended into gasoline to by 2012

2006
ξ In 2006, the U.S. President announced the Advanced Energy Initiative (AEI)
ξ main goal to replace 75% of imported oil from the Middle East by the year 2025
ξ be accomplished by utilizing more domestic resources for energy
ξ as part of the AEI the Biofuels Initiative will be a major contributor to reaching the goals
ξ the shortterm goal of the Biofuels Initiative is to make cellulosic ethanol competitive with conventional ethanol processes by the year 2012
ξ the target is set in the form of an ethanol-from-cellulose price of $1.07 by 2012
ξ the longer-term goal is to replace 30% of 2004-level U.S. energy needs with biofuels by the year 2030, the so-called 30-by-30 goal
ξ over 1.3 billion dry tons of biomass per year could be harvested from just agricultural and forest lands in U.S.
ξ this would be sufficient to support the goal of replacing 30% of petroleum by biofuels while still continuing to meet food, feed, and export demands

2007
ξ The 2007 State of the Union Policy Initiatives pointed out the importance of diversification of America's energy supply
ξ by greater use of clean coal, solar, wind and nuclear power
ξ emphasis given to battery research for plug-in and hybrid vehicles, promotion of clean diesel vehicles and
ξ biodiesel plus developing new methods to produce ethanol
ξ a target was set for reducing gasoline consumption in the U.S. by 20% during the next 10 years

The U.S. Targets
ξ cutting greenhouse gas intensity by 18% from 2002 to 2012
ξ replace 30% of 2004-level energy needs with biofuels by 2030 ("30-by-30" goal)
ξ reduce gasoline consumption by 20% during 10 years by 2017 ("20-in-10" goal)
ξ 36 billion gallons of renewable fuels by 2022
ξ increasing the supply of renewable and alternative fuels by a mandatory requirement of 35 billion gallons by 2017 represents 15% of projected annual gasoline use in 2017
ξ revising the Corporate Average Fuel Economy (CAFE) Standards for cars and the Light Truck Rule
ξ in 2017, this will reduce projected annual gasoline use by a further 5%

The Energy Independence and Security Act of 2007
ξ expands the Renewable Fuels Standard (RFS) by requiring 36 billion gallons of renewable fuel be used annually by 2022
ξ the legislation specifically states that 21 billion gallons of that goal must come from advanced biofuels, i.e.,
ξ renewable fuel other than ethanol derived from corn starch and achieving minimum 50% GHG emissions reduction

Ethanol
ξ is currently very dependent on subsidies
ξ is the major biofuel in the U.S.
ξ is under a vivid discussion, especially due to the high price of corn leading to unfavorable economy for ethanol production
ξ ethanol producers are asking for more support from the Government, but the food industry is strongly against this

Trends
ξ The highest absolute increase in¨biofuel usage is expected in the U.S.
ξ U.S. is the biggest biofuel consumer in absolute terms already today
ξ 80% of all biofuels are produced in US and Brazil
ξ U.S. will increase biofuel volumes
ξ on a world-wide basis ethanol will maintain its position as the leading biofuel due to lower production costs compared with biodiesel
ξ in the long run, next generation biofuels are expected to take shares from traditional biofuels
ξ the costs for biofuels vary significantly
ξ in 2007, the refinery cost for conventional fuels (gasoline, diesel) was some 0.40 - 0.50 euros/l
ξ Brazilian sugarcane ethanol and ethanol from cassava are competitive, with cost corrected for energy content at some 0.30 euros/l
ξ European biofuels are not cost competitive



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